* Key earnings on tap in week ahead
* Boeing down after profit warning
* U.S. govt tell GM to prepare for bankruptcy-NYT report
* Energy stock off as oil retreats
* S&P down 0.6 pct, Dow down 0.9, Nasdaq off 0.63
* For up-to-the-minute market news click []
By Edward Krudy
(Updates to mid morning)
NEW YORK, April 13 (Reuters) - U.S. stocks fell on Monday
as energy stocks retreated on falling oil prices and Boeing Co
slid after it issued a profit warning, giving investors jitters
ahead of key earnings reports this week.
Exxon Mobil <XOM.N> fell 1.9 percent to $68.55, while
Chevron Corp <CVX.N> lost 3.4 percent to $66.90. U.S. front
month crude fell 6 percent to $49.14 per barrel after the
International Energy Agency lowered its demand forecast.
Adding to concern over earnings season Boeing Co <BA.N>
said after the bell on Thursday first-quarter profit would be
slashed by lower-than-expected airplane prices and production
cuts on its lucrative widebody planes, sending the stock down 6
percent. []
Shares of General Motors <GM.N> were another casualty of
the session's pullback, falling more than 16 percent after a
newspaper report the U.S. Treasury Department is directing the
troubled automaker to prepare for a bankruptcy filing by June 1
despite the company's contention that it could reorganize
outside the court. GM's stock fell more than 15 percent to
$1.71. []
Goldman Sachs <GS.N>, JPMorgan <JPM.N>, Citigroup <C.N> and
General Electric <GE.N> are all set to report their latest
quarterly results this week.
"A lot of what happens this week will depend on the
earnings of those financial companies," said Hugh Johnson,
chief investment officer of Johnson Illington Advisors in
Albany, New York
"Every professional investor knows you cannot sustain the
kind of moves we've had in the last five weeks, so having
corrections in the early stages is more than predictable."
The Dow Jones industrial average <> dropped 113.90
points, or 1.41 percent, to 7,969.48. The Standard & Poor's 500
Index <.SPX> fell 9.02 points, or 1.05 percent, to 847.54. The
Nasdaq Composite Index <> lost 21.45 points, or 1.30
percent, to 1,631.09.
The S&P 500 closed out a five-week rally on Friday which
boosted the broad-based stocks gauge 25.7 percent from closing
lows on March 9. However, the index is still down 5.9 percent
on the year.
Boeing, the chief drag on the Dow, fell 6.3 percent to
$36.68. Barclays cut its price target on the stock to $50 from
$66 on Monday morning.
Bank stocks added to gains seen on Thursday, following
upbeat preliminary results from Wells Fargo & Co. The KBW Bank
index <.BKX> up 3.5 percent. Citigroup <C.N> rose 13.6 percent
to $3.45.
On Nasdaq, Qualcomm <QCOM.O> fell 2 percent to $40.8 as
shares of semiconductor companies gave up some of their gains
from the recent advance. The semiconductor index <.SOXX> fell 3
percent.
Yahoo Inc <YHOO.O> bucked the trend, rising 7.2 percent to
$14.44 after a report that company executives met with
Microsoft <MSFT.O> to discuss potential partnerships between
the companies' Internet search and advertising operations.
In merger news Express Scripts Inc <ESRX.O> has agreed to
buy WellPoint Inc's <WLP.N> NextRx subsidiaries for $4.68
billion, the companies said in a statement. Express Scripts
fell rose 8.5 percent to $53.36, while WellPoint rose 4.64
percent to $42.26. []
(Additional reporting by Leah Schnurr)
(Editing by Theodore d'Afflisio)
