Shares of manufacturing and transportation companies were flat ahead of earnings season.
Honeywell International ticked down after the conglomerate said it plans to spin off its home and transportation businesses into two new separate companies by the end of next year, a plan endorsed by activist investor Third Point. An analyst with research firm Melius Research said the remainder of Honeywell, which would concentrate on the aerospace business, would be well positioned to consolidate with General Electric's GE Aerospace to create a supplier to Boeing and Airbus that would rival United Technologies in scale.
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Industrials are among the sectors that could positively surprise investors this earnings season, according to one strategist. "Third-quarter earnings season is upon us and this will be another chance for the economy to show it is improving," said Ryan Detrick, senior market strategist at brokerage LPL Financial. "We've seen great numbers in services and manufacturing recently, but the real scorecard is how much money companies are making." Mr. Detrick forecast a strong showing from energy, industrial and tech sectors.
Rob Curran, firstname.lastname@example.org
(END) Dow Jones Newswires
October 10, 2017 16:56 ET (20:56 GMT)