AI
Friday, November 21, 2008 9:21:57 PM
Market Update 081121
http://biz.yahoo.com/mu/update.html
4:30 pm : Thanks to a late-session surge, the stock market closed at its session high with a gain of 6.3%. Though the rally was impressive, stocks still finished the week 8.4% lower due to heavy losses earlier in the week.
Those heavy losses prompted bargain hunters to bid stocks higher. Whether the push was merely rooted in short-term interest or marked a true turning point for the stock market will only be seen in time.
The move was supported by relatively heavy volume. Nearly 2.4 billion shares traded hands on the New York Stock Exchange this session, compared with average volume of 1.5 billion shares this month.
Despite the strong finish, stocks traded in mixed fashion throughout much of the session, and struggled to find direction. During that time the financial sector stood out as a notable laggard. At one point the financial sector was down 7.5%, which marked the sector's lowest level since 1995. However, it finished 3.4% higher.
Weakness in the financial sector stemmed from the large-cap names included among other diversified financial services companies (-3.8%), such as Citigroup (C 3.75, -0.96). Speculation continues to surround Citi's fate. Reports indicate the financial services giant is weighing its strategic options, but the stock extended its downturn and fell through the prior session's low to its worst level since 1992.
While financials lagged, energy posted the largest advance. Energy finished the session 11.7% higher. A 2% rebound in crude oil futures helped give energy a lift. Crude settled around $50.40 per barrel, though it actually fell to a new multiyear low of $48.25 per barrel midway through the session.
It appeared that Dell (DELL 9.30, -0.51) was going to provide stocks with some support after it posted better-than-expected earnings per share results for the third quarter. However, shares fell under pressure as investors and analysts critiqued the quarterly report.
The tech sector still finished with a 5.8% gain, though, thanks largely to strength among large-cap tech stocks.
The renewed interest in stocks caused Treasuries to fall substantially, especially at the long end of the curve. The 10-year Note fell 49 ticks, while the 30-year Bond dropped 117 ticks. The downturn reverses some of the gains Treasuries made in the prior session.
Investors got a little bit of clarity regarding the future face of the Treasury team; President-Elect Obama has nominated New York Fed President Geitner for Treasury Secretary. Obama is expected to announce the rest of his economic team Monday.DJ30 +494.13 NASDAQ +68.23 NQ100 +4.7% R2K +5.5% SP400 +5.9% SP500 +47.59 NASDAQ Adv/Vol/Dec 1781/3.12 bln/1170 NYSE Adv/Vol/Dec 2019/2.37 bln/975
3:30 pm : Stocks recently charged higher to their best levels of the session. The advance took the stock market to a gain of 3.1%. There was some renewed selling pressure, but after a brief pause stocks are trying to extend their gains.
The financial sector continues to underperform, though it is off its low of the session. It traded with a loss of 7.5% for a time, but is now down 1.8%. DJ30 +216.64 NASDAQ +26.56 SP500 +20.43 NASDAQ Adv/Vol/Dec 1253/2.28 bln/1662 NYSE Adv/Vol/Dec 1463/1.55 bln/1509
3:00 pm : Stocks continue to trade listlessly in choppy action. Each of the major indices looks for direction as market participants enter the final hour of the session. Only once this week have stocks managed to close higher.
Stocks were up 2.8% at their session high. They were down 1.5% at their session low. The wide swings have been common during recent sessions. In the last three weeks stocks have swung in excess of 5% in six separate sessions. Stocks swung more than 1% in 12 different sessions during the last three weeks.
Just hitting the wires, Tim Geitner will be the new Treasury Secretary under the Obama administration.DJ30 +12.10 NASDAQ -6.75 SP500 +0.58 NASDAQ Adv/Vol/Dec 876/2.12 bln/1872 NYSE Adv/Vol/Dec 1103/1.47 bln/2059
2:30 pm : Action remains choppy in afternoon trade. After making a sudden, sharp downturn, stocks struggle to move back to higher ground.
Trading remains without leadership. The flagging financial sector is down 5%. Earlier this session it fell to a new record low. The financial sector was down 70% year-to-date at that low.
