AI
Thursday, September 11, 2008 7:24:20 PM
Market Update 080911
http://biz.yahoo.com/mu/update.html
4:30 pm : Trading has been marked by uncertainty during recent sessions and Thursday was no exception. The uncertainty prompted the major indices to open sharply lower as jittery traders fretted over financial stocks and a lack of leadership.
Financials were down more than 4% in the early going as participants placed heavy selling pressure on investment banks and brokerages (-4.6%). Investors pushed the group aside amid continued concerns regarding the future of Lehman Brothers (LEH 4.22, -3.03). Shares of LEH were downgraded this morning by a few Wall Street firms. However, word from The Wall Street Journal that Bank of America (BAC 33.06, +0.66) is in talks to buy Lehman prompted a last minute upward push in the sector.
Though the financial sector spent most of the session facing losses, it was able to close 1.7% higher.
Most of the session was marked by a lack of convincing leadership, which led to choppy trading. Still, the stock market turned an early loss of 1.7% into a 1.5% gain. All ten of the economic sectors opened lower, but nine managed to finish with a gain as the late financial rally pulled just about everything higher into the close.
Stocks also seemed to move more independently of oil prices during the session. Crude futures spent virtually the entire session in the red, extending their downturn, slipping more than 1.5% to close below $101 per barrel. Crude has not been below the $100 mark in over five months.
The decline in oil prices helped oil and gas refiners (+8.3%). Refiners are benefiting from wider crack spreads, effectively the difference between prices paid for crude and the prices charged for consumable fuels, as well as tighter supplies as they take their operations offline amid hurricane threats.
Uninspiring economic data gave investors little incentive to move into stocks in the early-going. Initial jobless claims for the week ended Sept. 6 declined 6,000 to 445,000. Claims were slightly ahead of the consensus estimate. Meanwhile, continuing claims rose by more than 100,000 to 3.525 million from the prior week, reflecting a softening labor market.
Meanwhile, the July trade deficit widened $62.2 billion from the prior month, surpassing the $58.0 billion deficit that was widely expected. The trade deficit figures received little attention, though the trend in the real (price adjusted) trade deficit continues to suggest they will support third quarter GDP.DJ30 +164.79 NASDAQ +29.52 NQ100 +2.1% R2K +0.3% SP400 +0.5% SP500 +17.01 NASDAQ Adv/Vol/Dec 1286/2.31 bln/1539 NYSE Adv/Vol/Dec 1400/1.45 bln/1762
3:30 pm : Stocks dip from their best levels, sending the Dow and S&P 500 back to the unchanged mark. Financials are seeing the most selling interest (-1.4%).
Within the financial sector, investment banks and brokerages (-6.6%) and multi-line insurance (-5.6%) companies are posting the steepest decline. Washington Mutual (WM 2.29, -0.03), however, made a nice recovery from session lows -- it is currently down 1.3% after rebounding from an early loss of 25%.
Fed Reserve Vice Chairman Donald Kohn said it is encouraging that the pace of housing price declines are slowing in some markets. However, he added that mortgage conditions are still tightening, and it is not clear if housing prices are close to finding a bottom.DJ30 -12.62 NASDAQ +6.34 SP500 -0.59 NASDAQ Adv/Vol/Dec 988/1.88 bln/1800 NYSE Adv/Vol/Dec 1009/1.11 bln/2139
3:00 pm : After making their way higher the major indices encountered a bit of selling pressure. However, they have successfully resisted those efforts and are holding on to solid gains.
More than half the stocks listed in the S&P 500 are sporting gains. More than 90% were showing losses shortly after the opening bell.
Leadership has been transferred to financial heavyweights Wells Fargo (WFC 33.32, +1.62) and JPMorgan Chase (JPM 40.88, +1.48). Though both companies saw selling pressure in the early going, their shares have been preferred over smaller financial holdings with weaker prospects and fundamentals.DJ30 +49.58 NASDAQ +12.07 SP500 +4.79 NASDAQ Adv/Vol/Dec 1104/1.69 bln/1663 NYSE Adv/Vol/Dec 1142/1.01 bln/2007
2:30 pm : The stock market has climbed to new session highs. The change in sentiment is impressive.
