6/2-6/6/10

August 6, 2010

U.S. stocks slumped at the open on Friday, after a bigger-than-expected drop

in employment last month hit sentiment and revived concerns about the economy.

The Dow Jones Industrial Average fell 70 points to 10,604, weighed down by more

than 1% drops in shares of Hewlett-Packard, Home Depot, and JP Morgan Chase. The

S&P 500 index dropped 7 points to 1,117, weighed down by the energy and

financial sectors. The Nasdaq Composite fell 20 points to 2,272. The economic

news has taken the wind out of the bulls’ sails, but the commoditiy stocks

continue to perform well. Fertilizers stocks have been on fire. The nitrogen and

fertilizer company, CF is jumping 2.4% after beating earnings estimates.

Freeport McMoran is up 2% this morning. The oils are lower. After a big run up

yesterday, Transocean is down 3% on a downgrade. On the earnings front Kraft,

AIG, Mohawk Industries, Netsuite, and Croc’s are all higher by at least 2%

following better than expected numbers. Activision, Big 5 Sports, and Washington

Post are lower following earnings. The retailers in general are lower except for

Polo Ralph Lauren. Polo is up a percent after announcing a stock buyback. After

the first half an hour the averages slowly recovered, but it’s looking like a

down day. Through the morning the averages remained quiet until just before 11

o’clock when the averages dropped sharply, falling over 100 points. The Nasdaq

fell over 30 points. Commodities are selling off and money seems to be flowing

back into long term bonds. In the afternoon the averages remain weak, but off the lows.

A number of stocks are higher including Research in Motion, Freeport McMoRan,

Kraft,McDonalds, and BP. In the last hour the averages slowly improved almost reaching the

unchanged level. Not a bad recovery. The Dow Jones Industrial Average finished down 21 points at 10,653.The blue-chip average still ended with a weekly gain of 1.8%. The S&P 500 index fell 4 points to 1,121,weighed by the energy and the financial sectors. The broad market average rose 1.8% this week. The Nasdaq Composite fell 4 points as well to close at 2,288, but still gained 1.5% this week.

August 5, 2010

U.S. stocks opened lower on Thursday, with sentiment hit by an unexpected increase in weekly jobless claims, a day ahead of the key July employment report. The Dow Jones Industrial Average dropped 43 points to 10,637, weighed down by 1% decline in shares of Alcoa, General Electric, Home Depot, 3M, and Merck. The S&P 500 index fell 6 points to 1,120, weighed down by the energy and

financial sectors. The Nasdaq Composite fell 10 points to 2,292. A few stocks and at least one sector look good this morning. The fertilizers are acting well. Agrium and Potash are both up over 3%. A number of retailers look good following better than expected same store sales. Abercrombie and Fitch, Target, Kohls, TJX, and Macys all are trading higher. Liz Claiborne is jumping 11% even though

they reported a loss. Aeropostale is down 6% after missing sales estimates. The

insurance stocks are struggling after Prudential, Manulife, Suntrust, Allstate, and Hartfordreported lackluster earnings. Hartford is down 5%. Other earnings this morning

and last night include Jack in the Box, Transocean, Omnicare, DirecTV,

Cablevision, Orbitz, GT Solar, Beazer Homes, WebMD, Cardinal Health, Viacom, and

Cigna. Orbitz is jumping 13%, Transocean is up 6%, and WebMD is up 5%. Omnicare

is down 10% and Jack in the Box is down 6%. After the first hour the averages

remain in the red, but not by much. Investors are waiting for the unemployment

numbers out tomorrow. Through the morning and into the afternoon the averages

moved absolutely sideways. No one is making any bets ahead of the unemployment

number tomorrow. In the last hour the averages recovered almost reaching the

unchanged level. The number tomorrow morning will not be great, but someone is

nervous or betting the market will move higher following the report. The Dow

Jones Industrial Average finished down 5 points at 10,674. Among blue-chips,

shares of American Express fell2%, while Alcoa erased earlier losses to rise, and Caterpillar gained 1.2%. The S&P 500 index dropped a point to 1,125, weighed down by the technology and

financials sectors, while materials and consumer discretionary advanced. The

Nasdaq Composite lost 10 points to 2,293.

August 4, 2010

U.S. stocks opened slightly higher on Wednesday, after a better-than-expected

increase in private-sector employment helped lift hopes that the economy is

recovering once again. The Dow Jones Industrial Average rose 14 points to

10,652, with 19 of its 30 components rising. The S&P 500 index gained 3 points

to 1,124, led by gains in the consumer discretionary sector. The Nasdaq

Composite rose 14 points to 2,297. Plenty of earnings keep pouring in. Priceline

is trading up 21%. Not bad. Other companies trading higher following earnings

include Anadarko Petroleum, Electronic Arts, CBS, XL Capital, Devon Energy,

Polo, El Paso Energy, Intercontinential Exchange, Sirius Satellite, Time Warner,

Agrium, and DSW. Stocks trading lower following earnings include Molex, Hertz,

Owens Corning, Garmin, and Frontier. Whole Foods is down 6% after lowering

guidance last night. At 10 o’clock, better than expected manufactoring number

sent the averages higher. The Dow rose 60 points above 10700 for the first time in two months. The Nasdaq rose 16

