Thursday, October 27, 2005

Stocks Finish Near Session Lows on Growing Economic Concerns

Indices
S&P 500 1,178.90 -1.05%
DJIA 10,229.95 -1.11%
NASDAQ 2,063.81 -1.73%
Russell 2000 624.03 -2.25%
DJ Wilshire 5000 11,742.89 -1.23%
S&P Barra Growth 564.94 -1.15%
S&P Barra Value 609.85 -.95%
Morgan Stanley Consumer 577.04 -.92%
Morgan Stanley Cyclical 698.28 -.95%
Morgan Stanley Technology 488.10 -1.35%
Transports 3,674.32 -1.63%
Utilities 387.03 -1.30%
Put/Call 1.11 +21.98%
NYSE Arms 1.58 +73.92%
Volatility(VIX) 16.02 +9.80%
ISE Sentiment 151.00 +10.22%
US Dollar 89.12 -.41%
CRB 323.41 -.25%

Futures Spot Prices
Crude Oil 61.04 -.08%
Unleaded Gasoline 159.40 +.09%
Natural Gas 13.52 -1.16%
Heating Oil 185.60 +.11%
Gold 475.60 unch.
Base Metals 133.45 +.28%
Copper 179.75 -.36%
10-year US Treasury Yield 4.55% -.57%

Leading Sectors
Insurance -.02%
HMOs -.05%
Banks -28%

Lagging Sectors
Oil Tankers -3.22%
Coal -3.36%
Broadcasting -3.43%

Evening Review
Detailed Market Summary
Market Gauges
Daily ETF Performance
Style Performance
Market Wrap CNBC Video(bottom right)
S&P 500 Gallery View
Economic Calendar
Timely Economic Charts
GuruFocus.com
PM Market Call
After-hours Movers
Real-time/After-hours Stock Quote
In Play

Afternoon Recommendations
Goldman Sachs:
- Reiterated Outperform on FORM and ENH.
- Upgraded AET to Outperform.

Afternoon/Evening Headlines
Bloomberg:
- French President Chirac threatened to derail international trade talks by ruling out further cuts in European Union farm subsidies and tariffs.
- GM, which gets more than a quarter of its revenue from large pickups and sport-utility vehicles, is adding a line of small SUVs that will get better fuel mileage than the larger models.
- DaimlerChrysler AG, Siemens AG, and Volvo AB are among 2,253 companies that paid illegal kickbacks to Saddam Hussein to win business from the oil-for-food program which was designed to allow Hussein to sell oil to buy food and medicine for impoverished Iraqis, former US Fed chairman Volcker said today in a report.

BOTTOM LINE: The Portfolio finished slightly lower today on losses in my Retail longs, Semi longs and Medical longs. I did not trade in the afternoon, thus leaving the Portfolio 50% net long. The tone of the market very negative today as the advance/decline line finished substantially lower, every sector declined and volume was average. Measures of investor anxiety were mostly higher into the close. Overall, today’s market action was negative. A variety of stocks sustained meaningful damage. Buyers walked away in many cases. We are approaching the type of action I would expect to see at a tradable market bottom. I expect stocks to hold recent lows seen two weeks ago and embark upon a strong rally next month.

No comments: