The markets opened lower to news of Microsoft abandoning its bid for Yahoo while analysts awaited the latest service sector activity report. The Dow lost 36 points to 13,006 while Nasdaq slipped a point to 2475.
On the upside
Comerica (NYSE: CMA) was upgrade an analyst who cited the bank's low valuation and limited exposure to risky consumer loans.
Shares of UST (NYSE: UST) rose due to positive opinion from analysts on the smokeless tobacco maker.
Shares of Yahoo (Nasdaq: YHOO) dropped after Microsoft (Nasdaq: MSFT) withdrew its offer for the Internet portal. The news broke over the weekend.
On the downside
An analyst suggested that Bank of America (NYSE: BAC) cancel its acquisition of Countrywide Financial (NYSE: CFC) or at least lower the offer price.
Shares of American Capital Strategies (Nasdaq: ACAS) dropped after an analyst downgraded the investment company to a "sell".
In the broad market, declining issues outpaced advancers by a margin
of 6 to 5 on the NYSE and by a slim margin on Nasdaq. The Russell 2000 which tracks small cap
stocks fell 2 points to 723.