NEW YORK (AP) – Stocks were pulling back in mid-morning trading Monday following four weeks of gains as investors work through another batch of corporate earnings and look ahead to this week’s Federal Reserve policy meeting. Yahoo fell after Verizon Communications announced it would buy most of Yahoo’s internet businesses for $4.83 billion.
KEEPING SCORE: The Dow Jones industrial average lost 108 points, or 0.6 percent, to 18,462 as of 11:10 a.m. Eastern. The Standard & Poor’s 500 index lost 12 points, or 0.6 percent, to 2,163 and the Nasdaq composite lost 12 points, or 0.2 percent, to 5,088.
YAHOO’S DEMISE: Yahoo fell 90 cents, or 2.3 percent, to $38.48 after the company announced that Verizon would buy Yahoo’s advertising, media and email businesses for $4.83 billion, ending a five-month auction. Verizon will add Yahoo to its portfolio of recently purchased media companies, including AOL.
Once finished, Yahoo will be a shell of its former self, existing mainly as a holding company for its Alibaba and Yahoo Japan investments, as well as its patent portfolio.
Verizon shares fell 24 cents, or 0.5 percent, to $55.86.