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VOL. 40 | NO. 43 | Friday, October 21, 2016

Stocks fall as earnings hit consumer names like Whirlpool

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NEW YORK (AP) — U.S. stocks are slipping Tuesday as corporate earnings dominate the news and consumer companies like athletic apparel maker Under Armour and appliance maker Whirlpool absorb their largest losses in years. However strong results for household goods maker Procter & Gamble are sending its stock higher.

KEEPING SCORE: The Dow Jones industrial average shed 52 points, or 0.3 percent, to 18,171 as of 3:40 p.m. Eastern time. The Standard & Poor's 500 index lost 8 points, or 0.4 percent, to 2,143. The Nasdaq composite fell 29 points, or 0.5 percent, to 5,280.

BAD FIT: Under Armour reported its slowest sales growth in six years and said its future sales won't be as strong as it expected a year ago. Its stock tumbled $5.02, or 13.2 percent, to $32.88 and is headed for its biggest loss since 2009. Under Armour traded above $50 a share a little more than a year ago.

PAINT IT BLACK: Paint and coatings maker Sherwin-Williams posted a profit that was smaller than expected. The company cut its annual guidance because of slower sales growth combined with spending on new stores. Its stock lost $30.01, or 10.8 percent, to $247.87, its worst one-day decline in seven years.

FOCUS: Procter & Gamble, the company that makes Tide detergent and Charmin toilet paper, is on track for its best day in a year after it reported better results than investors expected. The consumer products giant has been selling some businesses to cut costs, and it posted stronger sales of personal care products like toothbrushes and deodorants. Its stock rose $3.15, or 3.7 percent, to $87.25.

ALL WET: Appliance maker Whirlpool's results fell far short of analyst projections and sent the stock to its largest loss in five years. The maker of Maytag and KitchenAid products sank $19.19, or 11.3 percent, to $151.27.

THE QUOTE: Consumer spending is critical to the U.S. economy, so poor results for consumer-focused companies could be a sign of trouble. But Doug Roman, managing director of equities for PNC Capital Advisors, said it's too soon to know if consumers are closing their wallets.

"The market might be extrapolating bigger stories into broader themes, which might not be the case," he said.

A GUSHER: Oil and gas drilling services company Baker Hughes disclosed a smaller loss than investors expected. Investors were also pleased that Baker Hughes is preparing to cut more costs. The company said it plans to eliminate $650 million in spending this year, up from the $500 million it had planned to cut. It climbed $2.34, or 4.5 percent, to $54.49.

SLOWING TO A TRICKLE: Waters Corp., which makes products used in drug development, announced weak revenue as demand from governments, research institutions and industries fell. The stock slid $18.98, or 12 percent, to $138.77.

AIMING HIGH: Aerospace and defense company Lockheed Martin surpassed investor forecasts and raised its projections for the year. Its stock gained $17.25, or 7.4 percent, to $249.41, its biggest leap in seven years.

TAP THE BRAKES: General Motors had a strong quarter but investors sent its stock down $1.40, or 4.2 percent, to $31.58. U.S. auto sales have recently shown signs of slowing from a record high, which has investors worried about GM's growth.

MERCK MAKES MORE: Drugmaker Merck raised its forecasts after it reported a bigger profit on greater sales of vaccines and cancer medicines. The company has also been trying to keep is spending in check. The stock rose $1.23, or 2 percent, to $61.98.

3M GETS STUCK: 3M, which makes Post-it notes, industrial coatings and ceramics, forecast weaker sales growth and a smaller profit for the year. The stock declined $5.15, or 3 percent, to $166.12.

GOING UP: Elevator and jet engine manufacturer United Technologies raised its annual forecast after its third-quarter profit surpassed analyst estimates. Its stock gained $2.28, or 2.3 percent, to $101.80.

THIS WON'T GET GOOD RATINGS: Media and marketing information company Nielsen took its biggest loss ever after it reported shaky results and cut its guidance. Nielsen stock tumbled $8.84, or 16.1 percent, to $46.11.

OIL: Benchmark U.S. crude lost 56 cents, or 1.1 percent, to $49.96 per barrel in New York. Brent crude, the international standard, fell 67 cents, or 1.3 percent, to $50.79 a barrel in London.

BONDS: Bond prices rose. The yield on the 10-year Treasury note fell to 1.75 percent from 1.77 percent. Investors also bought shares of utility companies.

OTHER ENERGY TRADING: Wholesale gasoline stayed at $1.50 a gallon. Heating oil lost 2 cent to $1.56 a gallon. Natural gas sank 6 cent, or 2 percent, to $2.77 per 1,000 cubic feet.

METALS: The price of gold rose $9.90 to $1,273.60 an ounce. Silver jumped 18 cents, or 1 percent, to $17.78 an ounce. Copper rose 5 cents, or 2.2 percent, to $2.14 a pound.

CURRENCIES: The dollar slipped to 104.22 yen from 104.24 yen. The euro rose to $1.0892 from $1.0879.

OVERSEAS: In Britain the FTSE 100 rose 0.4 percent while France's CAC 40 lost 0.3 percent and the DAX in Germany was little changed. Japan's Nikkei 225 rose 0.8 percent and South Korea's Kospi fell 0.5 percent. The Hang Seng in Hong Kong slipped 0.2 percent.

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