Tuesday, March 30, 2004

Tuesday Close

S&P 500 1,127.00 +.40%
NASDAQ 2,000.63 +.40%

Leading Sectors
Homebuilders +2.47%
Oil Service +2.44%
Energy +1.97%

Lagging Sectors
Drugs -.18%
Gaming -.58%
Airlines -1.28%

Crude Oil 36.17 -.22%
Natural Gas 5.76 +.23%
Gold 422.60 -.05%
Base Metals 112.28 +.02%
U.S. Dollar 88.41 -.24%
10-Yr. Long-Bond Yield 3.89% +.15%
VIX 16.28 -1.33%
Put/Call .61 -6.15%
NYSE Arms .76 +117.14%

After-hours Movers
TKR +10.13% after raising 1Q guidance.
ONNN -5.81% after saying it is going to issue convertible bonds.
USNA -8.62% after lowering 1Q guidance.

TheStreet.com is recommending ASE.

After-hours News
U.S. stocks finished higher Tuesday on strength in energy-related shares and strong earnings reports from Accenture(ACN) and Autodesk(ADSK). Investors are the most bearish on U.S. Treasury notes than they've been in almost 7 years, according to a poll by JP Morgan. The European Union has warned China it must stop restrictions on the export of coking coal designed to protect the Chinese steel industry, the Financial Times reported. Trump Hotels & Casino Resorts' auditor Ernst & Young raised doubts about the ability of Donald Trump's casino company to survive because of increased competition and losses. The NYSE will give federal regulators its detailed plan for automated stock trading within a few weeks in a bid to win status as a "fast" market, NYSE CEO John Thain said.

BOTTOM LINE: The Portfolio finished unchanged on the day as my shorts rose and my longs finished mixed. I did not make any changes in the afternoon as my short-term models gave buy signals. Thus, the Portfolio is 100% net long heading into the last day of the quarter. The above-mentioned JP Morgan poll is significant as rates may not rise as much as I had anticipated on a much better-than expected jobs report. Bond investors extreme bearishness implies that a lot of investors have already sold or are short, thus providing fuel for future bond gains and falling interest rates.

No comments: