Stocks Rally on First Trading Day of December
Claman on Call: FBN’s Liz Claman with an after-hours web exclusive on the markets, an E. coli scare at Starbucks, and Valeant stock.
Is it the start of the famed Santa Claus rally? Stocks broke into rally mode on the first day of December to close near session highs. The Dow locked in a gain of 168 points by the closing bell. The S&P topped the psychologically key level of 2100 to close up 22 points at 2102. The Nasdaq added 47 points.
Bad news out late in the session for Starbucks (NASDAQ:SBUX) did not pressure the stock, but the news made headlines.
The coffee chain has been hit by the same E.coli strain as Costco (NASDAQ:COST). Starbucks announced Tuesday that it pulled its holiday turkey panini sandwiches from more than 1,300 U.S. stores last week. The affected stores are in three states; California, Oregon and Nevada. There have been no reports of illness.
CBS (NYSE:CBS) and Viacom (NASDAQ:VIAB) are in the spotlight as the "sex and steaks" legal battle against the chairman of the two media giants heats up.
A small win for Sumner Redstone after a judge rejected a mental health examination of the 92-year-old billionaire. Redstone's ex-girlfriend claimed he was an incompetent "living ghost" obsessed with sex and steak. However, the judge gave the go-ahead for the legal battle over Redstone's ability to serve as chairman.
Embattled pharma giant Valeant (NYSE:VRX) jumped nearly 10% Monday to mark its highest close in a month. There was no clear driver behind the move. Valeant has been clawing its way back after hitting rock bottom two weeks ago. The stock has dropped more than 60% in the past three months after it came under fire for inappropriate ties to the pharmacy Philidor, which has since closed.
And order up a size extra extra small hoodie for the Zuckerberg baby! The founder of Facebook (NASDAQ:FB), Mark Zuckerberg announced that he and his wife Priscilla have given birth to a baby girl. The name? Max. Of course the news was announced via Facebook.