Markets Robust But Fade at End Due to Interest Rate Worries
Originally published: 10.01.14 by Margot Crabtree
Despite a flare-up of Ukraine tensions at the start of our session, Wall Street was mostly positive, only weakening near the end. As the trading session ended September 15, 2014, investors waited for a meeting of the federal bankers and the potential move toward raising interest rates.
The Conference Board's index of leading indicators, a gauge of future economic health, rose 0.9 percent in July, the strongest gain since March and the sixth straight increase. The Commerce Department reported home construction rose 15.7 percent in July, the best pace in eight months.
Applications to build new homes were also strong. The National Association of Realtors said pending home sales increased by 3.3 percent in July, the strongest pace since August 2013; economists polled by Reuters expected a 0.5 percent improvement.
Construction spending gained 1.8 percent in July, according to the Commerce Department, improving by the biggest amount in over two years, with all categories showing gains. It was the largest one-month improvement since May 2012, and it followed a June decline of 0.9 percent.
As markets moved into the Labor Day holiday, S&P 500 Index closed over 2,000 for the first time.
The Conference Board said consumer confidence improved more than expected in August to a level not seen since October 2007. Despite a continuation of largely positive economic news, investors began to pull back as our session came to a close.
The University of Michigan sentiment index grew to 82.5 in August from 81.8 in July, with optimism about jobs and incomes. Despite a continuation of largely positive economic news, investors began to pull back as our session came to a close.
"As the economic data continues to move along this positive trajectory, interest rates are going to rise," said Quincy Krosby, market strategist at Prudential Financial. "The market is going to have to accept that."
Exchange |
Symbol |
Company Name |
Price
|
Price
|
Net
|
PercentChange |
52-Week
|
52-Week
|
Shares
|
Market
|
| NASD | AAON | AAON, Inc. | 18.12 | 18.54 | -0.42 | -2.27% | 23.09 | 15.43 | 55010 | 996781.2 |
| NYSE | ABB | ABB Ltd. | 22.80 | 22.62 | 0.18 | 0.80% | 27.25 | 21.31 | 2290000 | 52212000 |
| NYSE | ARG | Airgas, Inc. | 110.01 | 108.42 | 1.59 | 1.47% | 113.16 | 99.32 | 74530 | 8199045.3 |
| NYSE | AOS | AO Smith Corp. | 48.98 | 48.20 | 0.78 | 1.62% | 55.18 | 41.31 | 90030 | 4409669.4 |
| NYSE | FIX | Comfort Systems USA, Inc. | 14.76 | 14.65 | 0.11 | 0.75% | 20.95 | 13.28 | 37710 | 556599.6 |
| NYSE | DOV | Dover Corp. | 85.04 | 87.38 | -2.34 | -2.68% | 91.84 | 67.78 | 166550 | 14163412 |
| NASD | ELON | Echelon Corp. | 2.58 | 2.05 | 0.53 | 25.85% | 4.18 | 1.77 | 43540 | 112333.2 |
| NYSE | DD | E. I. DuPont de Nemours & Co. | 65.30 | 65.25 | 0.05 | 0.08% | 69.75 | 56.09 | 915240 | 59765172 |
| NYSE | EME | EMCOR Group, Inc. | 43.81 | 41.58 | 2.23 | 5.36% | 48.00 | 36.26 | 67030 | 2936584.3 |
| NYSE | EMR | Emerson Electric Co. | 64.30 | 62.97 | 1.33 | 2.11% | 70.66 | 60.14 | 697920 | 44876256 |
| NYSE | F | Ford Motor Co. | 16.47 | 17.31 | -0.84 | -4.85% | 18.12 | 14.40 | 3930000 | 64727100 |
| NYSE | GM | General Motors Co. | 33.63 | 33.84 | -0.21 | -0.62% | 41.85 | 31.70 | 1600000 | 53808000 |
| NYSE | HON | Honeywell International, Inc. | 94.65 | 94.23 | 0.42 | 0.45% | 98.09 | 78.88 | 782540 | 74067411 |
