Caterpillar's Stock Slumps After December Machine Sales Update

Caterpillar Inc.'s stock slumped 1% in morning trade Wednesday, after the agricultural equipment maker reported sharp declines in machine sales in December. On a rolling three-month period through December, total worldwide machine sales fell 16% from a year ago, led by 38% decline in Latin America and a 21% drop in Asia/Pacific. Within the energy and transportation segment, total sales fell tumbled 32%, led by a 58% plunge in transportation products and a 29% plummet in oil & gas products. The stock has dropped 17% over the past three months, while the Dow Jones Industrial Average has lost 8.6%.