U.S stocks gave up earlier gains and finished Monday in negative territory. At the closing bell, the Dow Jones Industrial Average lost 0.2%, the S&P 500 fell 0.4% and the Nasdaq Composite dropped 0.6%. Health care, utilities and consumer discretionary names led the way lower, while materials stocks rallied. Elsewhere, the spot price of gold rallied 2%.
Applied Materials (AMAT) was the most actively traded name on the session, falling 8%. The company backed away from its proposed acquisition of Tokyo Electron, because of antitrust concerns. Akorn (AKRX) was the big loser on Monday, falling 22%. The drug-maker announced a second restatement to its financials.
In after-hours action, Apple (AAPL) is trading 2% higher, after management posted better-than-expected quarterly results. The company also raised its buyback program to $140 billion and boosted its quarterly dividend to $0.52 per share (1.6% yield). On the other hand, Container Store (TCS) is trading 23% lower, after missing quarterly expectations and cutting forward guidance.
Looking ahead to Tuesday morning, it will be busy on the earnings calendar. Coach (COH), Ford Motor (F), Whirlpool (WHR) and United Parcel Service (UPS) are among in the blue-chip companies reporting. In addition we'll hear from a trifecta of pharma names: Bristol-Myers Squibb (BMY), Merck (MRK) and Pfizer (PFE). On the economic front, we'll get a look at the S&P/Case-Shiller housing prices, before the opening bell.
David Peltier is the portfolio manager for Stocks Under $10 and Dividend Stock Advisor. Test drive with a free trial.
