US midday: Wall Street mixed after bright start
10 Mar 2010
Shares are mixed as unemployment figures prompt investors to question the Dow's rally toward a two-month high.
Bank of America and JP Morgan Chase helped Dow to a strong start, offsetting losses at Cisco Systems.
But the Dow Jones is now down 12 points at 10,551, while the S&P 500 is 2 higher at 1,143 and the NASDAQ is 12 higher at 2,353.
A report from the Labor Department has revealed jobless rates rose in 30 states and Washington DC in January, although that was down from 43 the month before.
It said unemployment rates fell in nine states and was unchanged in eleven.
There was also a surprise drop in wholesale inventories, which fell 0.2% at the start of 2009 rather than increase by the 0.2% predicted by economists.
In company news, teen fashion retailer American Eagle posted a rise in quarterly profits after lifting sales and holding back on discounts.
After the closing bell Tuesday, Abbott Laboratories agreed to buy Facet Biotech for $27 a share.
Elsewhere, exports from China rose by 46% from a year ago in February as the east Asian economic powerhouse continued its recovery from last year's global economic downturn.
Meanwhile, German exports unexpectedly fell by 6.3% to €67.9bn in January compared with December 2009.
