The stock market extends its gains in mostly broad-based buying
interest, and holds its gain after a government report showed a drop in
crude inventory levels. Specifically, crude stockpiles fell 1.6
million barrels, which is larger than the expected decrease of 675,000
barrels. Just prior to the report, crude prices were trading down 1.5%
to $126.41 per barrel.
The Dow climbs into positive territory, but is underperforming the S&P 500. Investors are disappointed with Boeing's (-3.11) 14% year-over-year decrease in quarterly earnings per share. Helping to offset these losses, Dow component General Motors
(+1.11) is enjoying some buying interest thanks to a solid 10% rise in
sales outside the United States. GM still faces challenges though, as
total sales were down 5%, after North American sales fell 20%. AT&T (+0.70) is up 2% after reporting a 30% increase in profit, which matched Wall Street's forecast.
The defensive oriented utilities sector (-2.1%) is a laggard this session, despite Chicago-based Exelon (-3.14)
reporting higher-than-expected earnings. Some of the selling interest
is due to the increased attractiveness of Treasuries, with the 10-year
note yield climbing to 4.2%, compared to the utilities sector's yield
of 3.3%.