Stocks are flat in mid-day trading today as the U.S. Senate rejected a bill from the House of Representatives that would have raised the national debt ceiling and attempted to balance the federal budget. Though the bill was largely expected to fail, it still garnered a relatively close vote of 51-46. Senate Majority Leader Harry Reid did say that President Barack Obama and House Speaker John Boehner were working on an agreement to raise the debt ceiling. With the August 2 deadline about a week and a half away, there is still no clear plan to resolve the nation’s financial issues and avoid a cataclysmic default on obligations. Earnings announcements for the second quarter, which have been boosting up the market this week, also seem to be losing steam. McDonald’s (MCD) shares hit a record high, trading over $89 today, as the fast food giant beat analyst estimates. But shares of Catepillar (CAT) are weighing down the market as the construction equipment giant disappointed for Q2, attributing to a weaker-than-expected economy. Gold inched back up above $1,600, and oil has settled around $99 but making a push higher.
Major U.S. Stock Indices
DJIA: 12,697.73 (-0.21 percent)
S&P 500: 1,344.82 (+1.02 percent)
NASDAQ: 2,853.81 (+0.70 percent)
Russell 2000: 841.83 (+0.07 percent)
In other news:
- A nice infographic on who owns the $14 trillion in U.S. debt. [The Atlantic]
- Obama and Boehner are working on a deal that would cut $3 trillion from the national budget and raise $1 trillion in tax revenue. [WSJ]
- Who said Obama and Wall Street don’t get along? A new study shows the President is relying more on donations from the finance industry for his re-election than he did in 2008. [CNBC]
- Can Apple (AAPL) really hit $1 trillion market cap? The fashionable consumer tech company is currently at $360 billion, but apparently has the growth rate to do so in three years. [Forbes]
- With Netflix (NFLX) losing a bit of its luster, video-rival Hulu is garnering a lot of attention from potential buyout suitors. [CNN Money]
