Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


While you were sleeping: Intel shares jump on outlook

While you were sleeping: Intel shares jump on outlook

July 17 (BusinessDesk) - Wall Street rose, lifting the Dow to a fresh record, after Intel posted better-than-expected earnings and Rupert Murdoch’s 21st Century Fox made an unsolicited bid to buy Time Warner.

In late afternoon trading in New York, the Dow Jones Industrial Average climbed 0.42 percent, the Standard & Poor’s 500 index added 0.43 percent, while the Nasdaq Composite Index gained 0.45 percent. 

Shares of Intel jumped 7.8 percent while those of Microsoft gained 3.3 percent, propelling the Dow higher. IBM increased 2.3 percent while Cisco rose 1.3 percent. IBM and Apple put aside decades of animosity by agreeing to work together to bolster their respective appeal to corporate clients.

Earlier in the day, the Dow set an intraday record of 17,138.81.

"Our second-quarter results showed the strength of our strategy to extend the reach of Intel technology from the data center to PCs to the Internet of Things," said Intel CEO Brian Krzanich in a statement.

Analysts agreed that the company’s outlook has improved. At least 19 brokerages raised their price targets on Intel’s stock to US$29-US$45, while two brokerages raised their ratings to an equivalent of "buy", Reuters reported.

Also soaring were shares of Time Warner, last up 16.8 percent, after the company rejected a near US$80 billion stock and cash takeover bid from 21st Century Fox.

“The board is confident that continuing to execute its strategic plan will create significantly more value for the company and its stockholders and is superior to any proposal that Twenty-First Century Fox is in a position to offer,” Time Warner said in a statement.

The latest economic data brought further evidence of strength in the world’s largest economy. US industrial production rose 0.2 percent in June, while a separate report showed the producer price index increased 0.4 percent last month.

"The backdrop for the manufacturing sector is favourable at the start of the third quarter,"Sam Bullard, a senior economist at Wells Fargo Securities in Charlotte, North Carolina, told Reuters.

All 12 Federal Reserve districts indicated that economic activity continued to expand since the previous report, the Fed said in its Beige Book business survey.

“Overall consumer spending increased in every district,” according to the Fed. “Manufacturing activity expanded in all twelve districts.”

In Europe, the Stoxx 600 Index advanced 1.3 percent from the previous close. The UK’s FTSE 100 Index rose 1.1 percent, Germany’s DAX increased 1.4 percent, while France’s CAC 40 climbed 1.5 percent.

The world’s second-largest economy also offered signs of a pick-up. A report showed that China’s gross domestic product rose 7.5 percent in the second quarter from a year earlier, up from 7.4 percent in the previous quarter. It was slightly better than the 7.4 percent rate expected by economists.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Maritime: Navigation Safety Review Raises Big Issues For The Govt

Shipping Federation: "The reports makes it clear that the ratification of the Maritime Labour convention (MLC) is long overdue. Only when the MLC is ratified will Maritime NZ be able to inspect and enforce the labour conditions on international ships visiting our ports." More>>

ALSO:

100 Years After Einstein Prediction: Gravitational Waves Found

For the first time, scientists have observed ripples in the fabric of spacetime called gravitational waves, arriving at the earth from a cataclysmic event in the distant universe. This confirms a major prediction of Albert Einstein’s 1915 general theory of relativity and opens an unprecedented new window onto the cosmos. More>>

ALSO:

Farming: Alliance Plans To Start Docking Farmer Payments

Alliance Group, New Zealand's second-largest meat cooperative, plans to start withholding some stock payments to its farmers from next week to bolster its balance sheet and force suppliers to meet their share requirements. More>>

ALSO:

Gambling: SkyCity First Half Profit Rises 30%, Helped By High Rollers

SkyCity anticipates the Auckland business will benefit from government gaming concessions which were triggered on Nov. 11 in recognition of SkyCity’s $470 million Convention Centre development. Morrison said the concessions would allow the Auckland business to lift its activity during peak period, noting it had a record revenue week over the Christmas and New Year period. More>>

ALSO:

Money For Light: Kiwi Scientists Secure Preferential Access To Synchrotron

Science and Innovation Minister Steven Joyce today announced a three-year investment of $2.8 million in the Australian Synchrotron, the largest piece of scientific infrastructure in the Southern Hemisphere, to secure preferential access for Kiwi scientists. More>>

Telco Industry Report: Investment Hits $1.7 Bln A Year

Investment in the telecommunications sector is $1.7 billion a year, proportionately one of the highest levels in the OECD, according to a report released today on the status of the New Zealand sector. More>>

ALSO:

PGPs: New Programme Sets Sights On Strong Wool

A new collaboration between The New Zealand Merino Company (NZM) and the Ministry for Primary Industries (MPI), announced today, aims to deliver premiums for New Zealand's strong wool sector... More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news