AI
Thursday, May 29, 2008 7:07:08 PM
Market Update 080529
http://biz.yahoo.com/mu/update.html
4:25 pm : The stock market posted a solid gain Thursday, its third consecutive advance. Market participants were encouraged by an upward revision to the first quarter economic growth rate and a sharp drop in crude prices.
Crude oil ended the session down 3.5% at $126.40 per barrel after a volatile trading session. In morning trade, crude spiked to a 1.9% gain after the government reported the largest weekly drop in crude inventory levels since 2004. Prices soon reversed, however, on demand concerns and recognition that the plummet in inventory levels was caused by delivery issues and is only temporary.
The Dollar Index advanced 0.7% which also weighed on crude prices, as well as commodities as a whole (-2.4%). Precious metals (-3.9%) took a notable hit, with gold falling 2.6% and silver falling 5.2%.
The declines in oil and commodities weighed on the energy (-2.0%) and material (-1.3%) sectors, which were the only sectors to finish the day with a loss. The rest of the stock market fared well, as the drop in crude and commodity prices helped ease inflation fears.
Financials posted a solid 1.6% gain in a bit of a rebound trade following its more than 6% drop last week. MasterCard (MA 309.00, +22.11), which is not included in the S&P 500, rose to a new lifetime high after the company forecast long-term net income growth of between 20% and 30%.
Merck (MRK 38.92, +0.26) garnered the market's attention on news that two Vioxx verdicts against Merck were overturned, however the stock underperformed the health care sector (+1.5%).
Retail stocks outperformed following a mixed batch of earnings reports. Discount retailers Costco (COST 72.98, -0.26) and Big Lots (BIG 30.66, +2.13) both posted better-than-expected quarterly earnings results, benefiting from consumers' search for bargains. Conversely, Sears Holdings (SHLD 86.14, -3.22) unexpectedly lost $0.53 per share in its latest quarter, excluding items, compared to a profit of $1.15 per share in the prior year. Analysts were expecting a profit of $0.15 per share.
The session's in-line economic data didn't ignite buying interest, but it helped keep selling interest at bay.
First quarter GDP was revised higher to 0.9% from 0.6%, matching the consensus estimate. The reading remains below the 3% normal growth rate, but the result is much better than the alarmist recessionary talk. The change was primarily due to revisions to net exports (+0.6%), nonresidential construction (+0.2%) and inventories (-0.6%).
In a separate report, the number of weekly jobless claims reading held mostly steady at 372,000, which was roughly in-line with expectations. DJ30 +52.19 NASDAQ +21.62 NQ100 +1.0% R2K +1.0% SP400 +0.5% SP500 +7.42 NASDAQ Dec/Adv/Vol 1101/1733/1.95 bln NYSE Dec/Adv/Vol 1175/1924/1.21 bln
3:35 pm : The stock market is drifting lower as the energy sector (-2.1%) slides to its session low. The weakness in the energy sector is broad-based, with all 36 components posting a loss. The largest company in the S&P 500, Exxon Mobil (XOM 89.53, -0.90), is the main laggard.
Despite the recent decline, the major indices continue to post solid gains with the Nasdaq posting a gain nearly twice that of the Dow.DJ30 +52.92 NASDAQ +23.12 SP500 +7.98 NASDAQ Dec/Adv/Vol 1108/1705/1.62 bln NYSE Dec/Adv/Vol 1199/1908/953 mln
3:05 pm : Investors are showing some reluctance to push the market higher, considering this is the third straight session that stocks have advanced. Stocks are posting healthy gains, but have retreated from their best levels.
The energy (-1.6%) and material (-0.9%) sectors stand alone in negative territory. However, they are the best performing sectors year-to-date with materials up 6.0% and energy up 5.5% -- the eight other economic sectors are all in the red for the year.DJ30 +81.74 NASDAQ +24.97 SP500 +9.88 NASDAQ Dec/Adv/Vol 998/1816/1.45 bln NYSE Dec/Adv/Vol 1107/1976/857 mln
2:30 pm : The stock market runs into some modest resistance after establishing fresh session highs. Crude oil is down 3.4%, which is close to its session low when it was down 3.8%.
