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Stocks slip as stimulus concerns resurface

Monday, August 05, 2013 - 02:04

Aug. 5 - Summary: Apple climbs after White House blocks ban; Tyson beats and guides higher as chicken and beef demand not hurt by stronger pricing; Time Warner Cable offers to end dispute with CBS with a-la-carte pricing. Conway G. Gittens reports.

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Wall Street closed down for the day as the Federal Reserve guessing game picks up again. The Dow gave back 46 points, the S&P 500 slipped 2, but the Nasdaq rose 3. The day's mood of the investor is summed up this way by Sam Stovall of S&P Capital IQ: SOUNDBITE: SAM STOVALL, CHIEF EQUITY STRATEGIST, S&P CAPITAL IQ (ENGLISH) SAYING: "As a result of us having hit two new all-time highs on Thursday and Friday of last week, comments by Fed Governor Richard Fisher indicated that maybe the tapering could take place sooner than expected and I think investors are saying maybe now could be the time to take some profits and so they are doing so." Better-than-anticipated economic data did little to sway focus away from Fed speak. The U.S. services sector expanded in July at a faster rate than the month before with new orders jumping significantly. Shares of Apple were on the go. Over the weekend, the U.S. Trade Representative said Apple can continue to import and sell older iPad and iPhone models. That decision overturned the International Trade Commission, which ruled Apple infringed on patents belonging to Samsung. The stock gained about 1-1/2 percent to its best close since in six months. Tyson turned chicken and beef into gold last quarter. The top U.S. meat producer beat profit forecasts and guided sales estimates higher for the next fiscal year. Higher meat prices did not lead to a drop off in demand. Shares jumped 4 percent taking the stock to a record high. Two other stocks to watch: Time Warner Cable put an offer on the table that could make the controversial "pay only for the channels you want" option a reality. The offer was made to CBS, where shows have been unavailable on the Time Warner Cable system since Friday as the two duke it out over pricing. Finally in Europe, exposure to emerging markets hurt results for HSBC and hurt banking stocks in the region. Looking at the final numbers: Germany and France were little changed, but the U.K. - roughed up a little by HSBC.