IP stock price hits 52-week high, while Dow, S&P set records

Commercial Appeal (Memphis, TN) |

July 01--International Paper Co.'s stock price reached a 52-week high as the Dow set a record Tuesday, tugging along the share price of an array of Memphis companies.

The Dow Jones Industrial Average climbed to within two points of 17,000, pushed up by investors cheered by new reports of stable factory output in the United States, China and Japan.

While the Dow average rose as high as 16,998.70 before closing at 16,956.07, a 0.8 percent gain, the Standard & Poor's 500 Index climbed 0.7 percent to 1,973.32, also a record close.

The Dow Jones Transportation Average, which includes Memphis-based FedEx Corp., climbed as well on expectations the economic recovery will gain speed and boost deliveries. While the transportation average gained 0.7 percent, FedEx stock rose $1 to close at $152.38, a 0.66-percent gain.

International Paper climbed, too, aided by recent reports of a favorable profit outlook and a deal completed Tuesday to spin off its struggling xpedx distribution business. IP will pocket $400 million in cash and own 51 percent of the new company, Veritiv Corp.



International Paper stock closed at $50.81, a gain of 34 cents, surpassing the 52-week high set on Monday of $50.65.

Other Memphis companies that recorded sizable gains in their stock prices on Tuesday included AutoZone Inc., Education Realty Trust Inc., First Horizon National Corp., Verso Paper Corp. and Wright Medical Group Inc.

Stock analysts were heartened by the broad rise in stock prices across an array of industries.

"The breadth sends a message about the strength of the bull," said Rex Macey, chief allocation officer at Wilmington Trust in Atlanta. "People are comfortable with the story of the economic backdrop that we've got going on. People feel like they're missing the boat and they want to get on."

The confidence among investors was fueled in part by financial data firm Markit reporting its U.S. Manufacturing Purchasing Managers Index rose to 57.3 in June, the highest since May 2010.

___

Bloomberg News contributed to this article.

___

(c)2014 The Commercial Appeal (Memphis, Tenn.)

Visit The Commercial Appeal (Memphis, Tenn.) at www.commercialappeal.com

Distributed by MCT Information Services

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Companies

Symbol Name Price Change % Volume
TSHTY Toshiba Tec Corp ADR 21.32 0.00 0.00 0

Comments

Emerging Growth

Naked Brand Group Inc

Naked Brand Group Inc through its wholly-owned subsidiary is engaged in manufacturing and selling of direct and wholesale men's undergarments to consumers and retailers.

Private Markets

Initial State

Initial State is an Internet of Things (IoT) data analytics & data management platform company. We turn sensor and event data into information that matters by making it easy to…

XY Find It

Founded by serial entrepreneur Arie Trouw, XY Findables follows a single guiding principle: customers should never lose anything important again. With over 50,000 users around the world, more than 100,000…