Telecom (-1.0%) is the only economic sector in the S&P 500 still trading lower, though it is off its session low of -2.3%. Losses were deep and widespread early on when all ten of the sectors showed losses.
Losses were initially steepest among financials. The sector was down 4.2% at its low and is now trading 0.1% higher as investors pick up depressed names. Though the sector continues to come under pressure, it is more than 22% higher than its low, which was reached mid-June.DJ30 +51.05 NASDAQ +12.28 SP500 +6.30 NASDAQ Adv/Vol/Dec 1102/1.55 bln/1652 NYSE Adv/Vol/Dec 1206/935 mln/1939
2:05 pm : Stocks have made a concerted upturn. There is no single, distinctive news item behind the push. The recent gains are broad-based.
While the major indices have made their way higher, the Russell 2000 continues to trade with a meaningful loss. It is currently down 0.6% after seeing a 2.3% drop shortly after the opening bell.
Of its primary laggards, Kenexa (KNXA 16.15, -5.99) is leading the list. Kenexa issued downside guidance after yesterday's close. The shares have also been downgraded at select firms.DJ30 -0.98 NASDAQ +4.12 SP500 +0.09 NASDAQ Adv/Vol/Dec 941/1.41 bln/1795 NYSE Adv/Vol/Dec 1014/860 mln/2120
1:30 pm : Stocks continue to descend, unable to sustain their recent rally. The S&P 500 swung from a 1.7% loss early on to a gain of 0.4% at its session high. The index is now showing losses and is at its lowest level of the afternoon.
Despite early losses, the health care sector (+0.2%) has spent most of the session in the green. Health care recently replaced the energy sector (-0.7%) as the third largest economic sector in the S&P 500. However, it still lacks the influence to offset losses in technology (-0.3%) and financials (-1.8%), which represent the two largest sectors, respectively.DJ30 -70.84 NASDAQ -6.99 SP500 -7.42 NASDAQ Adv/Vol/Dec 792/1.30 bln/1941 NYSE Adv/Vol/Dec 774/795 mln/2349
1:00 pm : The Nasdaq continues to ouperform its counterparts. Weakness in the S&P 500 and the Dow continue to center on weakness in financials.
American International Group (AIG 15.15, -2.35) is one of the primary laggards in the Dow and S&P 500. The company announced earlier in the session it has exposure to Fannie Mae (FNM 0.74, +0.00) and Freddie Mac (FRE 0.62, -0.04) preferred shares between $550 million and $600 million, according to Reuters. Shares of AIG are at a multiyear low.DJ30 -29.96 NASDAQ +3.46 SP500 -2.94 NASDAQ Adv/Vol/Dec 915/1.19 bln/1778 NYSE Adv/Vol/Dec 897/739 mln/2203
12:30 pm : The rally among stocks has faded, but only three sectors are trading with losses. All ten had been lower shortly after the opening bell.
The most influential losses continue to come from the financial sector, though.
Within the financial sector (-1.2%), investment banks and brokerages (-5.4%) are driving weakness. Lehman Brothers (LEH 4.95, -2.30) remains the primary culprit within the group. In regard to the fears and negative perceptions related to the company, a CNBC commentator stated the firm is clearly actively shopping the firm for a buyer. The Fed and the Securities Exchange Commision have reportedly declined to comment on Lehman Brothers, but a Reuters report suggests the U.S. Treasury is in touch with market participants and is watching the markets.DJ30 -26.71 NASDAQ +4.25 SP500 -0.52 NASDAQ Adv/Vol/Dec 945/1.06 bln/1712 NYSE Adv/Vol/Dec 980/663 mln/2083
12:05 pm : Losses have been erased as the stock market moves to higher ground after all three of the major indices traded with losses in excess of 1% early on.
