The ad spending recovery appears to have gained a foothold, with April spending showing strength in most media, especially TV. Newspapers were helped by Easter sales advertising, but many analysts fear retail advertising will slow down after the back-to-school season ends.
GE Brings Good Things: A strong quarter and very optimistic forecast from General Electric Co. almost saved a week that started with investors still worried about the rising price of oil and weak employment numbers. GE management's late-week comments rallied investors, after the indices had brushed six-week lows earlier in the week. Twelve AdMarket stocks were up for the week, 38 were down.
Economic worries sank agency and media stocks. After a two-week spree based on merger speculation, Grey Global Group shares were down 4.04% for the week. Publicis Groupe and Omnicom Group dropped after JP Morgan analysts reported new rules on accounting of convertible debt could force Omnicom to restate earnings and new international accounting standards could spook Publicis investors.
Advertising Age and Bloomberg's AdMarket 50 index of 50 top publicly traded marketer, agency and media companies for the week ended July 9, based on stock trading data supplied by Bloomberg financial news service. All comparisons are vs. closing prices July 2. Full data available on Bloomberg terminals under index BAAX