New York markets down on interest rate expectations
The New York equities markets fell on Monday as investors seemed to be waiting for Tuesday‘s interest rate decision by the Federal Reserve.
By the end of the trading day, the Dow Jones Industrial Average had dropped 0.8 percent to 10,555.80, the Nasdaq composite was down 0.7 percent to 2,145.21, and the S&P 500 had lost 0.6 percent to 1,231.13.
Amid these general declines, the energy sector saw advances as the price of crude oil went up again and plans were announced of a takeover of Spinnaker Exploration by Norsk Hydro for a cash price of $2.5 billion.
On the news, shares in Spinnaker gained 31.5 percent to $64.12. Elsewhere in the sector, Amerada Hess gained 4.3 percent to $139.31 on a ratings upgrade by JP Morgan.
ExxonMobil was up 1.4 percent to $64.63, ConocoPhillips gained 1.6 percent to $70.24, and Marathon Oil advanced by 1.8 percent to $69.19. Meanwhile, rising oil prices took their toll in the airlines sector.
Low-cost carrier Air Tran lost 5.7 percent to $10.43, while Continental Airlines fell by 6.3 percent to $10.98. Athletic equipment manufacturer Nike was up on the day on third-quarter profits that were above predictions, gaining 6.4 percent to $83.45.
The company reported profits were up 32 percent on strong sales.