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Labor costs rise, productivity flat, stock markets fall slightly The daily Dow Damn proletariat actually saw their wages go up. Hrrmphh said Wall Street. The three major indexes dropped slightly Thursday on news from the Labor Department that labor costs during the third quarter rose 5.3 percent on an annualized basis — the highest increase since 1982. The Dow Jones industrial average fell 12.48 points to close the day at 12,018.54. The Nasdaq composite index dropped 0.33 points to 2,334.02 and the S&P 500 lost 0.47 points to close at 1,387.34. The Labor Department also released a report showing productivity essentially flat during the quarter. The week's big news, however, will come Friday as the Labor Department releases the October unemployment numbers. Among major South Florida stocks, Pediatrix, which released earnings during the day, gained $1.47 a share to close at $45.45. Royal Caribbean gained 43 cents a share to $41.34. Carnival Corp. shares dropped 77 cents to close at $48.19 — not quite the drubbing Micky Arison’s other venture received Tuesday night — while Lennar lost 34 cents to close at $46.45.
Pediatrix releases limited results, continues stock options review
For the nine months, Peditrix reported revenue of $607.2 million, an increase of 18 percent over the same period a year ago. Pediatrix said it will release additional results after completing a review of its historic stock options practices announced in August. Staffing firm Spherion reports increase in 3rd quarter profit
For the nine months, the company earned $14.9 million, or 26 cents a share, on revenue of $1.4 billion, compared with profit of $5.7 million, or 9 cents a share, on revenue of $1.5 billion for the same period. Results include discontinued operations. “The U.S. economy and the staffing industry continue to show signs of moderating growth,” CEO Roy Krause said. “However, long-term industry opportunities are positive and our priorities remain profitable revenue growth and improving operating profit, while maintaining our financial discipline.”
Wall Street indexes falls on weak October manufacturing report The daily Dow Despite consistently strong earnings news so far this quarter, a new report indicating the economy is softening gained investors’ attention Wednesday and sent the major indexes reeling. The Dow Jones industrial average fell 49.71 points to 12,031.02. More significantly, the Nasdaq composite index dropped 32.36 points to 2,334.35, while the S&P 500 fell 10.13 points to 1,367.81. Wednesday’s culprit: The Institute for Supply Management manufacturing index for October, which dropped to 1.7 points to 51.2, its lowest level since June 2003. Most major South Florida stocks went with the tide, but there were notable exceptions. Burger King, which released a strong first quarter earnings report earlier in the day, gained $1.12 a share to $17.90. FPL Group picked up 59 cents a share to close at $51.59 and Republic Services gained 51 cents to close at $41.52 a share. On the other hand, Pediatrix dropped 95 cents a share to $43.98, while Office Depot dropped 63 cents to $41.36 and Lennar Corp. lost 53 cents a share to $46.79. Burger King reports strong profit growth, hits sales landmark
The quarter was the 11th straight that Burger King recorded sales growth at restaurants open at least year, the first time it has done that in more than a decade. “We still see many opportunities ahead to increase comp sales, especially in the competitive breakfast and late night hours, and we have a strong promotions pipeline,” said CEO John W. Chidsey. Burger King went public in May.
