Four Potential Market Movers For Tomorrow
The
major indexes put in solid marches north for the day, helped along by
mostly positive earnings news. Price action opened lower and reversed in the
first half-hour, then hardly looked back as slightly above-average volume
carried prices higher with a strong close. The Nasdaq and S&P 500 made three-month
highs, while the Dow failed to take out its 4/7 high, and was halted by its
200-day EMA. The market leading Broker/Dealer Index put in a good session as the
closed at the top of its daily range, which was right at its weekly trend line.
The Semiconductor Index also scored a new three-month high, and the Volatility
Index, the VIX,
hit another fresh 10-month low showing even more complacency in the market.
Tomorrow’s pre-market could see
a market mover or two as Dow components AT&T
(
T |
Quote |
Chart |
News |
PowerRating), -0.71% at 13.81, Boeing
(
BA |
Quote |
Chart |
News |
PowerRating), +3.80% at 27.80, Coca-Cola
(
KO |
Quote |
Chart |
News |
PowerRating), +0.74% at 40.41, and Eastman
Kodak
(
EK |
Quote |
Chart |
News |
PowerRating), +1.05% at 31.65, are scheduled to announce.
The
Dow Jones Industrial Average
(
$INDU.X |
Quote |
Chart |
News |
PowerRating) closed +1.87%
at 8,484.99. The S&P 500
(
$SPX.X |
Quote |
Chart |
News |
PowerRating) closed
+2.17% at
911.37. The Nasdaq
(
$COMPQ |
Quote |
Chart |
News |
PowerRating) closed +1.89%
at 1,451.36.
Strongest today were insurance
(
$IUX.X |
Quote |
Chart |
News |
PowerRating), +3.84%, forest and paper
(
$FPP.X |
Quote |
Chart |
News |
PowerRating), +3.78%, broker/dealers
(
$XBD.X |
Quote |
Chart |
News |
PowerRating), +3.53%, networking
(
$NWX.X |
Quote |
Chart |
News |
PowerRating), , and semiconductors
(
$SOX.X |
Quote |
Chart |
News |
PowerRating), +3.22%.
Biggest losers were telecoms
(
$XTC.X |
Quote |
Chart |
News |
PowerRating), -0.94%, and gold and silver
(
$XAU.X |
Quote |
Chart |
News |
PowerRating), -0.13%.
There were no economic releases
for the day.
The Ten Year NoteÂ
was +015 at 114 020.
The US dollar was -0.91
at 98.99.
Volume was above
average, with the NYSE coming in at 1,605,566,000 and the Nasdaq at
1,567,718,000.
Market breadth was positive,
with NYSE advancing issues over declining issues by a ratio of 2.79, and up
volume over down volume by a 5.55 ratio. Nasdaq advancing issues over declining
issues came in at 2.07, and up volume beat down volume by a 4.02 ratio.
The
VIX
was -0.76 at 23.51. The TRIN
was -0.49 at 0.50.
Biggest Dow advancers were:
JP Morgan
(
JPM |
Quote |
Chart |
News |
PowerRating),
+4.48% at 28.68, International Paper
(
IP |
Quote |
Chart |
News |
PowerRating), +3.98% at 35.19, American
Express
(
AXP |
Quote |
Chart |
News |
PowerRating), +3.89% at 37.89, General Motors
(
GM |
Quote |
Chart |
News |
PowerRating), +3.88% at
37.13, Boeing
(
BA |
Quote |
Chart |
News |
PowerRating), +3.80% at 27.80, and Boeing Co.
(
BA |
Quote |
Chart |
News |
PowerRating), +3.80% at
27.80.
Stocks in the news:
Paper and paper product maker Kimberly-Clark
(
KMB |
Quote |
Chart |
News |
PowerRating), +5.60% at 49.90, beat its first-quarter earnings by $0.03 with
profits of $0.80 per share.
Electronics instruments and controls company
Benchmark Electronics
(
BHE |
Quote |
Chart |
News |
PowerRating), -13.31% at 26.88, beat its first-quarter
earnings by %0.03 with profits of $0.46 per share. The company also said that
current market conditions are challenging due to competition.