Energy is performing the best this session. It is up 3.8% as investors find encouragement from rising oil prices. Oil is up 0.9% to $49.85 per barrel. Oil's advance marks a rebound from a three year low registered in the prior session.DJ30 +7.64 NASDAQ -3.65 SP500 +1.07 NASDAQ Adv/Vol/Dec 910/1.92 bln/1831 NYSE Adv/Vol/Dec 1155/1.34 bln/1988
2:00 pm : The stock market falls lower after dancing along the unchanged line. Weakness in large-cap tech names has the Nasdaq underperforming the S&P 500 and the Dow.
Of the more than 3,200 stocks trading on the New York Stock Exchange, 831 stocks have hit new 52-week lows this session.
The number of record lows shouldn't come as a total surprise since many stocks, like Citigroup (C 3.68, -1.03), extended the prior session's record losses in late-morning trade Friday.
At this session's low, the stock market traded with a 1.5% loss.DJ30 -60.06 NASDAQ -14.94 SP500 -6.31 NASDAQ Adv/Vol/Dec 819/1.75 bln/1901 NYSE Adv/Vol/Dec 994/1.23 bln/2146
1:35 pm : The stock market has drifted lower, currently trading just above the neutral line. Action remains mixed.
Ford Motor (F 1.25, -0.14) is having its bank apply for Federal Reserve membership in order to obtain FDIC insurance, Reuters reported. The announcement follows word yesterday that the financing arm of General Motors (GM 2.68, -0.20), GMAC, submitted an application to be granted bank status. Bank status would also give GMAC FDIC insurance.DJ30 +27.00 NASDAQ +0.44 SP500 +2.49 NASDAQ Adv/Vol/Dec 945/1.61 bln/1764 NYSE Adv/Vol/Dec 1216/1.15 bln/1924
1:00 pm : Only the financial sector has failed to make its way into positive territory. The sector is currently down 2.6% as regional banks (-6.8%), diversified banks (-6.1%), and other diversified financial services companies (-7.8%) exhibit weakness.
The weakness in financial stocks continues to reflect uncertainty surrounding many companies' capital positions, remaining exposure to troubled assets, and their ability to navigate a period of slower economic growth.
To that point, Chicago Fed President Evans stated that growth is likely to be quite sluggish through much of 2009 as the U.S. faces a protracted period of weak growth.DJ30 +104.18 NASDAQ +13.18 SP500 +11.21 NASDAQ Adv/Vol/Dec 1060/1.47 bln/1620 NYSE Adv/Vol/Dec 1367/1.06 bln/1757
12:30 pm : Stocks continue chopping along in early afternoon trade, but are sporting a solid advance. Still, the advance is modest in comparison with the moves in previous sessions. Since October 1, the stock market has finished only five sessions with moves of less than a full percentage point, excluding this session's action.
During the same period one year ago, stocks swung by more than a full percentage point only a dozen times. DJ30 +66.42 NASDAQ +8.58 SP500 +6.95 NASDAQ Adv/Vol/Dec 959/1.35 bln/1699 NYSE Adv/Vol/Dec 1266/983 mln/1846
12:00 pm : Bargain hunters pushed the major indices higher in the early going Friday, but a continued lack of leadership has stocks looking for direction midday.
The early advance followed two consecutive sessions of record losses. However, the initial climb proved unsustainable as stocks drifted into the red. A weak financial sector has been the primary driving force behind the retreat.
Financials are currently down nearly 5%. At its session low, the sector was down nearly 6%.
Noticeable weakness continues to come from Citigroup (C 3.88, -0.83). Citi is reportedly weighing strategic options regarding its future, but claims it wants to keep itself together.
The tech sector (+1.0%) is showing resilience, despite weakness in Dell (DELL 9.24, -0.57). Dell posted better-than-expected earnings per share results for the third quarter, but got there by cutting costs, rather than by growing revenue.
Autodesk (ADSK 12.83, -3.99) has also been a laggard among tech names. The company fell out of favor when it issued downside guidance for the fourth quarter.
Microsoft (MSFT 18.59, +1.06) is showing strength, though. It was upgraded to Outperform at Oppenheimer.
Uncertainty continues to surround auto makers as support for a bailout plan is reported, but no tangible product or proposal has been made public.
Need for a bailout is being made urgent by auto makers as they contend with slumping sales. The short-term response has been to shutter production. General Motors (GM 3.02, +0.14) announced it will plan additional down weeks at five of its North American plants. Meanwhile, Honda Motor (HMC 19.38, +0.24) is cutting production at some of its global factories.
