4:20 pm : For the first time in over a week, volatility was relatively absent. However, after snapping a three-day losing streak in noticeable fashion a day earlier and being whipsawed since the global sell-off on February 27, it wasn't surprising to see investors look a bit fatigued Wednesday.
Since yesterday's huge rally was based as little on fundamentals as was last week's meltdown, and indicative of short covering activity amid an increasingly pessimistic mindset, today's breather wasn't overly disconcerting. In fact, some semblance of stabilization provides some hope that a bottom may have been put in place.
The absence of any scheduled economic data, until the Fed's Beige Book late in the day, or notable earnings reports, kept follow-through efforts in check throughout most of the session. Some new evidence suggesting the economy may be slowing more than anticipated, however, eventually provided enough fodder for the bears to question the sustainability of yesterday's broad-based bounce and get in the last word.
Before the bell, ADP reported that only 57,000 new private jobs (or 64,000 nonfarm equivalent jobs) were created in February. Since the market is more concerned with growth than inflation, especially following several assertions from former Fed Chairman Greenspan about a possible recession later in the year, the ADP payrolls number checking in at the lowest level since July 2003 raised some anxiety that economists will have to downwardly revise their estimates for Feb. nonfarm payrolls. The current consensus stands at 100,000.
Even though the monthly ADP report lacks credibility, as its miss over the last six months averages 78,000, or nearly twice the 40,000 miss of the more closely-watched data compiled by the Labor Dept., we believe a payroll gain on Friday as low as 50,000 would weigh heavily on a market now increasingly focused on negative items.
At 2:00 ET, the Fed showed that most of its 12 districts reported modest growth, but that several districts also noted some slowing. That took some steam out of what was finally shaping up to be a respectable extension of Tuesday's rally.
Further underscoring nervousness about the pace of economic growth was a subsequent flight-to-quality bid in bonds. The 10-year note finished up 8 ticks, pushing the yield below 4.50%; but that did little for the rate-sensitive Financials sector. After pacing the way yesterday with an impressive 2.1% advance, that sizable gain incited some profit taking and removed some notable leadership.
Energy was the only sector to finish in the plus column, and that was in sympathy with surging oil prices, which near $62/bbl are bearish for stocks. Crude for April delivery closed up 1.9% near $61.85/bbl following an unexpected decline in weekly crude supplies and a large drawdown in gasoline inventories. That provided another excuse to take some money off the table, along with a candid remark from homebuilder DR Horton's CEO who was quoted as saying all 12 months in 2007 are "going to suck."DJ30 -15.14 NASDAQ -10.50 SP500 -3.44 NASDAQ Dec/Adv/Vol 1728/1291/2.00 bln NYSE Dec/Adv/Vol 1616/1640/1.65 bln
3:30 pm : The major averages remain mixed going into the close, but it remains anyone's guess as to how today's action will finally shake out. As has been the case recently, late-day selling interest is creeping back into the market.
Overall, though, the relatively narrow trading range for the indices remains somewhat of a victory for the bulls considering the broader gyrations that have roiled the market since the global sell-off eight days ago. DJ30 +21.47 NASDAQ -4.32 SP500 +1.76 NASDAQ Dec/Adv/Vol 1437/1541/1.60 bln NYSE Dec/Adv/Vol 1255/1973/1.30 bln
3:00 pm : Stocks are paring the recent pullback but market internals remain mixed. As reflected in the A/D line, advancers outpace decliners on the NYSE by a 3-to-2 margin but decliners still hold a slight 15-to-14 edge over advancers. The ratio of up to down volumes also paints a similarly mixed picture at the Big Board and the Composite.
Energy continues to be the broader market's biggest bright spot, as oil prices recently closed near session highs; but the absence of leadership from Financials and Technology, the two most influential S&P 500 sectors, continue to act as offsetting factors. DJ30 +34.97 NASDAQ -0.69 SP500 +4.08 NASDAQ Dec/Adv/Vol 1502/1464/1.50 bln NYSE Dec/Adv/Vol 1278/1898/1.21 bln
2:30 pm : Absent a market-moving catalyst most of the day, today's Beige Book isn't exactly providing the ideal perspective on the economic outlook. At the top of the hour, the Fed showed that most of the 12 districts reported modest growth. However, several districts also noting some slowing has provided the bears with more evidence that the economy may be decelerating even more than initially anticipated. That has taken some steam out of what was finally shaping up to be solid follow-through effort.
Further underscoring nervousness about the pace of economic growth has been a subsequent flight-to-quality bid in bonds. The 10-year note is now up 8 ticks, pushing the yield below 4.50%. DJ30 +24.32 NASDAQ -3.01 SP500 +2.53 NASDAQ Dec/Adv/Vol 1502/1433/1.39 bln NYSE Dec/Adv/Vol 1323/1863/1.09 bln
2:00 pm : Within the last 30 minutes the indices, a renewed wave of enthusiasm to own equities has swept across the market. While it has not been overly aggressive, the Nasdaq has turned positive and the Dow has found enough momentum to break through initial resistance around the 12,240 level.
