Reply #45: 1:11 numbers and yada then I gotta run. Will be out in the morning [View All]

[54anickel]

tomorrow - hope to be back for the post lunch check in :hi:

Dow 10,626.74 +32.33 (+0.31%)
Nasdaq 2,162.75 +4.94 (+0.23%)
S&P 500 1,232.13 +3.00 (+0.24%)
10-yr Bond 4.382% -0.02
30-yr Bond 4.574% -0.01
NYSE Volume 1,000,141,000
Nasdaq Volume 888,752,000

1:00PM : More of the same for stocks as modest buying efforts struggle to keep the major averages trading above the flat line... Aside from high oil prices preventing equities from gaining more aggressive upside traction, lackluster performances from three of the most influential sectors - Financial (-0.1%), Technology (+0.1%) and Consumer Discretionary (-0.2%) - continue to underpin a sense of nervousness in the wake of yesterday's afternoon sell-off... NYSE Adv/Dec 1744/1406, Nasdaq Adv/Dec 1470/1384

12:30PM : Sellers show some resolve, sending the indices to levels not seen since around the open, as the market now clings to modest gains... In somewhat similar fashion to yesterday's action, which ran out of gas in afternoon trading amid ongoing momentum in crude oil futures (65.60/bbl +$0.70), early buying interest is finding it difficult to fight off delayed consolidation efforts... NYSE Adv/Dec 1881/1242, Nasdaq Adv/Dec 1544/1298

12:00PM : Market showing good resilience midday, as encouraging economic data and some upbeat corporate news helps investors find bargains across the board, even in the face of record oil prices... Sure, crude oil futures continue to hit new highs everyday, most recently flirting with $66/bbl (+1.5%) amid strength in natural gas prices and extending yesterday's 2.9% surge that took the momentum out of an early rally... To that end, investors appear to be focusing more at inflation trends and other economic data, as the economy continues to expand despite higher energy costs...:eyes:

Even though headline reads in July retail sales appeared to disappoint, the overall data reflect very strong trends with regard to consumption patterns and should set the stage for a big Q3 GDP gain... July retail sales surged 1.8% (consensus +2.0%), above June's strong 1.7% gain due in large part to the auto companies' "employee discount pricing" programs... Excluding autos, July sales increased 0.3% (consensus +0.6%), but June's gain was upwardly revised to +0.9% from +0.7%...

A low level of initial claims, which fell 6K to 314K (consensus 315K), reflecting continued improvement in the job market, has also helped validate the ongoing stream of upbeat economic data, as Q3 real GDP appears headed for an increase of 5% or more... Speaking of GDP, June business inventories, which were flat versus an expected 0.1% rise, could provide the basis for any revisions to Q2 GDP, which lost 2.3% in growth due to larger than expected inventory reductions... With regard to sector strength and weakness, Energy continues to pace the way to the upside, benefiting largely from record oil...

The Materials sector has turned in a strong performance, taking advantage of a UBS upgrade on Alcoa (AA 29.64 +0.77) and dollar weakness... Also benefiting from a declining greenback has been the Industrials sector while Consumer Discretionary has benefited from Target's (TGT 55.61 +0.07) strong Q2 report and a rebound in shares of Walt Disney (DIS 25.73 +0.26)... Technology has also traded higher, as strength in Software, Hardware and a 3.2% surge in Qualcomm (QCOM 40.45 +1.24), which is acquiring Flarion Technologies for $600 mln, have overshadowed analyst downgrades on Intel (INTC 26.58 -0.30) and Novellus Systems (NVLS 27.10 -0.03)...

Health Care also has been an influential leader, getting a boost from a rebound in biotech, follow-through buying interest in HMOs and strength in Hospira (HSP 39.45 +1.65), which beat analysts' Q2 expectations and issued upside FY05 guidance...DJTA +0.3, DJUA +0.7, DOT +0.6, Nasdaq 100 +0.8, Russell 2000 +0.3, SOX +0.5, S&P Midcap 400 +0.4, XOI +0.7, NYSE Adv/Dec 1881/1199, Nasdaq Adv/Dec 1601/1203