Buyers are showing particular interest in small-cap stocks, as the Russell 2000 spikes 1.6%. For-profit education provider DeVry (DV 58.20, +3.04) is a leader.DJ30 +11.32 NASDAQ +31.83 SP500 +13.20 NASDAQ Dec/Adv/Vol 928/1842/1.33 bln NYSE Dec/Adv/Vol 1003/2063/793 mln
2:00 pm : The stock market is trading modestly below its session highs. Meanwhile Treasuries are out of favor, with the 10-year note falling 27 ticks, sending its yield to 4.11%.
The dollar (+0.74%) continues to strengthen against a basket of world currencies, which is weighing on commodity prices. Gold ended the session with a loss of 2.8% at $875.70 per ounce and sliver lost 4.8%. The CRB Index is down 2.2%.DJ30 +109.10 NASDAQ +27.60 SP500 +12.12 NASDAQ Dec/Adv/Vol 932/1829/1.20 bln NYSE Dec/Adv/Vol 1042/2010/718 mln
1:35 pm : The major indices are posting solid gains, but buying interest has faded as crude prices recover a bit to a loss of 2.6%. The previous gains in stocks were fueled by broad-based participation, with the exception of the energy (-1.1%) and material (-1.0%) sectors.
The VIX (-6.1%) -- a measure of volatility over the next 30 days -- has fallen in conjunction with the rally in stock prices. The VIX indicates a 5.2% up or down movement in the S&P 500 during the next 30 days.DJ30 +107.88 NASDAQ +28.65 SP500 +11.78 NASDAQ Dec/Adv/Vol 944/1821/1.11 bln NYSE Dec/Adv/Vol 1020/2010/667 mln
1:00 pm : There is quite clearly an oil trade today as the stock market has rallied while oil prices have backed up considerably. Overall, oil prices are down 2.9% for the session to $127.21, but more significantly, they are down 4.5% from the highs they hit shortly after the release of some bullish inventory data at 10:30 ET.
The pullback in crude prices has been exacerbated by a boost in the dollar that is also playing a part in a broader decline across the commodity complex today.
Of the 19 commodities that comprise the CRB Index, only two -- cocoa and lean hogs -- are showing a gain at this juncture. The CRB Index as a whole is down 1.5%.DJ30 +116.43 NASDAQ +30.71 SP500 +12.96 NASDAQ Dec/Adv/Vol 910/1816/960 mln NYSE Dec/Adv/Vol 1069/1958/567 mln
12:35 pm : Stocks are posting solid gains near session highs. The reversal in crude prices is boosting the Amex Airline Index (+3.2%) and the Dow Jones Transportation Average (+1.0%).
Crude oil is currently trading with a loss of 2.3% at $128.01 per barrel. The sharp and unexpected 8.8 million drop in crude inventories was due to temporary delays in crude off-loadings on the Gulf Coast, according to the Department of Energy.DJ30 +91.03 NASDAQ +24.38 SP500 +10.70 NASDAQ Dec/Adv/Vol 1013/1683/885 mln NYSE Dec/Adv/Vol 1114/1888/549 mln
12:00 pm : At midday, the stock market is posting a solid gain at session highs, after fluctuating near the unchanged mark for much of early trade.
An upward revision to first quarter economic growth and steady new unemployment claims are helping to keep sellers at bay. Meanwhile, a retreat in crude prices -- despite a large inventory drop -- is aiding investor sentiment.
On the economic front, first quarter GDP was revised higher to 0.9% from 0.6%, matching the consensus estimate. The reading remains below the 3% normal growth rate, but the result is much better than the alarmist recessionary talk. The change was primarily due to revisions to net exports (+0.6%), nonresidential construction (+0.2%) and inventories (-0.6%).
In a separate report, the weekly jobless claims reading held mostly steady at 372,000, which was in-line with expectations.
Crude oil prices are trading in a volatile manner following the government's weekly energy report, which showed a large and unexpected decline in inventory levels. Prices are currently near session lows with a loss of 2.5% at $127.88 per barrel, after trading up as much as 1.6% following the report.
