Record Quarter For Dell Sends Stocks Up - Forbes.com

Record Quarter For Dell Sends Stocks Up - Forbes.comBusiness News Bulletin
Record Quarter For Dell Sends Stocks Up
Annalisa Burgos, 08.11.05, 5:35 PM ET

In the headlines this afternoon, a record second quarter for Dell.

Earnings jumped 32% for the computer giant on record shipments of computer systems, software and peripheral products. The results met expectations, but revenue fell short of analysts' estimates.

U.S. stocks ended higher, as investors focused on good news from Yahoo! (nasdaq: YHOO - news - people ) and Target (nyse: TGT - news - people ) and ignored surging oil prices. Crude futures hit an all-time high of $66 a barrel amid disruptions at U.S. refineries. Gasoline and heating oil also rose to record highs.

The record oil prices is bad news for the airline industry. United Airlines, which is held by UAL (otc: UALAQ - news - people ), Delta Air Lines (nyse: DAL - news - people ) and Continental Airlines (nyse: CAL - news - people ) are all boosting fares as they struggle with rising fuel costs.

United raised fares $2 to $5 for each one-way leg of a trip. Delta raised fares $10 for each leg of a trip, except in markets where it faces low-cost competition, where the fares will rise by $3 to $5 per leg. Continental said it's matching Delta's fare hikes.

In other news, the former financial chief of WorldCom, Scott Sullivan was sentenced to five years in prison for his role in the company's $11 billion accounting fraud.

And check out Albert Bozzo's interview with attorney Marvin Pickholz about his thoughts on Sullivan's sentence.

That's it for today. Be sure to check out our special reports, and stay logged on to Forbes.com.