The Dow Shakes Off Europe

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

A day after markets tanked on growing concerns over Spain and Greece, the Dow Jones Industrial Average (INDEX: ^DJI  ) is eyeing a flat opening as investors' worries appear to have eased. Greek Prime Minister Antonis Samaras will address his party's legislators today and is aiming to cut $11.5 billion from the budget. Moody's cast further doubt over a recovery on the Continent by downgrading its outlook on "AAA"-rated Germany, the Netherlands, and Luxembourg to "negative." A statement from the German vice chancellor also indicates that Germany may be encouraging Greece to exit the eurozone.

Countering the malaise out of Europe was a report from China that showed its manufacturing contraction improving in July as the Purchasing Managers' Index rose from 48.2 to 49.5. (A figure greater than 50 indicates growth.) Asian stocks were mixed in trading, while European markets were headed slightly down.

Two Dow stocks reported earnings this morning. Diversified chemical-maker DuPont (NYSE: DD  ) reported an 8% adjusted gain in EPS to $1.48 and a sales increase of 7%. However, it said it now expects full-year earnings to be on the low end of its forecast of $4.20 to $4.40, citing weakness in the macro environment and currency exchange rates.

Shares of AT&T (NYSE: T  ) , meanwhile, are up about 0.5% in premarket trading after the telecom said lower turnover helped boost earnings 8.7% to $0.66 per share, ahead of estimates of $0.63. Revenue came in slightly below expectations, and a drop in smartphone sales, which the company often subsidizes, also helped raise margins. The company sold 5.1 million smartphones, down from 5.5 million a year ago, and added 1.3 million wireless subscribers to lift its total to 105.2 million.

Other earnings reports Foolish investors may want to watch for after markets close today include Apple, Netflix, and Buffalo Wild Wings.

One economic report of note comes out today: the New Home Sales report, due at 10 a.m. EDT. The market is expecting June sales of 373,000, up from 369,000 in May. A sharp increase could be an indication of an overall recovery in the economy.

For investors seeking shelter from the European storm, I recommend taking a look at one of our newest special free reports, which identifies a trend that could reshape everything about manufacturing -- and make you rich in the process -- with the leadership of a few innovative companies pioneering a revolutionary new technology: 3-D Printing. Get the names of these hot stocks and find out why "The Future is Made in America" by clicking right here. The report is totally free!

Fool contributor Jeremy Bowman owns shares of Apple. The Motley Fool owns shares of Apple, Netflix, and Buffalo Wild Wings. Motley Fool newsletter services have recommended buying shares of Buffalo Wild Wings, Apple, and Netflix. Motley Fool newsletter services have recommended creating a bull call spread position in Apple. Motley Fool newsletter services have recommended writing covered calls on Buffalo Wild Wings. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.

Read/Post Comments (0) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1954720, ~/Articles/ArticleHandler.aspx, 10/20/2016 3:58:24 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,161.77 -40.85 -0.22%
S&P 500 2,141.25 -3.04 -0.14%
NASD 5,240.60 -5.81 -0.11%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/20/2016 3:43 PM
^DJI $18161.77 Down -40.85 -0.22%
DD $69.46 Down -0.07 -0.10%
DuPont CAPS Rating: ****
T $38.78 Down -0.61 -1.54%
AT and T CAPS Rating: ****