Industrial Production Up; $7.5 Billion of Deals

123jump.com Staff
15 Mar, 2010
New York City

U.S. stocks traded lower and the dollar gained. Federal Reserve is scheduled to signal its rate outlook tomorrow. Inflation in China, India hovered near 16-month high as commodities investors fear tighter banking regulations in two fast growing economies. Deals of $7.5 billion were announced today.

[R]10:40 AM New York – U.S. stocks traded lower and the dollar gained against the euro. Federal Reserve is scheduled to signal its rate outlook tomorrow. Inflation in China and India hovered near 16-month high as commodities investors feared tighter banking regulations in two fast growing economies.[/R]

Stocks traded sideways in the early trading and the dollar edged up after European leaders and regulators still debate the timing of Greece bailout. Inflation in India and China hovered near 16-month high.

Federal Reserve is expected to outline its rate outlook and the Bank of Japan is scheduled to start its two-day meeting tomorrow.

February U.S. industrial production increased 0.1% from an increase of 0.9% in January. Industrial production may have increased if the inclement weather had not impacted operations in the Northeast.

Manufacturing production fell 0.2% and mining and utility output rose 0.2% and 0.5% respectively. Capacity utilization for total industry increased to 72.7%.

The production of consumer goods fell 0.4% in February. The index for consumer durables fell 2.3%, while the index for consumer nondurables edged up 0.1%. The consumer durables output increased 9.2% from a year ago on the 27% increase in automotive production in the period.

Commodities, Currencies and Yields

Crude oil futures declined 82 cents to $80.42 a barrel and natural gas futures decreased 1 cent to $4.39 per mBtu.

Gold futures of immediate month increased $5 to $1,106.70 and copper edged lower 3.85 cents to 334.15 cents a pound.

Yields on the 10-year U.S. Treasury bonds traded 3.71% and 30-year bonds at 4.64%.

Stock Movers

Baidu Inc gained more than 4% after Chinese online advertisers are asked to switch to Baidu and other online search companies on a growing speculation that Google Inc may shut its Web site.

Google Inc decreased 2.8% or $16.44 to $563.09.

Chordiant Software Inc surged more than 25% after the customer relations management software maker agreed to be acquired by Pegasystems Inc for $5 a share.

Consol Energy Inc declined 8% after the coal and natural gas producer agreed to acquire natural gas and oil exploration and production business of Dominion Resources Inc for $3.5 billion.

MGM Mirage decreased as much as 2% after the company said its primary contractor for CityCenter joint venture with Dubai World is likely to file lien claiming $492 million.

Phillips-Van Heusen Corp surged 12% after it agreed to acquire for $3 billion Tommy Hilfiger BV from leveraged-buyout firm Apax Partners LP.