Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!usa-post Newsgroups: usa-today.invest From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: invest Tue, Apr 14 1992 Date: Tue, 14 Apr 92 05:42:44 EDT Message-ID: 04-14 0000 DECISIONLINE: Personal Investing USA TODAY Update April 14, 1992 Source: USA TODAY:Gannett National Information Network DOW OVERCOMES DAY'S EVENTS: Another Japanese market plunge and flood-paralyzed Chicago futures markets couldn't stop the Dow Jones industrial average from adding 14.53 points to 3269.90 on Monday. The Dow has risen three straight days. The Nikkei index lost 614.01 points to 17,236.65. The Chicago Board of Trade, the Chicago Mercantile Exchange and the Chicago Board Options Exchange closed early because of a flood. NYSE'S VOLUME SLOWED: The early closing of Chicago futures markets kept investors from trading stock options and stock futures. That cut down volume on the New York Stock Exchange. NYSE volume was just 143.14 million shares, down from 199.53 million Friday. The NYSE said it couldn't tell how much the Chicago flood slowed trading. But 5% or less of NYSE volume usually is tied to trading on Chicago futures markets. PAYROLL PROCESSING PAYING OFF: Payroll processors Automatic Data Processing and Paychex are profiting from the return to their services by small businesses betting on an economic recovery. At ADP, revenue jumped 10% in January and again in February from the same months last year, says analyst Terry Quinn, who rates the stock a buy. Paychex revenue surged 18% last quarter, when it reported 63% higher net income. PAYCHEX'S STOCK POSTS GAIN: Analyst Brian Stack says ADP and Paychex are "competing in a relatively unpenetrated market." Paychex's stock has been rising. Monday, the stock added 1 to $37 3:4 - up 94% from its 52-week low of $19 1:2. Paychex could become another ADP, which "made people a fortune over a long span of time," stack says. ADP shares, as low as $25 last year, were down 3:8 at $43 1:2 Monday. GM'S STEMPEL TOOK PAY CUT: General Motors disclosed Monday that Chairman Robert Stempel took a 31% pay cut last year, making him the U.S. auto industry's lowest-paid CEO. The news was contained in GM's proxy statement to shareholders. The proxy shows Stempel earned $1 million, down from $1.4 million in 1990. GM's $4.5 billion 1991 loss set a U.S. corporate record. GM stock closed Monday at $39, up 3:8. EARNINGS NEWS MOVES SHARES: Investors who have been waiting for first-quarter earnings Monday finally got a glimpse from some well-known companies. ALCOA jumped 5 3:4 to $73 3:4. ALCOA reported that first-quarter earnings fell 22% to 89 cents a share. Analysts had expected the company to earn only 23 cents. General Electric fell 3:4 to $75 1:4 even though it reported first-quarter earnings of $1.23 a share. INTEL SEEN FALLING FURTHER: IBM rose 1 1:2 to $87 1:2 Monday on optimism that there will be good news in the computer giant's first-quarter earnings, due Tuesday. Among other high-tech stocks: Adobe Systems climbed 2 3:8 to $42 1:4. Sierra Semiconductor gained 1 5:8 to $18 1:8. Intel slid 1 1:4 to $49 7:8. Volume Reversal Survey Editor Mark Leibovit says the stock could fall to between $41 and $46. RATES FALL AT T-BILL AUCTION: Rates on short-term Treasury securities fell at Monday's auction to the lowest in 20 years. The Treasury sold $11.4 billion in three-month bills at an average discount rate of 3.60%, down from 3.95% last week and the lowest since May 1972. And $11.4 billion in six-month bills was sold at an average discount rate of 3.73%, down from 4.02% and the lowest since February 1972. GOLD, SILVER DOWN: Gold and silver prices dropped on Monday. On the Commodity Exchange, gold closed at $339.20 a troy ounce, down $1.90. Republic National Bank quoted gold bullion at $338.80 an ounce, down $1.85. The metal also fell in London and Zurich. On the Comex, silver for current delivery settled $4.085 an ounce, down 1.5 cents. Silver bullion rose in London. DOW JONES OPENS ON UPSWING: The Dow Jones average of 30 industrials opens Tuesday at 3269.90, after closing up 14.53 points Monday. The New York Stock Exchange composite opens at 224.16, up 0.89. The American Stock Exchange market value opens at 388.89, up 0.88. The NASDAQ OTC composite opens at 588.15, up 3.91. DOLLAR OPENS UP OVERSEAS: The dollar opens up on Tuesday. It opens at 0.5688 British pounds, up from 0.5661; 5.5750 French francs, up from 5.4988; 1.6571 German marks, up from 1.6360; and 133.37 Japanese yen, up from 132.86. (As of 3 p.m. Monday. Source: First American Bank of New York.) 24-HOUR TELEPHONE INFORMATION: USA TODAY Money Hot Line. 95 cents a minute. 1-900-555-5555. Personal Investing Editor: William Snoddy. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM