After Market: Dow Tops 16,000 and Holds On; Goodbye, Government Motors

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After crossing the 16,000 mark on both Monday and Tuesday before heading back down to close below it, the Dow Jones industrial average (^DJI) ended the day above that milestone level for the first time on Thursday. The Dow rallied 109 points. It just so happens that it was on this day in 1995 that the Dow topped the 5,000 level for the first time. The S&P 500 (^GPSC) rose 14, and the Nasdaq (^IXIC) gained 48 points.

Dow Passes 16,000 During Intraday Trading
Getty Images
General Motors (GM) gained 1 percent Thursday after the Treasury said it will soon sell its remaining 31 million shares in the automaker. When the sales are final, taxpayers will have recouped about $70 billion dollars of the $80 billion used to bail out the company in 2009 -- a lifeline that saved the company and tens of thousands of American jobs.

Among the best gainers on the Dow, Intel (INTC), American Express (AXP), and JPMorgan Chase (JPM) all gained 2 percent. Goldman Sachs (GS), UnitedHealth (UNH) and Chevron (CVX) all rose more than one percent.

But some retail stocks were hurt by earnings news.

Target (TGT) fell 3 percent. It lowered its profit forecast, indicating the holiday shopping season could be very rough. And Sears (SHLD) lost more than 3 percent after posting another loss and weak revenue growth. Investors also shook 4 percent off the price of Dollar Tree (DLTR). Its net fell short of expectations. And video game retailer GameStop (GME) lost 7 percent on a downbeat forecast for the current quarter.

In general, retailers catering to lower income shoppers are really suffering, right along with those customers.

Abercrombie & Fitch (ANF) was little changed even though it forecast weak sales. The stock has lost 20 percent over the past year, after losing its cachet with buyers of trendy clothes.

On the upside, Williams-Sonoma (WSM) rose 7 percent. It posted a solid earnings gain and raised its outlook for the holiday quarter. And Green Mountain Coffee (GMCR) was one of the day's big winners. Its shares perked up 14 percent higher as earnings topped expectations.

Apple (AAPL) gained 1 percent after a jury in California awarded the company $290 million in its long-running patent infringement suit against rival smartphone maker Samsung.

Finally, biotech giant Amgen (AMGN) fell 3 percent after a market advisory firm said the stock has dropped below a key technical level.

What to Watch Friday:
  • The Labor Department releases its job openings and labor turnover survey for September at 10 a.m. Eastern time.
These major companies are due to report quarterly corporate earnings before markets open in New York.
  • Ann Inc. (ANN)
  • Foot Locker (FL)
  • PetSmart (PETM)
-Produced by Drew Trachtenberg.


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43 Comments

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brianjconway

GM, Solyndra etc. etc. Our investor-in-chief can really pick em !! LOL

November 22 2013 at 1:08 PM Report abuse rate up rate down Reply
ncaok

I ll take that deal..borrow $80 billion and pay back 70 billion...YUPPIE Deal.

November 22 2013 at 5:50 AM Report abuse rate up rate down Reply
ectullis

I worked for Sears when it was the largest retailer in the world. Management ran it into the ground.
Shame

November 22 2013 at 12:12 AM Report abuse rate up rate down Reply
earth6500

How about a little quantitative easing...pump $10 Billion into the taxpayers' account?

November 21 2013 at 9:56 PM Report abuse +1 rate up rate down Reply
Chris Smith

I will never buy a GM product. We got conned out of 10 BILLION dollars.

November 21 2013 at 9:35 PM Report abuse -5 rate up rate down Reply
2 replies to Chris Smith's comment
stevendy1

and we saved $ 50 billion and 500000 american jobs..pretty goog trade off

November 21 2013 at 10:59 PM Report abuse rate up rate down Reply
1 reply to stevendy1's comment
willypfistergash

Saved $50 billion? How so? And GM isn't the only automaker in America. Market forces would have upheld and adapted to the temporary void. Had GM been allowed to go through traditional bankruptcy protections, it would have been able to restructure existing contracts, etc. and remain in business. Instead obama chose to buy the company, remove and replace the chairman/CEO to replace him with one of his choosing, give a gift to his big time UAW contributors, screw the existing bondholders without lube, all while losing $10billion of borrowed tax money.

November 22 2013 at 12:17 AM Report abuse rate up rate down
ectullis

Wait until Obsamabcare kicks in 10B will be a drop in the Pacific

November 22 2013 at 12:14 AM Report abuse rate up rate down Reply
gr8xo

The Teabags hate this news. Of chouse they want total failure to justify a 2016 run. The problem is the GOP ****** up our economy so much (unfunded wars, lack of oversight on derivatives, etc), We're never going to recover. Hey how about some more obstructionism and filibusters?

November 21 2013 at 9:35 PM Report abuse +5 rate up rate down Reply
2 replies to gr8xo's comment
analyst0042

I am a Repub and I love the way the market is performing ( for your info the economy and the market does not have to go hand in hand). Made a load of money last 3 yrs...never have to work again. Economy is still crap..but so what as long as the market climbs that wall of worry.

November 21 2013 at 9:51 PM Report abuse -2 rate up rate down Reply
willypfistergash

Thank bubba clinton for the deregulation, and schumer reid et al obstructed and filibustered the HELL out of Dubya's appointees. Cry me an effing river. Now reid and president hugo are talking about changing the rules to just a simple majority (51) with just rare exceptions...sounds like time for an obamacare repeal vote in the senate. Funny, they were 180 degrees against this a.few short years ago.

November 21 2013 at 10:32 PM Report abuse rate up rate down Reply
cknk123

If the Dow is doing so well the we should all tell the Feds ot STOP printing money, the Dow is for the Rich people, most everyday hard working people don't invest in the stock market and if they do its only a very small part of there income

November 21 2013 at 9:29 PM Report abuse -1 rate up rate down Reply
3 replies to cknk123's comment
Larry

I thought Albert Einstein was dead. It appears that he's an NYSE broker.

November 21 2013 at 9:28 PM Report abuse +1 rate up rate down Reply
mechtly

UH-OH !!! A Wall Street profiling "woops": Getty's throwing up type-cast broker looks: I see another contributor - wlh1923 - observantly notes we've seen this guy before, within the last couple days. Of the thousands of stock photos Getty warehouses in any one category... what are the chances this deranged-looking Einstein type would show up again? Hmmmmmmmm..... makes one wonder what else is jerry-rigged.

November 21 2013 at 9:14 PM Report abuse rate up rate down Reply
wlh1923

How come AOL's stock photo of a floor trader is the same guy with the Bozo the Clown hairdo?

November 21 2013 at 9:05 PM Report abuse rate up rate down Reply