Falling oil prices boost Dow to record high The daily Dow Yup, the Dow finally did it. After flirting with it all-time high and all-time high close, the Dow Jones industrial average achieved both Tuesday, hitting an intraday high of 11,755.35 and closing for the day 11,727.34, a gain of 57.23 points. The previous intraday high was 11,750.28, set on Jan. 14, 2000. The previous record close was 11,722.98. Note that the S&P 500, a broader measure of the stock market is 12 percent below its peak after closing the day at 1,333.28, up 1.96 points. The Nasdaq composite index closed at 2,243.65, up 6,05 points. Oil prices fell below $59 a barrel, giving hope that cheaper energy will offset the effects of the declining housing market. Major South Florida stocks finished mixed. AutoNation was among the winners, picking up 27 cents a share to close at $21.16. Carnival Corp. gained 89 cents a share to close at $48.03 Citrix Systems continued to slide, dropping $1.25 a share to close at $33.74. The stock wa recovering a bit in after-hours trading. Nasdaq composite down on slow trading day The daily Dow A slow day on Wall Street ended with the Nasdaq composite index taking a bit of a pounding, while both the Dow Jones industrial average and the S&P 500 closed with modest losses. The Dow closed Monday at 11,670.35, down 8.72 points, the Nasdaq closed at 2,237.60, down 20.53 points, while the S&P closed at 1,332.59, down 3.26 points. Economic news was mixed during the day, with the Institute for Supply Management reporting that the manufacturing sector in September grew at its slowest pace in a year, while the Commerce Department reported construction spending increased 4.3 percent in August. Major South Florida stocks were mostly down on Monday. Citrix Systems lost $1.22 a share to close at $34.99, and continued to drop in after-hours trading. Ryder Systems dropped 18 cents a share to close at $51.50. Among the day's winners were Office Depot, up 41 cents a share to $40.11, and FPL Group, up 46 cents a share to $45.46. Dow, other indexes lose ground on Friday Forget the record, this week, anyway. The Dow Jones industrial average on Friday fell 39.38 points to close at 11,679.07. The Dow flirted with its all-time highest close on Thursday of 11,722.98 before settling 8 points below the mark. The Nasdaq composite index fell 11.59 points to close at 2,258.43, while the S&P closed 3.23 points lower at 1,335.92. Before the start of trading, the Commerce Department reported that personal income increased 0.3 percent, the smallest gain in 9 months. Spending, when adjusted for inflation, fell by 0.1 percent. Major South Florida stocks mostly were down for the day. Carnival Corp. shares managed to pick up a dime to close at $47.03. Office Depot shares dropped 99 cents to close at $39.70; Citrix Systems lost 30 cents a share to close at $36.21; and FPL Group lost 36 cents a share to close at $45. Fed OKs Wachovia-World Savings deal The Federal Reserve on Friday gave its blessing to Wachovia’s $25.5 billion deal for Golden West Financial Corp. and World Savings Bank despite some concerns about how it might affect banking markets in Florida. The Federal Reserve found the deal would give Wachovia nearly 31 percent of deposits in Punta Gorda and more than 39 percent of the market in Indian River County, both potentially anticompetitive under federal guidelines. However, it found both markets growing and attractive to new competitors, offsetting those concerns. There were concerns raised about the effect of the deal on the West Palm Beach market, but the Federal Reserve found them to be unwarranted. World Savings has 52 offices in Florida; Wachovia has 792. Completion of the deal would make Wachovia the third-largest bank in the U.S. in terms of deposits, with $682.4 billion. Shareholders of both companies approved the sale on August 31. Insurers view federal Cat fund with skepticism
Florida insurance Commissioner Kevin McCarty has supported such a fund as a solution to the state’s insurance crisis. Only 41.6 percent of survey participants said they would support a national catastrophe fund, while 46.7 percent opposed the idea. Supporters said such a fund would provide more coverage in areas such as Florida where fewer insurers are actively writing policies. It also would help ensure the solvency of the industry. However, many of those opposed said the idea of such a fund offered lacked any benefit at all for insurers.
Oil prices, lower GDP foil Dow bid for record The daily Dow Nope. Didn't quite make it. The Dow Jones industrial average continued to flirt with a new record close but finished the day about 8 points shy of the mark. All three major indexes posted modest gains, Thursday. The Dow finished at 11,714.89, up 25.44 points, while the Nasdaq composite index closed the day at 2,270.02, up 6,63 points. The S&P 500 finished at 1,332.78, up 2.15 points. Rising oil prices and a downward revision of the gross domestic product for the second quarter spooked investors. For the record, the Dow's all-time high is 11,722.98, which it hit on Jan. 14, 2000. The Dow did manage to nose past 11,724 before retreating. Among South Florida's major stocks, Citrix Systems picked up 59 cents a share to close at $36.51. Carnival Corp. gained 57 cents a share to close a t $47.06; Royal Carribean Cruises closed 54 cents a share higher at $38.88. On the other side of the equation, Ryder Systems dropped 53 cents a share to close at $53.22; Lennar Corp. lost 35 cents a share to close at $45.78; and FPL Group dropped 33 cents a share to close at $45.36.
