Intel shares got an early boost Monday after the chip giant raised sales guidance, but like the rest of the market, it ended the day flat on worries about what the Federal Reserve will do with interest rates when it meets next week.
Intel said it expects current quarter sales of $9.4-$9.8 billion, at the top end of analysts’ estimates and above the guidance the company gave in July. Intel said it expects gross margins of 52%, more or less, in line with expectations.
Intel cited “stronger than expected worldwide demand” for the new guidance. The company will report full results Oct. 16.
The company’s shares traded more than 3% higher at one point, but faded to end the day half a percent lower.
The rest of the market finished unchanged on a volatile day, as traders parsed Federal Reserve speeches for signs that the Fed will cut interest rates after Friday’s surprising decline in August employment. Fed Chairman Ben Bernanke will speak on Tuesday.
Texas Instruments slipped ahead of its mid-quarter update due out late Tuesday.
Apple jumped nearly 4% after selling its one millionth iPhone sooner than expected.
AMD gained 2.6% on a new Opteron chip.
The Nasdaq lost 6 to 2559, the S&P 500 slipped 1 to 1451, and the Dow gained 14 to 13,127. Volume declined to 2.82 billion shares on the NYSE, and 1.81 billion on the Nasdaq. Declining issues led by a 19-12 margin on the NYSE, and 19-10 on the Nasdaq. Downside volume was 66% on the NYSE, and 59% on the Nasdaq. New highs-new lows were 36-134 on the NYSE, and 55-125 on the Nasdaq.
