Wednesday, February 09, 2005

Wednesday Close

S&P 500 1,191.99 -.86%
Dow 10,664.11 -.56%
NASDAQ 2,052.55 -1.64%
Russell 2000 625.71 -2.04%
DJ Wilshire 5000 11,734.30 -.96%
S&P Barra Growth 571.54 -1.04%
S&P Barra Value 616.24 -.68%
Morgan Stanley Consumer 586.75 -.82%
Morgan Stanley Cyclical 755.66 -1.09%
Morgan Stanley Technology 468.85 -1.26%
Transports 3,571.16 -1.07%
Utilities 351.86 -.38%
Put/Call .93 +19.23%
NYSE Arms 1.59 +41.96%
Volatility(VIX) 12.00 +3.45%
ISE Sentiment 130.00 -15.58%
US Dollar 84.92 -.21%
CRB 280.86 -.21%

Futures Spot Prices
Crude Oil 45.61 +.33%
Unleaded Gasoline 124.20 +.37%
Natural Gas 6.17 +.08%
Heating Oil 126.42 unch.
Gold 415.10 +.14%
Base Metals 120.10 +.37%
Copper 138.30 -.29%
10-year US Treasury Yield 3.97% -.96%

Leading Sectors
Insurance +.60%
Oil Service -.02%
Energy -.09%

Lagging Sectors
Disk Drives -2.58%
Biotech -3.07%
Airlines -3.87%

After-hours Movers
WFMI +5.04% after beating 4Q estimates and reiterating 05 outlook.
ERES +5.43% after meeting 4Q estimates and reiterating 1Q guidance.
BYD +5.4% after beating 4Q estimates.
SRVY +8.51% after meeting 4Q estimates, raising 05 guidance and announcing the acquisition of Zing Wireless for $30M.
TKLC -6.34% after only issuing partial 4Q results.
RARE -4.64% after meeting 4Q estimates and cutting 1Q forecast.

Detailed Market Summary
Market Wrap CNBC Video(bottom right)
Futures Recap
NASDAQ 100 After-hours Indicator
Real-time/After-hours Stock Quote

Afternoon Recommendations
-Goldman Sachs: Rated SSP Outperform, target $58. Reiterated Underperform on AMAT. Reiterated Outperform on AIG.

After-hours News
US stocks finished lower today, led down by weakness in small-caps and technology stocks over earnings worries. After the close, Michigan Governor Granholm wants the state to sell $2 billion of bonds over 10 years to finance the development of auto, health and security technology, the Detroit Free Press reported. WPP Group’s Young & Rubicam unit lost the advertising account for Sony’s electronics unit, which is worth more than $100 million, the Wall Street Journal reported. The NHL players union rejected the league’s latest contract proposal today and the two sides set a weekend deadline for saving the season, Canadian Press reported. US Steel CEO Surma said he is considering acquisitions in Europe and Russia, especially those that may supply coal or iron ore to the company’s steel plants in Serbia and Slovakia, Bloomberg reported. A US House committee investigating corruption in the UN/Iraq oil-for-food program said it might expand its probe to overall management of the world body and 16 related agencies, Bloomberg said. President Bush will ask Congress to approve $950 million in aid for countries to rebuild after the Asian tsunami that left more than 280,000 dead or missing, Bloomberg reported. Sudden emotional stress can trigger heart failure in people without cardiac disease, probably by fueling an overload of hormones that stun the organ, according to a study in the Feb.10 New England Journal of Medicine. Record, movie and software companies petitioned the US government to haul China into consultations at the WTO over pirated merchandise they say sapped $2.5 billion in sales last year, Bloomberg said. Arab Bank Plc didn’t know payments made by a Saudi charity through the bank’s branches in the West Bank and Gaza Strip were going to the families of suicide bombers, said Arab Bank’s chief banking officer.

BOTTOM LINE: The Portfolio finished lower today on losses in my semiconductor, homebuilding, networking and alternative energy longs. I exited a number of these positions in the afternoon as they reached stop-losses, thus leaving the Portfolio 50% net long. The tone of the market weakened noticeably into the close as the advance/decline line finished at its lows for the day, almost every sector fell and volume was decent. As well, small-caps and technology shares underperformed substantially. On the positive side, oil was unable to rally on today’s inventory data, the yield on the 10-year T-note fell below 4% and measures of investor anxiety rose into the close. I expect more weakness in the near-term on continuing worries over slowing global growth.

No comments: