Stocks Remain in the Red

FedEx falls after its disappointing forecast, while Morgan Stanley gets past estimates.
Author:
Publish date:

Updated from 9:54 a.m. EDT

Stocks on Wall Street continued to trade in negative territory midday Wednesday, as traders digested mixed results from

FedEx

(FDX) - Get Report

and

Morgan Stanley

(MS) - Get Report

.

The

Dow Jones Industrial Average

was down 84 points at 12,075, and the

S&P 500

was losing 9 points to 1341. The

Nasdaq

was slipping 21 points to 2436.

Wednesday got underway with quarterly results from the third investment bank of the week, Morgan Stanley, which topped profit estimates by 3 cents a share in the latest quarter. By comparison, on Monday

Lehman Brothers

(LEH)

said it lost nearly $3 billion in its most recent quarter, while

Goldman Sachs

(GS) - Get Report

easily surpassed estimates a day ago.

Elsewhere, FedEx posted a quarterly loss and offered disappointing projections for the fiscal first quarter and 2009, sending its shares down 4.6% in early action.

Regional bank

Fifth Third

(FITB) - Get Report

was also in the headlines following word that it will sell some businesses, offer $1 billion in preferred stock and substantially reduce its dividend.

Away from stocks, the dollar was slightly stronger against its major counterparts, gaining ground on the euro, the yen and the pound. Treasury prices were higher. The 10-year was up 2/32, yielding 4.19%, and the 30-year bond was tacking on 3/32 to yield 4.76%.

Among commodities, crude oil was down $1.26 at $132.75 a barrel, and gold was down 1 cent at $886.80.

Overseas, Asia's major markets were in the green overnight. Tokyo's Nikkei was up 0.7%, and the Hong Kong Hang Seng was better by 1.2%. Europe, though, was a different story. London's FTSE was falling 1.7%, Frankfurt's Dax was off 0.9%, and the Paris Cac was declining 1.2%.