S&P up for sixth day but Apple slip could halt rally
By Rodrigo Campos | January 24, 2013 9:14 AM EST
"People were kind of nervous about earnings coming into this quarter but numbers have shown so far strength in earnings," said King Lip, chief investment officer at Baker Avenue Asset Management in San Francisco.
But Apple , still the largest U.S. publicly traded company, fell more than 4 percent in extended trading after sales of its flagship iPhone came in below analyst targets and quarterly revenue slightly missed Wall Street expectations.
Declining issues beat advancers in both the NYSE and Nasdaq during regular market hours, in a sign the market's rally may be overstretched. The broad Russell 2000 index <.RUT> closed the day down 0.3 percent after earlier hitting and intraday historic high just below 900 points.
Shares in IBM Corp
Also helping the tech sector was a 5.5 percent jump in Google Inc
The S&P technology sector <.SPLRCT> rose 1.2 percent.
The Dow Jones industrial average <.DJI> rose 66.96 points or 0.49 percent, to 13,779.17, the S&P 500 <.SPX> gained 2.22 points or 0.15 percent, to 1,494.78, and the Nasdaq Composite <.IXIC> added 10.49 points or 0.33 percent, to 3,153.67.
The benchmark S&P 500 is a mere 0.35 percent away from hitting 1,500, a level not seen since December 12, 2007.
LED maker Cree Inc
Upscale leather goods maker Coach Inc
Clearing a market hurdle, the U.S. House of Representatives passed a Republican-led plan to extend the country's borrowing authority until mid May. This delays a confrontation in Congress similar to one in 2011, which generated a stalemate that triggered the first-ever U.S. debt rating downgrade.
Thomson Reuters data through Wednesday showed that of the 99 S&P 500 companies that have reported earnings so far, 67.7 percent have topped expectations, above the 65 percent average beat over the past four quarters.
Overall, S&P 500 fourth-quarter earnings rose 2.8 percent, according to Thomson Reuters data. That estimate is above the 1.9 percent forecast at the start of earnings season.
Top U.S. manufacturers sounded a confident note about their expectations for 2013 on Wednesday as fears of the year-end "fiscal cliff" faded into memory.
In the regular session, about 6.1 billion shares changed hands on the New York Stock Exchange, the Nasdaq and NYSE MKT, below the 2012 daily average of about 6.45 billion.
On the NYSE, roughly 15 issues fell for every 14 that rose and on Nasdaq seven declined for every five gainers.
(Reporting by Rodrigo Campos; Editing by Nick Zieminski)