After climbing more than 90 ticks in the prior session, the 10-year Treasury Note is off by 64 ticks this session. That brings the yield on the benchmark Note back to 3.25%.DJ30 +23.33 NASDAQ +2.30 SP500 -0.01 NASDAQ Adv/Vol/Dec 938/1.20 bln/1679 NYSE Adv/Vol/Dec 1210/886 mln/1884
11:30 am : Stocks are climbing out of the red, but the tone remains mixed. Energy, materials, and utilities all trade with gains ranging from 2% to more than 3%, but health care and financials trade with losses ranging from 1% to nearly 3%.
Crude oil prices have taken a downward turn. After being up 3.4% in the early going, oil is now down 1% to trade below $49 per barrel. Crude was actually trading just above $48 per barrel recently, which marked a new record intraday low.DJ30 +19.83 NASDAQ +0.90 SP500 +0.34 NASDAQ Adv/Vol/Dec 878/1.05 bln/1700 NYSE Adv/Vol/Dec 1193/795 mln/1893
11:00 am : The major indices have turned lower and now trade with losses. The decline in the Nasdaq is more pronounced than it is in its counterparts, primarily due to weakness among tech names.
Dell (DELL 9.16, -0.65) delivered better-than-expected third quarter earnings results. However, the upside surprise is largely owed to cost cutting measures, rather than strong revenue results or increased profitability.
Autodesk (ADSK 13.05, -3.77) has lost 20% of its market cap this session as selling pressure mounts. The company fell out of favor when it issued downside guidance for the fourth quarter. Shares have also been downgraded by a few analysts.DJ30 -35.05 NASDAQ -12.59 SP500 -5.15 NASDAQ Adv/Vol/Dec 789/844 mln/1733 NYSE Adv/Vol/Dec 1074/663 mln/1956
10:30 am : The S&P 500 has fallen from its morning high, but continues to trade with a gain. The Dow actually slipped into negative territory, though only for a moment.
Weakness in financial stocks is contributing to the downturn. The sector is off by 3.4%, and trading with the steepest decline of any economic sector.
Shares of Citigroup (C 3.88, -0.83) are setting new record lows, yet again, amid continuing selling pressure. Reports suggest Citi is weighing selling itself or pieces of the company, but according to CNBC, Citi's CEO, Vikram Pandit, wants to keep the company together. Pandit also stated that rumor mongering is driving the stock to record lows.DJ30 +6.21 NASDAQ +4.19 SP500 +1.90 NASDAQ Adv/Vol/Dec 935/623 mln/1513 NYSE Adv/Vol/Dec 1337/530 mln/1634
10:00 am : The stock market's early gains remains broad based, but sellers have entered the action to knock stocks a leg lower.
Conglomerate General Electric (GE 13.43, +0.59) is providing leadership to both the S&P 500 and the Dow Jones Industrial Average. Shares of GE fell to their lowest point in more than a decade during the prior session; however, the stock is finding favor as investors swoop in to pick up bargains. An article from The Wall Street Journal indicated that GE is in talks with the Government of Singapore Investment Corp. regarding possible joint investments. It has been emphasized that the talks are about investing with, not in, GE. DJ30 +40.38 NASDAQ +12.69 SP500 +7.90 NASDAQ Adv/Vol/Dec 1131/372 mln/1204 NYSE Adv/Vol/Dec 1655/374 mln/1230
09:50 am : Stocks open with strong gains, rebounding off record lows registered in the prior session.
All 10 economic sectors are advancing. The largest gain is coming from the energy sector, which is up 3.4%.
Energy's advance follows a rebound in crude oil futures. Oil futures are up just over 1% to trade near $50 per barrel. Last session crude fell to its lowest point since early 2005. Upon hitting that low, crude was more than 65% off its record high of $147.27 per barrel, which was registered this last summer. The descent in oil prices marks one of the steepest and fastest in history, according to The Wall Street Journal.DJ30 +116.52 NASDAQ +24.44 SP500 +14.90 NASDAQ Adv/Dec 1393/874 NYSE Adv/Dec 1954/863
09:15 am : S&P futures vs fair value: +16.60. Nasdaq futures vs fair value: +18.30. Only a few minutes remain before the session's opening bell sounds. Ahead of trading Friday, the stock market is down nearly 14% week-to-date, and down more than 22% month-to-date. Stock futures are off their morning highs, but continue to indicate a positive start.
