Airlines Get A Big Lift…Here’s Why
A better-than-expected nonfarm
payrolls report and a Merrill Lynch upgrade of the airline industry sparked
broad-based buying interest. Although the unemployment rate rose to a higher-than-expected 6%, investors focused on the nonfarm payrolls which showed a loss
of 48,000 jobs last month, or better than the forecast of a loss of 60,000 jobs.
Airlines flew high today as Merrill Lynch upgraded several issues
including: Alaska Air
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Northwest
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The Dow Jones Industrial
Average
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13.78 at 930.08. The Nasdaq
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The day’s leaders were
Airlines
(
$XAU.X |
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(
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and Brokers
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Weak today was Gold
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-0.16%.
In economic news, April
Average Workweek came in at 34.0 vs. estimates 34.2. April Hourly
Earnings rose 0.1% vs. estimates 0.2%. April Nonfarm Payrolls came in
at -48K vs. estimates -58K this was the third straight month of job losses.
Lastly, Factory Orders for April came in at 2.2% vs. estimates 1.2%.
The 10-year U.S. Note
is -145 at 114 245.
The dollar is +0.06 at
96.94.
Volume was
1,537,024,000 on the NYSE, and at
1,834,587,000 on the Nasdaq.
Market breadth is decisively
positive, with NYSE advancing issues over declining issues by a ratio of
3.38, and up volume over down volume by a 4.70 ratio. Nasdaq advancing issues
over declining issues are 2.52, and down volume over up volume is at a 6.59
ratio.
Top Dow stocks are:
Boeing
(
BA |
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SBC Communications
(
SBC |
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(
DD |
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at 43.00, and Intel
(
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Stocks in the news:
Biosite
(
BSTE |
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over 12% on seven times average volume. The company reported first-quarter
results that were 6 cents ahead of estimates. The company also boosted revenue
targets for the year.
Chevron Texaco
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was up 2.35 as the company reported first-quarter results of $1.99 per share,
beating estimates of $1.81 a share.
Walt Disney
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DIS |
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PowerRating)
was up 0.17 after the company reported second-quarter results in line with
estimates. Disney cited that the military conflict and SARS had an impact on its
business.