Day Traders Diary

9/9/10

U.S. stocks jumped at Thursday's start, bringing the Dow industrials back into the black for 2010, as a drop in weekly jobless claims cheered Wall Street. The Dow Jones Industrial Average climbed 78 points to 10,465. The S&P 500 added 10 points to 1,109, while the Nasdaq Composite rose 19 points to 2,248. The better than expected economic numbers are helping lift the banks. The financials index is up nearly 2%. Goldman Sachs is higher even as its' getting hit with a $27 million fine from the U.K. BB&T is up 3.4% on an upgrade. In the tech sector, Adobe is jumping 8% after Apple agreed to reduce their restrictions regarding the Adobe flash. Motorola is higher on an upgrade. Research in Motion was downgraded to a sell, but the stock is higher by 2%. In the retail space Mens Wearhouse is jumping 4% after easily beating earnings estimates. Amazon and Best Buy are higher after Amazon announced they will sell the Kindle in Best Buy stores. Finish Line is higher on an upgrade while Valspar is lower on a downgrade. After the first hour the Dow was off the highs, but up 50 points. The Nasdaq rose 15 points. Through the morning the averages remain strong. One of the few sectors showing weakness is the commodities. In the afternoon the rally started to unravel. One of the strongest sectors, the financials, have pulled back on rumors Deutsche Bank is going to raise capital. Deutsche Bank is down 3% on this news. Within the Dow, McDonalds is down over 2% after releasing August same store sales. The numbers were actually pretty good, but the stock was due for some profit-taking. McDonald's stock is up 20% for the year at all time highs. Not bad. Entering the last hour the averages did start to recover a little bit. The markets want to stay in the green which is a good sign. The financials are battling back as well. The Dow Jones Industrial Average finished up 28 points at 10,415, with 23 of its 30 components rising, led by a 1.5% gain in shares of AT&T. The S&P 500 index rose 5 points to 1,104 with 9 of its 10 sectors rising, led by 1.2% gain in each of the telecoms, healthcare and financials sectors. The Nasdaq Composite gained 7 points to end at 2,236.

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