No Matter Who Wins, Here’s Why We May Be In For A Rally
Stocks are higher this
Election Day as crude oil continues lower.
America Online
(
TWX |
Quote |
Chart |
News |
PowerRating) will cut 700
jobs, the Washington Post reported. Applied Materials
(
AMAT |
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PowerRating)
said sales to China have more than doubled to $1 billion.
The Challenger job survey showed employers
planned to cut 100,000 jobs in October. September saw 101,840; it was the worst
two months since January/February 2003. Cuts were most severe in telecom.
We may be in for a rally no matter who wins the
election. Research compiled by David Kotok of Cumberland Advisors indicates that
since WWII, in the three months after an election, the S&P rose 6% if a Democrat
beat a Republican incumbent and 2% if a Republican incumbent prevailed.
Trader talk: the market is telling us there may
be a clear winner tonight.
| Dow | +53.40 | 10107.63 |
| S&P 500 | +8.33 | 1138.84 |
| Nasdaq | +19.79 | 1999.56 |
Strong sectors are: Airlines
(
XAL.X |
Quote |
Chart |
News |
PowerRating)
+3.47%, Brokers
(
XBD.X |
Quote |
Chart |
News |
PowerRating) +1.28%, Computer Tech Â
(
XCI.X |
Quote |
Chart |
News |
PowerRating)
1.18%.
Weak sectors are:Â Gold
(
XAU.X |
Quote |
Chart |
News |
PowerRating) -2.72%, Oil Services
(
OSX.X |
Quote |
Chart |
News |
PowerRating) -1.30%, Natural Gas
(
XNG.X |
Quote |
Chart |
News |
PowerRating) -0.20%.
The dollar is +0.28 at
85.48
Gold is -6.50 at 419.30
Crude Oil is -0.28 at 49.85
830 million on the Nasdaq.
Market breadth is positive.
| NYSE | Issues | |
| Advancing | 2124 | Up Vol 446 |
| Declining | 974 | Down Vol 174 |
| Ratio | 2.18 | 2.56 |
| Nasdaq |
||
| Advancing | 1820 | Up Vol 567 |
| Declining | 1034 | Down Vol 202 |
| Ratio | 1.76 | 2.80 |
Stocks in the News
National Semi
(
NSM |
Quote |
Chart |
News |
PowerRating) cut its quarterly revenue forecast, citing weak
demand and high inventory.
Forest Labs
(
FRX |
Quote |
Chart |
News |
PowerRating) cut its 2005 outlook, citing generic Celexa.
Clorox
(
CL |
Quote |
Chart |
News |
PowerRating) beat by 0.03.
Emerson Electric
(
EMR |
Quote |
Chart |
News |
PowerRating) beat by 005.
Masco
(
MAS |
Quote |
Chart |
News |
PowerRating) beat by 0.02.
Teva Pharmaceuticals
(
TEVA |
Quote |
Chart |
News |
PowerRating) was lowered at Bank of America to ‘neutral’
from ‘buy.’
Brice Wightman