The early downbeat tone reflected continued weakness among financial stocks, which dragged the sector to a 4% loss early on. Uncertainty surrounding financials has prompted participants to shun the sector during recent sessions. Already downtrodden, shares of Lehman Brothers (LEH 4.94, -2.31) were hit with another wave of selling after being downgraded on Wall Street.
Selling pressure has spread to other weak names, including Washington Mutual (WM 2.06, -0.26). Shares of WM have slid roughly 94% during the past 12 months.
However, the dim view of financials has lightened as the session progresses. The financial sector is now down just 0.4%.
Traders have settled into the session's action a bit, but this morning's economic data did little to settle early jittery behavior. Initial jobless claims for the week ended Sept. 6 declined 6,000 to 445,000. That was slightly ahead of the 440,000 consensus estimate and small consolation since continuing claims rose to 3.525 million from 3.403 million. The data continues to reflect a softening labor market.
In other economic news, the July trade deficit was $62.2 billion, which is more than the $58.0 billion deficit that was widely expected. The prior month deficit totaled $58.8 billion. Meanwhile, the July real (price adjusted) trade deficit was $41.2 billion. The average trade deficit for the second quarter was $43.9 billion. The data still indicates net exports will be a strong positive contributor to third quarter real GDP.
Over time, a stronger dollar will end the sharp declines in the real trade deficit seen this year. The dollar index is up 0.5% this session, bringing its year-to-date gain to 4.7%. However, the stronger dollar continues to make imports cheaper, namely oil.
Oil prices are down nearly 1%. They briefly traded a bit above the $100 per barrel mark, but have pared declines. The drop in oil prices has helped oil and gas refiners (+8.2%). The refiners are benefiting from wider crack spreads as well as tighter supplies as they ratchet down operations amid hurricane threats. DJ30 +20.27 NASDAQ +15.75 SP500 +4.45 NASDAQ Adv/Vol/Dec 1078/952 mln/1543 NYSE Adv/Vol/Dec 1134/599 mln/1926
11:30 am : The major indices have pulled back from their morning highs. The Nasdaq actually crossed into positive territory, though only for a moment.
Large-cap tech names are showing relative leadership. That has helped the Nasdaq Composite, but especially the Nasdaq 100 (+0.1%). The buying interest in large-cap tech names like Microsoft (MSFT 26.73, +0.29) and Qualcomm (QCOM 47.68, +0.95) comes after pessimists pushed their shares lower in recent weeks amid concerns that a slowdown in global tech spending will weigh on their operations. DJ30 -80.61 NASDAQ -8.79 SP500 -8.25 NASDAQ Adv/Vol/Dec 732/789 mln/1875 NYSE Adv/Vol/Dec 670/501 mln/2383
11:00 am : Stocks have moved to their best levels of the session, but remain in negative ground. The lift in stocks has induced a drop in Treasuries.
Treasuries were up handsomely early on, when stocks were at their session lows. The early buying interest in the 10-year Note pushed its yield back toward a five-month low of 3.57%, which was reached last Friday. The Note is currently up only a few ticks.DJ30 -69.45 NASDAQ -6.39 SP500 -8.13 NASDAQ Adv/Vol/Dec 730/635 mln/1814 NYSE Adv/Vol/Dec 696/408 mln/2320
10:30 am : Oil futures made a brief spike into positive territory before receding back into negative ground. Oil is currently down 1.0% to trade near $101.50 per barrel. Curde is now up just 5.8% year-to-date.
Oil exploration and production companies are currently down 2.1% this session, the worst in the energy sector (-1.4%). However, oil and gas refiners (+4.8%) are faring quite well. Many refiners are curtailing operations as hurricanes threaten their facilities, which eases demand for crude oil. That scenario helps build crude inventories, but makes gasoline and other consumable fuels shorter in supply.
