If You Bought This Stock Yesterday, You’d Be Up 85% Now
Stocks
recovered from earlier losses. Investors were
disappointed by a consumer confidence number of 87.3, much lower than an
expected 92.5. The number of consumers who said they had problems finding jobs
rose by 0.6% to 32.1%. In February so far, there have been $1.7
billion of new offerings. Daily money outflow by insiders was $600 million and inflows from
investors exceeded $1 billion.
Alan Greenspan cautioned
lawmakers that uncontrolled growth of government-sponsored enterprises such as
Fannie Mae
(
FNM |
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PowerRating) and Freddie Mac
(
FRE |
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financial system.
Synopsys
(
SNPS |
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PowerRating)
will purchase Monolithic System Technology
(
MOSY |
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PowerRating) in a cash and
stock deal valued at $432 million. This offer price is a 93% premium with MOSY
valued at $13.50 a share. MOSY licenses memory technology and is up 85% for the
day.
| Dow | -18.03 |
10591.56 |
| S&P 500 |
+0.98 | 1141.97 |
| Nasdaq | +3.43 | 2010.36 |
The day’s leading sectors are
Amex Gold Bugs
(
HUI.X |
Quote |
Chart |
News |
PowerRating) +3.84%, Gold and Silver
(
XAU.X |
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Chart |
News |
PowerRating)
+3.24%, Oil Services Sectors
(
OSX.X |
Quote |
Chart |
News |
PowerRating) +1.61%, and
Pharmaceuticals
(
DRG.X |
Quote |
Chart |
News |
PowerRating) +0.69%.
Weak today are Internet
(
ECM.X |
Quote |
Chart |
News |
PowerRating) -0.75%, and Utilities
(
UTY.X |
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Chart |
News |
PowerRating) -0.74%.
Economic news releases included
lower consumer confidence numbers at 87.3.
10-year Notes are +115
at 115 080
The dollar
is -0.97 at 86.20
Gold is +4.60 at 403.90
Crude Oil is +0.35 at
34.71
The euro
is +0.47 at 125.78
Volume is 738,000,000 on
the NYSE, and 110,000,000 on the Nasdaq.
Market breadth is negative.
| NYSE | Issues | |
| Advancing | 1473 | Up Vol 288 |
| Declining | 1642 | Down Vol 404 |
| Ratio | 1.13 | 1.40 |
| Nasdaq | ||
| Advancing | 1297 | Up Vol 466 |
| Declining | 1767 | Dow Vol 583 |
| Ratio | 1.39 | 1.25 |
Top Dow stocks are:
Johnson & Johnson [JNJ|JNJ],
+2.07% at 54.19, Home Depot
(
HD |
Quote |
Chart |
News |
PowerRating), +1.48% at 35.98, Intel [INTC|INTC]
+1.19% at 29.36, and Microsoft [MSFT|MSFT],
+1.02% at 26.91.
Stocks in the news:
Synopsys
(
SNPS |
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Chart |
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PowerRating) reported lower
net income of $32.2 million on sales of $1.2 billion. Its shares fell due to
disappointing earnings numbers and a downgrade by banker SG Cowen. SNPS is down
18% for the day.
Ketchup-maker HJ Heinz
(
HNZ |
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PowerRating)
reported earnings of $202.2 million on revenue of $2.1 billion. European sales
rose 7.6% to $827.5 million while Asia-Pacific sales rose by 10% to $301.9
million. A favorable foreign-exchange rate was the main reason for the higher
sales although volume-wise, average sales were about 3.8% lower.
Retailer Home Depot
(
HD |
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Chart |
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PowerRating) reported
earnings up 39% on revenue of $15.1 billion. Same-store sales rose 7.6% with net
income reaching $951 million.
Guidant
(
GDT |
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PowerRating) will help
Johnson and Johnson
(
JNJ |
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Chart |
News |
PowerRating) sell its “drug-coated” cardiovascular stent,
Cypher. Financial terms of the deal were not disclosed, but GDT will receive
commissions from revenue and is expected to add about 5 cents to its
first-quarter earnings.