Wednesday, May 11, 2011

US stocks higher as Microsoft buys Skype

NEW YORK - US stocks opened Tuesday higher, extending gains from Monday after jumps on European and Asian markets encouraged by Microsoft 8.5 billion deal to buy Skype.


At 1400 GMT the Dow Jones Industrial Average was 47.38 points (0.37%) at 12,732.06.


Index S & P 500 broad acquired 6.10 points (0.45%) to 1,352.39, then as the tech-heavy Nasdaq Composite rose of 15.41 points (0.54%) to 2,858.66.


Gold and silver also increased, help the industry recover after the rout of last week, while oil edged lower after rising Monday.


Microsoft announced he purchased telephone pioneer Internet Skype to investor group Silver Lake for 8.5 billion cash, the creator of most important Windows ever acquisition.


"Together, we will be able to accelerate Skype plans to expand our global community and to introduce new ways for everyone communicate and collaborate," said CEO of Skype Tony Bates.


Shares of Microsoft fell 0.15% in early trade, but eBay, which still holds 30 percent of Skype sold majority control of Silver Lake in 2009, saw its shares jump 2.6%.


"Indeed it will be sold Skype twice if you think about it," said Jon Ogg from 24/7WallSt.


Ogg called Google and Facebook losers - in the contract the two have been reported in talks with Skype these days. Google shares were 0.42% higher.


Meanwhile, shares in the Chinese social network Chief Renren lose 8.9% to $14.60, just above their price of IPO earlier week of $14.


Bond prices fell. The yield on the 10-year Treasury Note to 3.16% of 3.14% late Monday, while that on the 30-year bond increased from 4.32% from 16: 30 per cent.

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