Skip to Content, Navigation, or Footer.
Wednesday, Dec. 6
The Indiana Daily Student


Dow, NASDAQ close on positive note

Investors will pay close attention to economic data that will be released this week. The data could provide some insight as to the state of the economy. Reports regarding personal income, consumer confidence, and unemployment are due this week. If investors feel that the economy is slowing down too much, the markets will trade lower. \nCompanies will continue to release earnings this week, including Seagram, Procter & Gamble, and SmithKline Beecham. According to First Call Corporation, third-quarter earnings already released have been strong, especially in technology -- up 40 percent-- and energy is up a whopping 115 percent. \nLast Week\nThe Dow and NASDAQ both closed in positive territory on Friday. The Dow gained 210.50 points closing at 10590.62, ending the week up 3.6 percent. The NASDAQ was up sharply in early trading but was only able to gain 6.18 to 3278.36. The index was down 5.9 percent for the week, and is down 19 percent for the year.\n"I think the market is in the process of carving out a floor. We established a low last week, and we\'ve managed to stay above that low," Greg Nie, chief technical analyst at First Union Securities, told The Wall Street Journal.\nStock News\nMicrosoft acknowledged Friday someone had broken through their security and viewed the source code for a computer program under development. "It is clear that hackers did see some of our source code," Microsoft chief executive Steve Ballmer said Friday during a visit to Stockholm, Sweden. \n"I can assure you that we know that there has been no compromise of the integrity of the source code, that it has not been modified or tampered with in any way." The FBI is investigating the situation.\nThursday, JDS Uniphase released earnings that beat analyst estimates by 2 cents. The company reported earnings of 18 cents a share and announced that revenue grew by 23 percent. \"There is more opportunity now than ever before for JDS Unpihase,\" said CEO Jozef Straus in an interview with Reuters. He added that optical technology is just now entering the city markets, amid flourishing construction of long-haul communication networks.\nNortel Networks reported earnings of 17 cents a share, after the close of trading Tuesday. The earnings beat estimates by 1 cent, but revenues came in $100 million lower than investors were expecting, according to Reuters. On Oct. 24 Nortel closed at 63-5/16, and on Friday the stock closed at 42-9/16.\nFinal Note\nThird-quarter earnings have been strong, but investors continue to punish companies that announce their growth will decline. The markets are now looking for signs that the economy will continue to grow at a sustainable rate.

Get stories like this in your inbox