points above 2300. The rally didn’t last. After the first hour the averages were

back at the unchanged level. The big economic number comes out on Friday. In the

tech space Google looks good while Research in Motion is heading back down. That

stock can’t seem to catch a break. The financials are quiet except for Goldman

Sachs which is up a percent. The fertilizers look good following Agrium’s

earnings. Barnes & Noble is jumping 20% on news the company will explore

strategic options. In other words, sell out. Through the morning the averages

did very little. In the afternoon the averages slowly improved. Google looks

good up 3%. Unfortunately, Research in Motion keeps pushing lower. Goldman Sachs

looks good after announcing they will spin off their prop trading desk. The

commodities look good as well. As the afternoon progressed the averages

improved. The Dow Jones Industrial Average finished up 44 points at 10,680, led by a 2.4% gain in shares of DuPont. The S&P 500 index gained 6 points to 1,127, while the Nasdaq Composite rose 20

points to 2,303.

August 3, 2010

U.S. stocks opened lower on Tuesday, following a big rally in the previous

session, with sentiment soured by disappointing earnings from several firms,

including Dow Chemical and consumer-products giant Procter & Gamble. The Dow

Jones Industrial Average dropped 31 points to 10,646, weighed down by a 4% drop

in shares of Procter & Gamble. The S&P 500 index fell 4 points to 1,121, weighed

down by the materials and consumer discretionary sectors. The Nasdaq Composite

fell 9 points to 2,286. Most stocks reporting earnings this morning are trading

lower. The list includes Vornado Reality, Marathon Oil, Clorox, Applied

Materials, MGM, Marsh & McLennan, Parker Hannifin, Office Max, Molson Coors, DR

Horton, Coach, Capital One, Vivus, and Rogers Corp. A few stocks are trading

higher following earnings including Rudolph Tech, Pfizer, Archer Daniel Midland,

and NYSE Euronext. Pfizer is the diamond of the day, trading up 4%. It’s nice to

see that stock tradinghigher. At 10 o’clock, weaker than expected manufactoring and home sales sent the averages lower. The Dow dropped 66 points. The Nasdaq declined 22 points. I

guess we were due for a down day. Through the morning the averages remain in the

red, but off the lows. Not many stocks are in the green. Research in Motion is

up a percent after introducing a new phone today. In the afternoon the averages

remain in the red, but not by much. Research in Motion fell back into the red,

now down 2%. That’s a frustrating stock. Apple moved into the green. Shocker.

Goldman Sachs is in the green. The oil commodities look good like Exxon,

Chevron, and Petrobras. In the last hour, no rebound. wth. The Dow Jones

Industrial Average finished down 38 points at 10,636, pressured by a 3.4% drop

in Procter & Gamble. The S&P 500 index fell 5 points to 1,120, pressured by a 1.7% drop in the materials sector. The Nasdaq Composite fell 11 points to 2,283.

August 2, 2010

U.S. stocks opened sharply higher on Monday, as earnings helped continue

July’s strong performance while investors eagerly awaited comments from Federal

Reserve Chairman Ben Bernanke amid expectations the central bank might provide a

further boost to a slowing economy. The Dow Jones Industrial Average gained 121

points to 10,587 led by a 2% gain in shares of aluminum giant Alcoa. The S&P 500

index rose 12 points to 1,114, led by the energy and materials sectors. The

Nasdaq Composite gained 21 points to 2,276. Up, up, and away. The rally actually

started over in Europe and China. The commodities and transports continue to

perform well. Potashi is up 2% on an upgrade. Freeport McMoRan is up 3%. The

steels are acting well. FedEx, UPS, and the railroads continue to perform well.

The financials are higher this morning. CNA Financial and HSBC are both up 5%

following earnings. Bank of America is higher following a positive piece in

Barrons. Metlife opened lower after announcing a $3 billion stock offering. On the earnings front Humana and Loews are higher following earnings. The analysts are in a good mood

this morning. Fortune Brands, Disney, US Airways, and Coke are higher on

upgrades. At 10 o’clock, a better than expected manufactoring number sent the

averages higher. It’s as if someone knows the economy is picking up steam again.

Through the morning the averages remained strong. The Dow rose more than 200

points before pulling back. The Nasdaq rose 40 points and held it’s gains well.

The commodities continue to excel. Potash is up 3.8%, Freeport McMoRan is up

4.5%, Arch Coal is up 5%, and Cleveland Natural Resources is up 7%. Not bad. In

the afternoon the averages remained strong moving back toward the highs of the

day in the last hour. A good way to start the new week and month. The Dow Jones

Industrial Average finished up 208 points, or 2%, to end at 10,674, marking the

blue-chip average’s biggest one-day gain in more than three weeks. All of the Dow’s 30 components advanced, led by a 4.8% gain in shares of aluminum giant Alcoa. The S&P 500

index rose 24 points, or 2.2%, to 1,125, led by a 3.6% rally in the energy

sector as crude oil topped $81 a barrel. The Nasdaq Composite gained 40 points,

or 1.8%, to 2,295.