Softer fuel prices bode well for stocks since they reduce input and operating costs. However, uncertainty related to the global economy and the threat of continued weakness in the financial sector (-3.2%) has promoted traders to act largely independent of oil prices during recent sessions.DJ30 -131.25 NASDAQ -17.05 SP500 -14.39 NASDAQ Adv/Vol/Dec 592/451 mln/1897 NYSE Adv/Vol/Dec 465/302 mln/2489
10:05 am : Losses remain deep, but the major indices have moved off their lows. Still, more than 90% of the companies trading in the S&P 500 are trading lower. 29 of the 30 Dow components are showing losses.
The sole Dow component trading with a gain is Boeing (BA 61.95, +0.24). Boeing has been hit recently with worker strikes, but seemed to catch a break yesterday when it was decided bids for a major contract were being delayed until the new presidential administration takes office.DJ30 -140.45 NASDAQ -25.45 SP500 -17.23 NASDAQ Adv/Vol/Dec 415/269 mln/1919 NYSE Adv/Vol/Dec 397/197 mln/2489
09:45 am : The major indices have opened sharply lower as all ten of the major economic sectors are trading with losses.
The early downturn is most pronounced in the financial sector (-4.0%). Financials continue to be plagued by concerns of write-downs that may still be lurking on balance sheets. Just yesterday Lehman Brothers (LEH 4.32, 2.93) announced worse-than-feared results for its third quarter. Driving losses were asset adjustments related to residential and commercial real estate. Shares of LEH were downgraded at a couple of Wall Street firms.DJ30 -150.79 NASDAQ -34.64 SP500 -18.03 NASDAQ Adv/Vol/Dec 329/121 mln/1837 NYSE Adv/Vol/Dec 253/108 mln/2438
09:15 am : S&P futures vs fair value: -16.40. Nasdaq futures vs fair value: -28.30. U.S. stock exchanges remain on track to open lower. The downturn reflects the selling pressure seen overseas. Japan's Nikkei shed 2.0%. The Hang Seng lost 3.1%. The FTSE is off 1.7%. The DAX is down 1.7%.
09:00 am : [BRIEFING.COM] S&P futures vs fair value: -16.40. Nasdaq futures vs fair value: -28.30. Stock futures continue to trade well below fair value. The negative tone has been persistent in premarket action. Shares of Lehman Brothers (LEH) have been downgraded after analysts digested the investment bank's preliminary third quarter results announced yesterday. The stock was moved to Hold from Buy at Citigroup this morning. Goldman Sachs also lowered shares of LEH to Neutral from Buy, according to Dow Jones. The downgrades reflect disappointment with Lehman's latest results and the company's plan to turn itself around. Meanwhile, Bank of America (BAC) had its target price estimate cut at Credit Suisse.
08:35 am : S&P futures vs fair value: -18.30. Nasdaq futures vs fair value: -28.80. Stock futures have weakened further. Initial jobless claims for the week ending September 6 totaled 445,000, falling 6,000 week-over-week. The most recent number of claims filed exceeded the 440,000 that were expected. Continuing claims moved upward to 3.52 million. Continuing claims for the prior week were downwardly revised to 3.40 million. In other economic news, August import prices slipped 3.7%. The consensus called for a 1.8% downturn in the import price index. Meanwhile, the trade deficit for July was $62.2 billion, which is more than the $58.0 billion deficit that was widely expected. The prior month deficit totaled $58.8 billion.
08:00 am : S&P futures vs fair value: -16.10. Nasdaq futures vs fair value: -24.80. Stock futures are trailing fair value as the mood in premarket activity remains rather downbeat. Crude oil is trading modestly lower, currently a bit below $102 per barrel. On the earnings front, athletic apparel company Lululemon Athletica (LULU) announced better-than-expected earnings per share results for its latest quarter. However, the company's top line fell a bit short of expectations, as did its revenue outlook for fiscal 2009.
06:25 am : S&P futures vs fair value: -12.20. Nasdaq futures vs fair value: -25.00.
06:25 am : Nikkei...12102.50...-244.10...-2.00%. Hang Seng...19388.72...-611.10...-3.10%.
