Wednesday, March 16, 2005
Mid-day Report
Indices
S&P 500 1,190.43 -.61%
Dow 10,662.19 -.77%
NASDAQ 2,023.16 -.58%
Russell 2000 624.48 -.37%
DJ Wilshire 5000 11,738.60 -.62%
S&P Barra Growth 571.70 -.65%
S&P Barra Value 614.13 -.62%
Morgan Stanley Consumer 577.55 -.69%
Morgan Stanley Cyclical 766.89 -1.33%
Morgan Stanley Technology 461.41 -.79%
Transports 3,764.06 -1.37%
Utilities 356.95 -.58%
Put/Call 1.0 +20.48%
NYSE Arms 1.03 -24.26%
Volatility(VIX) 13.60 +3.42%
ISE Sentiment 127.00 -7.97%
US Dollar 81.64 -.58%
CRB 322.65 +.67%
Futures Spot Prices
Crude Oil 55.70 +1.18%
Unleaded Gasoline 152.80 +1.37%
Natural Gas 7.10 -1.03%
Heating Oil 157.70 +1.61%
Gold 444.10 +.61%
Base Metals 131.48 +.67%
Copper 150.80 +1.17%
10-year US Treasury Yield 4.51% +1.17%
Leading Sectors
Wireless +.70%
Energy +.32%
Disk Drives +.32%
Lagging Sectors
Networking -1.33%
Papers -1.48%
Iron/Steel -1.72%
Market Movers
GM -13.4% after forecasting its largest quarterly loss since 1992 as Toyota Motor takes market share.
RIMM +17.93% after agreeing to pay NTP Inc. $450 million to end a patent dispute and multiple upgrades.
OPNT +23.46% after saying that Cisco Systems will distribute its products worldwide.
CVNS +18.2% after announcing restatement of prior results and beating 4Q estimates.
SNIC +18.82% on JMP Securities upgrade to Strong Buy.
SIGM +16.79% after meeting 4Q estimates and Needham upgrade to Strong Buy.
CIB +13.59% after UBS upgrade to Buy.
NMG/A +10.14% after saying it hired Goldman Sachs as a financial adviser to explore strategic alternatives.
BCR +6.68% after boosting 1Q guidance.
ARTC +12.95% after beating 4Q estimates and First Albany upgrade to Buy.
LFB +11.81% after saying it retained Goldman Sachs to evaluate possible conversion to REIT.
DRL -14.99% on Wachovia downgrade to Underperform.
MSTR -12.97% after saying its auditor is leaving and multiple downgrades.
TELK -8.25% after Lehman Brothers downgrade to Equal Weight.
STLD -6.61% after lowering 1Q guidance.
Mid-day Overview
Market Internals
I-Watch Sector Overview
NYSE Unusual Volume
NASDAQ Unusual Volume
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Hot Spots
Option Dragon
Real-time Intraday Chart/Quote
Economic Data
- The 4Q Current Account Balance fell to -$187.9B versus estimates of -$183.0B and -$165.9B in 3Q.
- Housing Starts for February rose to 2195K versus estimates of 2067K and an upwardly revised 2132K in January.
- Building Permits for February rose to 2074K versus estimates of 2067K and an upwardly revised 2132K in January.
- Industrial Production for February rose .3% versus estimates of a .4% gain and a .1% increase in January.
- Capacity Utilization for February rose to 79.4% versus estimates of 79.2% and a reading of 79.2% in January
Recommendations
- Goldman Sachs: Reiterated Outperform on NKE.
- Smith Barney: Reiterated Buy on FHR, target $38. Reiterated Buy on AMAT, target $22. Reiterated Buy on ACE, target $53. Reiterated Buy on ABX, target $30.
- UBS: Raised CIB to Buy, target $16.83.
- Deutsche Bank: Raised CPB to Buy, target $33. Rated CE Buy, target $21.
- Wachovia: Raised DKS to Outperform. Downgraded DRL to Underperform.
- Banc of America: Rated THLD Buy.
- Lehman Brothers: Rated DWA Overweight, target $43.
- CIBC: Rated THLD Sector Outperform, target $11. Rated ICGN Sector Outperform, target $10. Rated FVRL Sector Outperform, target $10.
- Legg Mason: Raised RIMM to Buy, target $87.
- Raymond James: Raised LAD to Strong Buy, target $33.
Mid-day News
S&P 500 1,190.43 -.61%
Dow 10,662.19 -.77%
NASDAQ 2,023.16 -.58%
Russell 2000 624.48 -.37%
DJ Wilshire 5000 11,738.60 -.62%
S&P Barra Growth 571.70 -.65%
S&P Barra Value 614.13 -.62%
Morgan Stanley Consumer 577.55 -.69%
Morgan Stanley Cyclical 766.89 -1.33%
Morgan Stanley Technology 461.41 -.79%
Transports 3,764.06 -1.37%
Utilities 356.95 -.58%
Put/Call 1.0 +20.48%
NYSE Arms 1.03 -24.26%
Volatility(VIX) 13.60 +3.42%
ISE Sentiment 127.00 -7.97%
US Dollar 81.64 -.58%
CRB 322.65 +.67%
Futures Spot Prices
Crude Oil 55.70 +1.18%
Unleaded Gasoline 152.80 +1.37%
Natural Gas 7.10 -1.03%
Heating Oil 157.70 +1.61%
Gold 444.10 +.61%
Base Metals 131.48 +.67%
Copper 150.80 +1.17%
10-year US Treasury Yield 4.51% +1.17%
Leading Sectors
Wireless +.70%
Energy +.32%
Disk Drives +.32%
Lagging Sectors
Networking -1.33%
Papers -1.48%
Iron/Steel -1.72%
Market Movers
GM -13.4% after forecasting its largest quarterly loss since 1992 as Toyota Motor takes market share.
RIMM +17.93% after agreeing to pay NTP Inc. $450 million to end a patent dispute and multiple upgrades.
OPNT +23.46% after saying that Cisco Systems will distribute its products worldwide.
CVNS +18.2% after announcing restatement of prior results and beating 4Q estimates.
SNIC +18.82% on JMP Securities upgrade to Strong Buy.
