Stock Market Wrapup 6/25/07
Despite a morning rally, the Dow, Nasdaq, and S&P 500 all closed in the red after a subprime induced sell-off. Oil prices continued to seesaw with today's news that the Nigerian labor strike has come to an end. Gas prices also dropped over the weekend, as the national average dipped below $3 for the first time since April. U.S. existing home sales for May were also released, with another slight decline to reach its lowest level in four years. Sales of single-family homes and condos dropped -0.3% to 5.99 million units in the month, and the inventory of unsold homes climbed 5.9% to 4.43 million units. The National Association of Realtors forecasts a full-year sales decline of -4.6% and median price to drop -1.3%; the first drop in price in the 40 years that these records have been kept.
Walgreen (NYSE: WAG) released its third-quarter earnings, announcing a nearly 20% increase in profits. Earnings rose as the drug store chain saw increased market share in top products as well as increased prescription sales. Walgreen is the largest drug store chain by revenue, and held that position with earnings of $561.2 million, or 56 cents per share. Revenues climbed 13% to $13.7 billion. Analysts had expected $13.8 billion in revenue and earnings of 53 cents per share.
After bailing out one hedge fund last week, Bear Stearns (NYSE: BSC) may have to float money in order to rescue another fund that was heavily invested in mortgage-backed securities. The second fund, the Bear Stearns High-Grade Structured Credit Enhanced Leveraged Fund, which is more leveraged, has as much as $7 billion in loan exposure. Bear Stearns dropped -3.2% on the news.
After climbing its first day of trading, Blackstone Group (NYSE: BX) dropped -7.5% today, bringing it to within 5% of its IPO price of $31. The rumor mill, meanwhile, has started predicting that high-end jewelry retailer Tiffany's (NYSE: TIF) may end up being acquired as trading activity on both shares and options climbed today. French company Louis Vuitton is seen as a potential buyer for the company. The stock rose 3.9%.
By the BullMarket.com Staff
Walgreen (NYSE: WAG) released its third-quarter earnings, announcing a nearly 20% increase in profits. Earnings rose as the drug store chain saw increased market share in top products as well as increased prescription sales. Walgreen is the largest drug store chain by revenue, and held that position with earnings of $561.2 million, or 56 cents per share. Revenues climbed 13% to $13.7 billion. Analysts had expected $13.8 billion in revenue and earnings of 53 cents per share.
After bailing out one hedge fund last week, Bear Stearns (NYSE: BSC) may have to float money in order to rescue another fund that was heavily invested in mortgage-backed securities. The second fund, the Bear Stearns High-Grade Structured Credit Enhanced Leveraged Fund, which is more leveraged, has as much as $7 billion in loan exposure. Bear Stearns dropped -3.2% on the news.
After climbing its first day of trading, Blackstone Group (NYSE: BX) dropped -7.5% today, bringing it to within 5% of its IPO price of $31. The rumor mill, meanwhile, has started predicting that high-end jewelry retailer Tiffany's (NYSE: TIF) may end up being acquired as trading activity on both shares and options climbed today. French company Louis Vuitton is seen as a potential buyer for the company. The stock rose 3.9%.
By the BullMarket.com Staff
posted by Stock Administrator @ 5:36 PM
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