06:25 am : FTSE...5297.40...-68.80...-1.30%. DAX...6129.10...-80.70...-1.30%.
http://biz.yahoo.com/mu/update.html
4:30 pm : Trading has been marked by uncertainty during recent sessions and Thursday was no exception. The uncertainty prompted the major indices to open sharply lower as jittery traders fretted over financial stocks and a lack of leadership.
Financials were down more than 4% in the early going as participants placed heavy selling pressure on investment banks and brokerages (-4.6%). Investors pushed the group aside amid continued concerns regarding the future of Lehman Brothers (LEH 4.22, -3.03). Shares of LEH were downgraded this morning by a few Wall Street firms. However, word from The Wall Street Journal that Bank of America (BAC 33.06, +0.66) is in talks to buy Lehman prompted a last minute upward push in the sector.
Though the financial sector spent most of the session facing losses, it was able to close 1.7% higher.
Most of the session was marked by a lack of convincing leadership, which led to choppy trading. Still, the stock market turned an early loss of 1.7% into a 1.5% gain. All ten of the economic sectors opened lower, but nine managed to finish with a gain as the late financial rally pulled just about everything higher into the close.
Stocks also seemed to move more independently of oil prices during the session. Crude futures spent virtually the entire session in the red, extending their downturn, slipping more than 1.5% to close below $101 per barrel. Crude has not been below the $100 mark in over five months.
The decline in oil prices helped oil and gas refiners (+8.3%). Refiners are benefiting from wider crack spreads, effectively the difference between prices paid for crude and the prices charged for consumable fuels, as well as tighter supplies as they take their operations offline amid hurricane threats.
Uninspiring economic data gave investors little incentive to move into stocks in the early-going. Initial jobless claims for the week ended Sept. 6 declined 6,000 to 445,000. Claims were slightly ahead of the consensus estimate. Meanwhile, continuing claims rose by more than 100,000 to 3.525 million from the prior week, reflecting a softening labor market.
Meanwhile, the July trade deficit widened $62.2 billion from the prior month, surpassing the $58.0 billion deficit that was widely expected. The trade deficit figures received little attention, though the trend in the real (price adjusted) trade deficit continues to suggest they will support third quarter GDP.DJ30 +164.79 NASDAQ +29.52 NQ100 +2.1% R2K +0.3% SP400 +0.5% SP500 +17.01 NASDAQ Adv/Vol/Dec 1286/2.31 bln/1539 NYSE Adv/Vol/Dec 1400/1.45 bln/1762
3:30 pm : Stocks dip from their best levels, sending the Dow and S&P 500 back to the unchanged mark. Financials are seeing the most selling interest (-1.4%).
Within the financial sector, investment banks and brokerages (-6.6%) and multi-line insurance (-5.6%) companies are posting the steepest decline. Washington Mutual (WM 2.29, -0.03), however, made a nice recovery from session lows -- it is currently down 1.3% after rebounding from an early loss of 25%.
Fed Reserve Vice Chairman Donald Kohn said it is encouraging that the pace of housing price declines are slowing in some markets. However, he added that mortgage conditions are still tightening, and it is not clear if housing prices are close to finding a bottom.DJ30 -12.62 NASDAQ +6.34 SP500 -0.59 NASDAQ Adv/Vol/Dec 988/1.88 bln/1800 NYSE Adv/Vol/Dec 1009/1.11 bln/2139
3:00 pm : After making their way higher the major indices encountered a bit of selling pressure. However, they have successfully resisted those efforts and are holding on to solid gains.
More than half the stocks listed in the S&P 500 are sporting gains. More than 90% were showing losses shortly after the opening bell.
Leadership has been transferred to financial heavyweights Wells Fargo (WFC 33.32, +1.62) and JPMorgan Chase (JPM 40.88, +1.48). Though both companies saw selling pressure in the early going, their shares have been preferred over smaller financial holdings with weaker prospects and fundamentals.DJ30 +49.58 NASDAQ +12.07 SP500 +4.79 NASDAQ Adv/Vol/Dec 1104/1.69 bln/1663 NYSE Adv/Vol/Dec 1142/1.01 bln/2007
2:30 pm : The stock market has climbed to new session highs. The change in sentiment is impressive.
