Smaller Companies Lead Stocks Up 08/14 09:46
U.S. stocks are broadly higher Tuesday morning as worries about Turkey's
currency crisis stabilized. Retailers and smaller companies are making some of
the biggest gains.
NEW YORK (AP) -- U.S. stocks are broadly higher Tuesday morning as worries
about Turkey's currency crisis stabilized. Retailers and smaller companies are
making some of the biggest gains. Global markets have taken two days of losses
as investors worried that the country's troubles might spread.
KEEPING SCORE: The S&P 500 index climbed 9 points, or 0.4 percent, to 2,831
as of 10:15 a.m. Eastern time. The Dow Jones Industrial Average gained 58
points, or 0.2 percent, to 25,246. The Nasdaq composite added 17 points, or 0.2
percent, to 7,836. The Russell 2000 index advanced 10 points, or 0.6 percent,
The S&P 500 fell a total of 1 percent Friday and Monday as investors worried
that Turkey's financial woes would affect other countries.
WEAVING A WIN: Tapestry, the parent company of Coach and Kate Spade, jumped
after its fourth-quarter results surpassed analyst estimates. The stock surged
10 percent to $52.18.
Other retailers reported their results as well. Advance Auto Parts jumped
8.2 percent to $156.65 after its report. Competitor AutoZone picked up 2.4
percent to $746.80 and O'Reilly Automotive rose 1.9 percent to $320.22.
WATER WORKING: SJW Group rose 4.7 percent to $65.33 after California Water
Service Group made a new offer to buy it. The new bid values the parent of San
Jose Water at $70 a share, or $1.44 billion. The company said its board will
review the offer.
Cal Water gained 0.1 percent to $40.10. Its previous offer valued SJW Group
at $68.25 per share.
CALM: The Turkish lira stabilized as officials from Turkey and the U.S. said
the countries are in talks to ease diplomatic tensions which have resulted in
high tariffs on Turkish steel and aluminum. Economists say Turkey's central
bank still needs to raise interest rates significantly to strengthen its
currency. President Recep Tayyip Erdogan has ruled out that step.
Emerging markets fell Monday on concern that Turkey's currency turmoil could
spread. The Argentine peso and India's rupee hit record lows against the
dollar. Those jitters eased later Tuesday.
SMALL, BUT GOING BIG: Smaller and medium-sized companies fared better than
big U.S. multinationals. Footwear maker Wolverine World Wide gained 0.8 percent
to $37.29 and watchmaker Fossil rose 4.1 percent to $25.52.
Boston Beer picked up 2.4 percent to $287.35 and RV maker Thor Industries
rose 2.3 percent to 96.82.
BONDS: Bond prices were little changed. The yield on the 10-year Treasury
note remained at 2.88 percent.
OVERSEAS: Germany's DAX dipped 0.1 percent, as did the CAC 40 in France.
Britain's FTSE 100 fell 0.3 percent.
Tokyo's Nikkei 225 added 2.3 percent. Hong Kong's Hang Seng declined 0.7
percent while Seoul's Kospi advanced 0.5 percent.
ENERGY: Benchmark U.S. crude jumped 1.1 percent to $67.97 per barrel in New
York Mercantile Exchange. Brent crude, used to price international oils, added
1 percent to $73.30 per barrel in London.
CURRENCY: The dollar rose to 110.84 yen from 110.69 yen. The euro fell to
$1.1384 from $1.1394.