Eight of the ten economic sectors are trading higher, with financials (+1.9%) showing notable strength. The sector is benefiting from a rebound trade following its more than 6% drop last week. MasterCard (MA 311.41, +24.52), which is not included in the S&P 500, is posting a massive 8.6% gain after giving a long-term forecast of 20% to 30% income growth rate that pleased investors.
Meanwhile, Merck (MRK 39.35, +0.69) is leading the healthcare sector (+1.6%) on news that Vioxx verdicts against Merck were overturned.
Retail stocks are outperforming as traders digest a mixed batch of earnings reports. Discount retailers Costco (COST 71.22, -2.00) and Big Lots (BIG 31.33, +2.80) both posted better-than-expected quarterly earnings results, benefiting from consumers' search for bargains. Conversely, Sears Holdings (SHLD 85.70, -3.66) unexpectedly lost $0.53 per share, excluding items, compared to a profit of $1.15 per share in the prior year. Analysts were expecting a profit of $0.15 per share.
The energy (-1.3%) and materials (-1.1%) sectors are the main laggards as crude and gold (-2.0%) prices fall.DJ30 +71.08 NASDAQ +21.62 SP500 +9.19 NASDAQ Dec/Adv/Vol 973/1704/780 mln NYSE Dec/Adv/Vol 1096/1860/494 mln
11:30 am : Stocks are holding near session highs. The financial sector (+1.5%) is showing notable broad-based strength, with 92% of its components trending higher.
Although not included in the financial sector, MasterCard (MA 312.70, +25.74) is posting a hefty 10% gain as it advances to its all-time high. The company pleased investors with its long term outlook of 20% to 30% income growth.
Crude prices extend their losses, dropping 0.9% to $129.80.DJ30 +44.86 NASDAQ +13.78 SP500 +7.16 NASDAQ Dec/Adv/Vol 1114/1522/656 mln NYSE Dec/Adv/Vol 1185/1716/415 mln
10:55 am : The major indices quickly recover from the recent dip, bouncing to fresh session highs. The Nasdaq is outperforming, thanks to strength in large-cap tech names. Google (GOOG 581.84, +13.60) is providing leadership on encouraging paid-click data from comScore.
Meanwhile, crude prices have traded in a volatile manner. Prices are currently down 0.2% to $130.17, after being down as much as 1.9% and up as much as 1.6%.DJ30 +44.54 NASDAQ +16.58 SP500 +7.31 NASDAQ Dec/Adv/Vol 1047/1509/510 mln NYSE Dec/Adv/Vol 1171/1691/331 mln
10:35 am : The major indices fall from session highs to the unchanged mark on the release of the weekly energy report.
Crude inventories for the week ended May 24 fell by 8.9 million barrels. Analysts expected that inventory levels would be unchanged. Crude prices spike to a gain of 1.5% at $133.10 per barrel after trading down 1.3% to $129.27 just prior to the release.DJ30 -34.49 NASDAQ +2.31 SP500 -1.80 NASDAQ Dec/Adv/Vol 962/1525/349 mln NYSE Dec/Adv/Vol 1116/1697/222 mln
10:00 am : The stock market recovers into positive territory, although gains are modest. Declines in the energy (-1.1%) and materials (-1.5%) sectors are acting as a drag on the broader market as crude prices slip 1.7% and gold prices fall 2.1%. Seven of the ten economic sectors are trading higher, led by health care (+1.0%) and financials (+0.7%).
Retailers are up 1.2% this morning as traders digest a mixed batch of earnings reports. Discount retailers Costco (COST 74.20, +0.96) and Big Lots (BIG 30.80, +2.27) both posted better-than-expected quarterly earnings results, benefiting from consumers' search for bargains. Conversely, Sears Holdings (SHLD 86.66, -2.70) unexpectedly lost $0.53 per share, excluding items, compared to a profit of $1.15 per share in the prior year. Analysts were expecting a profit of $0.15 per share.DJ30 +3.42 NASDAQ +10.59 SP500 +1.59 NASDAQ Dec/Adv/Vol 1012/1300/190 mln NYSE Dec/Adv/Vol 1214/1494/128 mln
09:40 am : The major indices start trading on a sluggish note, as in-line economic data failed to spur buying interest in the early-going.
