U.S. Market In Negative Zone Despite EU’s Steps to Solve Debt Crisis; Hot Stocks of the Day: MCD, CIEN, THQI, AMGN, KFY
Thursday, December 08, 2021 12:56 PM

The U.S. market slipped to a negative zone amidst reports that European Central Bank took modest steps to revive Europe's economy and financial system, including cutting a key interest rate.


The Dow Jones industrial average lost 1.08 percent or 131.27 points to trade at 12,065.36. The Nasdaq Stock Market Inc. composite index fell 0.90 percent or 23.81 points to trade at 2,625.37. The Standard & Poor’s 500 index was down 1.33 percent or 16.93 points to trade at 1,244.08.


Hot Stocks of the Day: MCD, CIEN, THQI, AMGN, KFY


McDonald’s Corp. (NYSE: MCD) reported 7.4 percent increase in its global sales for restaurants open at least one year, from a year ago. In the U.S., comparable sales rose 6.5 percent on higher breakfast demand, the seasonal Peppermint Mocha and a Chicken McNuggets promotion. Shares of MCD added 1.19 percent, or $1.15, to trade at $97.58,


Ciena Corp. (Nasdaq: CIEN) declared a loss of $22.3 million, or $0.23 a share in its FY2011 Q4, compared with a year-earlier loss of $80.3 million, or $0.86 a share. Analysts expected an adjusted profit of $0.06 a share. Revenue rose 9.1 percent to $455.5 million. Shares added 3.69 percent, or $0.42, to trade at $12.33.


THQ Inc. (Nasdaq: THQI) shares slumped 28.08 percent, or $0.41, to trade at $1.05 after it issued a warning after Wednesday's closing bell that sales for the December quarter will come in about 25 percent below its previously expected range, due primarily to disappointing sales of its uDraw game tablet for the xBox 360 and PlayStation 3.


Amgen Inc. (Nasdaq: AMGN) said it will pay at the top end of a projected range to buy back shares in its modified Dutch auction tender offer, putting the total cost of the effort at roughly $5 billion. Shares gained 1.09 percent, or $0.63, to trade at $58.97.


Korn/Ferry International Inc. (NYSE: KFY) reported 11 percent increase in its fiscal 2012 second-quarter $15.1 million, or 32 cents a share, from $13.7 million, or 30 cents a share, a year earlier., as fee revenue and margin continued improving. Shares lost 7.18 percent, or $1.23, to trade at $15.90.


Currencies and Commodities:


In the world of currency, the US dollar gained 0.80 percent against the euro, and 0.52 against the British pound. The dollar lost 0.31 percent against the Japanese yen.


Commodities traded in a negative note today with oil losing 1.94 percent to trade at $98.54 per barrel. Gold prices were down 1.71 percent to trade at $1,711.20 per ounce. The Dow Jones-UBS Commodity index fell 0.712 percent, and the Reuters-Jeffries CRB index lost 0.50 percent.


Global Market:


The global markets traded in negative today after cautious remarks from European Central Bank President Mario Draghi about more bond purchases to ease the region's debt crisis. Germany’s DAX was down by 1.85 percent, or 110.86 points to 5,883.87. France’s CAC40 lost 2.30 percent or 72.94 points to 3,103.04. Great Britain’s FTSE 100 lost 0.75 percent or 41.59 points to 5,505.32.


In the Asian market, China’s Shanghai Composite closed lower by 0.12 percent, or 2.91 points to 2,329.82. Hong Kong’s Hang Seng fell 0.69 percent or 132.77 points to 19,107.81. Japan’s Nikkei 225 was down 0.66 percent or 57.59 points to close trading at 8,664.58.


Sector Scan:


The basic materials sector emerged as the market’s worst performing sector by the afternoon session after losing 1.79 percent during the session. Among major movers in the sector, Ultra Basic Materials ETF (NYSEArca: UYM) lost 3.46 percent or $1.21 to trade at $33.78. S&P Metals and Mining ETF (NYSEArca: XME) was down 2.35 percent or $1.28 to trade at $53.12. Among major stocks, shares of Legacy Reserves LP (Nasdaq: LGCY) lost 1.08 percent or $0.30 to trade at $26.99. Shares of Crestwood Midstream Partners LP (NYSE: CMLP) fell 3.58 percent or $1.10 to trade at $29.65. Shares of LB Foster Co. (Nasdaq: FSTR) were down 3.14 percent or $0.91 to trade at $28.08.