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REFILE-US STOCKS-Benign inflation, strong results lift Wall St
Reuters: [2008-05-14 23:33:00]
(Refiles to fix typo in paragraph 14)
* Modest rise in CPI supports stocks
* Freddie Mac smaller than expected loss reassures
* Strong Macy's results lift retailers
By Caroline Valetkevitch
NEW YORK, May 14 (Reuters) - U.S. stocks rose on Wednesday in light trading after a modest rise in consumer prices in April cooled inflation fears while Macy's Inc <M.N> and Freddie Mac <FRE.N> posted reassuring quarterly results.
A milder-than-expected gain in the Consumer Price Index took the edge off fears of an inflationary spurt triggered by soaring energy prices. That could allow the Federal Reserve more time to hold interest rates steady, analysts said.
Shares of retailers and home builders, which benefit from steady to lower borrowing costs, advanced. The S&P retail index <.RLX> rose 1.6 percent, as Macy's stood by the profit forecast for its department stores despite expectations of an economic slowdown.
Freddie Mac, seen as a housing market barometer, brightened the mood on Wall Street by raising its growth outlook and unveiling a plan to raise new capital to support the beleaguered home loan market.
"People were nervous about the inflation number. When it was somewhat better than expected, that triggered the rally," said Eric Kuby, chief investment officer at North Star Investment Management Corp., in Chicago.
Stocks pared gains late in the session, leaving the Nasdaq just barely higher. Shares of Apple Inc <AAPL.O> slid as investors took profits after two days of gains in the stock.
The market's sharp climb "ran out of steam without another leg of news to keep the rally going," Kuby said.
The Dow Jones industrial average <.DJI> rose 66.20 points, or 0.52 percent, to end at 12,898.38. The Standard & Poor's 500 Index <.SPX> added 5.62 points, or 0.40 percent, to 1,408.66. The Nasdaq Composite Index <.IXIC> inched up 1.58 points, or 0.06 percent, to 2,496.70.
Trading was extremely light on the New York Stock Exchange, with about 1.19 billion shares changing hands, well below last year's estimated daily average of roughly 1.90 billion, and the second-lowest level of volume so far this year. NYSE trading volume hit its low for the year on Monday, when 1.05 billion shares traded hands.
However, the Chicago Board Options Exchange Volatility Index <.VIX>, or VIX, which is Wall Street's fear barometer, slid at one point to its lowest level since October 2007 as stocks rallied. The VIX was down 1.8 percent at the close.
Shares of Macy's rose 3.6 percent to $24.93.
Freddie Mac, the No. 2 provider of funding for U.S. residential mortgages, shot up 9.2 percent to $27.25.
The Dow Jones home construction Index <.DJUSHB> climbed 2.7 percent. The stock of D.R. Horton Inc <DHI.N>, the largest U.S. home builder, jumped 2.9 percent to $15.36.
APPLE FALLS, ENERGY SLIPS
On the Nasdaq, shares of Apple declined 2 percent to $186.26. And the stock of top video game publisher Electronic Arts Inc <ERTS.O> dropped 3.3 percent to $52.78. Late Tuesday, the company issued an annual profit outlook that fell short of Wall Street forecasts.
Energy companies' stocks also fell after U.S. crude <CLc1> slid $1.58 to settle at $124.22 per barrel, a day after it approached a record just 2 cents shy of $127. The S&P energy index <.GSPE> ended down 0.9 percent.
Shares of Deere & Co <DE.N> tumbled 9.9 percent to $81.25 and ranked among the top drags on the S&P 500 after the farm and construction machinery company warned that higher material costs and possible shortages of components will affect results
Among other drags on Nasdaq: Whole Foods Market Inc <WFMI.O> sank 13.9 percent to $28.96 after it posted a lower quarterly net profit that missed analysts' estimates. For details, see [ID:nN13428622]
Before the opening bell, the Labor Department said the overall CPI for April rose 0.2 percent -- less than economists expected. Core CPI, excluding volatile food and energy costs, gained 0.1 percent in April -- also below forecast.