SIGM +16.79% after meeting 4Q estimates and Needham upgrade to Strong Buy.
CIB +13.59% after UBS upgrade to Buy.
NMG/A +10.14% after saying it hired Goldman Sachs as a financial adviser to explore strategic alternatives.
BCR +6.68% after boosting 1Q guidance.
ARTC +12.95% after beating 4Q estimates and First Albany upgrade to Buy.
LFB +11.81% after saying it retained Goldman Sachs to evaluate possible conversion to REIT.
DRL -14.99% on Wachovia downgrade to Underperform.
MSTR -12.97% after saying its auditor is leaving and multiple downgrades.
TELK -8.25% after Lehman Brothers downgrade to Equal Weight.
STLD -6.61% after lowering 1Q guidance.
Mid-day Overview
Market Internals
I-Watch Sector Overview
NYSE Unusual Volume
NASDAQ Unusual Volume
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Hot Spots
Option Dragon
Real-time Intraday Chart/Quote
Economic Data
- The 4Q Current Account Balance fell to -$187.9B versus estimates of -$183.0B and -$165.9B in 3Q.
- Housing Starts for February rose to 2195K versus estimates of 2067K and an upwardly revised 2132K in January.
- Building Permits for February rose to 2074K versus estimates of 2067K and an upwardly revised 2132K in January.
- Industrial Production for February rose .3% versus estimates of a .4% gain and a .1% increase in January.
- Capacity Utilization for February rose to 79.4% versus estimates of 79.2% and a reading of 79.2% in January
Recommendations
- Goldman Sachs: Reiterated Outperform on NKE.
- Smith Barney: Reiterated Buy on FHR, target $38. Reiterated Buy on AMAT, target $22. Reiterated Buy on ACE, target $53. Reiterated Buy on ABX, target $30.
- UBS: Raised CIB to Buy, target $16.83.
- Deutsche Bank: Raised CPB to Buy, target $33. Rated CE Buy, target $21.
- Wachovia: Raised DKS to Outperform. Downgraded DRL to Underperform.
- Banc of America: Rated THLD Buy.
- Lehman Brothers: Rated DWA Overweight, target $43.
- CIBC: Rated THLD Sector Outperform, target $11. Rated ICGN Sector Outperform, target $10. Rated FVRL Sector Outperform, target $10.
- Legg Mason: Raised RIMM to Buy, target $87.
- Raymond James: Raised LAD to Strong Buy, target $33.
Mid-day News
BOTTOM LINE: The Portfolio is higher mid-day on gains in my Energy-related longs, Networking shorts and Chinese ADR shorts. I took profits in a few shorts this morning and added some new shorts from various sectors, thus leaving the Portfolio’s market exposure 25% net short. One of my new shorts is ERTS and I am using a $68.5 stop-loss on this position. The tone of the market is negative today as the advance/decline line is lower, most sectors are declining and volume is decent. Measures of investor anxiety are mostly higher. Today’s overall market action is negative, considering the rise in bonds and good economic reports. A number of market-leading stocks continue to remain under pressure. A further rise in investor anxiety is needed to put a tradable bottom in place. I expect US stocks to trade mixed-to-lower from current levels into the close on worries over rising energy prices and technical deterioration. I am still experiencing technical problems with this site. Hopefully the problems will be corrected shortly.
Mid-day Report
Indices
S&P 500 1,190.43 -.61%
Dow 10,662.19 -.77%
NASDAQ 2,023.16 -.58%
Russell 2000 624.48 -.37%
DJ Wilshire 5000 11,738.60 -.62%
S&P Barra Growth 571.70 -.65%
S&P Barra Value 614.13 -.62%
Morgan Stanley Consumer 577.55 -.69%
Morgan Stanley Cyclical 766.89 -1.33%
Morgan Stanley Technology 461.41 -.79%
Transports 3,764.06 -1.37%
Utilities 356.95 -.58%
Put/Call 1.0 +20.48%
NYSE Arms 1.03 -24.26%
Volatility(VIX) 13.60 +3.42%
ISE Sentiment 127.00 -7.97%
US Dollar 81.64 -.58%
CRB 322.65 +.67%
Futures Spot Prices
Crude Oil 55.70 +1.18%
Unleaded Gasoline 152.80 +1.37%
Natural Gas 7.10 -1.03%
Heating Oil 157.70 +1.61%
Gold 444.10 +.61%
Base Metals 131.48 +.67%
Copper 150.80 +1.17%
10-year US Treasury Yield 4.51% +1.17%
Leading Sectors
Wireless +.70%
Energy +.32%
Disk Drives +.32%
Lagging Sectors
Networking -1.33%
Papers -1.48%
Iron/Steel -1.72%
Market Movers
GM -13.4% after forecasting its largest quarterly loss since 1992 as Toyota Motor takes market share.
RIMM +17.93% after agreeing to pay NTP Inc. $450 million to end a patent dispute and multiple upgrades.
OPNT +23.46% after saying that Cisco Systems will distribute its products worldwide.
CVNS +18.2% after announcing restatement of prior results and beating 4Q estimates.
SNIC +18.82% on JMP Securities upgrade to Strong Buy.
SIGM +16.79% after meeting 4Q estimates and Needham upgrade to Strong Buy.
CIB +13.59% after UBS upgrade to Buy.
NMG/A +10.14% after saying it hired Goldman Sachs as a financial adviser to explore strategic alternatives.
BCR +6.68% after boosting 1Q guidance.
ARTC +12.95% after beating 4Q estimates and First Albany upgrade to Buy.
LFB +11.81% after saying it retained Goldman Sachs to evaluate possible conversion to REIT.
DRL -14.99% on Wachovia downgrade to Underperform.
MSTR -12.97% after saying its auditor is leaving and multiple downgrades.
TELK -8.25% after Lehman Brothers downgrade to Equal Weight.
STLD -6.61% after lowering 1Q guidance.
Mid-day Overview
Market Internals
I-Watch Sector Overview
NYSE Unusual Volume
NASDAQ Unusual Volume
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Hot Spots
Option Dragon
Real-time Intraday Chart/Quote
Economic Data
- The 4Q Current Account Balance fell to -$187.9B versus estimates of -$183.0B and -$165.9B in 3Q.