Telecom (-1.0%) is the only economic sector in the S&P 500 still trading lower, though it is off its session low of -2.3%. Losses were deep and widespread early on when all ten of the sectors showed losses.
Losses were initially steepest among financials. The sector was down 4.2% at its low and is now trading 0.1% higher as investors pick up depressed names. Though the sector continues to come under pressure, it is more than 22% higher than its low, which was reached mid-June.DJ30 +51.05 NASDAQ +12.28 SP500 +6.30 NASDAQ Adv/Vol/Dec 1102/1.55 bln/1652 NYSE Adv/Vol/Dec 1206/935 mln/1939
2:05 pm : Stocks have made a concerted upturn. There is no single, distinctive news item behind the push. The recent gains are broad-based.
While the major indices have made their way higher, the Russell 2000 continues to trade with a meaningful loss. It is currently down 0.6% after seeing a 2.3% drop shortly after the opening bell.
Of its primary laggards, Kenexa (KNXA 16.15, -5.99) is leading the list. Kenexa issued downside guidance after yesterday's close. The shares have also been downgraded at select firms.DJ30 -0.98 NASDAQ +4.12 SP500 +0.09 NASDAQ Adv/Vol/Dec 941/1.41 bln/1795 NYSE Adv/Vol/Dec 1014/860 mln/2120
1:30 pm : Stocks continue to descend, unable to sustain their recent rally. The S&P 500 swung from a 1.7% loss early on to a gain of 0.4% at its session high. The index is now showing losses and is at its lowest level of the afternoon.
Despite early losses, the health care sector (+0.2%) has spent most of the session in the green. Health care recently replaced the energy sector (-0.7%) as the third largest economic sector in the S&P 500. However, it still lacks the influence to offset losses in technology (-0.3%) and financials (-1.8%), which represent the two largest sectors, respectively.DJ30 -70.84 NASDAQ -6.99 SP500 -7.42 NASDAQ Adv/Vol/Dec 792/1.30 bln/1941 NYSE Adv/Vol/Dec 774/795 mln/2349
1:00 pm : The Nasdaq continues to ouperform its counterparts. Weakness in the S&P 500 and the Dow continue to center on weakness in financials.
American International Group (AIG 15.15, -2.35) is one of the primary laggards in the Dow and S&P 500. The company announced earlier in the session it has exposure to Fannie Mae (FNM 0.74, +0.00) and Freddie Mac (FRE 0.62, -0.04) preferred shares between $550 million and $600 million, according to Reuters. Shares of AIG are at a multiyear low.DJ30 -29.96 NASDAQ +3.46 SP500 -2.94 NASDAQ Adv/Vol/Dec 915/1.19 bln/1778 NYSE Adv/Vol/Dec 897/739 mln/2203
12:30 pm : The rally among stocks has faded, but only three sectors are trading with losses. All ten had been lower shortly after the opening bell.
The most influential losses continue to come from the financial sector, though.
Within the financial sector (-1.2%), investment banks and brokerages (-5.4%) are driving weakness. Lehman Brothers (LEH 4.95, -2.30) remains the primary culprit within the group. In regard to the fears and negative perceptions related to the company, a CNBC commentator stated the firm is clearly actively shopping the firm for a buyer. The Fed and the Securities Exchange Commision have reportedly declined to comment on Lehman Brothers, but a Reuters report suggests the U.S. Treasury is in touch with market participants and is watching the markets.DJ30 -26.71 NASDAQ +4.25 SP500 -0.52 NASDAQ Adv/Vol/Dec 945/1.06 bln/1712 NYSE Adv/Vol/Dec 980/663 mln/2083
12:05 pm : Losses have been erased as the stock market moves to higher ground after all three of the major indices traded with losses in excess of 1% early on.
