FX.co ★ The US stock market review for May 12, 2010-05-11

On Wednesday, the US stock indices closed on the upside. A favorable income forecast of the International Business Machines prompted the growth o f technological companies while the companies papers depending on the global economic upsweep such as DuPont and Caterpillar rose after announcement about more positive GDP development in the Eurozone than it was forecasted.
Dow Jones Industrial Average index ticked up by 148,65 points or by 1,38% to 10896,91 points. Nasdaq Composite index up by 49,71 points or by 2,09% to 2425,02 points. Standard & Poor's 500 is higher by 15,88 points or by 1,37% to 1171,67 points.
The growth leader has become IBM company – its shares soared by 5,79 dollars or by 4,6% to 132,68 dollars. The Executive director of IBM Samuel Palmisano announced that the corporation will double its earnings and its shares will cost not less than 20 dollars per share by 2015. In order to make the shares cost 20 dollars the company will have to increase its income by approximately 12% this year.
DuPont rates moved on by 1,57 dollars or by 4,2% to 39,26 dollars. Caterpillar shares gained 2,08 dollars or 3,2% touching 68,15 dollars level. The share uptrend of the industrial giants followed the data release testifying about the quarterly GDP increase in 16 Eurozone countries by 0,2% in Q1 compared to 0% in Q4 2009. Meanwhile, the annual GDP improvement amounted to 0,5% which was approved by the forward findings of Eurostat Statistics Agency. The both indicators advanced the economic outlooks slightly.
Walt Disney demonstrated the worst results. The shares of this company fell by 63 cents or by 1,8% to 35,13, despite that Disney’s profit in Q2 overcame the analytical expectations. The investors were disappointed by the company’s report, according to which the earnings of the second largest Disney division with its amusement parks and resorts tumbled by 12%.