NEW YORK CITY: US stocks opened modestly higher as the market got a jolt from Microsoft's announcement that chief executive Steve Ballmer will retire within the next 12 months.
The computing giant's shares soared 7.2 percent to $34.70 in early trade as Ballmer, who succeeded Microsoft co-founder Bill Gates in 2000, said the company would search for a new leader who can take charge of its "transformation to a devices and services company."
Wall Street overall followed the global trend higher in markets.
Thirty minutes into trade the Dow Jones Industrial Average was up 4.25 points (0.03 percent) at 14,967.99.
The broad-based S&P 500 added 1.41 (0.09 percent) at 1,658.37, while the Nasdaq Composite jumped 11.13 (0.31 percent) to 3,649.84.
The markets showed no hangover from the shock of the Nasdaq's three-hour shutdown Thursday on technology woes.
Nasdaq said it is still investigating the issues, and Nasdaq OMX chief executive Robert Greifeld pointed to an outside party in an interview with CNBC television.
"We all have to be aware of the other person not acting always in the proper way, and you have to have your system be able to handle defensive driving," he said, without identifying the person.
Nasdaq OMX shares rebounded 0.9 percent after falling more than 3 percent Thursday.
Shares in youth fashion chain Aeropostale plunged 16.8 percent after turning in a quarterly loss on a 6.4 percent fall in sales for its second quarter, and predicted a poor third quarter as well.
The Gap fared better, adding 1.0 percent as its second-quarter sales grew and profits rose 25 percent, but the general picture for retailers of hip clothes for the young remained poor.
On Thursday Abercrombie & Fitch shares also plunged on its bad quarter, and sank another 1.0 percent Friday, and shares of another trendy chain, American Eagle, were down 2.1 percent Friday.
Bond prices edged up. The yield on the 10-year US Treasury bond fell to 2.89 percent from 2.90 percent late Thursday, while the 30-year slipped to 3.88 percent from 3.89 percent. Bond prices and yields move inversely.
Comments
Comments are closed.