Despite a 1.4% decline in industrial stocks, equities moved higher once again by about 1% with utilities taking the lead along with healthcare and telecommunications. The industrial sector includes rails and other transportation stocks, which were lower by over 2% despite a $2.37 drop in oil prices and a number of big-name industrials that reported decent third quarter results, including General Electric and Honeywell. From an earnings perspective, the Street was not pleased with a warning from retail giant Wal-Mart that plunged 10% to a new 52-week low after the company surprised investors that profit could fall as much as 12% in the next fiscal year ending January, 2017 and sales this year would be flat on unfavorable currency exchange rates. A number of analysts downgraded WMT and other retail stocks fell in sympathy, including aggressive choice Foot Locker, which was lower by nearly $1.00 for the week. The market has recovered about half of the lost ground from the summer highs and sentiment has improved as more stocks in more industries are moving higher. A continuation of mixed economic news has traders believing that the Federal Reserve will hold tight on interest rates this year. Bankers will meet on Oct. 27th and 28th to determine its next step on the rate front and will focus on events since its September meeting, including its latest Beige Book economic data to see if there is sufficient reason to adjust its monetary policy. This week portfolio watchers will be looking at news from Verizon Communications that is expected to have earned $1.02 per share in the quarter from last year’s $0.89. On Wednesday we will hear from Kimberly-Clark that will do well to match last year’s $1.50/share on currency headwinds. Thursday 3M Co., Danaher and Dow Chemical will report third-quarter results and guidance for the fourth period and the year ahead.
Here is the answer to last week’s trivia question: The Toronto Blue Jays, battling the Texas Rangers for the American League Division title, is owned by? Sandstone Asset Management, Labatt Brewing Company, Rogers Communications, or the Toronto Teachers Retirement Fund. Answer: Rogers Communications. Rogers also owns a 37.5% stake in the Toronto Maple Leafs of the National Hockey League and basketball team – Toronto Raptors. The Blue Jays were able to defeat the Texas Rangers for the ALDS, but are currently behind the Kansas City Royals 0-2 for the champion series.
Today’s Trivia Question: The unique nine-character alphanumeric code that identifies a financial security for the purposes of facilitating clearing and settlement of trades is known as? CUSIP, Registrar ID, Transfer Agent Identifier, or CHCT.