Did Google Violate Securities Laws? If So, Here’s What Could Happen…

Stocks are lower
Friday as oil prices continue to weigh on the market.

Dell

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provided some positive news, reporting strong earnings
yesterday and giving an upbeat forecast. Smith Barney upgraded the stock, with a
$39 price target.
Cisco
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got a boost as Morgan Stanley upgraded the stock to overweight,
citing improving
demand and valuation. The trade deficit hit a record $55.8 billion in June,
wider than expected. It was the biggest drop in exports in almost three years;
imports were also at record levels.

Google’s IPO auction opened today, even
after the company said a recent interview with the co-founders in Playboy
Magazine may have violated securities laws. Securities laws restrict what
corporate execs can say prior to initial public offerings. Under the Securities
Act of 1933, the company could be forced to repurchase its shares. Twenty-eight
brokerage firms are involved in the offering.

Dow -11.87 9802.72
S&P 500 -0.25 1062.98
Nasdaq +2.40 1754.89

Strong today are: Gold
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+1.72%, Oils
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+1.18% and Healthcare
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+0.76%.

Weak are: Biotech
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-1.62%, Semis
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-0.72% and Insurance
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-0.57%.

10-year Notes are +120 at 112 260

The dollar
is -0.69 at 88.00

Gold is +5.00 at 398.80

Crude Oil is +0.35 at
45.85

Volume is 544 million on
the NYSE and 626 million on the Nasdaq.

Market breadth is positive.

NYSE Issues
Advancing 1900 Up Vol 272
Declining 1192 Down Vol 227
Ratio 1.59 1.19
Nasdaq
Advancing 1496 Up Vol 331
Declining 1342 Down Vol 233
Ratio 1.11 1.42

Stocks in the News

US Air may be in bankruptcy by September, investment bankers say, if the
company doesn’t cut costs.

Analog Devices
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posted a larger Q3 profit but said revenue growth
slowed and customers were becoming more cautious.

AmerisourceBergen
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said it will buy back up to $500 million
of its outstanding shares.

Brice Wightman