US stocks rebounded slightly in mid-Wednesday trading, with investors heartened after an economic report from China suggested that manufacturing in the mainland was recovering slowly. US indices were also boosted after the Commerce Department said that new home sales hit a two-year high in September.
The Dow Jones Industrial Average
(INDEXDJX:.DJI) was up 0.09% to 13,113.89 points as of 12:05 p.m. EDT.
(NYSE:BA) was the greatest gainer of the day, rising 0.95% to $73.51. The company reported modest third-quarter earnings, but investor confidence was lifted because Boeing raised its full-year fiscal outlook and projected earnings per share of $4.80 to $4.95 on revenue of $80.5 billion to $82 billion, when it had estimated in July earnings per share of $4.40 to $4.60 and revenue of between $79.5 billion and $81.5 billion.
(NYSE:VZ) also saw a 0.75% rise to $44.40 after chief rival AT&T
(NYSE:T) (-0.69% to $34.76) posted flat earnings and revenue in the third quarter. AT&T gained a disappointing 151,000 net new wireless subscribers in the quarter, whereas Verizon said last week that it added 1.5 million new customers. AT&T’s new customer count was "alarmingly weak," said Wells Fargo analyst Jennifer Fritzsche, according to the Wall Street Journal
, who commented that "it is surprising how Verizon has pulled ahead."
Among Dow decliners, Cisco Systems
(NASDAQ:CSCO) was hit the hardest, sliding 1.89% to $17.67. Cisco’s competitor Juniper Networks
(NYSE:JNPR) (-7.91% to $16.18) issued an estimates-beating earnings report yesterday, but warned that its fourth-quarter results would be weaker than it had previously forecast, which had investors worried about the growth opportunities in the networking sector.
(NYSE:HPQ) was also down 0.84% to $14.14, with investors evidently unimpressed by what CEO Meg Whitman had to say
about her company earlier today at the Gartner Symposium IT Expo in Orlando, Florida. Whitman said that HP will start to turn around in 2014, and that it would not be releasing a mobile phone in 2013, although she reiterated that the smartphone market is one HP will have to compete in eventually. Whitman also added that HP would soon launch Windows tablets for the enterprise market that would better suited for work-related tasks than Microsoft’s
(NASDAQ:MSFT) new Surface tablet.
No positions in stocks mentioned.
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