First quarter GDP was revised higher to 0.9% from 0.6%. The change was primarily due to revisions to net exports (+0.6%), nonresidential construction (+0.2%) and inventories (-0.6%). GDP growth is sluggish at a rate well below 3.0%, but is much better than the alarmist recessionary talk.
In a separate report, the weekly jobless claims report held mostly steady at 372,000, which was also in-line with expectations.DJ30 -8.71 NASDAQ +2.89 SP500 -0.50
09:15 am : S&P futures vs fair value: -2.9. Nasdaq futures vs fair value: +0.2.
08:57 am : S&P futures vs fair value: -1.9. Nasdaq futures vs fair value: -1.5. Futures now indicate a slightly lower start to the day as selling pressure picks up following the in-line economic data.
08:32 am : S&P futures vs fair value: +1.7. Nasdaq futures vs fair value: +3.5. Futures have a muted reaction as two in-line economic reports hit the wires. There was a total of 372,000 jobless claims for the week ended May 24, which is very close to the consensus estimate of 370,000. Separately, the preliminary first quarter GDP reading showed growth of 0.9%, in-line with expectations. Core PCE was revised to 2.1% from 2.2%.
08:00 am : S&P futures vs fair value: +1.1. Nasdaq futures vs fair value: +3.0. Futures indicate a slightly higher start to the trading session. In earnings news, Costco (COST) reported earnings that topped expectations, while Sears Holdings (SHLD) reported an unexpected loss. Investors are awaiting the weekly jobless claim and preliminary GDP readings at 8:30 ET. The weekly energy report is set for release at 10:30 ET. Crude is trading down 0.9% to $129.82 per barrel.
06:19 am : S&P futures vs fair value: flat. Nasdaq futures vs fair value: +2.0.
06:19 am : FTSE...6111.80...+42.20...+0.7%. DAX...7055.31...+21.47...+0.3%.
06:19 am : Nikkei...14124.47...+415.03...+3.0%. Hang Seng...24383.99...+134.48...+0.6%.
http://www.youtube.com/watch?v=gUkbdjetlY8
My posting is for my own entertainment, do your own DD
http://biz.yahoo.com/mu/update.html
4:25 pm : The stock market posted a solid gain Thursday, its third consecutive advance. Market participants were encouraged by an upward revision to the first quarter economic growth rate and a sharp drop in crude prices.
Crude oil ended the session down 3.5% at $126.40 per barrel after a volatile trading session. In morning trade, crude spiked to a 1.9% gain after the government reported the largest weekly drop in crude inventory levels since 2004. Prices soon reversed, however, on demand concerns and recognition that the plummet in inventory levels was caused by delivery issues and is only temporary.
The Dollar Index advanced 0.7% which also weighed on crude prices, as well as commodities as a whole (-2.4%). Precious metals (-3.9%) took a notable hit, with gold falling 2.6% and silver falling 5.2%.
The declines in oil and commodities weighed on the energy (-2.0%) and material (-1.3%) sectors, which were the only sectors to finish the day with a loss. The rest of the stock market fared well, as the drop in crude and commodity prices helped ease inflation fears.
Financials posted a solid 1.6% gain in a bit of a rebound trade following its more than 6% drop last week. MasterCard (MA 309.00, +22.11), which is not included in the S&P 500, rose to a new lifetime high after the company forecast long-term net income growth of between 20% and 30%.
Merck (MRK 38.92, +0.26) garnered the market's attention on news that two Vioxx verdicts against Merck were overturned, however the stock underperformed the health care sector (+1.5%).
Retail stocks outperformed following a mixed batch of earnings reports. Discount retailers Costco (COST 72.98, -0.26) and Big Lots (BIG 30.66, +2.13) both posted better-than-expected quarterly earnings results, benefiting from consumers' search for bargains. Conversely, Sears Holdings (SHLD 86.14, -3.22) unexpectedly lost $0.53 per share in its latest quarter, excluding items, compared to a profit of $1.15 per share in the prior year. Analysts were expecting a profit of $0.15 per share.
The session's in-line economic data didn't ignite buying interest, but it helped keep selling interest at bay.
