Is This A Barrier For The Bulls?

February 19, 2003
Daniel Beighley

Stocks
ended the day lower, as buyers failed to extend their two-day spree.
With volume coming in exceptionally light, price action ground lower for most of
the session, with a decent rally in the last hour. News wise there was little to
go on, though it is believed by many that looming conflict with Iraq remains a
barrier for new money coming into the market. Tomorrow we’ll get a new read on
key economic numbers including PPI and the Phily Fed.

In economic news, housing
starts came in at 1.850M vs. expectations of 1.765M, and building permits came
in at 1.781M vs. expectations of 1.800M.

The Ten Year Note
(
TYH3 |
Quote |
Chart |
News |
PowerRating) was +160 at 115 125.

The U.S. Dollar
(
DXH3 |
Quote |
Chart |
News |
PowerRating) was -0.52 at 100.18.

Volume was well below
average, with the NYSE coming in at 1,058,600,000
and the Nasdaq at 1,179,398,000.

Market breadth was negative,
with NYSE declining issues over advancing issues by a ratio of 1.61, and down
volume over up volume by a 2.27 ratio. Nasdaq declining issues over advancing
issues came in at 1.65, and down volume beat up volume by a 2.25 ratio.

The

VIX was -0.34 at 35.22. The

TRIN was +0.97 at 1.40.

Biggest Dow losers were:

Stocks in the news:

Consumer and business product maker Kimberly-Clark
(
KMB |
Quote |
Chart |
News |
PowerRating),
+0.84% at 45.40, announced that it has increased its quarterly dividend by 13%
to $0.34 per share.

Regional bank MBNA America
(
KRB |
Quote |
Chart |
News |
PowerRating), -12.12% at
14.50, had its estimates cut by Goldman Sachs for 2003 and 2004.

Forestry and wood product maker
Weyerhaeuser
(
WY |
Quote |
Chart |
News |
PowerRating), -0.23% at 50.57,
was upgraded by Goldman Sachs to “outperform” from “in-line.”

Security systems company
Invision
(
INVN |
Quote |
Chart |
News |
PowerRating), -10.12% 50.53, was downgraded by SG Cowen to “underperform”
from “outperform.”

Also in the chip sector, Micron Technology
(
MU |
Quote |
Chart |
News |
PowerRating),
+3.76% at 7.44, announced it will cut 10% of its workforce.

Healthcare facilities company LifePoint Hospitals
(
LPNT |
Quote |
Chart |
News |
PowerRating),
+8.67% at 21.79, beat its fourth-quarter earnings expectations by $0.08 with
profits of $0.45 per share.

Retailer Abercrombie and Fitch
(
ANF |
Quote |
Chart |
News |
PowerRating), +6.29% at
29.57, beat its fourth-quarter earnings estimates by $0.03 with profits of $0.93
per share. The stock is a member of TM’s Momentum List.

Electric utilities company DTE Energy
(
DTE |
Quote |
Chart |
News |
PowerRating),
+0.91% at 42.11, was upgraded by UBS Warburg to “buy” from “neutral.”

Computer services company
Overture Systems
(
OVER |
Quote |
Chart |
News |
PowerRating), -20.71% at 18.07, had its estimates
cut by Salomon Smith Barney due to its current bid for Alta Vista.

danielb@tradingmarkets.com

Is This A Barrier For The Bulls?

BUY THE FEAR, SELL THE GREED

Quick Links

Company Info

Contact

Company Resources