AfterThe Close…Apple!

Stocks fell
Wednesday. 

Intel
(
INTC |
Quote |
Chart |
News |
PowerRating)
reported earnings that
jumped 96% to $1.76 billion with revenue up 18%. The company projected Q3
revenue to reach at least $8.6 billion but warned of lower gross margins and
increasing inventory levels. After a gap down on the news, the market rallied,
only to sell off beginning mid-day.

New York Times
(
NYT |
Quote |
Chart |
News |
PowerRating)
reported earnings
that rose 3.9% to $75.7 million with revenue up 2.7%. The publisher also warned
of a slowdown in advertising growth. Bank of America
(
BAC |
Quote |
Chart |
News |
PowerRating)
posted
earnings of $3.85 billion, beating estimates by 12 cents with revenue up 35% to
$13.19 billion. The higher profit included a one-time $795 million securities
gain. According to Reuters, Harrah’s Entertainment
(
HET |
Quote |
Chart |
News |
PowerRating)
is close to
a deal to purchase Caesars Entertainment
(
CZR |
Quote |
Chart |
News |
PowerRating)
for about $10 billion.

Advanced Micro Devices
(
AMD |
Quote |
Chart |
News |
PowerRating)
reported
0.09, in-line, with gross margins of 38%. Apple
(
AAPL |
Quote |
Chart |
News |
PowerRating)
reported
0.17, beating by 0.02, and guided in-line. Net income more than tripled; the
company shipped 860,000 iPods last quarter. SanDisk
(
SNDK |
Quote |
Chart |
News |
PowerRating)
beat by
0.08 and beat on revenues; gross margins were 35%, beating estimates. The stock
traded up after hours. Furniture Brands
(
FBN |
Quote |
Chart |
News |
PowerRating)
said that they would
take a 0.09 – 0.10 charge for the quarter.

Dow -38.79 10208.80
S&P 500 -3.67 1111.47
Nasdaq -16.78 1914.88

Strong today were:
Oil Services

(
OSX.X |
Quote |
Chart |
News |
PowerRating)
+2.23%,
Energy

(
DXE.X |
Quote |
Chart |
News |
PowerRating)
+1.44%, Natural Gas
(
XNG.X |
Quote |
Chart |
News |
PowerRating)
+1.21%,
Networking

(
NWX.X |
Quote |
Chart |
News |
PowerRating)
+1.16%.

Weak today were:


Semis

(
SOX.X |
Quote |
Chart |
News |
PowerRating)
-4.48%,

Airlines
(
XAL.X |
Quote |
Chart |
News |
PowerRating)
-3.29%.

Economic news release include
export prices ex-ag that fell 0.1%, import prices ex-oil was unchanged. Retail
sales dropped 1.1% and retail sales ex-autos dipped 0.2%.

10-year Notes were -010 at
110 250

The dollar
was -0.24 at 87.65

Gold was +1.30 at 404.80

Crude Oil was +1.66 at
41.15

Volume was 1.46 billion
on the NYSE, and 2.11 billion on the Nasdaq.

Market breadth was mixed.

NYSE Issues
Advancing 1572 Up Vol 578
Declining 1710 Down Vol 875
Ratio 1.08 1.51
Nasdaq
Advancing 1142 Up Vol 644
Declining 1921 Down Vol 1432
Ratio 1.68 2.22

Stocks in the news:

McDonalds
(
MCD |
Quote |
Chart |
News |
PowerRating)
said they expect
earnings of 47 cents a share with same-store sales climbing 7.8% — the highest
second quarter same-store sales since 1987.

Juniper Networks
(
JNPR |
Quote |
Chart |
News |
PowerRating)

surged after surprising Wall Street with earnings of 8 cents a share on sales of
$306.9 million. The company also upped its second half of the year sales to $765
million.

Genzyme
(
GENZ |
Quote |
Chart |
News |
PowerRating)
reported earnings of $78.2
million with revenue up at $549.6 million. The company also raised FY earnings
to $1.75 a share.

Ericsson
(
ERICY |
Quote |
Chart |
News |
PowerRating)
rose after getting a $210
million deal to supply GSM equipment to Swedish telecom VimpelCom
(
VIP |
Quote |
Chart |
News |
PowerRating)
.

Brice Wightman

bricew@tradingmarkets.com