- Housing Starts for February rose to 2195K versus estimates of 2067K and an upwardly revised 2132K in January.
- Building Permits for February rose to 2074K versus estimates of 2067K and an upwardly revised 2132K in January.
- Industrial Production for February rose .3% versus estimates of a .4% gain and a .1% increase in January.
- Capacity Utilization for February rose to 79.4% versus estimates of 79.2% and a reading of 79.2% in January
Recommendations
- Goldman Sachs: Reiterated Outperform on NKE.
- Smith Barney: Reiterated Buy on FHR, target $38. Reiterated Buy on AMAT, target $22. Reiterated Buy on ACE, target $53. Reiterated Buy on ABX, target $30.
- UBS: Raised CIB to Buy, target $16.83.
- Deutsche Bank: Raised CPB to Buy, target $33. Rated CE Buy, target $21.
- Wachovia: Raised DKS to Outperform. Downgraded DRL to Underperform.
- Banc of America: Rated THLD Buy.
- Lehman Brothers: Rated DWA Overweight, target $43.
- CIBC: Rated THLD Sector Outperform, target $11. Rated ICGN Sector Outperform, target $10. Rated FVRL Sector Outperform, target $10.
- Legg Mason: Raised RIMM to Buy, target $87.
- Raymond James: Raised LAD to Strong Buy, target $33.
Mid-day News
S&P 500 1,190.43 -.61%
Dow 10,662.19 -.77%
NASDAQ 2,023.16 -.58%
Russell 2000 624.48 -.37%
DJ Wilshire 5000 11,738.60 -.62%
S&P Barra Growth 571.70 -.65%
S&P Barra Value 614.13 -.62%
Morgan Stanley Consumer 577.55 -.69%
Morgan Stanley Cyclical 766.89 -1.33%
Morgan Stanley Technology 461.41 -.79%
Transports 3,764.06 -1.37%
Utilities 356.95 -.58%
Put/Call 1.0 +20.48%
NYSE Arms 1.03 -24.26%
Volatility(VIX) 13.60 +3.42%
ISE Sentiment 127.00 -7.97%
US Dollar 81.64 -.58%
CRB 322.65 +.67%
Futures Spot Prices
Crude Oil 55.70 +1.18%
Unleaded Gasoline 152.80 +1.37%
Natural Gas 7.10 -1.03%
Heating Oil 157.70 +1.61%
Gold 444.10 +.61%
Base Metals 131.48 +.67%
Copper 150.80 +1.17%
10-year US Treasury Yield 4.51% +1.17%
Leading Sectors
Wireless +.70%
Energy +.32%
Disk Drives +.32%
Lagging Sectors
Networking -1.33%
Papers -1.48%
Iron/Steel -1.72%
Market Movers
GM -13.4% after forecasting its largest quarterly loss since 1992 as Toyota Motor takes market share.
RIMM +17.93% after agreeing to pay NTP Inc. $450 million to end a patent dispute and multiple upgrades.
OPNT +23.46% after saying that Cisco Systems will distribute its products worldwide.
CVNS +18.2% after announcing restatement of prior results and beating 4Q estimates.
SNIC +18.82% on JMP Securities upgrade to Strong Buy.
SIGM +16.79% after meeting 4Q estimates and Needham upgrade to Strong Buy.
CIB +13.59% after UBS upgrade to Buy.
NMG/A +10.14% after saying it hired Goldman Sachs as a financial adviser to explore strategic alternatives.
BCR +6.68% after boosting 1Q guidance.
ARTC +12.95% after beating 4Q estimates and First Albany upgrade to Buy.
LFB +11.81% after saying it retained Goldman Sachs to evaluate possible conversion to REIT.
DRL -14.99% on Wachovia downgrade to Underperform.
MSTR -12.97% after saying its auditor is leaving and multiple downgrades.
TELK -8.25% after Lehman Brothers downgrade to Equal Weight.
STLD -6.61% after lowering 1Q guidance.
Mid-day Overview
Market Internals
I-Watch Sector Overview
NYSE Unusual Volume
NASDAQ Unusual Volume
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Hot Spots
Option Dragon
Real-time Intraday Chart/Quote
Economic Data
- The 4Q Current Account Balance fell to -$187.9B versus estimates of -$183.0B and -$165.9B in 3Q.
- Housing Starts for February rose to 2195K versus estimates of 2067K and an upwardly revised 2132K in January.
- Building Permits for February rose to 2074K versus estimates of 2067K and an upwardly revised 2132K in January.
- Industrial Production for February rose .3% versus estimates of a .4% gain and a .1% increase in January.
- Capacity Utilization for February rose to 79.4% versus estimates of 79.2% and a reading of 79.2% in January
Recommendations
- Goldman Sachs: Reiterated Outperform on NKE.
- Smith Barney: Reiterated Buy on FHR, target $38. Reiterated Buy on AMAT, target $22. Reiterated Buy on ACE, target $53. Reiterated Buy on ABX, target $30.
- UBS: Raised CIB to Buy, target $16.83.
- Deutsche Bank: Raised CPB to Buy, target $33. Rated CE Buy, target $21.
- Wachovia: Raised DKS to Outperform. Downgraded DRL to Underperform.
- Banc of America: Rated THLD Buy.
- Lehman Brothers: Rated DWA Overweight, target $43.
- CIBC: Rated THLD Sector Outperform, target $11. Rated ICGN Sector Outperform, target $10. Rated FVRL Sector Outperform, target $10.
- Legg Mason: Raised RIMM to Buy, target $87.
- Raymond James: Raised LAD to Strong Buy, target $33.
Mid-day News
BOTTOM LINE: The Portfolio is higher mid-day on gains in my Energy-related longs, Networking shorts and Chinese ADR shorts. I took profits in a few shorts this morning and added some new shorts from various sectors, thus leaving the Portfolio’s market exposure 25% net short. One of my new shorts is ERTS and I am using a $68.5 stop-loss on this position. The tone of the market is negative today as the advance/decline line is lower, most sectors are declining and volume is decent. Measures of investor anxiety are mostly higher. Today’s overall market action is negative, considering the rise in bonds and good economic reports. A number of market-leading stocks continue to remain under pressure. A further rise in investor anxiety is needed to put a tradable bottom in place. I expect US stocks to trade mixed-to-lower from current levels into the close on worries over rising energy prices and technical deterioration. I am still experiencing technical problems with this site. Hopefully the problems will be corrected shortly.