Stock market rally continues at modest pace The daily Dow Stocks continued their end-of-September rally Wednesday but with much less impressive results than earlier in the week. The Dow Jones industrial average flirted briefly with its all-time high set nearly seven years, peaking above 11,720 before retreating. It closed at 11,689.24, a gain of 19.85 points. The Nasdaq composite index picked up 2.05 points to close at 2,263.39, while the S&P 500 gained 0.25 points to close at 1,336.59. A decline in durable goods orders for August and oil prices that rose above $63 a barrel curbed investor enthusiasm. Gainers among South Florida's major stocks included FPL Group, gaining 74 cents a share to close at 45.69; Office Depot, gaining 9 cents a share to close at $40.11; BankAtlantic, gaining 11 cents a share to close at $14.53. Losers included AutoNation, down 15 cents a share to $20.57; Royal Caribbean Cruises, down 30 cents a share to $38.45. AutoNation was recovering some of its losses in after-hour trading. New-home sales pick up in August The pace of new-home sales picked up in August but was far below that of a year ago, according to a report released Wednesday by the Commerce Department. It was the first time that sales picked up since March. New homes sold at an annualized rate of 1.05 million, 4.1 percent over the July rate and greater than had been anticipated. The inventory of homes for sale at the end of August totaled 568,000, which would take 6.6 months to sell off. By comparison the August 2005 annualized rate was 1.27 million, with an inventory backlog that would sell off in 3.7 months.
Confident consumers boost stock markets The daily Dow The rise in consumer confidence for September helped buoy investors, as the three major indexes posted gains. The Dow Jones industrial average gained 93.58 points to close at 11,669.39. The Nasdaq composite average picked up 12.29 points to close at 2,261.34, while the S&P 500 gained 10.04 points to close at 1,336.41. Major South Florida stocks finished decidedly mixed. Office Depot closed at $40.06, down 38 cents a share. FPL Group fell 3 cents a share to $44.95. Ryder Systems closed at $52.70 up $1.11 a share. Lennar Corp. shares climbed 7 cents to $46.95 despite earlier in the day reporting lower earnings for the quarter. Carnival Corp. shares rose 20 cents to close at $46.33. The stock continued to climb after hours, picking 17 cents. Citizens CEO Ricker to resign Nov. 1 Citizens Property Insurance Corp. CEO Bob Ricker informed the board he was resigning effective Nov. 1. Citzens is the state's home insurer of last resort, meaning it covers homes that private companies won't. During the past two years, Citizens has ballooned into the largest carrier in the state, with more than 1.2 million policies. Ricker recommended that Citizens VP for operations Scott R. Wallace take his place. The Florida Senate must confirm the new CEO. Consumer confidence strengthens in September Conference Board index
The University of Florida’s consumer confidence index for the state rose 7 points to a reading of 84, while the Conference Board’s national confidence index rose better than four points to 104.5 points. Both indexes fell sharply last month. The reports are key measures used by retailers to predict consumer spending habits. They have particular significance as retailer prepare for the holiday spending season. Florida survey director Chris McCarty said falling gasoline prices in September offset declines in the housing market in the minds of consumers. “We attributed a large part of the decline last month to sustained high gas prices and the effect of the erosion in the housing market,” McCarty said. “September consumer confidence reflects the natural decrease in the price of gasoline as demand decreases following the start of the school year.” Question is whether cheaper gas will continue to offset the cooling real estate market. McCarty suspects that it won’t, and that retailers can expect a mediocre holiday season. Conference Board survey director Lynn Franco said while September’s numbers show consumers’ concerns have eased, there are few indications that consumer spending will increase. Fewer consumers believed the economy will worsen over the next six months, but the number believing that it will improve over that span was flat, according to the report.
