Brands Retreat

Brands took a breather Friday. Merck, Hewlett-Packard and Walt Disney led decliners on the Dow. Stocks slipped amid a variety of economic news. Second-quarter GDP numbers failed to impress. The Commerce Department said gross domestic product grew 1.3%, which was well shy of the 1.6% consensus estimate. On another note, Chevron and Merck released earnings details. The energy titan said second-quarter earnings hit $7.7 billion, or $3.85 per share, up from $5.4 billion, or $2.70, a year ago. Meanwhile, the drug company reported earnings of $2.95 billion, or 95 cents a share, versus $2.71 billion, or 86 cents, a year earlier. Elsewhere, consumer confidence was down fractionally this month. The University of Michigan’s consumer sentiment index dipped to 63.7 in July. The reading nearly matched expectations that sentiment would remain unchanged from June’s reading of 63.8. 

Disclosures:

All material presented is compiled from sources believed to be reliable and current, but accuracy cannot be guaranteed. The contents are intended for general information purposes only. Information provided should not be the sole basis in making any decisions and is not intended to replace the advice of a qualified professional, such as a tax consultant, insurance adviser or attorney. Although this material is designed to provide accurate and authoritative information with respect to the subject matter, it may not apply in all situations. Readers are urged to consult with their adviser concerning specific situations and questions. This is not to be construed as an offer to buy or sell any financial instruments. It is not our intention to state, indicate or imply in any manner that current or past results are indicative of future profitability or expectations. As with all investments, there are associated inherent risks. Please obtain and review all financial material carefully before investing.