The Fed's seven rate cuts, amounting to 3.25 percentage points, have now taken the Fed's benchmark fed funds rate down to 2 percent. The Fed's most recent rate decision, which analysts speculated could be the last for the near term, was on April 30. (Editing by Jan Paschal) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging:caroline.valetkevitch.reuters.com@reuters.net))
((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra: visit http://topnews.session.rservices.com * BridgeStation: view story .134 For more information on Top News: http://topnews.reuters.com))
Keywords: MARKETS STOCKS
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U.S. Equities speed guide........................<US/EQUITY>
S&P 500 index ........................................<.SPX>
Dow Jones industrial average..........................<.DJI>
Nasdaq Composite index...............................<.IXIC>
Nasdaq 100............................................<.NDX>
Russell 2000 small cap................................<.RUT>
S&P major sectors..............................<0#.GSPMAJOR>
NYSE most active.....................................<.AV.N>
Nasdaq most active...................................<.AV.O>
Top NYSE pct gainers.................................<.PG.N>
Top NYSE pct losers..................................<.PL.N>
Top Nasdaq pct gainers...............................<.PG.O>
Top Nasdaq pct losers................................<.PL.O>
52 week highs:
NYSE...............<t.YH.N> Nasdaq..............<t.YH.O>
52 week lows:
NYSE...............<t.YL.N> Nasdaq..............<t.YL.O>
Main global stock indexes and market reports:
FTSE Eurotop 300 .....<.FTEU3> European report .......[.EU]
Nikkei 225.............<.N225> Tokyo report............[.T]
FTSE 100...............<.FTSE> London report...........[.L]
Xetra DAX.............<.GDAXI> Frankfurt market stories[.F]
CAC-40.................<.FCHI> Paris market stories...[.PA]
World Indices.....................................<0#.INDEX>
Reuters survey of world bourse outlook.........<EQUITYPOLL1>
U.S. IPO diary........................................[IPO/]
U.S. Asset Allocation Table.......................[US/ASSET]
More Reuters News on equities at a glance:
Equities ............[E] US company news.........[TOP/EQU]
Key non-equities market reports:
Foreign exchange......................................[FRX/]
Oil....................................................[O/R]
US Treasuries.........................................[US/N]
International bonds...................................[EUB/]
Gold.......................................[GOL/X] or [GOL/]
CRB index of commodity futures........................[CRB/]
US STOCKS-Benign inflation, strong results lift Wall St
Reuters: [2008-05-14 23:20:00]
(Updates close with declines in Apple, energy shares)
* Modest rise in CPI supports stocks
* Freddie Mac smaller than expected loss reassures
* Strong Macy's results lift retailers
By Caroline Valetkevitch
NEW YORK, May 14 (Reuters) - U.S. stocks rose on Wednesday in light trading after a modest rise in consumer prices in April cooled inflation fears while Macy's Inc <M.N> and Freddie Mac <FRE.N> posted reassuring quarterly results.
A milder-than-expected gain in the Consumer Price Index took the edge off fears of an inflationary spurt triggered by soaring energy prices. That could allow the Federal Reserve more time to hold interest rates steady, analysts said.
Shares of retailers and home builders, which benefit from steady to lower borrowing costs, advanced. The S&P retail index <.RLX> rose 1.6 percent, as Macy's stood by the profit forecast for its department stores despite expectations of an economic slowdown.
Freddie Mac, seen as a housing market barometer, brightened the mood on Wall Street by raising its growth outlook and unveiling a plan to raise new capital to support the beleaguered home loan market.
"People were nervous about the inflation number. When it was somewhat better than expected, that triggered the rally," said Eric Kuby, chief investment officer at North Star Investment Management Corp., in Chicago.
Stocks pared gains late in the session, leaving the Nasdaq just barely higher. Shares of Apple Inc <AAPL.O> as investors took profits after two days of gains in the stock.
The market's sharp climb "ran out of steam without another leg of news to keep the rally going," Kuby said.