The early downbeat tone reflected continued weakness among financial stocks, which dragged the sector to a 4% loss early on. Uncertainty surrounding financials has prompted participants to shun the sector during recent sessions. Already downtrodden, shares of Lehman Brothers (LEH 4.94, -2.31) were hit with another wave of selling after being downgraded on Wall Street.
Selling pressure has spread to other weak names, including Washington Mutual (WM 2.06, -0.26). Shares of WM have slid roughly 94% during the past 12 months.
However, the dim view of financials has lightened as the session progresses. The financial sector is now down just 0.4%.
Traders have settled into the session's action a bit, but this morning's economic data did little to settle early jittery behavior. Initial jobless claims for the week ended Sept. 6 declined 6,000 to 445,000. That was slightly ahead of the 440,000 consensus estimate and small consolation since continuing claims rose to 3.525 million from 3.403 million. The data continues to reflect a softening labor market.
In other economic news, the July trade deficit was $62.2 billion, which is more than the $58.0 billion deficit that was widely expected. The prior month deficit totaled $58.8 billion. Meanwhile, the July real (price adjusted) trade deficit was $41.2 billion. The average trade deficit for the second quarter was $43.9 billion. The data still indicates net exports will be a strong positive contributor to third quarter real GDP.
Over time, a stronger dollar will end the sharp declines in the real trade deficit seen this year. The dollar index is up 0.5% this session, bringing its year-to-date gain to 4.7%. However, the stronger dollar continues to make imports cheaper, namely oil.
Oil prices are down nearly 1%. They briefly traded a bit above the $100 per barrel mark, but have pared declines. The drop in oil prices has helped oil and gas refiners (+8.2%). The refiners are benefiting from wider crack spreads as well as tighter supplies as they ratchet down operations amid hurricane threats. DJ30 +20.27 NASDAQ +15.75 SP500 +4.45 NASDAQ Adv/Vol/Dec 1078/952 mln/1543 NYSE Adv/Vol/Dec 1134/599 mln/1926
11:30 am : The major indices have pulled back from their morning highs. The Nasdaq actually crossed into positive territory, though only for a moment.
Large-cap tech names are showing relative leadership. That has helped the Nasdaq Composite, but especially the Nasdaq 100 (+0.1%). The buying interest in large-cap tech names like Microsoft (MSFT 26.73, +0.29) and Qualcomm (QCOM 47.68, +0.95) comes after pessimists pushed their shares lower in recent weeks amid concerns that a slowdown in global tech spending will weigh on their operations. DJ30 -80.61 NASDAQ -8.79 SP500 -8.25 NASDAQ Adv/Vol/Dec 732/789 mln/1875 NYSE Adv/Vol/Dec 670/501 mln/2383
11:00 am : Stocks have moved to their best levels of the session, but remain in negative ground. The lift in stocks has induced a drop in Treasuries.
Treasuries were up handsomely early on, when stocks were at their session lows. The early buying interest in the 10-year Note pushed its yield back toward a five-month low of 3.57%, which was reached last Friday. The Note is currently up only a few ticks.DJ30 -69.45 NASDAQ -6.39 SP500 -8.13 NASDAQ Adv/Vol/Dec 730/635 mln/1814 NYSE Adv/Vol/Dec 696/408 mln/2320
10:30 am : Oil futures made a brief spike into positive territory before receding back into negative ground. Oil is currently down 1.0% to trade near $101.50 per barrel. Curde is now up just 5.8% year-to-date.
Oil exploration and production companies are currently down 2.1% this session, the worst in the energy sector (-1.4%). However, oil and gas refiners (+4.8%) are faring quite well. Many refiners are curtailing operations as hurricanes threaten their facilities, which eases demand for crude oil. That scenario helps build crude inventories, but makes gasoline and other consumable fuels shorter in supply.
