Stocks: Wednesday's review
Starting the session with sharp jump, Asian markets closed higher
Asian markets grew on expectations that the U.S. will address debt conflicts drove demand for higher-yielding assets. and yesterday's strong report from Apple, released after hours.
Late Monday Q3 earnings report of Apple (AAPL) beat expectations, supporting the technology sector of Asian markets today: TDK Corp. rose by 3.06%, Toshiba Corp. - by 2.74%, Pioneer Corp. - by 1.82%.
Shares of Taiwanese handset maker HTC Corp. jumped by the day’s 7% limit after Google Inc. Chief Executive Eric Schmidt expressed support for the company in its patent battle with Apple Inc.
The financial sector also advanced: Japanese Mitsubishi UFJ Financial Group Inc. added 1.57%, Hong Kong’ Bank of Communications Co. - At 1.36%, Australian National Australia Bank Ltd. and Commonwealth Bank of Australia - at 2.59% and 2.06% respectively.
U.S. stocks ended little changed Wednesday, as investors moved to the sidelines to survey the latest twists in the debt ceiling drama.
The Dow Jones industrial average (INDU) fell, with United Technologies (UTX) and Microsoft (MSFT0) dragging on the blue chip index. Boeing (BA) and Bank of America (BAC) posted the biggest gains.
But investors remain cautious amid concerns that the Gang of Six's plan may not have enough time or support to make it through Congressional negotiations to increase the debt ceiling by Aug. 2.
Companies: Apple (AAPL) reported blowout earnings after the bell Tuesday -- hitting all-time highs with its quarterly profit and revenue, with iPhone and iPad sales. Shares of Apple rose nearly 3%.
Yahoo (YHOO) was the weakest performer on the S&P 500 and the Nasdaq, with shares falling almost 8%. The company reported weakness in display and search revenue, as well as a lower-than-expected outlook in its second-quarter earnings report Tuesday.
After the bell, Dow components American Express (AXP) and Intel (INTC) will issue their quarterly results.
American Airlines announced a plan Wednesday to replace one of the largest commercial airline fleets, with hundreds of new leased airplanes from Boeing and Airbus. Shares of AMR Corp (AMR)., the parent company for American Airlines, slipped 0.2%.
Wells Fargo (WFC) agreed to pay an $85 million civil penalty for allegedly forcing borrowers into more costly mortgages, the Federal Reserve said. Shares of the bank rose 1%.
Economy: The National Association of Realtors said existing home sales declined 0.8% in June to an annual rate of 4.77 million.