Here’s How Treasury Yields Responded To The Jobs Report
Stocks are flat after a big gap down on continued worries of a rate hike.
Job growth was strong, adding 288,000
new jobs to payrolls, well ahead of the expected 165,000. An updated report from
the Department of Labor showed that for February, 83,000 new jobs were created
instead of 46,000, with 333,700 for March instead of the original 308,000.
Treasury prices tumbled on the employment news, with the 10-year treasury yield
peaking at 4.76%, a level not seen since the summer of 2002.
The week ending Wednesday saw the 2nd week of fund outflows this year. Investors have put $56 billion into equity funds this year. New stock is coming to market — $39.9 billion for Q1 (156 deals) — the most since March/April 2000.
Oil prices broke
through the psychological $40 barrier over security concerns in the Middle East.
OPEC’s President Purnomo Yusgiantoro said the
rising price of crude was beyond OPEC’s control.
Maker Barr Pharmaceuticals
(
BRL |
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PowerRating) fell after the FDA denied its request to sell its over the counter
Morning-After Pill despite recommendations from FDA’s own scientific advisers.
| Dow | -25.84 |
10215.50 |
| S&P 500 |
-4.25 | 1109.35 |
| Nasdaq | +9.25 | 1946.16 |
Strong today are Semis
(
SOX.X |
Quote |
Chart |
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PowerRating)
+2.07%, Hardware
(
HWI.X |
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Chart |
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PowerRating) +1.53%, Techs
(
TXX.X |
Quote |
Chart |
News |
PowerRating) +1.17%,
and Disk Drives
(
DDX.X |
Quote |
Chart |
News |
PowerRating) +1.03%.
Weak today are Amex Gold
Bugs
(
HUI.X |
Quote |
Chart |
News |
PowerRating) +3.73%, and Gold and Silver
(
XAU.X |
Quote |
Chart |
News |
PowerRating) -3.38%.
Economic news releases today
included Nonfarm payrolls that were much stronger than expected at 288,000; the
unemployment rate dipping 0.1% to 5.6%; hourly earnings rising to 0.3%; and the
average workweek at 33.7 hours, with wholesale inventories rising by 0.6%.
10-year Notes are -1125
at 108 140
The dollar
is +1.26 at 91.35
Gold is down 9.20 at
379.20
Crude oil is +0.28 at
39.65
Volume is 722,000,000 on
the NYSE, and 779,000,000 on the Nasdaq.
Market breadth is mixed.
| NYSE | Issues | |
| Advancing |
512 | Up Vol 168 |
| Declining | 2779 | Down Vol 521 |
| Ratio | 5.43 | 3.01 |
| Nasdaq |
||
| Advancing |
1266 | Up Vol 1266 |
| Declining |
1704 | Down Vol 1701 |
| Ratio | 1.38 | 1.31 |
Top Dow stocks are:
Intel
(
INTC |
Quote |
Chart |
News |
PowerRating),
+2.77% at 26.63, Johnson & Johnson
(
JNJ |
Quote |
Chart |
News |
PowerRating), +1.97% at 55.86, Hewlett
Packard
(
HPQ |
Quote |
Chart |
News |
PowerRating) +1.83% at 20.10, and IBM
(
IBM |
Quote |
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PowerRating), +0.66% at
88.92, Â
Stocks in the news:
Krispy Kreme
(
KKD |
Quote |
Chart |
News |
PowerRating) fell sharply after warning that
it will miss first-quarter and 2005 earnings targets. The
popularity of the low-carb diet has hurt demand. It now expects to earn 23 cents
for next quarter and $1.05 for FY 2005.
Spanish broadcasting network Univision Communications
(
UVN |
Quote |
Chart |
News |
PowerRating)
reported earnings that more than doubled, with net income at $31.6 million on
revenue of $352.9 million.
A federal judge refused to throw out $289 billion in penalties
the government is seeking from the tobacco industry. Some companies involved in
the suit include: Altria
(
MO |
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PowerRating), R.J. Reynolds
(
RJR |
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PowerRating), and
British American Tobacco
(
BTI |
Quote |
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PowerRating).
According to a report from Reuters, Intel
(
INTC |
Quote |
Chart |
News |
PowerRating) will cancel the
development of its Tejas and Jayhawk processors due to problems with the chip’s
power consumption.
Brice Wightman
bricew@tradingmarkets.com