Here’s What Made A Three Year High

Stocks closed higher for the third consecutive
session.  Although volume was on the light side (942 million
NYSE), the Dow made further headway into its 3.5 year high. Positive news on the
economic front overshadowed disappointments in the tech sector.  The dollar
hit a record low against the Euro. The greenback fell to $1.35 per Euro. The VIX
is at 10-year low.

The revised Michigan Consumer Sentiment index for December was upped to a
reading of 97.1 from 95.7. Consensus was at 95.7. The Commerce Department
reported that durable goods for November jumped 1.6% vs. consensus of 
0.7%. Personal Income rose 0.3% vs. consensus of 0.2%. Personal Spending came in
as expected at 0.3%. Initial Jobless Claims came in at 333K vs. consensus of
335K.  New Home Sales for November came in weaker than expected at 1125K
vs. 1200K.

Micron Technology
(
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0.75%. The maker of computer memory chips provided a first quarter revenue
estimate of $1.26 billion versus analysts consensus of $1.3 billion.

PalmSource
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also gave a revenue forecast that was below estimates. The maker of software for
hand-held computers expected third quarter revenues to be $18.9 million compared
to estimates of $23 million.

Red Hat
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the Linux operating system system gave a third quarter revenue forecast of $50.9
million versus estimates of $51.8 million.

Strong sectors are: Biotechs
(
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(
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+0.87%, Gold Bugs
(
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Weak sectors are: Airlines 
(
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-0.98%.

Adolor
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Thursday’s experiment did not indicate a significant benefit for treatment of
post-operative bowel obstruction.

American Greetings
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Urban Outfitters
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Brice Wightman