China's announcement of an 18% increase in fuel prices sent oil prices tumbling to lift the market to a modestly higher close with the Dow adding 34 points to 12,063. Nasdaq surged 32 points to 2462.
On the upside
In response to record fuel expenses, UAL Corp. (Nasdaq: UAUA) and Continental Airlines (NYSE: CAL) announced an initiative for global cooperation.
A lawsuit has been filed by 28 airline passengers to block to proposed merger between Delta Air Lines (NYSE: DAL) and Northwest Airlines (NYSE: NWA).
Cott (NYSE: COT) announced a restructuring plan to reduce costs by eliminating jobs while developing its private label soda business.
On the downside
BluePhoenix Solutions (Nasdaq: BPHX) forecast second quarter results below expectations.
Coventry Health Care (NYSE: CVH) blamed higher expenses for lowering its second quarter as well as its full year outlook prompting a downgrade.
Standard & Poor's Ratings Services downgraded WellCare Health Plans' (NYSE: WCG) counterparty credit rating saying that the company's surplus funds were lower than expected.
In the broad market, declining issues barely edged out advancers on the NYSE while advancers outpaced decliners by 7 to 5 on Nasdaq. The Russell 2000 which tracks small cap stocks gained 7 points to 738.