Why 2 Stocks Defied the Dow's Fall
With only two of the Dow Jones Industrial Average (INDEX: ^DJI) components in the green, it's rather easy to find a few companies we can blame for today's 243-point slide. Earnings announcements and proof that the bears needed to justify their fears that the world is slowing caused the Dow to drop today.
Today, 28 of the 30 Dow components are in the red, with the index closing at 13,102, down 1.82% for the day. That's not want investors wanted after last Friday's 200-point slide. The only two stocks that were up on the day were Microsoft (NAS: MSFT) and Intel (NAS: INTC) .
So why were they up?
Microsoft moved higher by 0.17% today after reports broke that the company has sold out of its preorders for the company's Surface tablet. While this means that demand is present for the product, the issue is that no numbers have been released on what the availability was. The number of units actually sold is still unknown, and if it's a rather low number, investors jumping in now will just be crushed later. The company will also be releasing Windows 8, its new and supposedly much improved operating system, on Oct. 26.
Intel's positive move was probably also due to the Surface news. While the Surface that's been reported to have sold out doesn't reportedly have an Intel chip in it, the Surface for Windows 8, which many expect will soon be available, will have the Intel Core i5 processor in it. So today's news doesn't really add to Intel's bottom line, but it shows that the current Surface has demand, and investors are hoping that rolls into the Windows 8 model. Intel was the Dow's biggest winner, up 0.61%.
While Intel rose when others fell today, that isn't always how things shakes out. For the year, the stock is down 10.97%, while the Dow is up 7.24% even after today's tumble. The company has a number of opportunities and risks it will be facing in the future -- find out what they are and whether Intel is a buy today. Don't wait -- click here today.
The article Why 2 Stocks Defied the Dow's Fall originally appeared on Fool.com.Matt Thalman owns shares of Microsoft. The Motley Fool owns shares of Intel and Microsoft. Motley Fool newsletter services recommend Intel and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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