Wednesday Watch
Late-Night News
Asian indices are mostly higher as losses in China are being offset by gains in India and Australia. Tom Online Inc., an Internet company controlled by Hong Kong billionaire Li Ka-shing, said it wants to buy or merge with rivals to compete with larger Chinese-language search engines such as Sohu.com Inc., the Financial Times reported. European Aeronautic, Defense & Space Co., Europe's largest aerospace company, plans to cooperate with Northrop Grumman Corp. to build and promote Eurohawk, an unmanned surveillance airplane, Financial Times Deutschland said. Starbucks Corp. plans to open four stores in Indonesia this year to tap growing demand for coffee, Bisnis Indonesia reported. Toys "R" Us Inc., the No. 2 US toy seller, has received offers for over $5.5 billion for the company, including its Babies R Us unit, from Kohlberg, Kravis, Roberts & Co. and Cerberus Capital Management LP, the Financial Times said. Citigroup and six other overseas banks may be allowed to trade eight foreign currency pairs in China starting from May, China Business News said. No signs of anthrax were found in Pentagon mail facilities in follow-up tests conducted today, a Defense Department official said. Iraq's dominant Shiite political group overcame differences with the Kurds about the extent of autonomy in the north as the National Assembly prepared to meet for the first time, Bloomberg reported. Taiwan President Chen Shui-bian said today China's anti-secession law will have a "severe negative impact" on cross-Strait relations, Bloomberg reported. Japan's ban on US beef imports because of disease concerns may result in the US Senate calling for trade sanctions against the country, the Daily Yomiuri reported.
Late Recommendations
- Goldman Sachs: Reiterated Outperform on AET, WYNN and ACN.
Night Trading
- Asian Indices are -.50% to +.50% on average.
- S&P 500 indicated +.11%.
- NASDAQ 100 indicated +.10%.
Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Before the Bell CNBC Video(bottom right)
Asian Indices
European Indices
Top 20 Business Stories
In Play
Bond Ticker
Analyst Actions
Macro Calls
Rasmussen Consumer/Investor Daily Indices
CNBC Guest Schedule
Earnings of Note
Company/Estimate
KDE/.47
ALO/.50
BSC/2.34
MLHR/.21
HOTT/.38
KG/.24
PFGC/.32
ROST/.34
TEX/.45
VECO/.06
WOR/.35
WWCA/.33
Splits
XTO 4-for-3
FPL 2-for-1
Economic Data
- The 4Q Current Account Balance is estimated to fall to -$183.0B versus -$164.7B in 3Q.
- Housing Starts for February are estimated to fall to 2040K versus 2159K in January.
- Building Permits for February are estimated to fall to 2067K versus 2105K in January.
- Industrial Production for February is estimated to rise .4% versus unchanged in January.
- Capacity Utilization for February is estimated to rise to 79.2% versus a reading of 79.0% in January.
Asian indices are mostly higher as losses in China are being offset by gains in India and Australia. Tom Online Inc., an Internet company controlled by Hong Kong billionaire Li Ka-shing, said it wants to buy or merge with rivals to compete with larger Chinese-language search engines such as Sohu.com Inc., the Financial Times reported. European Aeronautic, Defense & Space Co., Europe's largest aerospace company, plans to cooperate with Northrop Grumman Corp. to build and promote Eurohawk, an unmanned surveillance airplane, Financial Times Deutschland said. Starbucks Corp. plans to open four stores in Indonesia this year to tap growing demand for coffee, Bisnis Indonesia reported. Toys "R" Us Inc., the No. 2 US toy seller, has received offers for over $5.5 billion for the company, including its Babies R Us unit, from Kohlberg, Kravis, Roberts & Co. and Cerberus Capital Management LP, the Financial Times said. Citigroup and six other overseas banks may be allowed to trade eight foreign currency pairs in China starting from May, China Business News said. No signs of anthrax were found in Pentagon mail facilities in follow-up tests conducted today, a Defense Department official said. Iraq's dominant Shiite political group overcame differences with the Kurds about the extent of autonomy in the north as the National Assembly prepared to meet for the first time, Bloomberg reported. Taiwan President Chen Shui-bian said today China's anti-secession law will have a "severe negative impact" on cross-Strait relations, Bloomberg reported. Japan's ban on US beef imports because of disease concerns may result in the US Senate calling for trade sanctions against the country, the Daily Yomiuri reported.
Late Recommendations
- Goldman Sachs: Reiterated Outperform on AET, WYNN and ACN.
Night Trading
- Asian Indices are -.50% to +.50% on average.
- S&P 500 indicated +.11%.
- NASDAQ 100 indicated +.10%.
Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Before the Bell CNBC Video(bottom right)
Asian Indices
European Indices
Top 20 Business Stories
In Play
Bond Ticker
Analyst Actions
Macro Calls
Rasmussen Consumer/Investor Daily Indices
CNBC Guest Schedule
Earnings of Note
Company/Estimate
KDE/.47
ALO/.50
BSC/2.34
MLHR/.21
HOTT/.38
KG/.24
PFGC/.32
ROST/.34
TEX/.45
VECO/.06
WOR/.35
WWCA/.33
Splits
XTO 4-for-3
FPL 2-for-1
Economic Data
- The 4Q Current Account Balance is estimated to fall to -$183.0B versus -$164.7B in 3Q.
- Housing Starts for February are estimated to fall to 2040K versus 2159K in January.
- Building Permits for February are estimated to fall to 2067K versus 2105K in January.
- Industrial Production for February is estimated to rise .4% versus unchanged in January.
- Capacity Utilization for February is estimated to rise to 79.2% versus a reading of 79.0% in January.
BOTTOM LINE: I expect US equities to open modestly higher in the morning on a bounce after today's losses and lower energy prices. However, stocks may fall modestly later in the day on another rise in oil and interest rates. The Portfolio is 25% net short heading into tomorrow. I have recently been having some technical difficulties publishing this blog. I am working on the issue with Blogger, the host of this site. These issues also may be causing this page to load slowly. Sorry for the inconvenience.