As evidenced by the Energy sector now sporting an impressive 2.7% advance, which dwarfs intraday performances from the other six sectors in positive territory, one needs to look no further than a spike higher in the world's largest publicly-traded company for leadership. Exxon Mobil (XOM 72.73 +1.73) is now up 2.4% as bargain hunters embracing a nearly 2% surge in oil prices continue to scoop up beaten-down energy names, evidently starting from the top down. Exxon said earlier that is plans to start 25 new global projects over the next three years that will add about 1 mln barrels of oil equivalent per day. The Dow component most recently appeased shareholders by saying it will not plan any new investment in Venezuela.DJ30 +43.58 NASDAQ +2.28 SP500 +5.22 XOI +2.9% NASDAQ Dec/Adv/Vol 1424/1501/1.28 bln NYSE Dec/Adv/Vol 1274/1899/998 mln
1:30 pm : More of the same for stocks as the Nasdaq and blue-chip indices continue to trade in opposing directions. Meanwhile, investors have sifted through commentary from Chicago Fed President Michael Moskow, who indicated that he is "not prepared to significantly change" his projections on the economy or inflation.
Moskow also mentioning that recent data has been "on the soft side," yet saying "additional firming" of rates may still be necessary, has provided investors with little incentive to more aggressively extend yesterday's bargain-hunting bounce. DJ30 +21.19 NASDAQ -2.18 SP500 +1.91 NASDAQ Dec/Adv/Vol 1501/1418/1.17 bln NYSE Dec/Adv/Vol 1402/1740/892 mln
1:00 pm : The major averages are back to trading in split fashion as buyers continue to plead that the recent market sell-off is overdone. Financials nearly halving its recent losses is contributing to the market's improved disposition.
After spiking lower earlier, amid a sudden sell-off in a sub-prime mortgage lender (e.g. LEND -5%), reports recently surfacing that Fremont General (FMT 8.42 +1.64) is in talks with 5 or 6 buyers for its mortgage business has helped take some of the sting out of what was looking to be another collapse over an hour ago.DJ30 +15.58 NASDAQ -4.21 SP500 +0.73 NASDAQ Dec/Adv/Vol 1579/1316/1.06 bln NYSE Dec/Adv/Vol 1512/1619/810 mln
12:30 pm : No real change in sentiment as the afternoon session gets underway, even as sector leadership shows some improvement. Five out of 10 sectors are now posting gains. Consumer Discretionary has been the most noticeable mover, bouncing off session lows and into positive territory in sympathy with oil abruptly pulling back $0.50 after running into resistance near the $62/bbl level.
Providing additional sector support is Office Depot (ODP 34.35 +0.70), which is up 2% after being upgraded on valuation. Best Buy (BBY 47.50 +0.98) is posting a similar advance in anticipation that the Super Bowl spurred demand for big screen TVs. Homebuilding is another bright spot after Toll Brothers (TOL 29.40 +0.60) said it will "burn through" its inventory in many markets over the next few months.DJ30 -4.41 NASDAQ -8.40 SP500 -1.71 NASDAQ Dec/Adv/Vol 1659/1220/898 mln NYSE Dec/Adv/Vol 1538/1571/730 mln
12:00 pm : After turning in their best one-day performances of the year, the major averages are consolidating some of yesterday's sizable advance. That's not entirely surprising, though, given the tendency after such a big bounce to invite some profit taking.
The absence of any scheduled economic data or notable earnings reports, coupled with skepticism as to whether a market bottom has been put in place, are contributing to the market's inability to enjoy any follow-through buying midday. Some new evidence suggesting the economy may be slowing more than anticipated is also contributing to the modestly negative disposition.
Earlier, ADP reported that only 57,000 new private jobs (or 64,000 nonfarm jobs) were created in February. Since investors are more concerned with growth, especially following several assertions from former Fed Chairman Greenspan about a possible recession later this year, the ADP payrolls number checking in at the lowest level since July 2003 has raised some concern that economists will have to downwardly revise their estimates for Feb. nonfarm payrolls. The current consensus stands at 100,000.
Even though the monthly ADP report lacks credibility, as its miss over the last six months averages 78,000, nearly twice the 40,000 miss of the more closely-watched data compiled by the Labor Dept., we believe a payroll gain on Friday as low as 50,000 will weigh heavily on the minds of an already overly pessimistic market.