09:00 am : S&P futures vs fair value: +19.60. Nasdaq futures vs fair value: +22.00. Stock futures are currently indicating a bit of relief from the losses of prior sessions. Crude oil futures have rebounded 2.5% to $50.65 per barrel early on. Their bounce comes after oil last session hit its lowest point in more than three years. Wal-Mart (WMT) has selected Mike Duke to succeed Lee Scott as president and chief executive officer of the retail giant. Duke will also serve on the company's board, while Scott will serve on the board's executive committee.
08:30 am : S&P futures vs fair value: +18.30. Nasdaq futures vs fair value: +22.30. Stock futures indicate a strong start to the session. Layoffs in the financial sector continue to mount; Bank of New York Mellon (BK) is reducing its workforce by approximately 4%, eliminating 1,800 positions. Auto makers are also trimming expenses, responding to weak auto sales; Honda Motor (HMC) is cutting production at some of its global factories. Meanwhile, U.S. auto makers continue hoping for a quick and speedy government-sponsored plan to help them stave off potential bankruptcy.
08:00 am : S&P futures vs fair value: +17.60. Nasdaq futures vs fair value: +20.00. After registering record lows in the prior session, stock futures are indicating an upward start to trading Friday. Dell (DELL) posted better-than-expected earnings per share results for the third quarter. However, Dell also reported negative operating cash flow for the quarter. HJ Heinz (HNZ) topped earnings expectations for its latest quarter, and also reaffirmed its outlook. Retailer Gap (GPS) beat the consensus third quarter earnings per share estimate, and provided an in-line outlook. KeyCorp (KEY) has cut its quarterly dividend to $0.0625 per share from $0.1875 per share. According to an article from The Wall Street Journal, Citigroup (C) has begun weighing the possibility of auctioning pieces of the company or even selling it outright. Meanwhile, a New York Times article stated that Citi's executives are not actively exploring selling the company or splitting it up.
06:27 am : S&P futures vs fair value: +21.60. Nasdaq futures vs fair value: +35.50.
06:27 am : Nikkei...7910.79...+207.80...+2.70%. Hang Seng...12659.20...+360.60...+2.90%.
06:27 am : FTSE...3915.81...+40.80...+1.10%. DAX...4257.90...+37.80...+0.90%.
http://biz.yahoo.com/mu/update.html
4:30 pm : Thanks to a late-session surge, the stock market closed at its session high with a gain of 6.3%. Though the rally was impressive, stocks still finished the week 8.4% lower due to heavy losses earlier in the week.
Those heavy losses prompted bargain hunters to bid stocks higher. Whether the push was merely rooted in short-term interest or marked a true turning point for the stock market will only be seen in time.
The move was supported by relatively heavy volume. Nearly 2.4 billion shares traded hands on the New York Stock Exchange this session, compared with average volume of 1.5 billion shares this month.
Despite the strong finish, stocks traded in mixed fashion throughout much of the session, and struggled to find direction. During that time the financial sector stood out as a notable laggard. At one point the financial sector was down 7.5%, which marked the sector's lowest level since 1995. However, it finished 3.4% higher.
Weakness in the financial sector stemmed from the large-cap names included among other diversified financial services companies (-3.8%), such as Citigroup (C 3.75, -0.96). Speculation continues to surround Citi's fate. Reports indicate the financial services giant is weighing its strategic options, but the stock extended its downturn and fell through the prior session's low to its worst level since 1992.
While financials lagged, energy posted the largest advance. Energy finished the session 11.7% higher. A 2% rebound in crude oil futures helped give energy a lift. Crude settled around $50.40 per barrel, though it actually fell to a new multiyear low of $48.25 per barrel midway through the session.
It appeared that Dell (DELL 9.30, -0.51) was going to provide stocks with some support after it posted better-than-expected earnings per share results for the third quarter. However, shares fell under pressure as investors and analysts critiqued the quarterly report.
The tech sector still finished with a 5.8% gain, though, thanks largely to strength among large-cap tech stocks.
The renewed interest in stocks caused Treasuries to fall substantially, especially at the long end of the curve. The 10-year Note fell 49 ticks, while the 30-year Bond dropped 117 ticks. The downturn reverses some of the gains Treasuries made in the prior session.
