Any Foolish investor will tell you that a single day's movements aren't that important in the grand scheme of things. And yesterday's dismal performance by the Dow Jones Industrial Average (DJINDICES: ^DJI ) would prove them right. Up 125 points from its close, the Dow has moved its way back up toward the 14,000 mark.
Yesterday's drop may have been influenced by fears of instability in Europe, so today's modest rally in the EU has certainly boosted the Dow. In addition, positive earnings reports and news has helped most of the index's components move higher so far this morning.
Boeing (NYSE: BA ) has gotten some good press this morning as news that the company requested permission to conduct test flights for its 787 Dreamliner from the FAA. This suggests that the aircraft builder is making progress on the batteries that grounded the new fleet last month. Though the company may be making progress, there is still no word on what the major malfunction was, as experts continue to investigate the lithium-ion battery systems. The Dreamliner is the first large commercial plane to use an electrical power system extensively in its operations.
UnitedHealth Group (NYSE: UNH ) got a boost this morning following an upgrade and price target revision from Goldman Sachs. The company's price target was raised to $66 from $57 based on analysts' improved outlook for 2013 operations and higher confidence in 2014 earnings growth. The analysts cited the implementation of health reform measures in 2014 as the driving factor behind their increased confidence in the performance of managed-care stocks.
Bank of America (NYSE: BAC ) is on the move upward again today. Both analyst and money manager confidence in the bank has much to do with the price improvement. Guggenheim raised its price target for B of A this morning, from $14 to $15. And money manager Bruce Berkowitz expressed increased confidence that the company will see great improvements as the year goes forward. On top of those votes of confidence, news that Asian hedge fund customers have been steadily increasing their leverage is also great news for the bank. It has seen an improvement in that market, with the entering of customers who would have previously shied away from it.
IBM (NYSE: IBM ) was the only stock in the red as of this writing, down 0.19%. An announcement of the company's new server product line was not as well received as IBM may have hoped. Most manufacturers of high-end servers have been feeling pressure as many customers turn to commodity x86 hardware instead. The servers from IBM, Oracle, and others have been steadily losing market share. With this morning's announcement, IBM introduced eight new servers with its new Power 7+ processor. The low-end products start around $6,000, which matches the x86 price range. And while pricing may prove to be a good move against the competition, announcing that the low-end servers are priced 50% lower than previous generations may cause investors to hesitate.
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