First quarter GDP was revised higher to 0.9% from 0.6%, matching the consensus estimate. The reading remains below the 3% normal growth rate, but the result is much better than the alarmist recessionary talk. The change was primarily due to revisions to net exports (+0.6%), nonresidential construction (+0.2%) and inventories (-0.6%).
In a separate report, the number of weekly jobless claims reading held mostly steady at 372,000, which was roughly in-line with expectations. DJ30 +52.19 NASDAQ +21.62 NQ100 +1.0% R2K +1.0% SP400 +0.5% SP500 +7.42 NASDAQ Dec/Adv/Vol 1101/1733/1.95 bln NYSE Dec/Adv/Vol 1175/1924/1.21 bln
3:35 pm : The stock market is drifting lower as the energy sector (-2.1%) slides to its session low. The weakness in the energy sector is broad-based, with all 36 components posting a loss. The largest company in the S&P 500, Exxon Mobil (XOM 89.53, -0.90), is the main laggard.
Despite the recent decline, the major indices continue to post solid gains with the Nasdaq posting a gain nearly twice that of the Dow.DJ30 +52.92 NASDAQ +23.12 SP500 +7.98 NASDAQ Dec/Adv/Vol 1108/1705/1.62 bln NYSE Dec/Adv/Vol 1199/1908/953 mln
3:05 pm : Investors are showing some reluctance to push the market higher, considering this is the third straight session that stocks have advanced. Stocks are posting healthy gains, but have retreated from their best levels.
The energy (-1.6%) and material (-0.9%) sectors stand alone in negative territory. However, they are the best performing sectors year-to-date with materials up 6.0% and energy up 5.5% -- the eight other economic sectors are all in the red for the year.DJ30 +81.74 NASDAQ +24.97 SP500 +9.88 NASDAQ Dec/Adv/Vol 998/1816/1.45 bln NYSE Dec/Adv/Vol 1107/1976/857 mln
2:30 pm : The stock market runs into some modest resistance after establishing fresh session highs. Crude oil is down 3.4%, which is close to its session low when it was down 3.8%.
Buyers are showing particular interest in small-cap stocks, as the Russell 2000 spikes 1.6%. For-profit education provider DeVry (DV 58.20, +3.04) is a leader.DJ30 +11.32 NASDAQ +31.83 SP500 +13.20 NASDAQ Dec/Adv/Vol 928/1842/1.33 bln NYSE Dec/Adv/Vol 1003/2063/793 mln
2:00 pm : The stock market is trading modestly below its session highs. Meanwhile Treasuries are out of favor, with the 10-year note falling 27 ticks, sending its yield to 4.11%.
The dollar (+0.74%) continues to strengthen against a basket of world currencies, which is weighing on commodity prices. Gold ended the session with a loss of 2.8% at $875.70 per ounce and sliver lost 4.8%. The CRB Index is down 2.2%.DJ30 +109.10 NASDAQ +27.60 SP500 +12.12 NASDAQ Dec/Adv/Vol 932/1829/1.20 bln NYSE Dec/Adv/Vol 1042/2010/718 mln
1:35 pm : The major indices are posting solid gains, but buying interest has faded as crude prices recover a bit to a loss of 2.6%. The previous gains in stocks were fueled by broad-based participation, with the exception of the energy (-1.1%) and material (-1.0%) sectors.
The VIX (-6.1%) -- a measure of volatility over the next 30 days -- has fallen in conjunction with the rally in stock prices. The VIX indicates a 5.2% up or down movement in the S&P 500 during the next 30 days.DJ30 +107.88 NASDAQ +28.65 SP500 +11.78 NASDAQ Dec/Adv/Vol 944/1821/1.11 bln NYSE Dec/Adv/Vol 1020/2010/667 mln
1:00 pm : There is quite clearly an oil trade today as the stock market has rallied while oil prices have backed up considerably. Overall, oil prices are down 2.9% for the session to $127.21, but more significantly, they are down 4.5% from the highs they hit shortly after the release of some bullish inventory data at 10:30 ET.
The pullback in crude prices has been exacerbated by a boost in the dollar that is also playing a part in a broader decline across the commodity complex today.
