Oil In Focus Today — Here’s Why
Stocks are mixed Monday.
Warnings from Colgate and Unilever, and a Citigroup
downgrade, sent the Dow lower, while a rally in the semis has the Nasdaq in the
green. The SOX reclaimed the 400 level and is also trading above its 50-day
moving average.
Colgate
(
CL |
Quote |
Chart |
News |
PowerRating) warned for the second half, citing higher marketing
expenses. It was the first warning by Colgate in almost a decade; CL shares hit
a 4-year low. Citigroup
(
C |
Quote |
Chart |
News |
PowerRating) was lowered to neutral at Merrill Lynch.
Of the 90 S&P companies that warned this quarter,
30 cited the recent hurricanes as a factor. Estimates for the damage are as high
as $20 billion, much of it in Florida. The construction industry could benefit
through rebuilding the damage. Nobility Homes
(
NOBH |
Quote |
Chart |
News |
PowerRating) builds
manufactured homes in Florida.
Yukos said it will suspend all deliveries to
China; deliveries to China are more expensive and Yukos faces a cash-crunch
situation. The news sent oil over $46.
The Fed meets tomorrow; a 1/4 point increase is
expected.
| Dow | -74.70 | 10209.10 |
| S&P 500 | -6.30 | 1122.25 |
| Nasdaq | -5.18 | 1904.91 |
Strong today are: Semis
(
SOX.X |
Quote |
Chart |
News |
PowerRating)
+2.94%, Computer Technology
(
XCI.X |
Quote |
Chart |
News |
PowerRating) 0.68%, Oil
(
XOI.X |
Quote |
Chart |
News |
PowerRating)
+0.46%.
Weak are: Consumer
(
CMR.X |
Quote |
Chart |
News |
PowerRating)
-1.48%, Brokers
(
XBD.X |
Quote |
Chart |
News |
PowerRating) -0.89%, Telecom
(
XTC.X |
Quote |
Chart |
News |
PowerRating)
-0.80%.
10-year Notes are +110 at 113 010
The dollar
is +0.14 at 89.05
Gold is -0.50 at 404.70
Crude Oil is +0.43 at 46.02
Volume is 542 million on
the NYSE and 817 million on the Nasdaq.
Market breadth is negative.
| NYSE | Issues | |
| Advancing | 1388 | Up Vol 247 |
| Declining | 1687 | Down Vol 264 |
| Ratio | 1.21 | 1.06 |
| Nasdaq |
||
| Advancing | 1329 | Up Vol 516 |
| Declining | 1611 | Down Vol 276 |
| Ratio | 1.21 | 1.86 |
Stocks in the News
Hewlett Packard
(
HPQ |
Quote |
Chart |
News |
PowerRating) bought back $1.3 billion in shares from Merrill
Lynch and the board approved an additional # billion buyback.
Unilever
(
UN |
Quote |
Chart |
News |
PowerRating) warned, citing bad weather.
Lennar
(
LEN |
Quote |
Chart |
News |
PowerRating) beat by 0.02 and raised guidance.
OSI Pharmacueticals
(
OSIP |
Quote |
Chart |
News |
PowerRating) said Phase III trials of Tarceva met
its primary endpoint of improving survival.
MCI
(
MCIP |
Quote |
Chart |
News |
PowerRating) may be looking for potential buyers, according to
The New York Times.
Nike
(
NKE |
Quote |
Chart |
News |
PowerRating) beat by 0.10; first quarter profits rose 25%.
Adobe Systems
(
ADBE |
Quote |
Chart |
News |
PowerRating) will report after the bell; the estimate is
0.39.
PMC Sierra
(
PMCS |
Quote |
Chart |
News |
PowerRating) lowered its Q3 outlook.
Carmax
(
KMX |
Quote |
Chart |
News |
PowerRating) beat by a penny and guided Q3 lower.
Maxim Pharmaceutical’s
(
MAXM |
Quote |
Chart |
News |
PowerRating) cancer drug Ceplene failed a trial.
Brice Wightman