Tuesday, March 15, 2005
Tuesday Close
Indices
S&P 500 1,197.75 -.75%
Dow 10,745.10 -.55%
NASDAQ 2,034.98 -.78%
Russell 2000 626.82 -.55%
DJ Wilshire 5000 11,812.06 -.69%
S&P Barra Growth 575.46 -.76%
S&P Barra Value 617.98 -.75%
Morgan Stanley Consumer 581.48 -.89%
Morgan Stanley Cyclical 776.56 -.41%
Morgan Stanley Technology 465.04 -1.13%
Transports 3,816.43 -.99%
Utilities 359.04 -.49%
Put/Call .83 -17.82%
NYSE Arms 1.36 +183.33%
Volatility(VIX) 13.15 +6.13%
ISE Sentiment 138.00 -2.82%
US Dollar 82.12 +.18%
CRB 320.50 +1.03%
Futures Spot Prices
Crude Oil 54.86 -.35%
Unleaded Gasoline 150.50 -.15%
Natural Gas 7.15 -.40%
Heating Oil 154.70 -.32%
Gold 441.30 -.02%
Base Metals 130.61 +.68%
Copper 148.70 -.23%
10-year US Treasury Yield 4.54% +.81%
Leading Sectors
Gaming +3.21%
Iron/Steel +.57%
HMOs +.38%
Lagging Sectors
Semis -2.12%
Biotech -2.17%
Airlines -2.53%
After-hours Movers
OPNT +15.22% after announcing a multi-year worldwide distribution agreement with Cisco Systems.
TIVO -4.48% on profit-taking after today’s substantial rise on Comcast deal.
Evening Review
Detailed Market Summary
Daily ETF Performance
Style Performance
Market Wrap CNBC Video(bottom right)
Futures Recap
S&P 500 Gallery View
Timely Economic Charts
PM Market Call
Real-time/After-hours Stock Quote
In Play
Afternoon Recommendations
- Goldman Sachs: Reiterated Outperform on AMGN, STN, GCI, PFE and ADP. Reiterated Underperform on FHN.
After-hours News
US stocks finished lower today on worries over domestic terrorism, rising interest rates and high energy prices. After the close, Quanta Computer, the word’s biggest maker of notebook computers, plans to start producing auto electronics products to diversify it range, the Commercial Times reported. The dollar advanced to the highest in a week against the euro after a government report showed demand among international investors for US assets rose in January to the most in almost two years, Bloomberg reported. OPEC is close to an agreement to increase output quotas for the fourth time in less than a year, Bloomberg said. Blockbuster’s hostile $833 million bid to purchase video-rental rival Hollywood Entertainment is opposed by the staff of the FTC, Bloomberg reported. Harvard University’s largest faculty group approved a no-confidence motion against President Lawrence Summers following his comments that women may lack the aptitude to excel in science and engineering, Bloomberg reported. Senate Democratic leader Harry Reid threatened to bring the Senate to a halt if Republicans try to prevent the minority party from blocking President Bush’s judicial nominees, Bloomberg said. The EPA set the first limits on mercury emissions from coal-fired power plants to reduce brain damage in children who eat fish contaminated with the poison, Bloomberg reported. A US Army lab is conducting tests today to determine whether live anthrax is in samples from Pentagon mail centers, after four postal units were closed because of concerns about a possible bioterrorist attack, Bloomberg said.
S&P 500 1,197.75 -.75%
Dow 10,745.10 -.55%
NASDAQ 2,034.98 -.78%
Russell 2000 626.82 -.55%
DJ Wilshire 5000 11,812.06 -.69%
S&P Barra Growth 575.46 -.76%
S&P Barra Value 617.98 -.75%
Morgan Stanley Consumer 581.48 -.89%
Morgan Stanley Cyclical 776.56 -.41%
Morgan Stanley Technology 465.04 -1.13%
Transports 3,816.43 -.99%
Utilities 359.04 -.49%
Put/Call .83 -17.82%
NYSE Arms 1.36 +183.33%
Volatility(VIX) 13.15 +6.13%
ISE Sentiment 138.00 -2.82%
US Dollar 82.12 +.18%
CRB 320.50 +1.03%
Futures Spot Prices
Crude Oil 54.86 -.35%
Unleaded Gasoline 150.50 -.15%
Natural Gas 7.15 -.40%
Heating Oil 154.70 -.32%
Gold 441.30 -.02%
Base Metals 130.61 +.68%
Copper 148.70 -.23%
10-year US Treasury Yield 4.54% +.81%
Leading Sectors
Gaming +3.21%
Iron/Steel +.57%
HMOs +.38%
Lagging Sectors
Semis -2.12%
Biotech -2.17%
Airlines -2.53%
After-hours Movers
OPNT +15.22% after announcing a multi-year worldwide distribution agreement with Cisco Systems.
TIVO -4.48% on profit-taking after today’s substantial rise on Comcast deal.
Evening Review
Detailed Market Summary
Daily ETF Performance
Style Performance
Market Wrap CNBC Video(bottom right)
Futures Recap
S&P 500 Gallery View
Timely Economic Charts
PM Market Call
Real-time/After-hours Stock Quote
In Play
Afternoon Recommendations
- Goldman Sachs: Reiterated Outperform on AMGN, STN, GCI, PFE and ADP. Reiterated Underperform on FHN.
After-hours News
US stocks finished lower today on worries over domestic terrorism, rising interest rates and high energy prices. After the close, Quanta Computer, the word’s biggest maker of notebook computers, plans to start producing auto electronics products to diversify it range, the Commercial Times reported. The dollar advanced to the highest in a week against the euro after a government report showed demand among international investors for US assets rose in January to the most in almost two years, Bloomberg reported. OPEC is close to an agreement to increase output quotas for the fourth time in less than a year, Bloomberg said. Blockbuster’s hostile $833 million bid to purchase video-rental rival Hollywood Entertainment is opposed by the staff of the FTC, Bloomberg reported. Harvard University’s largest faculty group approved a no-confidence motion against President Lawrence Summers following his comments that women may lack the aptitude to excel in science and engineering, Bloomberg reported. Senate Democratic leader Harry Reid threatened to bring the Senate to a halt if Republicans try to prevent the minority party from blocking President Bush’s judicial nominees, Bloomberg said. The EPA set the first limits on mercury emissions from coal-fired power plants to reduce brain damage in children who eat fish contaminated with the poison, Bloomberg reported. A US Army lab is conducting tests today to determine whether live anthrax is in samples from Pentagon mail centers, after four postal units were closed because of concerns about a possible bioterrorist attack, Bloomberg said.
