Wednesday, January 23, 2013

Stocks Mixed As SodaStream Tries To Break Out ... - Investors.com

Stocks remained narrowly mixed in early-afternoon action Tuesday, but were well off their session lows.

The Dow Jones industrial average and S&P 500 both traded near the day's highs, gaining 0.3% and 0.2%, respectively. The Nasdaq edged down 0.1%. Volume continued to track down sharply from Friday's levels, which were boosted by options expirations.

SodaStream International (SODA) was up 2% in big turnover, but it had popped as much as 6% intraday. The move had taken SodaStream past a 50.08 buy point from a three-weeks-tight pattern. It's now back below that trigger. The Israeli maker of in-home soda machines has been earning spots in the IBD 50 lineup and IBD's Stock Spotlight screen. It was featured in a Stock Spotlight column in Monday's IBD.

In M&A news, Dell (DELL) rose 3% as published reports said Microsoft (MSFT) might invest $1 billion to $3 billion as part of a leveraged buyout of the ailing PC maker. Dell regained its 200-day moving average last week amid buyout chatter, but it still remains nearly 30% off its February peak. Microsoft fell a fraction. It's also consolidating below its 200-day line.

On the earnings front, Google (GOOG) slid less than 1% in strong volume ahead of its quarterly report after the market's close. Analysts see EPS up 11% to $10.52, as sales rise 52% to $12.36 billion. Google, which has been consolidating since October, has dropped to its 50-day moving average.

Kansas City Southern (KSU) jumped 4% in heavy turnover, striking a fresh all-time high. The railroad said fourth-quarter EPS rose 19% to 92 cents, topping forecasts, as revenue grew 7% to $568 million, also above expectations. The stock has gapped up beyond a buying range established by a recent buy point at 84.08.

Apple (AAPL), which reports earnings Wednesday, was down a fraction and holding below 500 after giving up a modest early gain. Volume was coming in below average. Analysts see EPS dipping 2% to $13.42, which would be Apple's first decline in quarterly profit in years.

In economic news, existing-home sales slowed to an annualized rate of 4.94 million in December, according to the National Association of Realtors. That was below forecasts for 5.1 million and down from November's 5.04 million pace.

Source: http://news.investors.com/investing-markets-update/012213-641430-stock-market-today-mixed-in-lower-volume.htm

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