Personal income slowed during 2nd quarter Personal income growth slowed nationally during the second quarter, dropping to 1.7 percent from the 2.2 percent posted in the previous two quarters, the Commerce Department said Tuesday. In Florida, income growth was above the national rate at 2.0 percent, same as in the first quarter of the year. Nevada posted the highest rate of growth of any state, at 2.3 percent. Florida ranked fourth nationally. The Commerce Department also said inflation accelerated to 1.0 percent from 0.6 percent during the quarter. Investors enjoy strong day on Wall Street The daily Dow Despite reports that the housing market continues to cool, all three major indexes posted gains Monday. The Dow Jones industrial average closed up 71.88 points to 11,579.98. The Nasdaq composite index closed up 29.43 points to 2,248.36 and the S&P 500 finished the day at 1,327.87, up 13.99 points. Lower bond yields, strong performances by tech stocks and an early dip in oil prices contributed to the rally. Major South Florida stocks enjoyed the day's trading as well. FPL Group closed 52 cents a share higher at $44.89 and picked up 2 cents more in after hours trading. Shares of Citrix Systems gained 90 cents to close at $36.52. The stock picked up 3 cents more in after hours trading. Royal Caribbean Cruises gained 44 cents a share to close at $38.94. Used-home sales declining in U.S., Florida The housing market officially has cooled. The National Association of Realtors Monday reported that the August median price of a used home dropped 1.7 percent to $228,000 compared to August a year ago, the first time that’s happened in 11 year. The number of homes sold also dropped but less than in previous months. Inventories, the number of homes available for sale, also rose to the biggest backlog since April 1993. Meanwhile the Florida Association of Realtors said the median price of a used home statewide remained the same year-over-year, at $248,000. The number of home sold dropped by more than a third, to 14,736 from 22,421. In Palm Beach County, the median price fell to $386,000 from $411,400; in Fort Lauderdale, the median price dropped to $362,800 from $387,000; in Miami-Dade, prices for used homes actually rose, to $378,800 from $356,900, according to FAR. FAR economists said the housing market was going through a “period of adjustment.”
Ford, GM talked merger, alliance possibilities Automotive News reports that the two car giants discussed the possibility of combining operations this summer. It's unclear who started the talks, and equally unclear whether they will bear any fruit. BellSouth-AT&T deal could get FCC approval AT&T's proposal to buy BellSouth for $67 billion could be getting a boost from Federal Communications Commission Chairman Kevin Martin, who is recommending the panel approve the deal when it meets in October. The Justice Department, however, is continuing its review. Tribune Co. breakup could focus on the chain's smaller properties and television stations Tribune Co., owner of the South Florida Sun-Sentinel and the Orlando Sentinel, as well as the Los Angeles Times, Chicago Tribune, WGN-TV and the Chicago Cubs, is more likely to sell off its smaller newspapers and television stations rather than its marquee properties. Click fraud is a growing concern for advertisers For many online advertisers, such as DiamondHarmony.com, click fraud — clicking on ads to generate revenue without any intent to buy a product or even shop — is a growing problem. Question is how big is the problem and what can be done about it. Spying flap costs H-P chairwoman her job Hewlett-Packard Chairwoman Patricia C. Dunn resigned Friday Fears of economic slowdown slows investors The three major stock indexes closed the week with losses Friday on fears of an economic slowdown. The Dow Jones industrial average closed at 11,508.10, down 25.13 points, while the Nasdaq composite index finished at 2,218.93, down 18.82 points. The S&P 500 closed at 1,314.78, down 2.61 points. All three indexes closed lower for the week. AutonNation numbered among South Florida's winning stocks, gaining 3 cents on the day to close at $20.17. The Fort Lauderdale firm, however, was dropping 17 cents a share in after hours trading. Royal Caribbean Cruises also closed higher on the day at $38.50, up 2 cents. Losers included FPL Group, closing at $44.46, down 8 cents a share, Office Depot, closing at $39.84, down 27 cents a share, and Citrix Systems, closing at $35.62, down 35 cents a share. Citrix picked up a penny a share in after hours trading. |
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FORT LAUDERDALE — Pediatrix Medical Group Thursday reported third quarter revenue of $215.8 million, compared with revenue of $178.1 million for the same period a year ago.
FORT LAUDERDALE — Spherion Corp. Wednesday reported third quarter profit of $8.4 million, or 15 cents a share, on revenue of $495.5 million, compared with profit of $5.2 million, or 8 cents a share, on revenue of $494.5 million for the same period a year ago.
MIAMI — Burger King Holdings Inc. Wednesday reported first quarter profit of $40 million, or 30 cents a share, on revenue of $546 million, compared with profit of $22 million, or 19 cents a share, on revenue of $508 million for the same period a year ago.
OLDWICK, N.J. — An online survey of the insurance community conducted by Best Review found nearly half of respondents opposing a federal catastrophe backstop, saying it would be “detrimental” to the industry and encourage continued development in risk-prone areas.
Consumer confidence, which slipped badly in August, rebounded in September, according to separate reports issued Tuesday.
over the corporate spying scandal that has
engulfed the company in recent weeks. Dunn had announced intentions of resigning as chair in January while retaining her seat on the board. CEO Mark V. Hurd replaces Dunn. Meanwhile the California attorney general says his investigation into the scandal, which involves illegally obtaining phone records of journalists and board members, continues.