Closing Bell: Apple Fails to Impress Investors on a Lackluster Day
Stocks on Wall Street hovered around the break-even line for much of the trading session, and finished mixed.
The Dow Industrials (^DJI) dropped 9 points, and the S&P 500 (^GSPC) was just slightly lower. But the Nasdaq (^IXIC) added 4 points.
Many eyes on Wall Street were turned toward California, where Apple (AAPL) held its Worldwide Developers Conference. CEO Tim Cook announced a new operating system for Mac computers, codenamed Mavericks, along with an update to Apple's iOS, which runs on iPhones and iPads. But the big news out of the conference may be iTunes Radio, a streaming music service built into the new operating system. Investors seem disappointed by the announcements, sending Apple shares down a little more than half a percent. One of the big competitors for iTunes Radio, Pandora Media (P), jumped more than 2 percent.
A few other tech stocks also made headlines today. Facebook (FB) jumped 4.5 percent, wiping out last week's losses, following several upbeat analyst notes. Stifel placed a buy rating on the stock, saying it presents "one of the most compelling investments in the Internet sector right now."
Meanwhile, Google (GOOG) gained more than 1 percent on reports that it will buy Waze, an Israeli mapping and navigation startup. The price tag is said to be over $1 billion.
But Microsoft (MSFT) lost some ground after releasing details about its new Xbox One gaming console.
Outside the tech sector, one of the biggest winners was McDonald's (MCD), up more than 1 percent. It reported strong sales at locations open for more than a year, thanks to some new menu items.
On the other side of the spectrum, homebuilders were among the worst performers on the day. Lennar (LEN) slipped nearly 3.5 percent after a downgrade from J.P. Morgan (JPM). D.R. Horton (DHI) and PulteGroup (PHM) also posted steep declines.
And finally, defense contractor Booz Allen Hamilton (BAH) fell more than 2.5 percent. That after one of its employees, Edward Snowden, revealed that he leaked confidential information about the NSA's PRISM surveillance program last week.19227|22334|28531|