After Market: Banks, Tech and Retail Power a Rebound


Stocks on Tuesday recouped a big chunk of their losses from Monday, thanks to solid earnings reports from two leading banks, and big moves by some technology leaders. JPMorgan Chase (JPM) edged higher and Wells Fargo's (WFC) share price was little changed -- but their slightly better-than-expected quarterly numbers set a positive tone. And a government report showing a solid retail sales gain in December also helped.

The Dow Jones industrial average (^DJI) rose 116 points, snapping a four day losing streak. The Standard & Poor's 500 index (^GPSC) gained 19 points, and the Nasdaq composite (^IXIC)
rallied 69, closing at its highest level in 13 years, led by some of the biggest names in tech.

Intel (INTC) jumped 4 percent after a JPMorgan upgrade to "overweight." Microsoft (MSFT) gained more than 2 percent.
Google (GOOG) rose 2.5 percent after it agreed to buy startup Nest, which makes smart home thermostats and fire detectors controlled through the Internet, for $3.2 billion.

Also helping the Nasdaq, a 15 percent jump by Tesla (TSLA), which posted better-than-expected sales in the fourth quarter. It also issued a battery "Fix," which it insisted was not a recall. Telsa shares are up 384 percent over the past 365 days.

Biotech rebounded from some recent weakness. Regeneron (REGN) jumped 12 percent. It's developing a new treatment for macular degeneration with Bayer. Biogen (BIIB) gained 5 percent.

Elsewhere, Time Warner Cable (TWC) rose nearly 3 percent to well above the takeover price offered by Charter Communications (CHTR). Time Warner rejected the bid, so investors obviously expect Charter or someone else to come in with a higher offer. Charter gained more than 2 percent.

Pfizer (PFE) rose 1.5 percent as bidders line up to buy all or parts of its generic drug business. Three firms are being mentioned as potential bidders: U.K.-based GW Pharma (GWP), which rose 2.5 percent, Vivus (VVUS), which gained 4.5 percent, and Valeant (VRX), which rose 3 percent.

Intercept Pharmaceuticals (ICPT) was a big mover for the fourth day in a row. It lost 29 percent on the day, but it's still up 260 percent over the past week.

And the retailer GameStop (GME) tumbled 20 percent. It released disappointing results for the holiday period, and issued a weak outlook.

What to Watch Wednesday:
  • The Labor Department releases the Producer Price Index for December at 8:30 a.m. Eastern time. The Federal Reserve releases its Beige Book survey of regional economic conditions at 2 p.m.
These major companies are due to release quarterly financial statements: -Produced by Drew Trachtenberg.

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You can watch everything around you crumble or you can ignor it like those that say the recovery is real.

Most of this wonderful tech stuff is either imported or the people are imported which is why the real economy is destined to continue to decline.

January 14 2014 at 10:49 PM Report abuse rate up rate down Reply

I ended up with a 3.8 GPA among an experienced class of Accountants and a mix of others many younger than I was in retraining after the tech bubble. I got to meet people tossed out of IBM, WANG, Brokerage Firms Pharmasautical companies, and others. I even got to meet somebody who had worked at A famous Guitar manufacturer. I see nothing has changed the older people are being tossed out of work while the younger are being told to get ahead with a further education in a world were visas are used to displace Americans. Since the tech bubble America has been told to retrain for jobs they can't have while politicians allow the middle class to be dragged down into the bowls of poverty by their campaign contributors.

January 14 2014 at 10:32 PM Report abuse rate up rate down Reply

This reminds me of a former stock broker I met in a retraining class back in 2002. He could not get the sound on his computer to work because he did not check the sound card. He could use the CD burner to record data on the CD because the CD's he had looked pretty much the same on the top or bottom. The CD's were so cheesy you had to really look at them to determine which side was up.

January 14 2014 at 10:07 PM Report abuse rate up rate down Reply

You can see how bad things are at some of these Corporationfor the employees who just happen to be the tax payers and consumers!

If things are so wonderful why are the drug companies and other businesses running old advertising? By the way you must of know something was up with Gold prices when everybody and the kitchen sink was pushing the precious metal like it was going out of style. If you didn't buy into the hype you would not have lost money when Gold prices plunged! Plenty of Diamonds hidden in storage ( Buy now and be a winner!)

January 14 2014 at 9:15 PM Report abuse rate up rate down Reply

That's right keep spinning this crappy Main Street economy so a few million people will break their necks trying to sneakin then will have even more people unemployed or not in the labor force.

January 14 2014 at 9:05 PM Report abuse -2 rate up rate down Reply

Feels like the dollar is taking on the look of the liara soon you'll need 10,000 to buy an egg Mc Muffin.

January 14 2014 at 9:00 PM Report abuse -1 rate up rate down Reply

The author of this tripe little story says retail is booming. Hmm perhaps they were the ones that stole the customer data then used it to patch their books!

January 14 2014 at 8:52 PM Report abuse -1 rate up rate down Reply

If things are so great then the over 91.8 million not in the labor force and 10.4 million unemployed should be chased down by employers and begged to come to work for them at living wages and perks!

Now about that Platinum ACA plan will that be included as a fringe benefit? :)

January 14 2014 at 8:37 PM Report abuse -1 rate up rate down Reply