Page 24 - merged
P. 24
A24
BUSINESSThursday 7 April 2016
US stocks rise as health care and energy companies soar
Trader Glenn Kessler, center, works on the floor of the New York Stock Exchange, Wednesday, stocks will trade much high- er. Celgene, which makes
er is if companies are able treatments for cancer,
April 6, 2016. U.S. stocks broke a two-day losing streak Wednesday as investors bought up drug- to give optimistic projec- gained $6.10, or 6 percent,
tions for the rest of the year. to $108.22. Vertex Pharma-
makers and other health care companies. (AP Photo/Richard Drew) “Without an improvement ceuticals rose $7.15, or 8.5
in earnings or a projection percent, to $91.31.
MARLEY JAY in a long slide, made their of the market’s losses from of earnings growth, our Biotech stocks are fac-
AP Markets Writer biggest gains in almost five a day earlier. Stocks wa- outlook is kind of tapped ing pressure from legisla-
NEW YORK (AP) — U.S. years. That came after Pfiz- vered in recent weeks as out,” he said. tors over the price of their
stocks broke a two-day los- er, one of the largest phar- investors wait for quarterly The Dow Jones industrial drugs, and investors fear
ing streak Wednesday as maceutical companies in earnings to start pouring in, average gained 112.73 that their ability to raise
investors bought up drug- the world, gave up on a and many are bracing for points, or 0.6 percent, to prices will be impeded.
makers and other health plan to buy Botox maker Al- another shaky quarter. 17,716.05. The Standard & Energy companies gained
care companies. Energy lergan for $160 billion and Jack Ablin, chief invest- Poor’s 500 index rose 21.49 ground as benchmark U.S.
companies also jumped as investors wondered if it will ment officer of BMO Private points, or 1.1 percent, to crude rose $1.86, or 5.2 per-
the price of oil surged. look elsewhere. Bank, said it’s going to be 2,066.66. The Nasdaq com- cent, to close at $37.75 a
Biotech drug companies, The gains were only another weak earnings posite index picked up barrel in New York. Brent
which have been mired enough to wipe out most period, and the only way 76.78 points, or 1.6 percent, crude, a benchmark for
to 4,902.72. international oils, added
Pfizer and Allergan con- $1.97, or 5.2 percent, to
firmed Wednesday that close at $39.84 a barrel
they are walking away in London. The price of oil
from their proposed merger has skidded in recent days
after the U.S. Treasury De- before making small gains
partment announced new Tuesday.
rules that made the deal, Chevron picked up $2.17,
and others like it, far less ap- or 2.3 percent, to $94.84
pealing. Pfizer rose $1.57, or and Exxon Mobil added
5 percent, to $32.93, its big- $1.10, or 1.3 percent, to
gest gain since 2011. $83.31. Hess rose $2.74, or
Pfizer was ready to make 5.3 percent, to $54.
one of the largest corpo- Oilfield services compa-
rate deals in history for Al- nies Halliburton and Baker
lergan as it tried to boost Hughes also traded higher
its sales and cut its tax bill. after the U.S. government
Biotechnology companies, sued to block them from
which make complex and combining.
costly drugs, climbed high-
House For Sale Monsanto misses Wall Street 2Q forecasts
in Washington Gardens
MATTHEW PERRONE Street expectations, with earnings in the range of
Washington Gardens AP Business Writer analysts surveyed by Zacks $4.40 to $5.10 per share.
3 Bedroom 2 Bathroom House with pool, Monsanto Co. reported Investment Research ex- Last month the agricultur-
weaker-than-expected pecting earnings of $2.45 al business giant slashed
on 586 m2 of Property land for earnings Wednesday as per share. its prior guidance due to a
the company offered price Sales tumbled more than combination of headwinds
$324.000 or AWG 575.000,00 discounts to try and revive 12 percent during the pe- affecting both its seed and
flagging sales of its biotech- riod to $4.53 billion, which chemical business units.
Our o ce is located at: enhanced seeds. also missed Street fore- The company said Wednes-
The Shops at Sand., #1, Palm Beach, Aruba Monsanto has struggled casts. Three analysts sur- day that “extreme cur-
Tel: +297 280-0339 or +297 561-1108 www.arubapalmsrealtors.com with falling prices for crops veyed by Zacks expected rency headwinds” are ex-
like corn, soy beans and $4.78 billion. pected to lower results by
wheat, which have re- The company said results 90 cents to $1 per share in
duced farmers’ spending were negatively impacted fiscal 2016. Monsanto seeds
on Monsanto’s genetically by discounted seed prices have specially engineered
enhanced seeds. At the offered to U.S. farmers and traits such as protection
same time, the strong dol- reduced planting of soy- against certain insects.
lar has made its products, beans. They are more expensive
including chemical weed The discounts and reduced but help farmers increase
killer, more expensive over- demand contributed to an their crop yield.
seas. 8.6 percent decline in seed The company began the
The St. Louis-based compa- sales, which fell to $3.82 bil- year by announcing it
ny reported a second-quar- lion from $4.18 billion. would eliminate another
ter profit of $1.06 billion, or Sales of the company’s 1,000 employees, increas-
$2.41 per share, compared chemical products, primar- ing its planned layoffs to
with $1.43 billion, or $2.92 ily the weed killer Roundup, 3,600 for the next two years.
per share, in the prior-year fell nearly 30 percent to Monsanto shares rose 29
period. Earnings, adjusted $715 million amid competi- cents to $86.39 in morning
for one-time gains and tion from generic competi- trading Wednesday. The
costs, were $2.42. tors. The company con- stock has declined 26 per-
The results fell short of Wall tinues to expect full-year cent in the last 12 months.