Oil prices surging 1.8% and flirting with $62/bbl, following an unexpected decline in weekly crude supplies and a large draw down in gasoline inventories, are also providing an excuse for investors to take some money off the table. DJ30 -10.73 NASDAQ -8.96 SP500 -1.86 NASDAQ Dec/Adv/Vol 1744/1108/740 mln NYSE Dec/Adv/Vol 1705/1369/632 mln
11:30 am : Sellers have shown some resolve as the Dow joins the S&P 500 and Nasdaq in negative territory. As evidenced by Telecom (-1.3%) turning in the worst performance among the eight sectors now posting losses, it's easy to see that declines of more than 1% from Dow components AT&T (T 35.41 -0.59) and Verizon (VZ 36.10 -0.38) are largely responsible behind the blue-chip index's recent reversal.
Further deterioration in the Financials sector (-0.6%) due what looks to be renewed concerns with sub-prime mortgage lending, however, is the bigger story. Within the last 30 minutes, Accredited Home Lenders (LEND 15.54 -2.03), which was tacking a 3% gain onto yesterday's 9.5% bounce following Friday's 26% sell-off, is now down 12%. DJ30 -15.69 NASDAQ -9.98 SP500 -3.36 NASDAQ Dec/Adv/Vol 1726/1081/605 mln NYSE Dec/Adv/Vol 1569/1457/500 mln
11:00 am : Not much has changed since the last update as the indices continue to vacillate around the unchanged mark. The market's holding pattern, however, is commendable since oil prices have spiked higher over the last 30 minutes.
Crude for April delivery is now up 1.7% and flirting with $62/bbl following an unexpected decline in weekly crude supplies and a large draw down in gasoline inventories. Per usual, the Energy sector (+1.2%) subsequently catching a bid on oil's uptick is now offering some notable leadership and acting as an offset to the commodity's inflationary characteristics. DJ30 +10.01 NASDAQ -5.10 SP500 -0.63 NASDAQ Dec/Adv/Vol 1470/1257/464 mln NYSE Dec/Adv/Vol 1351/1631/370 mln
10:30 am : With the market as volatile as it has been of late, today's sluggish action is rather welcoming and reminiscent of investor fatigue after being whipsawed over the last week. Aside from the appeal to consolidate some of yesterday's gains, new evidence suggesting the economy may be slowing more than anticipated is also halting follow-through efforts.
Before the bell, the monthly ADP employment report showed that an estimated 57,000 new private jobs (or 64,000 nonfarm jobs) were created in February. Since investors are more concerned with growth amid Greenspan's ongoing recession remarks currently than high levels of resource utilization as a potential inflation risk, the ADP payrolls number checking in at the lowest level since July 2003 raises some concern that economists may revise the current consensus for Feb. nonfarm payrolls of 100,000 lower. DJ30 +13.98 NASDAQ -4.01 SP500 -0.59 NASDAQ Dec/Adv/Vol 1479/1165/324 mln NYSE Dec/Adv/Vol 1469/1408/240 mln
10:00 am : After briefly turning positive, the major averages are now mixed as split industry leadership continues to dictate early action. Of the five sectors in positive territory, Energy is pacing the way; but its 0.2% gain is modest at best and it's up in sympathy with rising oil prices, which at $61/bbl is bearish for stocks.
Unfortunately for the bulls, two of the five sectors consolidating gains are Financials and Technology; but their pullbacks are miniscule in scope and some profit taking after the two heavily-weighted sectors averaged a 1.9% gain Tuesday is not that surprising. Overall, the market is actually exhibiting good resilience so far considering early futures trade was pointing to an even weaker start amid temptations to take some money off the table in the wake of yesterday's rally.DJ30 +4.48 NASDAQ -3.96 SP500 -1.25 NASDAQ Dec/Adv/Vol 1238/1219/146 mln NYSE Dec/Adv/Vol 1503/1140/80 mln
09:40 am : After snapping a three-day losing streak in noticeable fashion, but in part due to some short covering activity on below average volume, Tuesday's broad-based rally has tempted investors to lock in some of yesterday's sizable advance. The Dow, S&P 500 and Nasdaq surged 1.3%, 1.6%, and 1.9%, respectively, recording their best one-day performances of the year.
While such a solid performance is noteworthy, the lack of market-moving news items so far this morning has stalled follow-through momentum as it remains to be seen if a market bottom has formed.DJ30 -2.16 NASDAQ -2.13 SP500 -1.47 NASDAQ Vol 82 mln NYSE Vol 42 mln
09:15 am : S&P futures vs fair value: -3.7. Nasdaq futures vs fair value: -4.8.
09:00 am : S&P futures vs fair value: -3.4. Nasdaq futures vs fair value: -4.5. Still shaping up for the indices to open modestly lower as concerns that stocks rose too far to fast yesterday leave some questioning the sustainability of such sizable gains. Since the huge rally yesterday was based as little on fundamentals as was last week's sell-off, investors taking a bit of breather isn't overly disconcerting. However, with investors still looking for confirmation that a bottom has been put in place, an overly aggressive wave of consolidation today will upset that notion.
Market Data 
Markets 
AI
