US stocks down on poor earnings forecasts

April 23rd, 2008 - 7:02 am ICT by admin  

DPA
New York, April 23 (DPA) US stocks were down Tuesday, led by poor earnings signs from Texas Instruments and health insurer UnitedHealth Group, while the price of oil continued to reach new highs and the dollar new lows. Chipmaker Texas Instruments said profits in the second quarter would fall below analysts’ estimates while UnitedHealth cut its profit forecast for the year, though earnings climbed 7.2 percent in the first quarter.

The price of oil climbed above $119 per barrel in New York trading and the dollar fell to a new low against the euro.

The stock drop came despite positive earnings results from telephone giant AT&T and McDonalds, though the fast-food chain’s higher revenues were largely due to international gains.

The blue-chip Dow Jones Industrial Average fell 104.79 points, or 0.82 percent, to 12,720.23. The broader Standard & Poor 500 Index was down 12.23 points, or 0.88 percent, to 1,375.94. The Nasdaq Composite Index dropped 31.10 points, or 1.29 percent, to 2,376.94.

The dollar dropped against the euro to 62.55 euro cents from 62.85 euro cents Monday, and also fell to 103.01 Japanese yen from 103.26 yen.

The dollar dropped against the euro to 62.55 euro cents from 62.85 euro cents Monday, and to 103.01 Japanese yen from 103.26 yen.
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