Upbeat quarterly results from a handful of
retailers and a dip in crude oil prices sent stocks higher in early
trading. However, oil made a rebound midmorning, prompting broad-based
selling in the stock market. Stocks are making a drop to their worst
levels of the session.
Prior to opening bell, Chico's FAS (CHS 7.70, +0.53) and American Eagle Outfitters (AEO 18.78, +1.56) announced better-than-expected earnings results for the most recent quarter. Polo Ralph Lauren
(RL 68.45, +6.70) reported this morning an increase in sales and
earnings; the company also reaffirmed its full-year outlook. Discount
variety store operator Dollar Tree (DLTR 35.00, +1.22) also reported upbeat results for its latest quarter.
Global delivery and shipment company United Parcel Service
(UPS 70.70, +2.30) is also receiving attention from buyers after
reports surfaced the company may see its sales climb upon reaching a
deal to provide services for competitor DHL Express. Notably, shares of
UPS were also upgraded to Buy from Hold at Merrill Lynch.