After yesterday’s huge market sell-off, the Dow is rallying today, with 24 of its 30 components showing gains as of early afternoon. Here’s a look at three of the Dow’s best performers, and one of the worst:
Bank of America (NYSE:BAC) is leading losses in the banking sector today on worries over the weak economy, the sovereign debt crisis in Europe, and souring home loans. Financial institutions are concerned that a U.S. credit downgrade, still not off the table despite the recent debt deal, could hurt credit markets, increasing borrowing costs and damaging economic recovery efforts. BAC shares are down 4.53% today.
Kraft (NYSE:KFT) is leading Dow gainers today after the food company announced that it would be spinning off its grocery business, which includes brands like Velveeta, Kraft macaroni and cheese, and Oscar Mayer meats. The grocery business has displayed slower growth than the company’s snack business, which includes Oreos and Trident, though it still generates a lot of cash and has strong profit margins. The split will allow the two very different businesses to pursue their own business strategies while allowing investors to choose between two very different stocks. KFT shares are up 3.55% today.
Exxon (NYSE:XOM) shares got a boost this afternoon when the oil and gas company announced that it would be shutting down production at its Xikomba oil field, located off the coast of Angola. The offshore oil field has been nearing the end of its life cycle for some time now, and production has been low. Exxon shares were down this morning on news that the company and its partners would need to invest $1.3 billion in its Cepu oil block in Indonesia if they want it to reach full output capacity. XOM shares are up 1.94% today.
Procter & Gamble (NYSE:PG) again proved itself to be one of the most stable, reliable companies trading on the markets today. With operations around the world and host of popular brands, P&G’s earnings report this morning showed the company’s net sales grew 10% to $20.9 billion during the fourth quarter and a total of 5% to $82.6 billion for fiscal 2011. PG shares are up 2.79% today.
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