Stocks open lower, on track for a weekly loss

Written By kolimtiga on Jumat, 11 Juli 2014 | 22.25

Stocks edged mostly lower in early trading Friday as investors assessed corporate news. Stocks are headed for their biggest weekly loss since April after ending the previous week at record levels. 

KEEPING SCORE: The Standard & Poor's 500 index dropped two points, or 0.1 percent, to 1,961 as of 10:10 a.m. Eastern. The Dow Jones industrial average dropped 32 points, or 0.2 percent, to 16,877. The Nasdaq composite gained five points, or 0.1 percent, to 4,401. 

WHERE THERE'S SMOKE: Tobacco company Lorillard rose $3.11, or 4.9 percent, to $66.19, after rival Reynolds American confirmed it was in talks with Lorillard and British American Tobacco, its largest shareholder, about an acquisition. 

SALES MISS: Industrial and construction supplies company Fastenal dropped $2, or 4.1 percent, to $46.11 after the company reported sales that fell short of analyst's expectations. The company said revenue climbed 12 percent to $949.9 million from $847.6 million in the same quarter a year ago. Analysts expected $951 million. 

JITTERY WEEK: The S&P 500 index is poised for its biggest weekly loss since the week ending April 11 after closing out the previous week at a record high. Stocks retreated from all-time highs as investors worried the rally may have overreached. Worries about the soundness of a Portuguese bank also spooked U.S. investors. 

BONDS AND COMMODITIES: In bond trading, prices rose. The yield on the 10-year Treasury note, which falls when prices climb, dropped to 2.51 percent from 2.54 percent late Thursday. The price of oil fell 98 cents, or 0.9 percent, to $101.96. 

Copyright © 2014, Los Angeles Times

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