June 11, 2014: Markets opened lower on Wednesday and equities got a further beating following the slight drops on Tuesday. More profit-taking was partly the reason, but the World Bank also issued a report this morning cutting its estimate for global economic growth in 2014 from 3.2% to 2.8%. Shortly before the closing bell the DJIA traded down 0.55% for the day, the S&P 500 was down 0.28%, and the Nasdaq Composite traded down 0.09%.
Today’s big loser among the Dow 30 was The Boeing Co. (NYSE: BA). Shares traded at $134.11, down 2.29% in a 52-week range of $96.31 to $144.57. Share volume was about 30% higher than the daily average of around 3.5 million shares traded. Boeing suffered from a number of small wounds today: Eric Cantor’s defeat in his Virginia Congressional race could mean the end of the U.S. Export-Import Bank which is providing some $10 billion in Boeing’s sales this year; the Pentagon is taking steps to make the company pay for failed tests of a so-called exoatmospheric kill vehicle; and RBC Capital downgraded the stock from buy to hold.
Nike Inc. (NYSE: NKE) traded down 1.55% today at around $75.13 in a 52-week range of $59.11 to $80.26. Volume was slightly higher than the daily average of around 3.6 million shares traded. The World Cup tournament starts tomorrow and Nike is not viewed as the champion of the tournament’s sports gear advertisers this time around.
International Business Machines Corp. (NYSE: IBM) traded down 0.17% today at $182.31 in a 52-week range of $172.19 to $206.09. Volume was about 30% below the daily average of nearly 5 million shares. The company is reported to be close to a sale of its chip-making business and Big Blue may have to give up more than it had expected to get rid of the manufacturing facilities.
Visa Inc. (NYSE: V), the DJIA’s most heavily weighted stock, traded lower by 0.63% at $212.88 in a 52-week range of $170.99 to $235.50. Volume was about 60% below the daily average of nearly 3.4 million shares traded, suggesting mostly profit-taking. The company had no news today.
Of the Dow 30 stocks 26 looked to close lower today while just 4 were on their way to a higher finish.