Nasdaq Continues to Show Major Weakness

While the NASDAQ
has remained firmly in negative territory throughout the trading session on
Thursday, the Dow has been showing a lack of direction.
The blue chip
index has been more or less rangebound, but moving to the downside in the late
afternoon.

Leading the NASDAQ 100 to the downside today are
Lam Research
(
LCRX |
Quote |
Chart |
News |
PowerRating)
and game maker Nvidia Corp.
(
NVDA |
Quote |
Chart |
News |
PowerRating)

losing 14% and 8%.  Nvidia is also leading the S&P 500 to the downside as
well.

After a choppy trading session, the price
of gold eventually ended Thursday’s trading in negative territory. Gold for
February delivery closed down $5.20 at $628.10 an ounce after ending the
previous session up more than $7 an ounce.

The price of oil fell sharply on Thursday,
more than offsetting the notable increase that was posted in the previous
session. Crude for February delivery closed down $1.76 at $50.48 a barrel, its
lowest closing level since May of 2005.


Stocks on the Move

Apple
(
AAPL |
Quote |
Chart |
News |
PowerRating)
Q1 Profit Jumps 78% (full
story
).  AAPL shares fell over 6% in today’s session.

Lam Research
(
LRCX |
Quote |
Chart |
News |
PowerRating)
Q2 EPS Soars; Tops Estimates (full
story
).  LRCX shares dropped nearly 15%.

Hoku
(
HOKU |
Quote |
Chart |
News |
PowerRating)
Soaring On News Of Contract With Sanyo (full
story
).  HOKU shares rocket up 123%.

Schlumberger
(
SLB |
Quote |
Chart |
News |
PowerRating)
CFO Perraud To Retire; Boosts Dividend 40% (full
story
).  SLB shares lost 0.8%.

Guess
(
GES |
Quote |
Chart |
News |
PowerRating)
Raises Q4 Forecast Above Estimates; Stock Up On Upbeat
Outlook (full
story
).  GES shares traded fractionally higher.

UnitedHealth
(
UNH |
Quote |
Chart |
News |
PowerRating)
Reports Q4 Profit Of $1.2 Bln; Revenue Surges
47%; Backs FY07 View (full
story
).  UNH shares fell 3.5%.

Merrill Lynch
(
MER |
Quote |
Chart |
News |
PowerRating)
Q4 Profit Vaults 68% On Strength In Global
Markets And Investment Unit, Revenues Surge 27% (full
story
).  MER shares lose 1.5%.

Tribune
(
TRB |
Quote |
Chart |
News |
PowerRating)
Gets Takeover Bid From Chandler Family (full
story
).  TRB shares rise 1.8%.

For more stories as they happen, go to our
Breaking News section.

Market Snapshot

Dow


-9.22

12,567.93

NASDAQ

-36.21

2,443.21

S&P 500


-4.25

1,426.37

NYSE


NASDAQ

Volume


2,736,930,000

2,421,047,000


Advances


1290

898

Declines


1972

2158

Up Volume


980

407

Down Volume


1492

1875

New Highs


203

96


New Lows


24

59


Strongest/Weakest Sectors



Strongest Sectors

Weakest Sectors


Amex Pharmaceutical Index (DRG)


GSTI Semiconductor Index (GSM)

S&P Retail 
Index (RLX)

GSTI Hardware Index (GHA)

North American Telecommunications Index (XTC)


Morgan Stanley Healthcare Payors Index (HMO)


Economic News

The E.I.A. reports that crude oil inventories had a build of 6.768 mln
barrels

Initial Claims 290K vs 315K consensus

CPI y/y +2.5% vs +2.4% Bloomberg consensus

CPI m/m +0.5% vs +0.4% consensus

Building Permits 1596K vs 1505K consensus

Core CPI y/y +2.6% vs +2.6% Bloomberg consensus

Core CPI m/m +0.2% vs +0.2% consensus

Housing Starts 1642K vs 1570K consensus

Darren Wong
darrenw@tradingmarkets.com



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