BOTTOM LINE: The Portfolio finished slightly lower today on losses in my Energy-related and Biotech longs. I did not trade in the afternoon, thus leaving the Portfolio 25% net short. The tone of the weakened further into the afternoon as the advance/decline line finished at its daily lows, most sectors declined and volume rose. The Gaming sector outperformed substantially, spurred by gains in STN and BYD. The Semis underperformed throughout the day and are trading close to support. I would become more concerned about the intermediate-term direction of technology shares if the SOX clearly broke down below 418. Overall, today’s market action was negative, considering good economic reports and recent losses. I continue to expect US stocks to trade mixed-to-weaker until energy prices and long-term interest rates stabilize.
Mid-day Report
Indices
S&P 500 1,202.55 -.36%
Dow 10,784.85 -.19%
NASDAQ 2,040.18 -.53%
Russell 2000 626.87 -.23%
DJ Wilshire 5000 11,852.66 -.35%
S&P Barra Growth 577.78 -.36%
S&P Barra Value 620.00 -.43%
Morgan Stanley Consumer 583.31 -.58%
Morgan Stanley Cyclical 779.14 -.08%
Morgan Stanley Technology 466.41 -.84%
Transports 3,838.22 -.43%
Utilities 360.98 +.04%
Put/Call .80 -20.79%
NYSE Arms 1.23 +150.00%
Volatility(VIX) 12.88 +3.95%
ISE Sentiment 136.00 -4.23%
US Dollar 82.11 +.17%
CRB 320.28 +.96%
Futures Spot Prices
Crude Oil 55.20 +.45%
Unleaded Gasoline 150.00 -.43%
Natural Gas 7.20 +.87%
Heating Oil 155.60 +1.30%
Gold 441.40 -.05%
Base Metals 130.61 +.68%
Copper 149.05 +1.36%
10-year US Treasury Yield 4.53% +.63%
Leading Sectors
Gaming +3.13%
Iron/Steel +.77%
HMOs +.50%
Lagging Sectors
Telecom -1.28%
Biotech -1.81%
Semiconductors -1.81%
Market Movers
TIVO +49.86% after announcing a strategic partnership with Comcast making the TiVo service and advertising capability widely available to Comcast customers in the majority of its markets.
CMVT +8.24% after beating 4Q estimates and UBS upgrade to Buy.
IVX +14.1% after beating 4Q estimates substantially and widening 05 outlook.
MDKI +36.46% after Dialysis Corp. of America agreed to buy it for about $152M. DCAI -18.65%.
VIAC +18.49% after announcing a diabetes collaboration agreement with Genzyme.
CLHB +14.73% after beating 4Q results, raising 1Q outlook and restating prior results.
CPC +13.93% after saying it has retained Morgan Stanley to evaluate alternatives.
STN +9.03% after raising 1Q estimates and announcing the acceleration of the Phase II expansion of Red Rock Resort Spa and Casino.
ROV +10.2% after agreeing to buy Germany’s Tetra Holding GmbH for about $555.2 million to expand into the global pet supply market.
BYD +7.2% on STN news.
HANS +4.06% on continuing optimism over 4Q results.
CMTL +6.01% after announcing an integrated product with Savi Technology, a leading provider of RFID supply chain solutions, that continuously tracks and manages both transport vehicles and the cargo they carry while in-transit.
ARS +10.25% after beating 4Q estimates and raising 1Q guidance.
ULCM -19.0% after disappointing 4Q results.
WCC -10.05% after saying it filed a shelf registration statement with the SEC.
CIB -11.28% on concerns over a weakening peso.
OSIP -8.7% on Lehman downgrade to Equalweight.
GRMN -5.3% on no news.
MNST -6.25% after announcing the departure of CFO.
CEDC -12.57% on profit-taking after meeting 4Q estimates and raising 05 outlook.
Mid-day Overview
Market Internals
I-Watch Sector Overview
NYSE Unusual Volume
NASDAQ Unusual Volume
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Hot Spots
Option Dragon
Real-time Intraday Chart/Quote
Economic Data
- Empire Manufacturing for March rose to 19.61 versus estimates of 19.90 and a reading of 19.19 in February.
- Advance Retail Sales for February rose .5% versus estimates of a .6% increase and an upwardly revised .3% rise in January.
- Retail Sales Less Autos for February rose .4% versus estimates of a .8% gain and an upwardly revised 1.0% rise in January.
- Net Foreign Security Purchases for January rose to $91.5B versus estimates of $58.5B and $60.7B in December.
- Business Inventories for January rose .9% versus estimates of a .9% increase and a .2% rise in December.
Recommendations
- Goldman Sachs: Reiterated Outperform on GCI, ADP, STN and AIG. Upgraded NFP to Outperform.
- Smith Barney: Said to Buy JBL ahead of quarter, target $35. Reiterated Buy on SSI, target $70. Reiterated Buy on DNA, target $87.50. Reiterated Buy on FIC, target $44. Reiterated Buy on RCL, target $60. Said if SONS is unable to get the 10-K filed by March 16, it will likely be immediately de-listed from NASDAQ. Reiterated Buy on GME, target $26. Reiterated Buy on NSM, target $28. Said February’s upward EPS estimates revisions as a percent of total revisions accelerated to 51% compared to January’s 38% and September’s 4% for the Semiconductor and Semi Equipment sub sector of the S&P 500, suggesting a bottom in September.
- JP Morgan: Rated EDR Overweight. Raised EL to Overweight.
- UBS: Raised TPX to Buy, target $27. Rated ICGN Buy, target $11.
- Piper Jaffray: Raised ZOLL to Outperform, target $32.
