U.S. stocks rise as retail sales, Citigroup profit top estimates

Texas Instruments

Texas Instruments, the largest maker of analog chips, jumped 3.4 percent to $28.20. Amazon.com is seeking to provide processors for smartphones and tablets by buying Texas Instruments’ mobile chip unit, Calcalist reported without saying where it got the information.

AMD gained 0.4 percent to $2.75 after a person familiar with the matter said the second-largest maker of processors for personal computers plans to cut as many as 2,340 jobs, or about 20 percent of its workforce. Third-quarter sales will decline about 10 percent from the prior period, a bigger drop than previously forecast, the company said on Oct. 11.

Investors bought shares of companies most tied to economic growth. The Morgan Stanley Cyclical Index, containing 30 U.S. stocks, gained 0.8 percent, while an S&P gauge of homebuilders rallied 3.1 percent as all of its 11 members advanced. PulteGroup Inc. soared 4.4 percent to $16.30. KB Home jumped 4.3 percent to $15.23.

Apple Gains

Apple, the world’s most valuable company, gained 0.5 percent to $633 as it fluctuated between gains and losses. Shares of the iPhone maker have fallen 9.8 percent from an all- time high of $702.10 on Sept. 19, driving the stock below its average price in the past 50 days for the first time since July. The shares are still up 56 percent this year.

Sprint Nextel Corp. lost 0.9 percent to $5.68, while phone stocks erased 0.7 percent for the only decline among 10 groups in the S&P 500. Softbank Corp. agreed to buy a 70 percent stake in Sprint as Japan’s third-biggest mobile-phone operator seeks growth overseas amid a declining local market.

<< Page 2 of 3 >>

Copyright 2014 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Comments
comments powered by Disqus
Check out Futures Magazine - Polls on LockerDome on LockerDome