Market Minute: Fed Stimulus Decision Looms; AMA Scrutinizes Energy Drinks
Investors await Bernanke, and a doctors group wants to ban a popular consumer product. Those and more are what's in business news Wednesday.
The streak of triple-digit moves for the Dow industrials (^DJI) is now at six in a row. The Dow rose 138 points Tuesday, the S&P 500 (^GSPC) added 12 points and the Nasdaq (^IXIC) gained 30.
Despite the recent volatility, investors could press the pause button until the Federal Reserve releases info from its policy-setting meeting Wednesday afternoon, and Chairman Ben Bernanke answers questions about when and how the central bank will begin to cut back on its stimulus efforts. He'll likely try to manage investor expectations about Fed policy.
The American Medical Association is calling for a ban on the advertising of high energy drinks to kids under 18. The group is concerned about studies showing drinks such as Monster Beverage and Red Bull are linked to heart and other health problems. PepsiCo (PEP) and Coca-Cola (KO) also make highly caffeinated energy drinks.
Viacom's (VIA) Nickelodeon unit is refusing to bow to critics who want it to stop airing ads for foods that don't meet certain nutritional standards. According to The New York Times, Nickelodeon says its mission is to make quality entertainment programs, and it will leave the science of nutrition to the experts.
FedEx (FDX) earnings topped expectations and revenue edged higher. The company is often considered a bellwether for the broader economy, as it touches almost all segments of business. Prior to the numbers, a Raymond James analyst said FedEx is still an attractive long-term investment.
Adobe Systems (ADBE) earnings tumbled 66 percent from a year ago, but still beat expectations. The business-software firm cited strong demand for its subscription-based Creative Cloud package.
Furniture maker La-Z-Boy (LZB) is sitting pretty after topping expectations, and Eli Lilly & Co.'s (LLY) Zyprexa is under scrutiny after the deaths of two patients taking an injectable form of the anti-psychotic drug. The company and the Food and Drug Administration are investigating.
-Produced by Drew Trachtenberg