| NASD | HDSN | Hudson Technologies, Inc. | 3.13 | 2.79 | 0.34 | 12.19% | 4.00 | 1.75 | 32030 | 100253.9 |
| NYSE | IR | Ingersoll-Rand Plc | 59.57 | 60.55 | -0.98 | -1.62% | 64.77 | 47.06 | 267510 | 15935570.7 |
| NYSE | JCI | Johnson Controls, Inc. | 46.02 | 47.33 | -1.31 | -2.77% | 52.50 | 39.42 | 666080 | 30653001.6 |
| NYSE | LII | Lennox International Inc. | 80.06 | 84.05 | -3.99 | -4.75% | 94.69 | 67.56 | 48570 | 3888514.2 |
| NYSE | LXU | LSB Industries, Inc. | 37.52 | 38.87 | -1.35 | -3.47% | 42.41 | 29.39 | 22600 | 847952 |
| NYSE | MTW | Manitowoc Co., Inc. | 27.02 | 27.54 | -0.52 | -1.89% | 33.50 | 18.12 | 135300 | 3655806 |
| NYSE | NWL | Newell Rubbermaid, Inc. | 34.43 | 33.28 | 1.15 | 3.46% | 33.71 | 24.32 | 273800 | 9426934 |
| NYSE | MLI | Mueller Industries, Inc. | 29.51 | 28.84 | 0.67 | 2.32% | 32.13 | 26.50 | 56710 | 1673512.1 |
| OTC | NSANY | Nissan Motor Co. Ltd. | 19.59 | 19.39 | 0.20 | 1.03% | 21.33 | 16.45 | 2100000 | 41139000 |
| NASD | OFLX | OmegaFlex, Inc. | 19.52 | 17.65 | 1.87 | 10.59% | 24.99 | 15.93 | 10090 | 196956.8 |
| NYSE | PH | Parker-Hannifin Corp. | 117.10 | 112.78 | 4.32 | 3.83% | 130.44 | 99.75 | 148970 | 17444387 |
| NYSE | RBC | Regal-Beloit Corp. | 69.59 | 70.50 | -0.91 | -1.29% | 80.41 | 62.93 | 45180 | 3144076.2 |
| NYSE | ROK | Rockwell Automation | 115.49 | 114.29 | 1.20 | 1.05% | 128.57 | 96.20 | 137870 | 15922606.3 |
| OTC | SIEGY | Siemens Aktiengesellschaft | 125.86 | 122.02 | 3.84 | 3.15% | 139.28 | 105.68 | 841860 | 105956499.6 |
| NYSE | SPW | SPX Corp. | 101.62 | 101.42 | 0.20 | 0.20% | 111.47 | 73.15 | 42560 | 4324947.2 |
| NYSE | TXN | Texas Instruments | 47.59 | 47.56 | 0.03 | 0.06% | 49.77 | 38.00 | 1070000 | 50921300 |
| NYSE | UTX | United Technologies Corp. | 108.32 | 105.63 | 2.69 | 2.55% | 120.66 | 99.50 | 914810 | 99092219.2 |
| NYSE | WSO | Watsco, Inc. | 89.61 | 92.36 | -2.75 | -2.98% | 105.39 | 86.98 | 32300 | 2894403 |
The HVACR Business Stock Index rose 6.16 points, or 0.49 percent, and closed at 1272.51. Advancing issues handily beat declining issues at a 20-to-11 count.
Parker-Hannifin rose 4.32 points, or 3.83 percent. The PH Board of Directors declared a regular quarterly dividend of $0.48 per share. The dividend is payable Sept. 12, 2014 to stakeholders of record as of Aug. 28. PH closed at 117.10, and was the top dollar gainer.
Shares of Echelon rose 0.53 points, or 25.85 percent. ELON announced that it has acquired Lumewave, a Sacramento-based company specializing in wireless and wired outdoor lighting, especially in cities, universities and medical facilities. Terms of the acquisition were not disclosed. Echelon closed at 2.58, and was the top percentage gainer.
Despite a boost in its price target, Lennox International dropped 3.99 points, or 4.75 percent. Investment firm JPMorgan Chase & Co. upped its price target to $108, from $97. LII ended at 80.06, and was the top dollar loser.
United Technologies was up 2.69 points, or 2.55 percent. The company affirmed its full-year guidance, saying it expects a 9 percent to 10 percent increase over the previous year, ranging between $6.75 per share and $6.85 per share. UTX said it also plans to increase the size of its share repurchase program, to $1.35 billion, from $1.25 billion. United Technologies closed at 108.32.
Margot Crabtree is president of Trade Trends, Inc., a financial data services provider. She has been offering market analysis with customized stock indices and financial commentaries since 1999. For additional information, visit www.tradetrendsonline.com.