GDP Growth Disappoints, Markets Lower At Midday

The markets traded lower during the midday with the Dow tumbling 72 points to 12,167 as the nation's economy expanded at a slower than expected 1.3% annual pace in the second quarter. Nasdaq lost 5 points to 2760.

On the upside

Genworth (NYSE: GNW) swung to a loss for the second quarter as mortgage insurance losses increased but revenue rose to top estimates and the financial services firm said that it may split into two companies.

American Axle and Manufacturing (NYSE: AXL) reported higher second quarter earnings that surpassed analyst expectations and lifted its 2011 sales guidance.

Second quarter earnings surged for Regal Entertainment (NYSE: RGC) and the movie theatre operator declared a quarterly dividend of $0.21 per share payable on September 19, 2011 to shareholders of record September 9, 2011.

On the downside

Amerigroup (NYSE: AGP) blamed higher expenses for sharply lower second quarter earnings that fell short of analyst expectations.

Seeking Alpha contributor The Street Sweeper detailed accounting irregularities at Miller Energy Resources (NYSE: MILL) and disclosed a short position in the company.

RealD (NYSE: RLD) reported record first quarter earnings that more than doubled but revenue fell.

In the broad market, declining issues outpaced advancers by a margin of more than 2 to 1 on the NYSE and by more than 3 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks lost 3 points to 795.