Of the 19 commodities that comprise the CRB Index, only two -- cocoa and lean hogs -- are showing a gain at this juncture. The CRB Index as a whole is down 1.5%.DJ30 +116.43 NASDAQ +30.71 SP500 +12.96 NASDAQ Dec/Adv/Vol 910/1816/960 mln NYSE Dec/Adv/Vol 1069/1958/567 mln
12:35 pm : Stocks are posting solid gains near session highs. The reversal in crude prices is boosting the Amex Airline Index (+3.2%) and the Dow Jones Transportation Average (+1.0%).
Crude oil is currently trading with a loss of 2.3% at $128.01 per barrel. The sharp and unexpected 8.8 million drop in crude inventories was due to temporary delays in crude off-loadings on the Gulf Coast, according to the Department of Energy.DJ30 +91.03 NASDAQ +24.38 SP500 +10.70 NASDAQ Dec/Adv/Vol 1013/1683/885 mln NYSE Dec/Adv/Vol 1114/1888/549 mln
12:00 pm : At midday, the stock market is posting a solid gain at session highs, after fluctuating near the unchanged mark for much of early trade.
An upward revision to first quarter economic growth and steady new unemployment claims are helping to keep sellers at bay. Meanwhile, a retreat in crude prices -- despite a large inventory drop -- is aiding investor sentiment.
On the economic front, first quarter GDP was revised higher to 0.9% from 0.6%, matching the consensus estimate. The reading remains below the 3% normal growth rate, but the result is much better than the alarmist recessionary talk. The change was primarily due to revisions to net exports (+0.6%), nonresidential construction (+0.2%) and inventories (-0.6%).
In a separate report, the weekly jobless claims reading held mostly steady at 372,000, which was in-line with expectations.
Crude oil prices are trading in a volatile manner following the government's weekly energy report, which showed a large and unexpected decline in inventory levels. Prices are currently near session lows with a loss of 2.5% at $127.88 per barrel, after trading up as much as 1.6% following the report.
Eight of the ten economic sectors are trading higher, with financials (+1.9%) showing notable strength. The sector is benefiting from a rebound trade following its more than 6% drop last week. MasterCard (MA 311.41, +24.52), which is not included in the S&P 500, is posting a massive 8.6% gain after giving a long-term forecast of 20% to 30% income growth rate that pleased investors.
Meanwhile, Merck (MRK 39.35, +0.69) is leading the healthcare sector (+1.6%) on news that Vioxx verdicts against Merck were overturned.
Retail stocks are outperforming as traders digest a mixed batch of earnings reports. Discount retailers Costco (COST 71.22, -2.00) and Big Lots (BIG 31.33, +2.80) both posted better-than-expected quarterly earnings results, benefiting from consumers' search for bargains. Conversely, Sears Holdings (SHLD 85.70, -3.66) unexpectedly lost $0.53 per share, excluding items, compared to a profit of $1.15 per share in the prior year. Analysts were expecting a profit of $0.15 per share.
The energy (-1.3%) and materials (-1.1%) sectors are the main laggards as crude and gold (-2.0%) prices fall.DJ30 +71.08 NASDAQ +21.62 SP500 +9.19 NASDAQ Dec/Adv/Vol 973/1704/780 mln NYSE Dec/Adv/Vol 1096/1860/494 mln
11:30 am : Stocks are holding near session highs. The financial sector (+1.5%) is showing notable broad-based strength, with 92% of its components trending higher.
Although not included in the financial sector, MasterCard (MA 312.70, +25.74) is posting a hefty 10% gain as it advances to its all-time high. The company pleased investors with its long term outlook of 20% to 30% income growth.
Crude prices extend their losses, dropping 0.9% to $129.80.DJ30 +44.86 NASDAQ +13.78 SP500 +7.16 NASDAQ Dec/Adv/Vol 1114/1522/656 mln NYSE Dec/Adv/Vol 1185/1716/415 mln
10:55 am : The major indices quickly recover from the recent dip, bouncing to fresh session highs. The Nasdaq is outperforming, thanks to strength in large-cap tech names. Google (GOOG 581.84, +13.60) is providing leadership on encouraging paid-click data from comScore.