Investors got a little bit of clarity regarding the future face of the Treasury team; President-Elect Obama has nominated New York Fed President Geitner for Treasury Secretary. Obama is expected to announce the rest of his economic team Monday.DJ30 +494.13 NASDAQ +68.23 NQ100 +4.7% R2K +5.5% SP400 +5.9% SP500 +47.59 NASDAQ Adv/Vol/Dec 1781/3.12 bln/1170 NYSE Adv/Vol/Dec 2019/2.37 bln/975
3:30 pm : Stocks recently charged higher to their best levels of the session. The advance took the stock market to a gain of 3.1%. There was some renewed selling pressure, but after a brief pause stocks are trying to extend their gains.
The financial sector continues to underperform, though it is off its low of the session. It traded with a loss of 7.5% for a time, but is now down 1.8%. DJ30 +216.64 NASDAQ +26.56 SP500 +20.43 NASDAQ Adv/Vol/Dec 1253/2.28 bln/1662 NYSE Adv/Vol/Dec 1463/1.55 bln/1509
3:00 pm : Stocks continue to trade listlessly in choppy action. Each of the major indices looks for direction as market participants enter the final hour of the session. Only once this week have stocks managed to close higher.
Stocks were up 2.8% at their session high. They were down 1.5% at their session low. The wide swings have been common during recent sessions. In the last three weeks stocks have swung in excess of 5% in six separate sessions. Stocks swung more than 1% in 12 different sessions during the last three weeks.
Just hitting the wires, Tim Geitner will be the new Treasury Secretary under the Obama administration.DJ30 +12.10 NASDAQ -6.75 SP500 +0.58 NASDAQ Adv/Vol/Dec 876/2.12 bln/1872 NYSE Adv/Vol/Dec 1103/1.47 bln/2059
2:30 pm : Action remains choppy in afternoon trade. After making a sudden, sharp downturn, stocks struggle to move back to higher ground.
Trading remains without leadership. The flagging financial sector is down 5%. Earlier this session it fell to a new record low. The financial sector was down 70% year-to-date at that low.
Energy is performing the best this session. It is up 3.8% as investors find encouragement from rising oil prices. Oil is up 0.9% to $49.85 per barrel. Oil's advance marks a rebound from a three year low registered in the prior session.DJ30 +7.64 NASDAQ -3.65 SP500 +1.07 NASDAQ Adv/Vol/Dec 910/1.92 bln/1831 NYSE Adv/Vol/Dec 1155/1.34 bln/1988
2:00 pm : The stock market falls lower after dancing along the unchanged line. Weakness in large-cap tech names has the Nasdaq underperforming the S&P 500 and the Dow.
Of the more than 3,200 stocks trading on the New York Stock Exchange, 831 stocks have hit new 52-week lows this session.
The number of record lows shouldn't come as a total surprise since many stocks, like Citigroup (C 3.68, -1.03), extended the prior session's record losses in late-morning trade Friday.
At this session's low, the stock market traded with a 1.5% loss.DJ30 -60.06 NASDAQ -14.94 SP500 -6.31 NASDAQ Adv/Vol/Dec 819/1.75 bln/1901 NYSE Adv/Vol/Dec 994/1.23 bln/2146
1:35 pm : The stock market has drifted lower, currently trading just above the neutral line. Action remains mixed.
Ford Motor (F 1.25, -0.14) is having its bank apply for Federal Reserve membership in order to obtain FDIC insurance, Reuters reported. The announcement follows word yesterday that the financing arm of General Motors (GM 2.68, -0.20), GMAC, submitted an application to be granted bank status. Bank status would also give GMAC FDIC insurance.DJ30 +27.00 NASDAQ +0.44 SP500 +2.49 NASDAQ Adv/Vol/Dec 945/1.61 bln/1764 NYSE Adv/Vol/Dec 1216/1.15 bln/1924
1:00 pm : Only the financial sector has failed to make its way into positive territory. The sector is currently down 2.6% as regional banks (-6.8%), diversified banks (-6.1%), and other diversified financial services companies (-7.8%) exhibit weakness.
The weakness in financial stocks continues to reflect uncertainty surrounding many companies' capital positions, remaining exposure to troubled assets, and their ability to navigate a period of slower economic growth.
