After Market: Yellen Speech, Industrial Production Spur Buying

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Stocks posted solid gains for a third straight day on Wednesday, helped by some decent economic numbers. The Dow Jones industrial average (^DJI) gained 162 points, the Standard & Poor's 500 index (^GPSC) rose 19, and the Nasdaq composite (^IXIC) added 52 points.

Janet Yellen Addresses The Economic Club Of New York
Andrew Burton/Getty ImagesFed Chair Janet Yellen spoke at The Economic Club of New York on Wednesday, and markets liked what they heard.
The Dow was led by its old-line companies after the Fed reported a stronger-than-expected increase in industrial production in March, and Fed Chief Janet Yellen made dovish comments during a speech in New York.

Boeing (BA), Exxon (XOM), Chevron (CVX), United Technologies (UTX) and 3M (MMM) all gained more than 1 percent. Financial stocks were also strong performers. Visa (V) gained 2 percent; Goldman Sachs (GS) and American Express (AXP) rose more than 1 percent.

But the blue chip loser of the day award goes to United Healthcare (UNH). It fell 1.5 percent after Citigroup cut its rating on the stock to "neutral" from "buy."

Airlines found some clear skies after a bumpy ride over the past month. American (AAL), United (UAL) and Delta (DAL) all gained about 5 percent.

The other big story was earnings.

Yahoo (YHOO) jumped 6 percent. Its results were okay, but the focus was on soaring sales and profit at the Chinese e-commerce giant Alibaba. Yahoo owns a 24 percent stake in it, and stands to make a big profit when Alibaba goes public later this year.

PNC (PNC), a major regional bank, gained nearly 3 percent after topping expectations.

But industry giant Bank of America (BAC), which sponsors this report, fell 1.5 percent. It posted a loss due to huge charge related to legal settlements.

Also, CSX (CSX) fell nearly 2 percent. Its net fell, hurt by weather-related disruptions to its rail operations.

Among the major Internet stocks, Google (GOOG) rose 4 percent and Amazon (AMZN) added 2.5, but Twitter (TWTR) fell 2.5 percent.

And biotechs were generally higher. Regeneron (RGEN) gained 4 percent on some positive brokerage comments about its cholesterol-fighting drug that's expected to hit the market later this year.

But Intercept Pharmaceuticals (ICPT) lost another 4.5 percent Wednesday. This week alone, it's down 21 percent.

Finally, Sodastream (SODA) jumped 8 percent on reports that it's in talks to sell a big stake to an unidentified strategic partner, possible PepsiCo (PEP). Earlier this year, rival Keurig Green Mountain (GMCR) linked up with Coca-Cola (KO).

What to Watch Thursday:
  • The Labor Department releases weekly jobless claims at 8:30 a.m. Eastern time.
  • At 10 a.m., the Federal Reserve Bank of Philadelphia releases its monthly survey of regional manufacturing conditions, and Freddie Mac reports weekly mortgage rates.
These major companies are scheduled to release quarterly financial results:
  • Advanced Micro Devices (AMD)
  • Chipotle Mexican Grill (CMG)
  • DuPont (DD)
  • Fifth Third Bank (FITB)
  • General Electric (GE)
  • Goldman Sachs (GS)
  • PepsiCo (PEP)
  • Sherwin Williams (SHW)
-Produced by Drew Trachtenberg.


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k4jlp

The Middle Class folks (like me) who work two or three jobs just to pay for food, shelter, healthcare, insurance (that does not pay anything now until the first 3000.00 deductable is met), will never get anywhere as long as Congress continues to just look the other way. People like Eric Cantor (from my home State) make me want to puke. The Commodity Markets will continue their raping and transfer of wealth until a boiling point is reached in this Country. At that point, all bets are off. Corporate America knows this but are not afraid of the sheep at this point, (at this point being the key words).

April 17 2014 at 6:11 AM Report abuse rate up rate down Reply
1 reply to k4jlp's comment
bchbum63

They are ALL looking the other way. Not just Congress.

April 17 2014 at 9:03 AM Report abuse rate up rate down Reply
toosmart4u

Republicans still following the big money machine of the GOP, Well,,,,"Do not follow where the path may lead, Go instead, where there is no path and leave a trail. Emerson. Now if you are on social security and medicare thank a democrat, if you want to end these 2 fine programs vote republican.

April 17 2014 at 4:40 AM Report abuse +1 rate up rate down Reply
Robert

When Yellen has to come on to spew her handler trash and for $40 I can only get 4 pork chops, cannister of watermelon, loaf of bread, milk and 5 can goods because I have some income. But if I was unemployed I'd be in trouble.

It is only a matter of time when it comes crashing down, just when?

April 17 2014 at 3:29 AM Report abuse +1 rate up rate down Reply
jwmgrand

Today Santa Claus came to town ....A.K.A. ( Janet Yellen ) waving the magic fed wand ... trying to make everbody feel ( safe ) .... little does she know that the Grinch arrives days behind here with (anticipated ) high impact News ..... this little hat dance today .....was fluff ... and the people that trade Gold .. reacted to it like a one minute April shower ....... we will retest the lows ...

April 16 2014 at 10:53 PM Report abuse rate up rate down Reply
teapotparty11

WELL AT LEAST THE GREAT GOVERNOR FALLIN OF OKLAHOMA GOT IT RIGHT BY SIGNING A BILL SO CITIES IN OKLAHOMA CAN'T ESTABLISH MANDATORY MINIMUM WAGE AND EMPLOYEE BENEFITS INCLUDING VACATION OR SICK LEAVE DAYS. THOSE FOLKS ALREADY MAKE ENOUGH AND ARE JUST TEENS ANYWAY. WE NEED MORE SOUND POLICY LIKE THIS.
VOTE STRAIGHT TEA PARTY IN 2014!!!!

PAUL/CRUZ 2016!!!!

April 16 2014 at 9:51 PM Report abuse -8 rate up rate down Reply
1 reply to teapotparty11's comment
teapartyisdying.uall

Let the TPGOP continue to defend Corporate America while they make record profits and screw the working class as they make record low wages with less and less benefits. That should help the TPGOP in the mid-term elections.

April 16 2014 at 10:21 PM Report abuse rate up rate down Reply
4 replies to teapartyisdying.uall's comment
texastotenmom

DONT BUY ANYTHING N TAKE ALL YOUR MONEY OUT OF YOUR BANK ACCOUNTS N CLOSE ALL ACCOUNTS CAUSE OBAMIT IS STILL OBSTRUCTING N SABOTAGING N HOLDING ALL AMERICANS HOSTAGE . !!!

April 16 2014 at 8:36 PM Report abuse -10 rate up rate down Reply
1 reply to texastotenmom's comment
teapartyisdying.uall

Nice fox news spin, you must be really dizzy from saying that comment. Only Rush Limppig low information voters would believe you.

April 16 2014 at 9:30 PM Report abuse +7 rate up rate down Reply
2 replies to teapartyisdying.uall's comment
teapotparty11

THE LOWER THE WAGES THE BETTER THE ECONOMY CUZ IT GIVES US MORE PROFITS TO PUT BACK INTO THE COUNTRY!!!! NO MINIMUM WAGE IS THE BEST POLICY!!!

April 16 2014 at 9:56 PM Report abuse -4 rate up rate down
teapartyisdying.uall

Yes, those corporate goons need to buy their 15th summer home. They can care less about the working class who is making them rich.

April 16 2014 at 10:12 PM Report abuse -1 rate up rate down