Stocks Open Lower on Mixed Batch of Corporate Profit Reports

Investors focused on disappointing results from Morgan Stanley while overlooking earnings from blue chip companies. The Dow lost 40 points to 7930 while Nasdaq slipped 6 points to 1637.

On the upside

Boeing (NYSE: BA) posted 1st quarter profits that fell in half as the output of aircraft production slowed down along with the global economy. Investors were relieved with the results and snapped up oversold shares.

Restaurant chain P.F. Chang's China Bistro (Nasdaq: PFCB) posted a 33% increase in quarterly profits and narrowly higher revenues despite lower same-store sales and declining foot traffic.

On the downside

Morgan Stanley (NYSE: MS) posted a loss that surpassed expectations as the banking giant took charges due to a weak commercial real estate market.

Wells Fargo (NYSE: WFC) reported a profit that met its upwardly-revised targets. However, its shares were unable to overcome the sell-off in the financial sector.

Continetal Airlines (NYSE: CAL) posted a loss due to reduced travel and a decline of first class passenger bookings.

Yahoo (Nasdaq: YHOO) announced a modest profit and plans to cut 700 jobs.

In the broad market, declining issues outpaced advancers by a margin of more than 3 to 1 on the NYSE and by nearly 4 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks lost 4 points to 466.