- CIBC Oppenheimer: Downgraded AGU to Sector Underperform, target $18.
- Merrill Lynch: Said the number of investors who judge the euro to be “overvalued” rose to its highest in three months, according to a survey of investors.
Mid-day News
US stocks are modestly lower mid-day on terrorism fears and continuing worries over higher interest rates and energy prices. China’s copper and steel demand will rise about 10% in the first half of this year from the last six months of 2004, keeping prices near records, as banks boost loans to industrial companies, said Macquarie Bank, Australia’s largest publicly traded investment bank. New York lobbyists were paid $144 million last year, up from $39 million a decade earlier, by companies attempting to influence state political leaders, the NY Times said. RSA Security, PGP Corp. and other Internet-security companies are reviewing products they supply after a study showed a widely used Internet encryption technique could be breached, the Wall Street Journal reported. Dan Carp, Eastman Kodak’s CEO, said people may stop buying camera phones if manufacturers don’t improve quality, the Wall Street Journal reported. Sears, Roebuck is looking for buyers for its Lands’ End business, Women’s Wear Daily said. Pier 1 Imports is shifting its marketing focus with a new advertising campaign that focuses on the retailer’s home furnishings and accessories rather than on celebrity endorsements, the Wall Street Journal reported. The US National Highway Traffic Safety Administration plans to curb speeding by going after the worst offenders and using camera systems that send tickets automatically to speeders, the Wall Street Journal reported. Syria may offer business to France to improve relations, as the Middle Eastern country comes under pressure to speed its withdrawal from Lebanon, the Wall Street Journal reported. Duke Energy’s Duke Power unit and the Nuclear Regulatory Commission met to discuss the costs and schedule for seeking permission to build a nuclear power plant, the NY Times reported. Sex-themed stores are slowly making their way back into the vicinity of NY’s Times Square, 10 years after former Mayor Rudolph Giuliani worked to remove them from the area, the NY Times reported. New Jersey lawmakers voted in favor of increasing the state’s hourly minimum wage to $7.15 from $5.15 within the next 18 months, the Star-Ledger reported. Syria’s military intelligence operation began clearing out of it headquarters in Beirut today amid international demands to leave Lebanon, the AP reported. A Washington post office used to process US government mail has been closed to test for anthrax after the bacteria was detected at a Pentagon mailing center, Bloomberg reported. Microsoft, Time Warner and Thomson SA bought ContentGuard, a US maker of anti-piracy software for Internet music and film distribution, after European regulators said the deal no longer raises antitrust concerns, Bloomberg reported. Iraq’s National Assembly may meet tomorrow for the first time since parliamentary elections in January, and appoint a president and prime minister, Bloomberg reported. The AFL-CIO plans public protests against Charles Schwab and Wachovia because the companies back President Bush’s plan to privatize a small-portion of Social Security, Bloomberg reported. International investors accumulated US assets in January at the fastest pace in almost 2 years, Bloomberg said. Money managers’ optimism about stocks worldwide rose in March to the highest level in at least six years as they became more confident that economies will expand, a Merrill Lynch survey showed. Former Worldcom Chairman Ebbers was convicted of directing an $11 billion fraud that triggered the largest bankruptcy in US history, Bloomberg said. Crude oil is advancing on speculation that OPEC won’t increase production enough to meet rising demand as refiners prepare for the peak gasoline-use season, Bloomberg reported.
S&P 500 1,202.55 -.36%
Dow 10,784.85 -.19%
NASDAQ 2,040.18 -.53%
Russell 2000 626.87 -.23%
DJ Wilshire 5000 11,852.66 -.35%
S&P Barra Growth 577.78 -.36%
S&P Barra Value 620.00 -.43%
Morgan Stanley Consumer 583.31 -.58%
Morgan Stanley Cyclical 779.14 -.08%
Morgan Stanley Technology 466.41 -.84%
Transports 3,838.22 -.43%
Utilities 360.98 +.04%
Put/Call .80 -20.79%
NYSE Arms 1.23 +150.00%
Volatility(VIX) 12.88 +3.95%
ISE Sentiment 136.00 -4.23%
US Dollar 82.11 +.17%
CRB 320.28 +.96%
Futures Spot Prices
Crude Oil 55.20 +.45%
Unleaded Gasoline 150.00 -.43%
Natural Gas 7.20 +.87%
Heating Oil 155.60 +1.30%
Gold 441.40 -.05%
Base Metals 130.61 +.68%
Copper 149.05 +1.36%
10-year US Treasury Yield 4.53% +.63%
Leading Sectors
Gaming +3.13%
Iron/Steel +.77%
HMOs +.50%
Lagging Sectors
Telecom -1.28%
Biotech -1.81%
Semiconductors -1.81%
Market Movers
TIVO +49.86% after announcing a strategic partnership with Comcast making the TiVo service and advertising capability widely available to Comcast customers in the majority of its markets.
CMVT +8.24% after beating 4Q estimates and UBS upgrade to Buy.
IVX +14.1% after beating 4Q estimates substantially and widening 05 outlook.
MDKI +36.46% after Dialysis Corp. of America agreed to buy it for about $152M. DCAI -18.65%.
VIAC +18.49% after announcing a diabetes collaboration agreement with Genzyme.
CLHB +14.73% after beating 4Q results, raising 1Q outlook and restating prior results.
CPC +13.93% after saying it has retained Morgan Stanley to evaluate alternatives.
STN +9.03% after raising 1Q estimates and announcing the acceleration of the Phase II expansion of Red Rock Resort Spa and Casino.
ROV +10.2% after agreeing to buy Germany’s Tetra Holding GmbH for about $555.2 million to expand into the global pet supply market.
BYD +7.2% on STN news.
HANS +4.06% on continuing optimism over 4Q results.
CMTL +6.01% after announcing an integrated product with Savi Technology, a leading provider of RFID supply chain solutions, that continuously tracks and manages both transport vehicles and the cargo they carry while in-transit.
ARS +10.25% after beating 4Q estimates and raising 1Q guidance.
ULCM -19.0% after disappointing 4Q results.
WCC -10.05% after saying it filed a shelf registration statement with the SEC.
CIB -11.28% on concerns over a weakening peso.