The Dow Jones industrial average <.DJI> rose 66.20 points, or 0.52 percent, to end at 12,898.38. The Standard & Poor's 500 Index <.SPX> added 5.62 points, or 0.40 percent, to 1,408.66. The Nasdaq Composite Index <.IXIC> inched up 1.58 points, or 0.06 percent, to 2,496.70.
Trading was extremely light on the New York Stock Exchange, with about 1.19 billion shares changing hands, well below last year's estimated daily average of roughly 1.90 billion, and the second-lowest level of volume so far this year. NYSE trading volume hit its low for the year on Monday, when 1.05 billion shares traded hands.
However, the Chicago Board Options Exchange Volatility Index <.VIX>, or VIX, which is Wall Street's fear barometer, slid at one point to its lowest level since October 2007 as stocks rallied. The VIX was down 1.8 percent at the close.
Shares of Macy's rose 3.6 percent to $24.93.
Freddie Mac, the No. 2 provider of funding for U.S. residential mortgages, shot up 9.2 percent to $27.25.
The Dow Jones home construction Index <.DJUSHB> climbed 2.7 percent. The stock of D.R. Horton Inc <DHI.N>, the largest U.S. home builder, jumped 2.9 percent to $15.36.
APPLE FALLS, ENERGY SLIPS
On the Nasdaq, shares of Apple declined 2 percent to $196.26. Also, top video game publisher Electronic Arts Inc <ERTS.O> dropped 3.3 percent to $52.78. Late Tuesday, the company issued an annual profit outlook that fell short of Wall Street forecasts.
Energy companies' stocks also fell after U.S. crude <CLc1> slid $1.58 to settle at $124.22 per barrel, a day after it approached a record just 2 cents shy of $127. The S&P energy index <.GSPE> ended down 0.9 percent.
Shares of Deere & Co <DE.N> tumbled 9.9 percent to $81.25 and ranked among the top drags on the S&P 500 after the farm and construction machinery company warned that higher material costs and possible shortages of components will affect results
Among other drags on Nasdaq: Whole Foods Market Inc <WFMI.O> sank 13.9 percent to $28.96 after it posted a lower quarterly net profit that missed analysts' estimates. For details, see [ID:nN13428622]
Before the opening bell, the Labor Department said the overall CPI for April rose 0.2 percent -- less than economists expected. Core CPI, excluding volatile food and energy costs, gained 0.1 percent in April -- also below forecast.
The Fed's seven rate cuts, amounting to 3.25 percentage points, have now taken the Fed's benchmark fed funds rate down to 2 percent. The Fed's most recent rate decision, which analysts speculated could be the last for the near term, was on April 30. (Editing by Jan Paschal) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging:caroline.valetkevitch.reuters.com@reuters.net)) ((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra: visit http://topnews.session.rservices.com * BridgeStation: view story .134 For more information on Top News: http://topnews.reuters.com))
Keywords: MARKETS STOCKS
==============================================================
To access running updates on what's moving U.S. stocks double
click on [STXNEWS/US]
==============================================================
For other U.S. market data and news, click on codes in
brackets:
U.S. Equities speed guide........................<US/EQUITY>
S&P 500 index ........................................<.SPX>
Dow Jones industrial average..........................<.DJI>
Nasdaq Composite index...............................<.IXIC>
Nasdaq 100............................................<.NDX>
Russell 2000 small cap................................<.RUT>
S&P major sectors..............................<0#.GSPMAJOR>
NYSE most active.....................................<.AV.N>
Nasdaq most active...................................<.AV.O>
Top NYSE pct gainers.................................<.PG.N>
Top NYSE pct losers..................................<.PL.N>
Top Nasdaq pct gainers...............................<.PG.O>
Top Nasdaq pct losers................................<.PL.O>
52 week highs:
NYSE...............<t.YH.N> Nasdaq..............<t.YH.O>
52 week lows:
NYSE...............<t.YL.N> Nasdaq..............<t.YL.O>
Main global stock indexes and market reports:
FTSE Eurotop 300 .....<.FTEU3> European report .......[.EU]
Nikkei 225.............<.N225> Tokyo report............[.T]
