Caterpillar slump highlights risks to the rallyMarch 20, 2013: 1:29 PM ET
Caterpillar reported a sharp drop in sales to its worldwide network of dealers Wednesday, sparking a sell-off in its stock and raising worries of a global slowdown for the construction industry.
In fact, Caterpillar was the only Dow component in the red for much of the day.
Caterpillar's move, along with bad news from Federal Express (FDX, prompted traders on StockTwits to raise questions about cracks in the economy.
Surely not a good sign when two economic bellwethers are lower at the open $CAT $FDX
when $CAT is weak you should be very cautious on the overall market
Investors will have to wait until April 22 for Caterpillar's first-quarter results, but the initial signs aren't very positive.
what's up with copper $JJC, is China really in this bad a shape, $CAT results are gonna be ugly
Not sure I'd go so far as to say China is in bad shape. China set a GDP growth target of 7.5% for the year. That's the same target it had last year, when GDP rose 7.8%.
But good point on copper. Prices have been rising, which could signal some overheating in the property market. Still, it may be too soon to start calling a hard landing.
|Paul Walker's father sues Porsche over actor's death|
|Shoppers descend on Black Friday deals|
|Donald Trump denies mocking reporter's disability|
|World's second biggest diamond is still priceless|
|Chinese executives keep going missing|
- Skechers is winning the sneaker wars(01:05)
- Weight Watchers soars on Oprah investment(01:19)
- Is Starbucks unstoppable?(01:12)
- Goldman is more like a boring bank ... but don't expect toasters(02:16)
- Oil keeps plunging. Here's why.(01:25)
- Can it get any worse for Whole Foods?(01:23)
- The WWE body slams its skeptics(01:29)
- Gold is no longer glittering. Here's why(01:30)