Dow industrials dragged lower in late-morning trade as IBM’s stock drop cuts 40 points

The Dow Jones Industrial Average on Friday morning was being dragged lower on the back of a sharp decline in shares of International Business Machines Corp. The Dow component was down 3.7%, or about $6.14, which translates to a more than 40-point weight on the blue-chip benchmark. The slide in IBM’s shares occurred despite fourth-quarter results that topped Wall Street estimates, and returning to revenue growth. IBM’s shares has beaten earnings expectations for 13 straight quarters but its stock has still suffered. A $1 swing in any one of the Dow’s components translates to a $6.83-point move in the benchmark. The Dow was most recently flat, with Armonk, N.Y.-based technology company anchoring the average lower. The S&P 500 index was up 0.2% at 2,803, while the Nasdaq Composite Index was showing a 0.2% gain at 7,311.

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From:: Stock Market News

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