Market Minute: Amazon to Sell Groceries; Delta Grounds Memphis Hub

×
Amazon wants to dominate another market, and a major airline drops a hub city. Those and more are what's in stocks news Wednesday.

The Dow industrials (^DJI) fell 76 points, the S&P 500 (^GSPC) lost 9 and the Nasdaq (^IXIC) dropped 20 points.

Amazon.com (AMZN) is reportedly planning to expand its online grocery business. Reuters says it's been testing the concept in Seattle for the past five years, and will begin expanding to other cities as soon as this month. This could pose a major challenge to supermarket chains Kroger (KR) and Safeway (SWY).
delta air lines airplane close memphis hub
AP
Delta Air Lines (DAL) is dropping Memphis as one of hub airports. The company says the smaller jets used there are too expensive to operate. Memphis is the smallest of Delta's eight domestic hub cities.

Score one for Samsung in its on-going legal battle with Apple (AAPL). The U.S. International Trade Commission ruled that Apple violated a Samsung patent, and the panel banned Apple from selling certain iPhone and iPad models. Most of those items are older models, but Samsung could seek to extend the patent ruling to newer items. But as of now, the ruling doesn't cover newer models, such as the iPhone 5. President Obama has 60 days to consider a veto of the order, and Apple says it plans to appeal.

Restaurant-chain Bob Evans Farms (BOBE) easily beat earnings expectations, while shares of Mattress Firm Holding (MFRM) are set to bounce after reporting better than expected results.

You no longer have to be a couch potato to follow your favorite pro-football team. Verizon Wireless (VZ, VOD) has agreed to pay $1 billion to air Sunday afternoon games on smartphones. That extends an existing agreement that allows Verizon to carry three night games each week.

The market has been pretty volatile during the past week or so, and you can expect that to continue Wednesday ahead of the release of the Federal Reserve Beige Book report at 2 p.m. Eastern time and Friday's monthly employment report.

Check back after the market closes Wednesday for the new DailyFinance closing bell report.

-Produced by Drew Trachtenberg


Increase your money and finance knowledge from home

Goal Setting

Want to succeed? Then you need goals!

View Course »

Introduction to Economic Indicators

Measure the performance of the economy.

View Course »

Add a Comment

*0 / 3000 Character Maximum

3 Comments

Filter by:
butterflymagic101

I think its a great idea. However Amazon grouceries they offer now are too pricey. We need to get rid of "Made in China." Did you hear China just bough Smithfield.

June 07 2013 at 1:49 PM Report abuse rate up rate down Reply
georgettec28

Amazons current list of limited groceries are VERY expensive. Unless they offer highly competitive pricing, an expansive shopping list and limited or no delivery charges, they stand no chance in competition with a host of local grocery delivereres such as Peapod, ShopRite and others.

June 05 2013 at 1:15 PM Report abuse -1 rate up rate down Reply
agcat

Thank you so much Delta, for years Delta and Northwest have been gouging the Memphis fliers, with tickets costing up to twice what they should. Maybe now we can get a carrier like Southwest with reasonable airfares

June 05 2013 at 11:35 AM Report abuse rate up rate down Reply