Meanwhile, crude prices have traded in a volatile manner. Prices are currently down 0.2% to $130.17, after being down as much as 1.9% and up as much as 1.6%.DJ30 +44.54 NASDAQ +16.58 SP500 +7.31 NASDAQ Dec/Adv/Vol 1047/1509/510 mln NYSE Dec/Adv/Vol 1171/1691/331 mln
10:35 am : The major indices fall from session highs to the unchanged mark on the release of the weekly energy report.
Crude inventories for the week ended May 24 fell by 8.9 million barrels. Analysts expected that inventory levels would be unchanged. Crude prices spike to a gain of 1.5% at $133.10 per barrel after trading down 1.3% to $129.27 just prior to the release.DJ30 -34.49 NASDAQ +2.31 SP500 -1.80 NASDAQ Dec/Adv/Vol 962/1525/349 mln NYSE Dec/Adv/Vol 1116/1697/222 mln
10:00 am : The stock market recovers into positive territory, although gains are modest. Declines in the energy (-1.1%) and materials (-1.5%) sectors are acting as a drag on the broader market as crude prices slip 1.7% and gold prices fall 2.1%. Seven of the ten economic sectors are trading higher, led by health care (+1.0%) and financials (+0.7%).
Retailers are up 1.2% this morning as traders digest a mixed batch of earnings reports. Discount retailers Costco (COST 74.20, +0.96) and Big Lots (BIG 30.80, +2.27) both posted better-than-expected quarterly earnings results, benefiting from consumers' search for bargains. Conversely, Sears Holdings (SHLD 86.66, -2.70) unexpectedly lost $0.53 per share, excluding items, compared to a profit of $1.15 per share in the prior year. Analysts were expecting a profit of $0.15 per share.DJ30 +3.42 NASDAQ +10.59 SP500 +1.59 NASDAQ Dec/Adv/Vol 1012/1300/190 mln NYSE Dec/Adv/Vol 1214/1494/128 mln
09:40 am : The major indices start trading on a sluggish note, as in-line economic data failed to spur buying interest in the early-going.
First quarter GDP was revised higher to 0.9% from 0.6%. The change was primarily due to revisions to net exports (+0.6%), nonresidential construction (+0.2%) and inventories (-0.6%). GDP growth is sluggish at a rate well below 3.0%, but is much better than the alarmist recessionary talk.
In a separate report, the weekly jobless claims report held mostly steady at 372,000, which was also in-line with expectations.DJ30 -8.71 NASDAQ +2.89 SP500 -0.50
09:15 am : S&P futures vs fair value: -2.9. Nasdaq futures vs fair value: +0.2.
08:57 am : S&P futures vs fair value: -1.9. Nasdaq futures vs fair value: -1.5. Futures now indicate a slightly lower start to the day as selling pressure picks up following the in-line economic data.
08:32 am : S&P futures vs fair value: +1.7. Nasdaq futures vs fair value: +3.5. Futures have a muted reaction as two in-line economic reports hit the wires. There was a total of 372,000 jobless claims for the week ended May 24, which is very close to the consensus estimate of 370,000. Separately, the preliminary first quarter GDP reading showed growth of 0.9%, in-line with expectations. Core PCE was revised to 2.1% from 2.2%.
08:00 am : S&P futures vs fair value: +1.1. Nasdaq futures vs fair value: +3.0. Futures indicate a slightly higher start to the trading session. In earnings news, Costco (COST) reported earnings that topped expectations, while Sears Holdings (SHLD) reported an unexpected loss. Investors are awaiting the weekly jobless claim and preliminary GDP readings at 8:30 ET. The weekly energy report is set for release at 10:30 ET. Crude is trading down 0.9% to $129.82 per barrel.
06:19 am : S&P futures vs fair value: flat. Nasdaq futures vs fair value: +2.0.
06:19 am : FTSE...6111.80...+42.20...+0.7%. DAX...7055.31...+21.47...+0.3%.
06:19 am : Nikkei...14124.47...+415.03...+3.0%. Hang Seng...24383.99...+134.48...+0.6%.
http://www.youtube.com/watch?v=gUkbdjetlY8 My posting is for my own entertainment, do your own DD
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