After Market: Jet Crash in Ukraine Spooks Investors

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Circumstances surrounding a plane crash in eastern Ukraine caused jitters on Wall Street Thursday. The markets were just treading water until news broke that a Malaysia Airline jet had crashed while flying over territory where pro-Russian separatists have been battling against the army. Reports suggest that it may have been shot down, though by which side is still unclear.

At the end of the day, the Dow Jones industrial average (^DJI) was 161 points lower, the Nasdaq composite (^IXIC) had fallen 62 points, and the Standard & Poor's 500 index (^GPSC) was down by 23 points.

Investors flocked instead to safe-haven bets like gold and Treasuries, but there were some stock winners on this jam-packed earnings day.

The country's largest health insurer, United Health (UNH), released its quarterly report. Revenue rose 7 percent but profits fell, mainly because of higher taxes. Nevertheless the results topped expectations and shares gained 1.5 percent. Rival Humana (HUM) also rose sharply, up 3 percent.

Toolmaker Snap-on (SNA) beat on earnings, and it was one of the top winners in the S&P 500, gaining 4 percent.

Earnings rose 90 percent at Morgan Stanley (MS), which beat on profit and revenue. The stock initially gained but then lost half a percent as the broader market sold off.

M&T Bank (MTB) reported a drop in profit as mortgage-banking revenue declined and the stock dropped slightly.

Earnings more than doubled at the world's largest private-equity firm, Blackstone Group (BX) and its shares gained half a percent.

Chipmaker Sandisk (SNDK) beat on earnings but the stock dropped 13.5 percent as the outlook for both margins and sales in the current quarter disappointed.But overall this year, the stock has been on tear. Year-to-date, it is up 31 percent

Barbie maker Mattel (MAT), the toy industry's largest player, dropped more than 6.5 percent on a steep drop in sales and profits in the last quarter. Its traditional toys aren't as popular nowadays, but its American Girl line continues to shine.

Yum Brands (YUM), which owns Taco Bell, Pizza Hut and KFC also sold off after reporting earnings. KFC's business in China rebounded, but sales continued to drop in the U.S. The stock fell more than 6.5 percent.

And the largest auto dealership chain in the U.S., AutoNation (AN) reported an 8 percent increase in revenue in the last quarter and growth in all of its businesses, but that failed to meet expectations and shares fell 8 percent.

Microsoft (MSFT) shares gained 1 percent on news it is slashing 18,000 jobs. That is about double what was expected since Satya Nadella took over as CEO.The stock has been a winner this year though: It is up 18 percent.

And finally, Dresser-Rand (DRC), which makes engineering equipment for the energy sector, soared 12.5 percent on reports Siemens is considering an offer.

-Produced by Karina Huber.

What to Watch Friday:

  • The University of Michigan releases its initial survey of consumer sentiment for July at 9:55 a.m.
  • The Conference Board releases leading indicators for June at 10 a.m.
These major companies are scheduled to release quarterly financial results
  • Bank of New York Mellon (BK)
  • General Electric (GE)
  • Honeywell International (HON)
  • Johnson Controls (JCI)

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Iselin007

Nifty they mentioned Mattel whose Standard Plastic Divison in 1973-1974 hired illegal aliens.Before the year was out in 1974, Mattel announced they were moving some production lines to Mexico which was long before NAFTA! I was offered a chance to move with their customer shipping department to the Edison/ Metuchen area but I felt they were going scrap that idea soon anyway.

Glad that I could be of help an add to the Mattel Investor news!

July 17 2014 at 8:44 PM Report abuse -1 rate up rate down Reply
pjgblg

What the hell does a Malaysian jet being shot down over the Ukraine have to do with the U.S. stock market? Chicken little M'fer's

July 17 2014 at 7:14 PM Report abuse +1 rate up rate down Reply
1 reply to pjgblg's comment
Iselin007

Your right the authors of this crap must of used the the tragic plane incident to lure readers then dumped a boat load of the crap on us.

Well say good bye to your visa workers World War III will require their attendance.

July 17 2014 at 8:34 PM Report abuse -2 rate up rate down Reply
lpi2007

so it doesn't matter about Microsoft to Slash Up to 18,000 Jobs,

July 17 2014 at 5:07 PM Report abuse +1 rate up rate down Reply
1 reply to lpi2007's comment
Iselin007

American workers are lucky to get any sympathy these days. After the announcement of job cuts the executives likely went back to stuffing their face with crap meat and lobster tails, or what ever greedy people gourge them selves on. :)

July 17 2014 at 8:48 PM Report abuse -1 rate up rate down Reply