Insurer Everest Re
(
RE |
Quote |
Chart |
News |
PowerRating), +16.68%
at 71.70, rallied after beating its first-quarter earnings expectations by $0.38
with profits of $2.02 per share. The company also guided higher for 2003 and
2004, and helped the insurance sector to nice gains on the day.
Key drug stocks helped move the
Pharmaceutical Sector
(
DRG.X |
Quote |
Chart |
News |
PowerRating), +1.88% at 308.99, with Eli Lilly
(
LLY |
Quote |
Chart |
News |
PowerRating), +3.06% at 61.29, beating expectations by $0.03 with profits of $0.61,
and Pfizer
(
PFE |
Quote |
Chart |
News |
PowerRating), +0.69% at 31.82, beating by $0.01 with profits of
$0.45 per share.
Also in the drug sector, Drug
maker Forest Labs
(
FRX |
Quote |
Chart |
News |
PowerRating), -5.85% at 49.40, missed its fourth-quarter
earnings by $0.01 with profits of $0.48 per share.
Shipping company United
Parcel Service
(
UPS |
Quote |
Chart |
News |
PowerRating), +3.78% at 60.06, beat its first-quarter earnings
expectations by $0.03 with profits of $0.54 per share. The company has also
guided higher for the second-quarter.
Aerospace and defense company Lockheed
Martin
(
LMT |
Quote |
Chart |
News |
PowerRating), +7.29% at 48.55, beat its first-quarter earnings
expectations by $0.13 with profits of $0.55 per share. And Raytheon
(
RTN |
Quote |
Chart |
News |
PowerRating),
+3.19% at 29.75, beat by $0.01 with profits of $0.27 per share.
Also in the aerospace and
defense sector, FLIR Systems
(
FLIR |
Quote |
Chart |
News |
PowerRating), -2.77% at 47.22, lowered its
full year earnings outlook after meeting its first-quarter expectations.
In the financial sector, Charles
Schwab Co.
(
SCH |
Quote |
Chart |
News |
PowerRating), +5.55% at 9.12, reported in line with expectations
with a profit of $0.05 per share.
Casino and gaming stocks turned
in positive earnings results with International Game Tech
(
IGT |
Quote |
Chart |
News |
PowerRating),
+3.39% at 84.38, beating by $0.09 with profits of $1.07 per share, Harrah’s
(
HET |
Quote |
Chart |
News |
PowerRating), +5.02% at 38.05, beating by $0.07 with profits of $0.74 per share,
and Argosy Gaming
(
AGY |
Quote |
Chart |
News |
PowerRating), +0.50% at 19.99, beating by $0.03 with
profits of $0.50 per share.
Conglomerate 3M Co.
(
MMM |
Quote |
Chart |
News |
PowerRating),
-0.06% at 129.75, was downgraded by CSFB to “neutral” from
“outperform”.
Video retailer Blockbuster
Entertainment
(
BBI |
Quote |
Chart |
News |
PowerRating), +1.03% at 17.58, beat its first-quarter earnings by
$0.08 with profits of $0.47 per share.
Apparel and accessories maker Coach
(
COH |
Quote |
Chart |
News |
PowerRating), +10.49% at 42.54, beat its third-quarter earnings expectations by
$0.05 with profits of $0.34 per share. The company has also guided higher for
the fourth-quarter.
In the oil and gas sector
Occidental Petro
(
OXY |
Quote |
Chart |
News |
PowerRating), -0.09% at 30.57, missed its first-quarter
earnings by $0.07 with profits of $1.03 per share, Valero Energy
(
VLO |
Quote |
Chart |
News |
PowerRating),
-1.01% at 38.14, has beat its first-quarter earnings by $0.18 with profits of
$1.51 per share, and Royal Dutch
(
RD |
Quote |
Chart |
News |
PowerRating), +1.08% at 43.69, has been
downgraded by Prudential to “hold” from “buy”.
Healthcare facilities company LifePoint
Hospitals
(
LPNT |
Quote |
Chart |
News |
PowerRating), -0.75% at 21.14, was downgraded by Lehman Brothers to
“underweight” from “equal-weight”.