Softer fuel prices bode well for stocks since they reduce input and operating costs. However, uncertainty related to the global economy and the threat of continued weakness in the financial sector (-3.2%) has promoted traders to act largely independent of oil prices during recent sessions.DJ30 -131.25 NASDAQ -17.05 SP500 -14.39 NASDAQ Adv/Vol/Dec 592/451 mln/1897 NYSE Adv/Vol/Dec 465/302 mln/2489
10:05 am : Losses remain deep, but the major indices have moved off their lows. Still, more than 90% of the companies trading in the S&P 500 are trading lower. 29 of the 30 Dow components are showing losses.
The sole Dow component trading with a gain is Boeing (BA 61.95, +0.24). Boeing has been hit recently with worker strikes, but seemed to catch a break yesterday when it was decided bids for a major contract were being delayed until the new presidential administration takes office.DJ30 -140.45 NASDAQ -25.45 SP500 -17.23 NASDAQ Adv/Vol/Dec 415/269 mln/1919 NYSE Adv/Vol/Dec 397/197 mln/2489
09:45 am : The major indices have opened sharply lower as all ten of the major economic sectors are trading with losses.
The early downturn is most pronounced in the financial sector (-4.0%). Financials continue to be plagued by concerns of write-downs that may still be lurking on balance sheets. Just yesterday Lehman Brothers (LEH 4.32, 2.93) announced worse-than-feared results for its third quarter. Driving losses were asset adjustments related to residential and commercial real estate. Shares of LEH were downgraded at a couple of Wall Street firms.DJ30 -150.79 NASDAQ -34.64 SP500 -18.03 NASDAQ Adv/Vol/Dec 329/121 mln/1837 NYSE Adv/Vol/Dec 253/108 mln/2438
09:15 am : S&P futures vs fair value: -16.40. Nasdaq futures vs fair value: -28.30. U.S. stock exchanges remain on track to open lower. The downturn reflects the selling pressure seen overseas. Japan's Nikkei shed 2.0%. The Hang Seng lost 3.1%. The FTSE is off 1.7%. The DAX is down 1.7%.
09:00 am : [BRIEFING.COM] S&P futures vs fair value: -16.40. Nasdaq futures vs fair value: -28.30. Stock futures continue to trade well below fair value. The negative tone has been persistent in premarket action. Shares of Lehman Brothers (LEH) have been downgraded after analysts digested the investment bank's preliminary third quarter results announced yesterday. The stock was moved to Hold from Buy at Citigroup this morning. Goldman Sachs also lowered shares of LEH to Neutral from Buy, according to Dow Jones. The downgrades reflect disappointment with Lehman's latest results and the company's plan to turn itself around. Meanwhile, Bank of America (BAC) had its target price estimate cut at Credit Suisse.
08:35 am : S&P futures vs fair value: -18.30. Nasdaq futures vs fair value: -28.80. Stock futures have weakened further. Initial jobless claims for the week ending September 6 totaled 445,000, falling 6,000 week-over-week. The most recent number of claims filed exceeded the 440,000 that were expected. Continuing claims moved upward to 3.52 million. Continuing claims for the prior week were downwardly revised to 3.40 million. In other economic news, August import prices slipped 3.7%. The consensus called for a 1.8% downturn in the import price index. Meanwhile, the trade deficit for July was $62.2 billion, which is more than the $58.0 billion deficit that was widely expected. The prior month deficit totaled $58.8 billion.
08:00 am : S&P futures vs fair value: -16.10. Nasdaq futures vs fair value: -24.80. Stock futures are trailing fair value as the mood in premarket activity remains rather downbeat. Crude oil is trading modestly lower, currently a bit below $102 per barrel. On the earnings front, athletic apparel company Lululemon Athletica (LULU) announced better-than-expected earnings per share results for its latest quarter. However, the company's top line fell a bit short of expectations, as did its revenue outlook for fiscal 2009.
06:25 am : S&P futures vs fair value: -12.20. Nasdaq futures vs fair value: -25.00.
06:25 am : Nikkei...12102.50...-244.10...-2.00%. Hang Seng...19388.72...-611.10...-3.10%.
06:25 am : FTSE...5297.40...-68.80...-1.30%. DAX...6129.10...-80.70...-1.30%.
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