GDP Report: Friday's Headlines

BOSTON (TheStreet) -- Here are the top stock market headlines for the morning of Friday, July 30, 2010.

Friday's Early Headlines

  • Second-Quarter Economic Growth Slows to 2.4% -- The Commerce Department said its advanced read on U.S. gross domestic product showed a growth rate of 2.4% in the second quarter, down from a revised first-quarter growth of 3.7%. Economists expected GDP to grow 2.5% in the quarter. Later Friday, reports on the Chicago Purchasing Managers' index and consumer sentiment for July will be released.
  • Citigroup to Pay $75 Million to Settle With SEC -- Citigroup (C) has agreed to pay a regulatory penalty of $75 million to settle allegations that it led misled investors about its exposure to subprime mortgages in 2007. The Securities and Exchange Commission announced the settlement on Thursday, noting that the bank neither admitted or denied the allegations while agreeing to the settlement.
  • Disney Sells Miramax Studio for $660 Million -- Disney (DIS) has sold its Miramax film studio for more than $660 million to Filmyard Holdings LLC. Partners in Filmyard include Los Angeles businessmen Ron Tutor, Tom Barrack, Colony Capital and other individuals. Disney said the sale is expected to close between Sept. 10 and the end of the year. Disney bought the studio from Harvey and Bob Weinstein in 1993 for $80 million.
  • SEC Charges Wyly Brothers With Fraud -- The Securities and Exchange Commission on Thursday charged Samuel and Charles Wyly with violating federal securities laws governing ownership and trading of securities by corporate insiders. The SEC alleges that the brothers created an elaborate sham system of trusts and subsidiary companies in the Isle of Man and the Cayman Islands to sell more than $750 million worth of stock in four public companies for which they were corporate directors. They also committed an insider trading violation in one of the companies for an unlawful gain of more than $31.7 million.
  • Spain's Jobless Rate Hits 13-Year High -- Spain's National Statistics Institute said the country's unemployment rate hit 20.09% in the second quarter, the highest level in 13 years. That's up from 20.05% in the first quarter.

Friday's Earnings Roundup

  • Chevron (CVX) said it had second-quarter earnings of $2.70 a share on revenue of $53 billion, above the consensus targets for earnings of $2.44 a share on revenue of $52.5 billion.
  • Merck (MRK) posted second-quarter earnings of 86 cents a share on sales of $11.35 billion, compared with the Thomson Reuters average analyst target for earnings of 83 cents a share on revenue of $11.45 billion. Looking ahead, Merck said it expects full-year earnings of $3.29 to $3.39 a share on revenue of $45.4 billion to $46.1 billion. Analysts forecast full-year earnings of $3.37 a share on revenue of $45.69 billion.
  • McKesson (MCK) reported a fiscal first-quarter profit of $1.10 a share, beating the consensus analyst estimate by a penny. Revenue of $27.5 billion was in line with analyst targets. McKesson reaffirmed its full-year earnings guidance range of $4.72 to $4.92 a share, compared with the Thomson Reuters average estimate of $4.84 a share.
  • American Electric (AEP) said it had second-quarter earnings of 74 cents a share on revenue of $3.4 billion, compared with forecasts the company would report earnings of 69 cents a share on revenue of $3.48 billion. American Electric said it sees full-year earnings in a range of $2.80 to $3.20 a share, compared with the consensus target of $3.02 a share.
  • Newell Rubbermaid (NWL) notched a second-quarter adjusted profit of 51 cents a share on sales of $1.496 billion, compared with the Thomson Reuters average estimate for earnings of 44 cents a share on revenue of $1.52 billion. Newell Rubbermaid said it expects a full-year adjusted profit in a range of $1.40 to $1.50 a share, up from its previous guidance range and in line with the consensus target of $1.47 a share.
  • Weyerhaeuser (WY) said it had a second-quarter adjusted profit of 20 cents a share on revenue of $1.81 billion, coming in ahead of the Thomson Reuters average analyst estimate for earnings of 14 cents a share on revenue of $1.68 billion.

-- Written by Robert Holmes in Boston.

Follow Robert Holmes on Twitter and become a fan of TheStreet.com on Facebook.

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.

More from Opinion

Apple Needs to Figure Out Its Self-Driving Vehicle Strategy

Apple Needs to Figure Out Its Self-Driving Vehicle Strategy

Throwback Thursday: Tesla, Chip Stocks, TheStreet's Picks

Throwback Thursday: Tesla, Chip Stocks, TheStreet's Picks

12 Stocks That Our Writers and Their Sources Recommend You Buy Here

12 Stocks That Our Writers and Their Sources Recommend You Buy Here

Musk Goes on Unoriginal Media Tirade

Musk Goes on Unoriginal Media Tirade

What's Happening in Video Games This Week: On the Road to E3

What's Happening in Video Games This Week: On the Road to E3