Stocks posted a mixed day as the Dow erased an early 100 point drop to close up 5 points at 23,163 on heavy trade while the NASDAQ fell thanks to a pullback in Apple. Both IBD and BTS continue to show positive signals for the market and so far 73% of the companies who have reported earnings have done better than expected. The pullback in Apple however bears watching however since it has a big influence on the index.
Natural gas pipeline giant Kinder Morgan reported results which were mixed in comparison to street expectations. Revenue came in slightly better than expected but was still down 1% while net profits matched expectations and were off 12%. The results were affected by Hurricane Harvey because Kinder had to shut some facilities but overall natural gas gathering volumes rose 14% and gas transport volumes were up by 3%. Shares traded higher largely in part by the company’s announcement of a 60% dividend increase starting in Q1 2018.
Shares of United Continental Airlines were pummeled after revenue was reported as flat and net income declined 29%. Where these results beat estimates the company said it was struggling with low cost competition and was expecting margin compression and lower revenue per seat miles going forward. Higher fuel costs were also hurting the company. The glum and disastrous call sent share down 12% on heavy trading as other airline stocks fell in sympathy.