Syria concerns dampen investor excitement

September 3, 2013: 4:27 PM ET
Nasdaq 4:17pm
Click chart for more markets data.
NEW YORK (CNNMoney)

Worries over potential U.S. action in Syria chilled investor enthusiasm Tuesday and overshadowed optimism surrounding the announcement of two mega-mergers.

All three indexes ended the trading day higher, but pulled back from earlier highs when leaders in the House of Representatives said they would support President Obama's plan for a U.S.-led strike on Syria.

The S&P 500, the Nasdaq, and the Dow rose between 0.1% and 0.5%.

Click here for more on stocks, bonds, commodities, and currencies.

Tech takeovers: The two deals announced over the Labor Day weekend are set to transform the technology industry.

In the second-biggest merger ever, Verizon (VZ) said it will pay $130 billion to take full control of Vodafone, and Microsoft (MSFT) said it was buying Nokia's (NOK) mobile phone business for $7.2 billion.

Related: Wall Street is asleep: Volume at 5-year low

Good economic data: Manufacturing data gave investors additional signs of a global economic rebound. Manufacturing data in the U.S. showed stronger expansion in the sector. Over the long weekend, investors also saw better-than-expected manufacturing reports out of Europe and Asia.

Fear & Greed Index says investors are extremely fearful

Buyers losing out: Microsoft and Verizon -- the two major acquirers over Labor Day weekend -- saw shares sputter when investors greeted their respective deals.

Shares of Microsoft dropped 5% following the deal announcement, while Nokia's shares soared. Traders on StockTwits mocked Microsoft's poor performance in the mobile phone space and thought Blackberry (BBRY) might be as worthy of a takeover as Nokia. (Alternately, Oracle (ORCL) might consider taking over Blackberry.)

DayTradeTK: is it a new trend software companies taking over hardware companies $MSFT and $NOK. hopefully $ORCL and $BBRY

tjross: can $MSFT afford to buy both $NOK and $BBRY? If so, they lock in 3rd spot in mobile race

Monika68: $NOK buy $BBRY: @sonnydelite good idea ;) Then make Android smartphone & make all the Finnish people happily ever after. they love Android.

The new but not much improved Microsoft

Verizon's stock dropped roughly 4% following the buyout. Traders on StockTwits were wary of the deal.

sigfig8: $VZ and $VOD down today on the deal. Who is benefiting then? Was it really a lose-lose?

Maced: $VZ Should have used the $130B to buy more spectrum and content. Why own the other half at peak of subscriber growth

End of cable drama: Investors liked the agreement between Time Warner Cable (TWC) and CBS (CBS), which will end a month-long blackout and restore CBS programming to about 3 million viewers. Both stocks rose Tuesday.

howardlindzon: $CBS and time warner fight is over. I hope we can now all agree on more makeup for 60 minute anchors.

Job listing website LinkedIn (LNKD) announced a plan to sell $1 billion in new equity Tuesday, sending shares lower in after hours trading.

Join the Conversation
Markets
Sponsored by
Index Last Change % Change
Dow 16,987.51 -61.49 -0.36%
Nasdaq 4,567.60 -24.21 -0.53%
S&P 500 1,985.54 -11.91 -0.60%
Treasuries 2.61 0.08 3.28%
Data as of 10:50pm ET
Company Price Change % Change
Bank of America Corp... 16.79 0.22 1.33%
Yahoo! Inc 42.88 1.62 3.93%
Apple Inc 101.66 0.23 0.23%
eBay Inc 52.19 1.51 2.98%
Microsoft Corp 46.70 -0.30 -0.65%
Data as of Sep 12
Overnight Avg Rate Latest Change Last Week
30 yr fixed4.19%4.24%
15 yr fixed3.27%3.18%
5/1 ARM3.38%3.32%
30 yr refi4.18%4.20%
15 yr refi3.26%3.16%
View rates in your area
 
Find personalized rates:
Rate data provided
by Bankrate.com