FTSE 100...............<.FTSE> London report...........[.L]
Xetra DAX.............<.GDAXI> Frankfurt market stories[.F]
CAC-40.................<.FCHI> Paris market stories...[.PA]
World Indices.....................................<0#.INDEX>
Reuters survey of world bourse outlook.........<EQUITYPOLL1>
U.S. IPO diary........................................[IPO/]
U.S. Asset Allocation Table.......................[US/ASSET]
More Reuters News on equities at a glance:
Equities ............[E] US company news.........[TOP/EQU]
Key non-equities market reports:
Foreign exchange......................................[FRX/]
Oil....................................................[O/R]
US Treasuries.........................................[US/N]
International bonds...................................[EUB/]
Gold.......................................[GOL/X] or [GOL/]
CRB index of commodity futures........................[CRB/]
US STOCKS-Benign inflation, strong results boost Wall St
Reuters: [2008-05-14 22:35:00]
(Updates to close)
* Modest rise in CPI supports stocks
* Freddie Mac smaller than expected loss reassures
* Strong Macy's results lift retailers
By Caroline Valetkevitch
NEW YORK, May 14 (Reuters) - U.S. stocks rose on Wednesday in light trading after a modest rise in consumer prices in April cooled inflation fears while Macy's Inc <M.N> and Freddie Mac <FRE.N> posted reassuring quarterly results.
A milder-than-expected gain in the Consumer Price Index took the edge off fears of an inflationary spurt triggered by soaring energy prices. That could allow the Federal Reserve more time to hold interest rates steady, analysts said.
Shares of retailers and home builders, which benefit from steady to lower borrowing costs, advanced. The S&P retail index <.RLX> rose 1.6 percent, as Macy's stood by the profit forecast for its department stores despite expectations of an economic slowdown.
Freddie Mac, seen as a housing market barometer, brightened the mood on Wall Street by raising its growth outlook and unveiling a plan to raise new capital to support the beleagured home loan market.
"People were nervous about the inflation number. When it was somewhat better than expected, that triggered the rally," said Eric Kuby, chief investment officer at North Star Investment Management Corp., in Chicago.
Stocks pared gains late in the session, leaving the Nasdaq just barely higher. The market's sharp climb "ran out of steam without another leg of news to keep rally going," Kuby said.
The Dow Jones industrial average <.DJI> rose 66.20 points, or 0.52 percent, to end at 12,898.38. The Standard & Poor's 500 Index <.SPX> added 5.62 points, or 0.40 percent, to 1,408.66. The Nasdaq Composite Index <.IXIC> inched up 1.58 points, or 0.06 percent, to 2,496.70.
Trading was extremely light on the New York Stock Exchange, with about 1.19 billion shares changing hands, well below last year's estimated daily average of roughly 1.90 billion, and the second-lowest level of volume so far this year. NYSE trading volume hit its low for the year on Monday, when 1.05 billion shares traded hands.
However, the Chicago Board Options Exchange Volatility Index <.VIX>, or VIX, which is Wall Street's fear barometer, slid at one point to its lowest level since October 2007. The VIX was down 1.8 percent at the close.
Shares of Macy's rose 3.6 percent to $24.93.
Freddie Mac, the No. 2 provider of funding for U.S. residential mortgages, shot up 9.2 percent to $27.25.
The Dow Jones home construction Index <.DJUSHB> climbed 2.7 percent. The stock of D.R. Horton Inc <DHI.N>, the largest U.S. home builder, jumped 2.9 percent to $15.36.
On the Nasdaq, shares of top video game publisher Electronic Arts Inc <ERTS.O> fell 3.3 percent to $52.78. Late Tuesday, the company issued an annual profit outlook that fell short of Wall Street forecasts.
Shares of Deere & Co <DE.N> tumbled 9.9 percent to $81.25 and ranked among the top drags on the S&P 500 after the farm and construction machinery company warned that higher material costs and possible shortages of components will affect results
Before the opening bell, the Labor Department said the overall CPI for April rose 0.2 percent -- less than economists expected. Core CPI, excluding volatile food and energy costs, gained 0.1 percent in April -- also below forecast.
