The Institute for Supply Management announced this morning that U.S. manufacturing surprisingly dropped in November. A reading of less than 50 indicates a contraction, and while economists expected a 51.3, the result of 49.5 shocked the markets and is the lowest reading in almost three years. On the other hand, investors found out this morning that Spain has requested a bailout from the EU and Greece has begun taking steps toward lowering its debts levels. But after the ISM report, even the good news we received from Europe couldn't keep the Dow Jones Industrial Average (DJINDICES: ^DJI ) moving higher.
As of 1:10 p.m. EST, the Dow is down 0.25% to 12,992. So far during today's trading session, 10 of the Dow's 30 components are in the red. Below, I'll explain what's causing three of the losers to move lower today.
The Dow's big loserstoday
Shares of Du Pont (NYSE: DD ) continue to slide lower today. It was announced last week that the company had lied to investors and a federal court about patient restrictions. Shares are now just slightly above their 52-week lows, and with a number of unknowns still surrounding the fraud issue, current shareholders and potential new investors should keep a close eye on future developments. Additionally, while the uncertainty of what may happen to the company continues to drag on, volatility may increase, and lower entree points will likely present themselves. Shares are down 1.2% thus far today.
Bank of America (NYSE: BAC ) announced this morning that it would not consider raising banking fees until late next year. While this is a good thing for customers and the bank's public image, shareholders wanting increased revenue and profit are taking the news badly this morning. Shares are down about 0.5%, while it's fellow Dow banking stock JPMorgan Chase's (NYSE: JPM ) shares have gained a couple of cents.
Shares of U.S. aircraft manufacturer Boeing (NYSE: BA ) are moving lower this afternoon by 0.3%. It was announced this morning that Qatar Airlines will be ordering aircraft from Airbus, Boeing's largest competitor. The order was placed for a number of the Airbus A350 aircraft, which will compete directly with the Boeing 777. The order now gives Airbus more reason to continue developing the A350 design, which is not complete yet. This also puts additional pressure on Boeing, because now it will have one less design that lacks competition.
With big finance firms still trading at deep discounts to their historic norms, investors everywhere are wondering whether this is the new normal or if finance stocks are a screaming buy today. The answer depends on the company, so to help figure out whether JPMorgan is a buy today, I invite you to read our premium research report on the company today. Click here now for instant access!