Stocks turned solidly lower this afternoon, giving back early
gains after U.S. and European officials reportedly agreed to impose
new sanctions on Russia. Despite new data finding American consumer
sentiment this month climbing to its highest level since before the
Great Recession officially began in late 2007, investor attitudes
also were kept in check by a report again finding a sub-par
recovery in the U.S. housing market and the start of the Federal
Reserve's two-day policy-setting meeting today.
After see-sawing between small gains and losses earier in the
session, the markets hit the skids after President Obama announced
several new moves intended to hurt the Russian economy in response
for its continued involvement with anti-government activities in
eastern Ukraine. The latest batch of sanctions will block new arms
contracts as well as barring exports of goods that can be used for
either civilian and military purposes.
"If Russia continues on its current path, the cost on Russia
will continue to grow," Obama said, later adding, Today is a
reminder that the United States means what it says. The new
sanctions also sought to isolate three Russian banks and eight
Russian businessmen from accessing western capital as well as
curbing exports of energy-related equipment.
Prior to the late-afternoon announcements, industry sectors in
the S&P 500 also were split equally between winners and losers,
led by shares of health care companies following above-consensus
financial results for drug-makers Merck (
) and Pfizer (
). Consumer stocks had been trading higher after the Conference
Board reported its index of consumer confidence rose to a 90.9
final reading this month, reaching its highest level since October
2007 and topping the market consensus looking for an 85.5 score
Energy stocks also were scratching out small gains after crude
oil futures retreated back near the $100 per barrel threshold.
Crude oil for September delivery settled 70 cents lower at $100.97
per barrel while August natural rose 6cents to finish at $3.81 per
1 million BTU.
But not all energy stocks rose Tuesday, with BP (
) shares closing over 3% lower after warning new sanctions on
Russia over its support for anti-government activists in eastern
Ukraine would harm its business ventures in Russia along with its
relationship with Rosneft, the Russian state oil company.
Here's were the U.S. markets stood at the end-of-day:
Dow Jones Industrial Average down 70.48 (-0.42%) to
S&P 500 down 8.96 (-0.45%) to 1,969.95
Nasdaq Composite Index down 2.21 (-0.05%) to 4,442.70
Hang Seng Index up 0.87%
Shanghai China Composite Index up 0.24%
FTSE 100 Index up 0.29%
(+) PGTI, Q2 EPS of $0.16 beats Capital IQ consensus by $0.05
per share. Revenue jumps 30% over year-ago levels to $81.6 mln,
beating expectations by around $4.9 mln.
(+) CGNX, Adjusted Q2 net income of $0.32 per share beats by
$0.10 per share. Revenue climbs 25.8% year over year to $108.8 mln,
topping estimates by $5.3 mln. Sees Q3 revenue in range of $165 mln
to $170 mln, topping Street view by at least $22.2 mln.
(+) MDSO, Revenue rises 22.2% year over year to $83.2 mln,
beating Street view by $1.3 mln, while EPs of $0.17 matches
expectations. Projected FY14 revenue of $340 mln to $345 mln
in-line with estimates looking for $341.18 per share.
(-) GALT, GR-MD-02 experimental liver medication fails to
perform better than a placebo during Phase I testing, according to
a company presentation included in a regulatory filing today.
(-) TRGT, Discontinues work on its TC-5214 drug candidate to
treat overactive bladders after it demonstrated mixed results
during Phase IIb testing, failing to reach statistical significance
in reducing urinary incontinence compared with a placebo.
(-) AFOP, Q2 revenue grows 27.1% year over year to $24.19 mln,
trailing analyst estimates by $990,000. Adjusted EPS of $0.32 beats
by $0.01 per share.