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Investors were in a rotten mood Tuesday.Seemingly good results from Dow components Caterpillar, Coca-Cola and United Technologies didn't please Wall Street. The Dow closed down 425 points, or 1.7%, after opening with a 130-point gain. At its worst point of the day, the Dow was down more than 600 points.The Dow has fallen for the past five straight days — its longest losing streak in more than a year — and has given up its gains for the year.Why the nearly 650-point swing in the Dow in a matter of hours? Once investors took a closer look at the results, they focused on the negatives.Caterpillar, for example, warned that profit margins would probably not get any higher this year than they are now.And Coke investors were disappointed that lower prices may have helped drive sales -- even though Diet Coke finally returned to growth. Shares of Caterpillar plunged 6% while Coke's stock lost 2%.Verizon was one of the few companies that posted strong results Tuesday that didn't seem to have any caveats -- and it was rewarded for it. Shares of Verizon rose 2%.But other earnings reports were downright gloomy. 3M, another Dow component, lowered its outlook for the year. That sent its stock plunging 7%. Insurance company Travelers, also in the Dow, fell 3% after its earnings missed forecasts.All this negativity dragged down other old-school, classic industrial Dow companies too. Boeing and DowDuPont both fell about 3%.And tech investors were disappointed by increased expenses at Google parent Alphabet.Related: Why everyone is stressing about the 10-year Treasury Even though Alphabet posted solid gains in earnings and revenue that easily topped Wall Street's estimates, the stock fell 5% — and that helped drag down the S&P 500, Nasdaq and tech titans Apple, Amazon, Microsoft and Facebook.It didn't help that the yield on the 10-year US Treasury note rose above 3% for the first time in more than four years Tuesday morning.If this benchmark bond rate keeps climbing, it may make it more expensive to borrow money for mortgages and auto loans and could eat into profits at big US companies — especially since the Federal Reserve is expected to keep raising short-term rates.Still, one expert said investors may be overreacting to the moves in the bond market."I don't know that there is any magic to the 3.0% level other than it is a nice round number," said Jeff Mills, co-chief investment strategist for PNC Financial Services Group. "There is no rule that says rising rates are bad for the stock market."Mills added that since 1928, stocks have actually done a little bit better when rates have gone up. The market has gained about 11% on average during years that rates have gone up and 9% in years of falling rates.But jittery investors don't seem to care about historical market facts right now. They are selling first and asking questions later.The-CNN-Wire 2887
INTERACTIVE MAPS: HILL & WOOLSEY FIRE | CAMP FIRE(KGTV) — Several wildfires scorched swaths of land in northern and southern California this week, leaving thousands displaced due to evacuations and destroyed homes.Here's a look at where the major fires burning in the state stand:WOOLSEY FIRE (4:50 p.m. Friday)Acreage: 35,000 acresContainment: 0%Evacuations: Bell Canyon, Oak Park, Thousand Oaks, West of Highway 23, South of Bard Lake, South of Highway 101, and all of Malibu. More evacuationsDamages: Multiple structures destroyed, at least 30,000 structures threatened; No injuries reportedThe Latest: Overnight Friday the Woolsey Fire spread rapidly, forcing the City of Malibu to evacuate and driving about 225,000 residents in Ventura and Los Angeles counties from their homes. Fire crews said Friday the blaze has jumped the 101 and is actively burning and has become the primary fire between it and the nearby Hill Fire. Read more 982
Iowa authorities have charged Cristhian Bahena Rivera, 24, with murder in the death of Mollie Tibbetts, a 20-year-old college student who has been missing for five weeks.Here is what we know about Rivera so far. 219
It's official: Black Friday and Cyber Monday are still shopping bonanzas for retailers.Mastercard estimated sales on Black Friday hit billion, surging 9 percent from last year. Cyber Monday may have seen as much as a 19 percent increase from last year, Adobe Analytics predicted. (The final numbers are not yet out.)Although it will take several weeks for the dust to settle, traditional players have emerged as early winners in the holiday shake out. Traffic at Walmart, Target, Best Buy, and Kohl's was strong on Black Friday and into the weekend, analysts say.Black Friday and Cyber Monday were Amazon's biggest shopping days in its history. Customers bought more than 180 million items from Thanksgiving to Cyber Monday, the company said. The early results signal that retailers got a lift from a strong economy, convenient new ways to spend, and the demise of former rivals. All five companies' stock prices rose on Monday, reflecting investor optimism for the holidays.Although fewer shoppers turned out at brick-and-mortar stores, more bought on online and on their smartphones.Overall, traffic to physical stores dipped 1% on Thanksgiving and Black Friday compared to 2017, according to ShopperTrak, a retail consultancy that monitors in-store traffic. Digital analytics firm RetailNext said traffic declined 6.6% during the four-day weekend compared to a year ago."This was a great Black Friday. Consumers came out in droves and retailers stepped up efforts around inventory and servicing," said Marshal Cohen, chief industry adviser at NPD Group. 1578
It might still feel like summer outside, but starting Tuesday, you can once again get your pumpkin spice latte fix at Starbucks.The popular coffee chain says its beloved fall seasonal menu returns to stores on Aug. 25.The lineup offers pumpkin-flavored beverages, treats and more.In addition to the pumpkin spice latte – now in its 17th year – you can sip on a pumpkin cream cold brew, a salted caramel mocha or a salted caramel Frappuccino.If you're hungry, pair your drink with a seasonal baked goods, like Starbucks' pumpkin scone, a pumpkin cream cheese muffin or a slice of pumpkin bread.Starbucks says the fall menu is available at all their U.S. and Canada locations for a limited time and while supplies last.This story was originally published by Mark Sundstrom at WPIX. 787