To that point, Chicago Fed President Evans stated that growth is likely to be quite sluggish through much of 2009 as the U.S. faces a protracted period of weak growth.DJ30 +104.18 NASDAQ +13.18 SP500 +11.21 NASDAQ Adv/Vol/Dec 1060/1.47 bln/1620 NYSE Adv/Vol/Dec 1367/1.06 bln/1757
12:30 pm : Stocks continue chopping along in early afternoon trade, but are sporting a solid advance. Still, the advance is modest in comparison with the moves in previous sessions. Since October 1, the stock market has finished only five sessions with moves of less than a full percentage point, excluding this session's action.
During the same period one year ago, stocks swung by more than a full percentage point only a dozen times. DJ30 +66.42 NASDAQ +8.58 SP500 +6.95 NASDAQ Adv/Vol/Dec 959/1.35 bln/1699 NYSE Adv/Vol/Dec 1266/983 mln/1846
12:00 pm : Bargain hunters pushed the major indices higher in the early going Friday, but a continued lack of leadership has stocks looking for direction midday.
The early advance followed two consecutive sessions of record losses. However, the initial climb proved unsustainable as stocks drifted into the red. A weak financial sector has been the primary driving force behind the retreat.
Financials are currently down nearly 5%. At its session low, the sector was down nearly 6%.
Noticeable weakness continues to come from Citigroup (C 3.88, -0.83). Citi is reportedly weighing strategic options regarding its future, but claims it wants to keep itself together.
The tech sector (+1.0%) is showing resilience, despite weakness in Dell (DELL 9.24, -0.57). Dell posted better-than-expected earnings per share results for the third quarter, but got there by cutting costs, rather than by growing revenue.
Autodesk (ADSK 12.83, -3.99) has also been a laggard among tech names. The company fell out of favor when it issued downside guidance for the fourth quarter.
Microsoft (MSFT 18.59, +1.06) is showing strength, though. It was upgraded to Outperform at Oppenheimer.
Uncertainty continues to surround auto makers as support for a bailout plan is reported, but no tangible product or proposal has been made public.
Need for a bailout is being made urgent by auto makers as they contend with slumping sales. The short-term response has been to shutter production. General Motors (GM 3.02, +0.14) announced it will plan additional down weeks at five of its North American plants. Meanwhile, Honda Motor (HMC 19.38, +0.24) is cutting production at some of its global factories.
After climbing more than 90 ticks in the prior session, the 10-year Treasury Note is off by 64 ticks this session. That brings the yield on the benchmark Note back to 3.25%.DJ30 +23.33 NASDAQ +2.30 SP500 -0.01 NASDAQ Adv/Vol/Dec 938/1.20 bln/1679 NYSE Adv/Vol/Dec 1210/886 mln/1884
11:30 am : Stocks are climbing out of the red, but the tone remains mixed. Energy, materials, and utilities all trade with gains ranging from 2% to more than 3%, but health care and financials trade with losses ranging from 1% to nearly 3%.
Crude oil prices have taken a downward turn. After being up 3.4% in the early going, oil is now down 1% to trade below $49 per barrel. Crude was actually trading just above $48 per barrel recently, which marked a new record intraday low.DJ30 +19.83 NASDAQ +0.90 SP500 +0.34 NASDAQ Adv/Vol/Dec 878/1.05 bln/1700 NYSE Adv/Vol/Dec 1193/795 mln/1893
11:00 am : The major indices have turned lower and now trade with losses. The decline in the Nasdaq is more pronounced than it is in its counterparts, primarily due to weakness among tech names.
Dell (DELL 9.16, -0.65) delivered better-than-expected third quarter earnings results. However, the upside surprise is largely owed to cost cutting measures, rather than strong revenue results or increased profitability.
Autodesk (ADSK 13.05, -3.77) has lost 20% of its market cap this session as selling pressure mounts. The company fell out of favor when it issued downside guidance for the fourth quarter. Shares have also been downgraded by a few analysts.DJ30 -35.05 NASDAQ -12.59 SP500 -5.15 NASDAQ Adv/Vol/Dec 789/844 mln/1733 NYSE Adv/Vol/Dec 1074/663 mln/1956
10:30 am : The S&P 500 has fallen from its morning high, but continues to trade with a gain. The Dow actually slipped into negative territory, though only for a moment.
Weakness in financial stocks is contributing to the downturn. The sector is off by 3.4%, and trading with the steepest decline of any economic sector.
