Agency stocks recovered Oct. 28 as Wall Street bounced back from Oct. 27's 554-point freefall. The Dow Jones Industrial Average rose 337 points to close at 7,498 and the Standard & Poor's 500 Index rose 44 points to close at 921, with most agency stocks recovering a large part of yesterday's losses. CKS Group led the rally, rising $2 to $35.50, a 6% gain, followed by Interpublic Group of Cos., which rose $2.50 to $47.75 in late trading thanks to strong quarterly results posted earlier that day. IPG reported a 29% increase in net income for the third quarter and 22% for the first nine months and a 22% increase in earnings per share for the quarter.
True North Communications rose $0.875 to $23.4375, a 3.9% recovery; Omnicom Group was up $2.125 to $68.125, a 3.2% gain. The exceptions to the rally were British holding companies Cordiant and WPP Group, which were down $0.125 to $6.1875 and $1 to $44.75, respectively, as the overseas markets continued falling.
Copyright October 1997, Crain Communications Inc.