Stocks Finish Near Session Highs on Above-Average Volume, Boosted by Economically Sensitive Shares

Indices
S&P 500 1,416.25 +1.09%
DJIA 12,778.15 +1.36%
NASDAQ 2,478.30 +1.57%
Russell 2000 712.48 +1.11%
Wilshire 5000 14,140.64 +1.03%
Russell 1000 Growth 585.98 +1.20%
Russell 1000 Value 768.30 +.91%
Morgan Stanley Consumer 711.63 -.27%
Morgan Stanley Cyclical 935.09 +2.24%
Morgan Stanley Technology 573.87 +2.59%
Transports 4,282.51 +2.27%
Utilities 545.70 +.41%
MSCI Emerging Markets 148.69 +.71%

Sentiment/Internals
Total Put/Call .85 -6.59%
NYSE Arms .83 -44.48%
Volatility(VIX) 22.90 -3.29%
ISE Sentiment 110.0 +23.60%

Futures Spot Prices
Crude Oil $94.15 +1.58%
Reformulated Gasoline 237.25 +2.25%
Natural Gas 8.34 +1.64%
Heating Oil 258.95 +2.11%
Gold 906.90 +1.02%
Base Metals 228.63 +2.53%
Copper 335.30 +1.48%

Economy
10-year US Treasury Yield 3.78% -1 basis point
US Dollar 75.61 -.48%
CRB Index 370.22 +1.39%

Leading Sectors
Computer Services +3.92%
Steel +3.12%
Computer Hardware +2.94%

Lagging Sectors
Gaming -.54%
Drugs -.71%
Foods -.75%

Evening Review
Market Summary
Today’s Movers
Market Performance Summary
WSJ Data Center
Sector Performance
ETF Performance
Style Performance
Commodity Movers
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Timely Economic Charts
GuruFocus.com
PM Market Call
After-hours Commentary
After-hours Movers
After-hours Stock Quote
In Play

Afternoon Recommendations
Deutsche Bank:
- Rated (MGM) Buy.

Afternoon/Evening Headlines
Bloomberg:
- Goldman Sachs Group(GS) said it bet on declines in the subprime mortgage market for most of 2007, as many of its competitors suffered record losses from the market’s collapse.
- Yamana Gold Inc., the miner that bought Meridian Gold Inc. last year, said it will increase output by as much as 39% this year as it develops new mines in South America to gain from rising precious-metal prices.
- CIBC plans to sell more than $2.7 billion in stock to investors including Hong Kong billionaire Li Ka-Shing and Manulife Financial to rebuild its balance sheet after taking writedowns tied to the US mortgage market.
- Genetech Inc.(DNA) said profit climbed 6.4%. Sales of its top product, the cancer drug Avastin, fell short of analysts’ expectations and shares declined $1.22 in extended trading.

Wall Street Journal:
- Will Hedge Funds Get Active…on Themselves?

BOTTOM LINE: The Portfolio finished higher today on gains in my Retail longs, Medical longs, Semi longs, Computer longs and Internet longs. I did not trade in the final hour, thus leaving the Portfolio 100% net long. The tone of the market was positive today as the advance/decline line finished higher, most sectors rose and volume was above average. Measures of investor anxiety were about average into the close. Today's overall market action was bullish as the major averages and breadth closed near session highs. The (XLF) and (RTH) both finished near session highs, as well, which was a big positive considering tomorrow’s likely bad news from (C) and weak Advance Retail Sales report. The total put/call finished slightly below average at .85, however this was mainly the result of the very low OEX put/call(smart money) reading of .75. Moreover, the 10-day OEX put/call is a low .96 versus an average reading of 1.49. According to Bloomberg data, this is the lowest the 10-day OEX put/call has been since August 2004, right before the S&P 500 tacked on a total return of almost 20% in a little over a year. Nikkei futures are indicating a +100 open in Japan.