Google: The Word On The Street
Stocks are lower as oil
makes another new high. Traders are talking about how $50 oil will
impact the economy. Oil at this level raises the stakes in Friday’s employment
report. In the weekly petroleum report, oil inventories were down 1.9 million
barrels; gasoline was up 2.4 million barrels. The ISM non-manufacturing index
rose more than expected, to 64.8 in July, up from 59.9 in June; this is the 16th
consecutive month of expansion. New factory orders rose +0.7%, more than
expected after a revised +0.4% in May.
The semis were upgraded at Smith Barney; the $SOX
is near 14-month lows, just over 400.
Word on the Street is that hedge funds are
reluctant to bid a high price for Google; IPO shares are expected to price
between $108-$135 later this month.
| Dow | -36.26 | 10083.07 |
| S&P 500 | -5.36 | 1094.34 |
| Nasdaq | -13.08 | 1846.34 |
Strong today are: Semis
(
SOX.X |
Quote |
Chart |
News |
PowerRating) +0.37%, Biotech
(
BTK.X |
Quote |
Chart |
News |
PowerRating) +0.22%, Computer
Technology
(
XCI.X |
Quote |
Chart |
News |
PowerRating) +0.5%.
Weak today are: Internet
(
GIN.X |
Quote |
Chart |
News |
PowerRating)
-3.95%, Airlines
(
XAL.X |
Quote |
Chart |
News |
PowerRating) -2.37%, Oil
(
XOI.X |
Quote |
Chart |
News |
PowerRating) -1.44%.
10-year Notes are +065 at 111 090
The dollar
is +0.03 at 89.60
Gold is flat at 392.80
Crude Oil is -0.35 at
43.80
Volume is 630 million on
the NYSE and 851 million on the Nasdaq.
Market breadth is negative.
| NYSE | Issues | |
| Advancing | 977 | Up Vol 113 |
| Declining | 2119 | Down Vol 469 |
| Ratio | 2.16 | 4.15 |
| Nasdaq |
||
| Advancing | 923 | Up Vol 272 |
| Declining | 1994 | Down Vol 534 |
| Ratio | 2.16 | 1.96 |
Stocks in the news:
The FDA approved Eli Lilly’s depression
drug Cymbalta; analysts say the drug could generate $2 billion in sales.
Lilly also makes Prozac.
The FDA OK’d Pfizer’s Lipitor ads, which claim
the drug reduces the chance of heart attack.
Cigna
(
CI |
Quote |
Chart |
News |
PowerRating) reported $0.50 above
expectations and raised guidance for 2004.
Bristol Meyers
(
BMY |
Quote |
Chart |
News |
PowerRating) will pay $150
million to settle fraud charges; the company will also appoint an independent
advisor to monitor accounting practices.
Wal-Mart (WMT) will pay a $10 million fine
to settle charges the company knowingly hired undocumented workers as cleaning
crews.
InterActive (IACI) fell 18% after
reporting a 25% drop in profits and guiding lower.
Ciena (CIEN) guided lower; revenues were
lighter than expected.
Eliot Spitzer will take legal action against
Express Scripts (ESRX); charges include over-inflating the costs of
generics.
Brice Wightman