The Fed's seven rate cuts, amounting to 3.25 percentage points, have now taken the Fed's benchmark fed funds rate down to 2 percent. The Fed's most recent rate decision, which analysts speculated could be the last for the near term, was on April 30. (Additional reporting by Cal Mankowski; Editing by Jan Paschal)
((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging:caroline.valetkevitch.reuters.com@reuters.net)) ((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra: visit http://topnews.session.rservices.com * BridgeStation: view story .134 For more information on Top News: http://topnews.reuters.com))
Keywords: MARKETS STOCKS
US STOCKS-Benign inflation report boosts Wall St
Reuters: [2008-05-14 20:22:00]
(Updates to afternoon, changes byline)
* April CPI rises less than expected
* Freddie Mac quarterly loss is less than feared
* Macy's results stronger than expected
By Caroline Valetkevitch
NEW YORK, May 14 (Reuters) - U.S. stocks rallied on Wednesday as government data that showed consumer prices rose less than expected in April took some pressure off the Federal Reserve to raise interest rates.
Shares of retailers and home builders, which could benefit from steady to lower borrowing costs, rallied. The S&P retail index <.RLX> was up 2.4 percent.
Stronger-than-expected results from department store operator Macy's Inc <M.N> and a smaller-than-expected loss from home finance company Freddie Mac <FRE.N> also brightened the mood on Wall Street.
The Consumer Price Index data helped calm investors a day after several key Fed officials had voiced concerns about inflationary pressures following surges in oil prices to a series of record highs for the past several days.
"It's clearly not the world reality, but to the extent the Fed follows this data, it makes the case that the Fed is not going to be ratcheting up rates any time soon," said Michael Darda, chief economist at MKM Partners LLC, in Greenwich, Connecticut.
The Dow Jones industrial average <.DJI> rose 141.51 points, or 1.11 percent, to 12,973.69. The Standard & Poor's 500 Index <.SPX> was up 15.04 points, or 1.07 percent, at 1,418.08. The Nasdaq Composite Index <.IXIC> was up 32.23 points, or 1.29 percent, at 2,527.35.
The Fed's seven rate cuts, amounting to 3.25 percentage points, have now taken the Fed's benchmark fed funds rate down to 2 percent. The Fed's most recent rate decision, which analysts speculated could be the last for the near term, was on April 30.
Wednesday's rally occurred as the Chicago Board Options Exchange Volatility Index <.VIX>, or VIX, which is Wall Street's fear barometer, slid to its lowest point since October 2007. The VIX was down 6.6 percent at 16.79.
Energy shares gained despite a pullback in crude oil prices. Exxon Mobil <XOM.N> was up 1.1 percent at $90.65, while rival oil company ConocoPhillips <COP.N> was up 1.2 percent at $89.69.
Shares of big manufacturers such as 3M Co <MMM.N>, also gained. 3M shares were up 1.5 percent at $78.30.
U.S. crude <CLc1> slid $1.90 to $123.90 a barrel on the New York Mercantile Exchange, a day after it approached a record just 2 cents shy of $127.
Shares of Macy's rose 4.7 percent to $25.19.
Freddie Mac, the second-biggest provider of funding for U.S. residential mortgages, shot up 9 percent to $27.20.
The Dow Jones home construction Index <.DJUSHB> climbed 3.3 percent. The stock of D.R. Horton Inc <DHI.N>, the largest U.S. home builder, jumped 3.1 percent to $15.39.
The S&P financial index <.GSPF> rose 1.2 percent.
