After Market: Stocks Reverse Losses as Investors Rethink Fed Comments

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On second thought, maybe the Fed's comments weren't worth getting all worked up about.

The market reversed Wednesday's decline, indicating that investors may have overreacted to the comments by Federal Reserve Chair Janet Yellen that raised fears of a sooner-than-expected interest rate hike.

In addition, a Philadelphia Federal Reserve report on manufacturing Thursday indicates the pace of economic growth could be picking up.

The Dow Jones industrial average (^DJI) rose 109 points, while the Nasdaq composite (^IXIC) and the Standard & Poor's 500 index (^GPSC) both gained 11 points.

Financial stocks, both big and small, led the way. Bank of America (BAC) -- which sponsors this report -- JPMorgan (JPM), Citigroup (C) and Morgan Stanley (MS) all gained about 3 percent. That's part of the market's rethinking of Wednesday's Fed news. And it wasn't just the money center banks. Zions Bancorp (ZION) and SVB Financial Group (SIVB) both gained more than 3 percent.

In the tech sector, Microsoft (MSFT) gained nearly 3 percent and Intel (INTC) rose 1.5 percent.
These two industry giants have been overlooked a bit, with the focus on the sexier names such as Facebook (FB). But Microsoft is up more than 40 percent over the past year.

A pair of semiconductor equipment-makers rose on a "buy" rating from Nomura Securities. Applied Materials (AMAT) and Lam Research (LRCX) both gained 3.5 percent.

But housing stocks gave back the gains that followed KB Home's (KBH) strong earnings on Wednesday. Lennar (LEN) fell 3 percent despite strong quarterly results. D.R. Horton (DHI) and Hovnanian Enterprises (HOV) also lost nearly 3 percent.

The hot 3-D printing sector had some cold water splashed on it. Exone (XONE) tumbled 10 percent, 3D Systems (DDD) fell nearly 4 and Stratasys (SSYS) lost 2 percent -- after Hewlett-Packard (HPQ) said it plans to enter the 3-D printing business.

Elsewhere, furniture-maker Herman Miller (MLHR) jumped 9 percent after raising its earnings outlook.

Ulta Salon Cosmetics & Fragrance (ULTA) gained another 3 percent following a Goldman Sachs (GS) recommendation. It has soared 16 percent in just five days. But apparel-maker Guess (GES) fell 5 percent after forecasting a loss in the current quarter.

-Produced by Drew Trachtenberg.

What to Watch Friday:

These major companies are scheduled to release quarterly financial statements:
  • Darden Restaurants (DRI)
  • Tiffany (TIF)

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21 Comments

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jagceo

Each day when I open my Day Finance page I keep getting new of March 20th which is of no value my i Phone I get daily current data doesn't make sense can you correct this

April 19 2014 at 11:54 AM Report abuse rate up rate down Reply
jagceo

IT OPENS WITH March 20 report instead of the days market news

April 19 2014 at 11:51 AM Report abuse rate up rate down Reply
jagceo

Why can't I get the daily news letter when I open up my daily finance on my computer

April 19 2014 at 11:49 AM Report abuse rate up rate down Reply
bps163

When it comes to the stock market one must think of their self as a small mouse in a large shopping mall packed with people at christmas time. Otherwise you will lose it fast. I look and check out things as if i'm at a flea market or a yard sale and don't be greedy. Only buy what you can set on for at least a year this will prove a fair to a good return. And yes I have bought some that did nothing but I did not lose anything but time, then I moved on. You are never going to beat the pro's at this. Think of this can anyone just walk in and do your job that you have doing for past 10 years without falling on their face, I don't think so. And the same thing goes for these guys that know how to do speed trading. It took many years for them to pull it off, I agree it sucks but that's the game. Stay the course and watch for the next best crumbs that comes along and you will make it happen for yourself. And remember the new tax laws is not making it easy for these speed traders anymore. Here is what I call a crum Take the CLOUD system (QTWO). This is a new company and it's IPO just came out. Now it one of a first of many to come. Now speed traders can make it move up fast and that what you want. Here how the crum works The big trade companies need (QTWO) to rise up as high as they can get it to go. This way they can bring other CLOUD IPO'S to the market. Stay with the crumbs and you will win.

April 02 2014 at 1:00 PM Report abuse rate up rate down Reply
COMMON SENSE

Here is what happened on January 1st 2014: Great news to Kill Investors that have not woke up!!
Top Income tax bracket went from 35% to 39.6 %
Top Income payroll tax went from 37.4% to 52.2 %
Capital Gains tax went from 15% to 28 %
Dividends tax went from 15% to 39.6 %
Estate tax went from 0% to 55 %

Remember this fact: if you have money, the democrats want it. These taxes were all passed only with democrat votes, no republicans voted for these taxes.
These taxes were all passed under the affordable care act , aka Obamacare.

March 22 2014 at 9:03 AM Report abuse rate up rate down Reply
1 reply to COMMON SENSE's comment
bps163

Here is another way to take this " Man Out The Window "

April 02 2014 at 4:00 PM Report abuse rate up rate down Reply
Margrit

What are the closing numbers of the market today???

March 21 2014 at 5:07 PM Report abuse rate up rate down Reply
k4jlp

Oh yes!. GOLD it's such a job creator AND it's great to eat too as you stand on the street in a cold rain looking for shelter.

March 21 2014 at 6:42 AM Report abuse +1 rate up rate down Reply
Iselin007

Maybe they should rethink a lot of things. Imagine some teen sneaks up the Feedom Tower past 1 sleeping guard. How cheap can you be after millions of dollars are spent then hire1 guard as if another tragedy was insignificant?

March 21 2014 at 4:52 AM Report abuse rate up rate down Reply
Iselin007

Interesting how these investors keep trying to sell everyone on the next big bubble or crash when this was discussed on the AOL" Discuss the State of JOB Market back some 10 years ago"! Fact is all this crap was discussed back before the 1987 stock crash when we still had manufacturing jobs in NJ! I heard so many wanna be investors refuse to believe the markets were headed for the toilet nothing has changed.

March 21 2014 at 4:36 AM Report abuse rate up rate down Reply
Iselin007

Notice when ENRON, MCI, and others fade from the scene there are always others just waiting to take their place. The scam artists eventually surface while the people they hurt are pushed aside like grass clippings.

March 21 2014 at 4:23 AM Report abuse rate up rate down Reply