Shares of Citigroup (C 3.88, -0.83) are setting new record lows, yet again, amid continuing selling pressure. Reports suggest Citi is weighing selling itself or pieces of the company, but according to CNBC, Citi's CEO, Vikram Pandit, wants to keep the company together. Pandit also stated that rumor mongering is driving the stock to record lows.DJ30 +6.21 NASDAQ +4.19 SP500 +1.90 NASDAQ Adv/Vol/Dec 935/623 mln/1513 NYSE Adv/Vol/Dec 1337/530 mln/1634
10:00 am : The stock market's early gains remains broad based, but sellers have entered the action to knock stocks a leg lower.
Conglomerate General Electric (GE 13.43, +0.59) is providing leadership to both the S&P 500 and the Dow Jones Industrial Average. Shares of GE fell to their lowest point in more than a decade during the prior session; however, the stock is finding favor as investors swoop in to pick up bargains. An article from The Wall Street Journal indicated that GE is in talks with the Government of Singapore Investment Corp. regarding possible joint investments. It has been emphasized that the talks are about investing with, not in, GE. DJ30 +40.38 NASDAQ +12.69 SP500 +7.90 NASDAQ Adv/Vol/Dec 1131/372 mln/1204 NYSE Adv/Vol/Dec 1655/374 mln/1230
09:50 am : Stocks open with strong gains, rebounding off record lows registered in the prior session.
All 10 economic sectors are advancing. The largest gain is coming from the energy sector, which is up 3.4%.
Energy's advance follows a rebound in crude oil futures. Oil futures are up just over 1% to trade near $50 per barrel. Last session crude fell to its lowest point since early 2005. Upon hitting that low, crude was more than 65% off its record high of $147.27 per barrel, which was registered this last summer. The descent in oil prices marks one of the steepest and fastest in history, according to The Wall Street Journal.DJ30 +116.52 NASDAQ +24.44 SP500 +14.90 NASDAQ Adv/Dec 1393/874 NYSE Adv/Dec 1954/863
09:15 am : S&P futures vs fair value: +16.60. Nasdaq futures vs fair value: +18.30. Only a few minutes remain before the session's opening bell sounds. Ahead of trading Friday, the stock market is down nearly 14% week-to-date, and down more than 22% month-to-date. Stock futures are off their morning highs, but continue to indicate a positive start.
09:00 am : S&P futures vs fair value: +19.60. Nasdaq futures vs fair value: +22.00. Stock futures are currently indicating a bit of relief from the losses of prior sessions. Crude oil futures have rebounded 2.5% to $50.65 per barrel early on. Their bounce comes after oil last session hit its lowest point in more than three years. Wal-Mart (WMT) has selected Mike Duke to succeed Lee Scott as president and chief executive officer of the retail giant. Duke will also serve on the company's board, while Scott will serve on the board's executive committee.
08:30 am : S&P futures vs fair value: +18.30. Nasdaq futures vs fair value: +22.30. Stock futures indicate a strong start to the session. Layoffs in the financial sector continue to mount; Bank of New York Mellon (BK) is reducing its workforce by approximately 4%, eliminating 1,800 positions. Auto makers are also trimming expenses, responding to weak auto sales; Honda Motor (HMC) is cutting production at some of its global factories. Meanwhile, U.S. auto makers continue hoping for a quick and speedy government-sponsored plan to help them stave off potential bankruptcy.
08:00 am : S&P futures vs fair value: +17.60. Nasdaq futures vs fair value: +20.00. After registering record lows in the prior session, stock futures are indicating an upward start to trading Friday. Dell (DELL) posted better-than-expected earnings per share results for the third quarter. However, Dell also reported negative operating cash flow for the quarter. HJ Heinz (HNZ) topped earnings expectations for its latest quarter, and also reaffirmed its outlook. Retailer Gap (GPS) beat the consensus third quarter earnings per share estimate, and provided an in-line outlook. KeyCorp (KEY) has cut its quarterly dividend to $0.0625 per share from $0.1875 per share. According to an article from The Wall Street Journal, Citigroup (C) has begun weighing the possibility of auctioning pieces of the company or even selling it outright. Meanwhile, a New York Times article stated that Citi's executives are not actively exploring selling the company or splitting it up.
06:27 am : S&P futures vs fair value: +21.60. Nasdaq futures vs fair value: +35.50.
06:27 am : Nikkei...7910.79...+207.80...+2.70%. Hang Seng...12659.20...+360.60...+2.90%.
06:27 am : FTSE...3915.81...+40.80...+1.10%. DAX...4257.90...+37.80...+0.90%.
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