OSIP -8.7% on Lehman downgrade to Equalweight.
GRMN -5.3% on no news.
MNST -6.25% after announcing the departure of CFO.
CEDC -12.57% on profit-taking after meeting 4Q estimates and raising 05 outlook.
Mid-day Overview
Market Internals
I-Watch Sector Overview
NYSE Unusual Volume
NASDAQ Unusual Volume
NASDAQ 100 Heatmap
DJIA Quick Charts
Chart Toppers
Hot Spots
Option Dragon
Real-time Intraday Chart/Quote
Economic Data
- Empire Manufacturing for March rose to 19.61 versus estimates of 19.90 and a reading of 19.19 in February.
- Advance Retail Sales for February rose .5% versus estimates of a .6% increase and an upwardly revised .3% rise in January.
- Retail Sales Less Autos for February rose .4% versus estimates of a .8% gain and an upwardly revised 1.0% rise in January.
- Net Foreign Security Purchases for January rose to $91.5B versus estimates of $58.5B and $60.7B in December.
- Business Inventories for January rose .9% versus estimates of a .9% increase and a .2% rise in December.
Recommendations
- Goldman Sachs: Reiterated Outperform on GCI, ADP, STN and AIG. Upgraded NFP to Outperform.
- Smith Barney: Said to Buy JBL ahead of quarter, target $35. Reiterated Buy on SSI, target $70. Reiterated Buy on DNA, target $87.50. Reiterated Buy on FIC, target $44. Reiterated Buy on RCL, target $60. Said if SONS is unable to get the 10-K filed by March 16, it will likely be immediately de-listed from NASDAQ. Reiterated Buy on GME, target $26. Reiterated Buy on NSM, target $28. Said February’s upward EPS estimates revisions as a percent of total revisions accelerated to 51% compared to January’s 38% and September’s 4% for the Semiconductor and Semi Equipment sub sector of the S&P 500, suggesting a bottom in September.
- JP Morgan: Rated EDR Overweight. Raised EL to Overweight.
- UBS: Raised TPX to Buy, target $27. Rated ICGN Buy, target $11.
- Piper Jaffray: Raised ZOLL to Outperform, target $32.
- CIBC Oppenheimer: Downgraded AGU to Sector Underperform, target $18.
- Merrill Lynch: Said the number of investors who judge the euro to be “overvalued” rose to its highest in three months, according to a survey of investors.
Mid-day News
US stocks are modestly lower mid-day on terrorism fears and continuing worries over higher interest rates and energy prices. China’s copper and steel demand will rise about 10% in the first half of this year from the last six months of 2004, keeping prices near records, as banks boost loans to industrial companies, said Macquarie Bank, Australia’s largest publicly traded investment bank. New York lobbyists were paid $144 million last year, up from $39 million a decade earlier, by companies attempting to influence state political leaders, the NY Times said. RSA Security, PGP Corp. and other Internet-security companies are reviewing products they supply after a study showed a widely used Internet encryption technique could be breached, the Wall Street Journal reported. Dan Carp, Eastman Kodak’s CEO, said people may stop buying camera phones if manufacturers don’t improve quality, the Wall Street Journal reported. Sears, Roebuck is looking for buyers for its Lands’ End business, Women’s Wear Daily said. Pier 1 Imports is shifting its marketing focus with a new advertising campaign that focuses on the retailer’s home furnishings and accessories rather than on celebrity endorsements, the Wall Street Journal reported. The US National Highway Traffic Safety Administration plans to curb speeding by going after the worst offenders and using camera systems that send tickets automatically to speeders, the Wall Street Journal reported. Syria may offer business to France to improve relations, as the Middle Eastern country comes under pressure to speed its withdrawal from Lebanon, the Wall Street Journal reported. Duke Energy’s Duke Power unit and the Nuclear Regulatory Commission met to discuss the costs and schedule for seeking permission to build a nuclear power plant, the NY Times reported. Sex-themed stores are slowly making their way back into the vicinity of NY’s Times Square, 10 years after former Mayor Rudolph Giuliani worked to remove them from the area, the NY Times reported. New Jersey lawmakers voted in favor of increasing the state’s hourly minimum wage to $7.15 from $5.15 within the next 18 months, the Star-Ledger reported. Syria’s military intelligence operation began clearing out of it headquarters in Beirut today amid international demands to leave Lebanon, the AP reported. A Washington post office used to process US government mail has been closed to test for anthrax after the bacteria was detected at a Pentagon mailing center, Bloomberg reported. Microsoft, Time Warner and Thomson SA bought ContentGuard, a US maker of anti-piracy software for Internet music and film distribution, after European regulators said the deal no longer raises antitrust concerns, Bloomberg reported. Iraq’s National Assembly may meet tomorrow for the first time since parliamentary elections in January, and appoint a president and prime minister, Bloomberg reported. The AFL-CIO plans public protests against Charles Schwab and Wachovia because the companies back President Bush’s plan to privatize a small-portion of Social Security, Bloomberg reported. International investors accumulated US assets in January at the fastest pace in almost 2 years, Bloomberg said. Money managers’ optimism about stocks worldwide rose in March to the highest level in at least six years as they became more confident that economies will expand, a Merrill Lynch survey showed. Former Worldcom Chairman Ebbers was convicted of directing an $11 billion fraud that triggered the largest bankruptcy in US history, Bloomberg said. Crude oil is advancing on speculation that OPEC won’t increase production enough to meet rising demand as refiners prepare for the peak gasoline-use season, Bloomberg reported.
BOTTOM LINE: The Portfolio is slightly lower mid-day on losses in my Energy-related and Biotech longs. I exited a few longs this morning as they hit stop-losses, thus leaving the Portfolio’s market exposure 25% net short. The tone of the market is negative today as the advance/decline line is lower, most sectors are lower and volume is light. Measures of investor anxiety are mostly higher. Today’s overall market action is negative, considering the very positive report on foreign investors’ demand for US assets and other good economic reports. A move in crude towards $60/bbl. will likely continue to pressure stocks near-term. I expect US stocks to trade mixed-to-lower from current levels into the close on worries over rising energy prices, terrorism fears and technical deterioration.
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