US stocks fall despite giant M&A deals
Market watch top headlines
NEW YORK, Feb 14 AFP
February 15 2013, 01:57AM
Two giant M&A deals, the merger of American Airlines and US Airways, and Berkshire Hathaway's takeover of ketchup maker Heinz, have failed to lift US stocks in opening trade.
Fifteen minutes into trade on Thursday, the Dow Jones Industrial Average was down 32.64 points, or 0.23 per cent, at 13,950.27.
The broad-based S&P 500 dropped 3.82 points, or 0.25 per cent, to 1,516.51.
The tech-rich Nasdaq Composite lost 9.84 points, or 0.31 per cent, to 3,187.04.
US Airways shares fell 1.9 per cent to $US14.33 after the official announcement of its long-awaited merger with American Airlines, creating the largest US carrier. American parent AMR Corp is under bankruptcy reorganisation.
Heinz shares though soared nearly 20 per cent to $US72.51 after the shock announcement that billionaire Warren Buffett's investment firm would partner with 3G Capital to buy Heinz in a deal worth $US28 billion ($A27 billion).