Stocks Dip, Oil Falls, Energy Shares Slip
By Anupama Chandrasekaran NEW YORK (Reuters) - U.S. blue chips slipped on Thursday as a drop in oil prices was offset by declines in oil companies' stocks and news of lackluster November sales at some retailers. Shares of Exxon Mobil Corp. (XOM.N: Quote , Profile , Research ) , a Dow component, fell 2 percent to $50.14, and the stock of Exxon rival ChevronTexaco Corp. (CVX.N: Quote , Profile , Research ) dropped nearly 2 percent to $52.45 as the price of U.S. crude tumbled to a 12-week low below $43 a barrel after an increase in U.S. heating oil stocks eased worries of a winter supply squeeze. In the retail sector, AnnTaylor Stores Corp. (ANN.N: Quote , Profile , Research ) fell 7.8 percent to $20.55 after it reported sales at stores open at least a year fell 8.3 percent in November on lower store traffic. But Starbucks Corp. (SBUX.O: Quote , Profile , Research ) rose almost 2 percent to $58.57 after the huge coffee shop chain said sales at stores open at least 13 months rose 13 percent in November. The Dow Jones industrial average was down 25 points, or 0.23 percent, at 10,565. The Standard & Poor's 500 Index was down 3 points, or 0.27 percent, at 1,188. The technology-laced Nasdaq Composite Index was down 2points, or 0.08 percent, at 2,137. "The overall market is into a little bit of profit taking after yesterday's powerful move on a decline in crude, and I would not be too concerned about the selloff from the highs earlier in the day, as it will probably come on again later," said Mike Driscoll, managing director at Bear Stearns. "There's definitely a negatively bias on energy stocks as long as there is pressure on commodities." On Wednesday, stocks rallied on solid economic data and a 7 percent drop in oil prices. Crude prices extended their drop on Thursday. January crude was and were down $2.39 a barrel at $43.10. Gap Inc. (GPS.N: Quote , Profile , Research ) slid 4.1 percent to $21.57 after it said sales at stores open at least a year fell 4 percent in November as demand slowed for holiday merchandise. Shares of SBC Communications Inc. (SBC.N: Quote , Profile , Research ) rose 1.7 percent to $26.22 and BellSouth Corp. (BLS.N: Quote , Profile , Research ) climbed 2.3 percent to $28.50 after their joint venture company Cingular Wireless said on Wednesday it expects to report a profit and positive cash flow in 2005, one year earlier than planned. In economic news, the number of Americans filing new claims for jobless benefits jumped an unexpectedly large 25,000 last week to 349,000, a government report said. Economists had been expecting 330,000. Booming orders for new military aircraft boosted overall orders for U.S. factories by 0.5 percent in October, the government said in a separate report. That was above Wall Street's expectations of a 0.3 percent rise, though demand was flat when defense orders were excluded.
Quelle "Stocks Dip, Oil Falls, Energy Shares Slip" : reuters.com
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