Markets Keep Rising Without a Stimulant
May 7th 2013 1:05PM
Updated May 7th 2013 2:20PM
Last week investors were hit with one economic data point after another, and the markets fared well. Those positive feelings have been carried through to this week as the markets continue to climb higher, though there's no news of note so far today.
As of 12:55 p.m. EDT the Dow Jones Industrial Average is up 60 points, or 0.4%, to 15,030. The S&P 500 is up 0.37%, sitting comfortably above the 1,600-point level. The Nasdaq is more muted, up just two points.
One stock that occupies both the Dow and the tech-heavy Nasdaq is Microsoft , which is down 1.1% on the news that the company has once again signed a guarantee of per-search revenue for ads appearing on Yahoo! sites. The two companies had this arrangement before, but it expired on March 31. The deal has been extended for another year, and though it was renewed on April 1, it was not disclosed until today. The search partnership between Microsoft and Yahoo! has been underperforming for some time, and this move is likely just a way for Microsoft to keep Yahoo! happy.
Another Dow and Nasdaq stock falling today is Cisco , which is down 1.8%. Cisco has recently announced a number of new business developments and products, but investors have not seen any new revenue or profit from these ventures. And until shareholders see the return on investment on their research and development dollars, they will likely continue moving away from the stock.
Shares of both Dow energy stocks, Chevron and ExxonMobil , are flat today. The price of light crude is down 0.69% today, and natural gas is down 1.77%. And because both companies have diversified their businesses into the latter, cleaner-burning fuel that is abundant in North America, they must deal with how falling natural-gas prices will affect profits.
The article Markets Keep Rising Without a Stimulant originally appeared on Fool.com.Fool contributor Matt Thalman owns shares of Microsoft. The Motley Fool recommends Chevron and Cisco Systems. The Motley Fool owns shares of Microsoft. Check back Monday through Friday as Matt explains what caused the Dow's winners and losers of the day, and every Saturday for a weekly recap. Follow Matt on Twitter: @mthalman5513. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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