What This Rally Needs To Stay Positive.

June 6, 2003
Vincent Mao

Stocks
are putting in a solid performance this midday. The major indices are
all well in the green but off the highs of the session. Better-than-expected
reports from the still lagging job market sparked this morning’s huge buying
interest. The economy lost fewer jobs than expected while the unemployment rate
rose as expected. The S&P 500 broke above the 1,000 level, but it’s currently
slightly below it. It has not seen the 1,000 level since June 28, 2002. The
buying interest is broad based with tech issues leading the charge after Intel’s
mid-quarter update. Oracle
(
ORCL |
Quote |
Chart |
News |
PowerRating) announced a takeover bid for Peoplesoft
(
PSFT |
Quote |
Chart |
News |
PowerRating).
However many sectors including housing, telecom, oil, and biotechs are turing
lower after the huge gap up. Bonds are lower but off the lows of the day after
the economic reports. Gold is lower today, giving up much of yesterday’s gains.Â

In economic news, Nonfarm
Payrolls for May came in at -17,000 versus -30,000. Unemployment Rate for May
came in at 6.1% as expected vs. April’s 6.0%. The unemployment rate stands
near a nine-year high.Â Â

The 10-year U.S. Note
isÂ -040 at 119 045.

The dollar is +0.86 at
93.45.

Gold is -5.60 at 363.90.

Crude OilÂ +0.06 at 30.81

Volume is at
1,000,000,000 on the NYSE, and at 1,800,000,000 on the Nasdaq.

Market breadth is positive,
with NYSE advancing issues over declining issues by a ratio of 1.50, and up
volume over down volume by a 1.59 ratio. Nasdaq advancing issues over declining
issues at 1.07, and up volume over down volume is at a 1.48 ratio.

Top Dow stocks are:

Stocks in the news:

Anadarko Petroleum
(
APC |
Quote |
Chart |
News |
PowerRating)
is lower by 4.6% on double its average volume. The oil exploration and
production company warned that its 2003 volume targets for crude and natural gas
will be lower than expected due to production problems in the Gulf of Mexico,
Algeria, and Qatar. Anadarko lowered its targets to 190 million barrels from 248
million.Â

Imclone
(
IMCLE |
Quote |
Chart |
News |
PowerRating) is
higher by 7.5% on more than double its average volume. The biotech firm revealed
that its has met with the FDA about filing an application of its highly
publicized cancer drug, Erbitux.Â Â

Chip giant Intel
(
INTC |
Quote |
Chart |
News |
PowerRating)
is higher by 4.10% today. Yesterday in the company’s mid-quarter update, Intel
tightened its second-quarter sales targets. Previously the company had a revenue
target between $6.4 and $7.0 billion, now Intel expects revenues to come in
between $6.6 and $6.8 billion. The company did not provide a target for its
bottom line, but they do expect margins to be around 48% to 52%.Â

Mcdonalds
(
MCD |
Quote |
Chart |
News |
PowerRating) is
higher by 8.5% on heavy volume. CIBC upgraded the stock from “sector
underperformer” to “sector performer” based on waning Mad Cow disease reports
and better sales momentum from the introduction of its premium salads.Â

Vincent Mao

What This Rally Needs To Stay Positive.

BUY THE FEAR, SELL THE GREED

Quick Links

Company Info

Contact

Company Resources