Before the opening bell, the Labor Department said the overall CPI for April rose 0.2 percent -- less than economists expected. Core CPI, excluding volatile food and energy costs, gained 0.1 percent in April -- also below forecast. (Additional reporting by Cal Mankowski; Editing by Jan Paschal) ((caroline.valetkevitch@thomsonreuters.com; +1 646 223 6393; Reuters Messaging:caroline.valetkevitch.reuters.com@reuters.net)) ((Multimedia versions of Reuters Top News are now available for: * 3000 Xtra: visit http://topnews.session.rservices.com * BridgeStation: view story .134 For more information on Top News: http://topnews.reuters.com))
Keywords: MARKETS STOCKS
CY Oriental Holdings Ltd. Updates its Delay in Filing Financial Statements <CYO.V>
Reuters: [2008-05-14 19:30:00]
VANCOUVER, May 14 /CNW/ - CY Oriental Holdings Ltd. (TSX-V: CYO) ("CY
Oriental" or the "Company") today announced that pursuant to the terms of the
management cease trade order issued by the British Columbia Securities
Commission, as principal regulator, barring the Company's insiders from
trading CY Oriental shares until the Company's audited financial statements
for the fiscal year ended December 31, 2007 are filed, the Company announces
that the filing delay continues to be necessary to provide additional time to
gather and review documentation relating to the Company's purchase and sales
transactions. The Company currently expects that such review will be completed
in June 2008 and expects that the audited year end financial statements will
be filed by June 30, 2008. Should the Company fail to file the audited year
end financial statements by June 30, 2008, the Canadian Securities Regulators
may impose a cease trade order on all trading of the Company's shares until
the financial statements are filed. Also, the Company's interim financial
statements for the first quarter period ended March 31, 2008 are expected to
be filed after the audited year end financial statement are filed and
therefore, such interim financial statements will not be filed by May 30,
2008.
Further, as a consequence of the delay in filing the Company's audited
financial statements, the Company has obtained from its trade finance lender,
Maple Trade Finance Inc., consent to extend the filing of the Company's
audited financial statements until May 30, 2008 and the Company is also in the
process of obtaining a similar consent from its bank lender, HSBC, pursuant to
the terms of the Company's lending facilities with these two lenders. If
necessary, the Company will request additional consents from these lenders to
further extend the filing of the Company's audited financial statements to
June 2008.
About CY Oriental Holdings Ltd.
CY Oriental is a Canadian incorporated, China-based manufacturer and
value-added supplier of apparel and fashion products to leading international
brands and retailers, including department stores. CY Oriental owns and
operates a manufacturing facility in Shanghai, China and a newly constructed
facility in the city of Tengzhou, China. The Company's ready-made products
include a broad range of high-quality garments, including woven casual wear,
woven formal wear, casual jeanswear and sports outerwear. More information may
be found online by visiting www.cyoriental.com.
FORWARD LOOKING INFORMATION
Certain information in this news release is forward-looking within the
meaning of certain securities laws, and is subject to important risks,
uncertainties and assumptions. This forward-looking information includes
information with respect to CY Oriental's expectations relating to the timing
for the filing of required audited financial statements. The forward-looking
information in this news release describes CY Oriental's expectations as of
the date of this news release. The results or events anticipated or predicted
in such forward-looking information may differ materially from actual results
or events. Material factors which could cause actual results or events to
differ materially from a conclusion in such forward-looking information
include further unanticipated delays in completing the financial statements.
There is no assurance that the requested consent from HSBC will be granted and
if such consent is not granted, HSBC could declare a default under its lending
facility. There is no assurance that Maple Trade Finance Inc. or HSBC will
consent to further extensions and if such additional consent is not granted,
Maple Trade Finance and HSBC could declare a default under their respective
lending facilities. When relying on CY Oriental's forward-looking information
to make decisions, investors and others should carefully consider the
foregoing factors and other uncertainties and potential events. CY Oriental
cautions that the foregoing list of material factors is not exhaustive and is
subject to change.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE REPRESENTS
THE EXPECTATIONS OF CY ORIENTAL AS OF THE DATE OF THIS NEWS RELEASE AND,
ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. WHILE CY ORIENTAL MAY ELECT
TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information: Clarence Kwong, Chief Financial Officer, CY
Oriental Holdings Ltd., Tel: (604) 247-0868, Email: ckwong@cyoholdings.com;
Trevor Heisler, Investor Relations, The Equicom Group, Tel: (416) 815-0700 ext
270, Email: theisler@equicomgroup.com
Next: US STOCKS-Tame inflation data spurs stock rally