U.S. Stocks opened with a modest loss on Wednesday as China has decided to raise its interest rate by another 25 Bps. This was the third time so far this year, China has decided to raise rate in order to curb rising inflation.
The Dow Jones Industrial Average was up 11.80 (0.09%) to 12,581.67, S&P 500 fell 1.52 (-0.11%) to 1,336.36 and NASDAQ lost 1.28 (-0.05%) to 2,824.49.
European stocks are pushing U.S stocks lower with almost all of the European major indices slumped about 1% each.
Stocks In News:
OmniVision Technologies, Inc. (NASDAQ:OVTI) slumped 9% in the opening following the company’s former senior director at Flextronics International, Walter Shimoon, found guilty in bribery case, whereby he received $200 an hour by an expert network firm to spill inside information to hedge funds.
Hutchinson Technology Incorporated (NASDAQ:HTCH) surged 16% to $2.63 after the company reported updates its preliminary third quarter and said that its shipment for suspension assemblies jumped 15% sequentially to 118 million from 102.3 million. Revenue during the quarter grew 14% to $63.3 million.
Sodastream International Limited (NASDAQ:SODA) climbed 6.53% to $74.98 and made a new 52-week high of $75.73 after it said that it has started working on n a new 850,000 square-foot manufacturing facility in Israel on Wednesday, which is expected to cost about 30 million by 2013.
DragonWave, Inc.(USA) (NASDAQ:DRWI) slumped 10% after the company’s Vice President of Worldwide Sales, Brian McCormack, has decided to leave the company.
Financial Stocks are trading mixed with Citigroup Inc. (NYSE:C) among the top losers and slid 1.80%.
European banks slid after Moody’s slashed its rating on Portugal’s debt to junk status late Tuesday. Barclays PLC (ADR) (NYSE:BCS) slid 4.50% to $15.99, UBS AG (USA) (NYSE:UBS) fell 2.25%.