Wells Fargo Disappoints, Brings Down Stocks

By Casey Quinlan  JAN 11, 2013 2:25 PM

Boeing's stock drops on multiple accident reports while American Express is up on news of job cuts.


Stocks declined Friday following Wells Fargo's (NYSE:WFC) fourth-quarter earnings report. The company’s earnings of $0.91 per share came in above consensus, but net interest margin decreased, leaving investors disappointed. As of 2:01 p.m. EST, Wells Fargo was trading down 1.4% at $34.92.
At midday, the S&P 500 (INDEXSP:.INX) was down 0.2% at 1469.71, while the Dow Jones Industrial Average (INDEXDJX:.DJI) was fractionally positive at 13,476.41. The tech-heavy Nasdaq (INDEXNASDAQ:.IXIC) was slightly lower at 3118.90 as index leader Apple (NASDAQ:AAPL) fell.
The US trade deficit grew in November 15.8% to $48.73 billion, coming in higher than the $41.2 billion consensus. The gap may widen, however, because there was a surge in demand for consumer goods imports, showing that consumers are willing to spend. The Federal budget announcement, which took place at 2 p.m. EST, which could set the tone for the rest of the day.
American Express (NYSE:AXP) announced it would cut 5,400 jobs in 2013, sending its stock  up 1.5% to $61.69. Conversely, Ford (NYSE:F) plans to hire 2,200 workers in 2013, sending that stock up 0.9% to $13.965%.
Herbalife (NYSE:HLF) has suffered amid accusations that the company was running a pyramid scheme. The stock was down 1.5% at $38.66 but then moved up 0.59% to $39.47.
Boeing's (NYSE:BA) 787 accidents have continued to drag down the company's stock, starting down 2.01% at $75.54. The price has continued to decrease to $75.08, down 2.63%.
Nokia (NYSE:NOK) is surging at $4.45 (up 18.67%), after news that the company shipped 4.4 million Lumia units in the fourth quarter. The price continued its ascent to $4.57, up 1.58%.
Best Buy's
(NYSE:BBY) holiday sales fell 1.4%, but were above expectations at a tumultuous time for the company. Best Buy founder Richard Schultze is still offering to take the company private. The stock surged 8.5% at $13.26 and continued to climb at $13.66, up 11.9%.
No positions in stocks mentioned.