Here’s What CEOs Are Saying About 2005…
Stocks are lower on mixed economic data.
Consumer confidence for May was 102.2, better than expected. In April,
consumer confidence was 97.5. Chicago PMI was 54.1 in May, worse than expected
and a 2-year low, and compares with a 65.6 figure for April.
The Supreme Court overturned Arthur Anderson’s conviction of
destroying Enron-related documents, citing flawed jury instructions.
Alcoa
(
AA |
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PowerRating) is lower after the company said it received a subpoena
related to an aluminum fluoride industry investigation.
United Natural Foods
(
UNFI |
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PowerRating) beat by a penny. Profit rose 24%.
Genentech
(
DNA |
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PowerRating) said trials show Lucentis, along with Visudyne,
maintained or improved vision in about 90% of patients with wet AMD.
Piper Jaffray upped its target price on Google to $300. Many traders
expect the stock will be added to the S&P 500 after August.
The Business Roundtable May CEO Economic Outlook Survey indicates that
85% of CEOs expect sales to continue to increase and 70% expect to add jobs or
maintain the current levels of employment in 2005.
Mechanics for United Airlines approved a new labor pact with a lower wage
scale. In a related sector, Merrill Lynch raised Northwest Airlines
(
NWAC |
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PowerRating)
to a ‘buy.’
Strong sectors are:Â Â Brokers
(
$XBD.X |
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Chart |
News |
PowerRating) +0.28%Â Â Â Â
Homebuilders
(
$HGX.X |
Quote |
Chart |
News |
PowerRating) +0.04%Â Â
Weak sectors are:Â Â Â Â Oil
(
$XOI.X |
Quote |
Chart |
News |
PowerRating) -1.24%Â Â Â
Oil Services
(
$OSX.X |
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Chart |
News |
PowerRating) -0.97%Â Â Gold Â
(
$XAU.X |
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Chart |
News |
PowerRating)
+0.97%
| Dow | -49.93 | 10,492.62 |
| Nasdaq | -9.14 | 2066.59 |
| S&P 500 | -5.68 | 1193.10 |
The dollar is +1.05 at
87.47
Crude Oil is -0.50 at
51.35
Gold is -2.00 at 415.30
703 million on the Nasdaq.
Market breadth is negative.
| NYSE | Issues | |
| Advancing | 1431 | Up Vol 190 |
| Declining | 1646 | Down Vol 388 |
| 1.15 | 2.04 | |
| Nasdaq |
||
| Advancing | 1318 | Up Vol 226 |
| Declining | 1512 | Down Vol 376 |
| 1.14 | 1.66 |
Stocks in the News
Citigroup raised its rating on ExxonMobil
(
XOM |
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PowerRating) and
ChevronTexaco
(
CVX |
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Chart |
News |
PowerRating). JP Morgan also raised its rating on XOM.
American Insurance Group
(
AIG |
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News |
PowerRating) filed its annual report, restating
years 2000-2003 and adjusted 2004 net income by 11.9%.
Tibco
(
TIBX |
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PowerRating) is revising its Q2Â forecast lower.
Novellus
(
NVLS |
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PowerRating) raised Q2 guidance.
Ameritrade confirmed it is in merger talks with TD Waterhouse.
Dreamworks
(
DWA |
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Chart |
News |
PowerRating) is making new lows after the release of
“Madagascar,” which has been panned by some.
Brice Wightman
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