Priority Review For New Drug
Stocks are
higher after a surprise early handover of sovereignty in Iraq.
 The United States transferred sovereignty to the
Iraqi government two days ahead of schedule, capping 14 months of occupation.
The Supreme Court ruled that Guantanamo detainees may get hearings to challenge
their captivity. Â US consumer spending
rose more than expected, with inflation accounting for half of the gain. The Fed
is meeting starting Tuesday and they are expected to raise interest rates by at
least 25 basis points, the first time in four years. Oil prices fell 4% to the
$36 level and airline stocks are up on the news.
United Airlines
(
UAL |
Quote |
Chart |
News |
PowerRating)
was denied a loan guarantee from the US Air Transportation Stabilization Board
for the third and final time. The board did not believe United needs the loan,
as the company has sufficient cash on hand and can operate safely and
efficiently. Elan
(
ELN |
Quote |
Chart |
News |
PowerRating) rose after receiving priority review for its
multiple sclerosis drug from the FDA. WalMart
(
WMT |
Quote |
Chart |
News |
PowerRating) warned its
same-store sales for June would be below forecasts on poor Father’s day demand
and cool weather. It now forecasts a 3% increase.
| Dow | +84.55 | 10457.24 |
| S&P 500 | +7.68 | 1142.56 |
| Nasdaq | +12.10 | 2037.55 |
Strong today are Airlines
(
XAL.X |
Quote |
Chart |
News |
PowerRating) 3.00%, Internet
(
ECM.X |
Quote |
Chart |
News |
PowerRating) +1.96%, Transport
(
$TRAN.X |
Quote |
Chart |
News |
PowerRating)
+1.89%, Banks
(
BIX.X |
Quote |
Chart |
News |
PowerRating) +1.10%
Weak today are Oil Services
(
OSX.X |
Quote |
Chart |
News |
PowerRating) -2.07%, Amex Gold Bugs
(
HUI.X |
Quote |
Chart |
News |
PowerRating) -1.98%
Economic news release today
include: personal income that rose by 0.6% and personal spending also up 1.0%
10-year Notes are -155
at 108 160
The dollar
is -0.19 at 89.03
Gold is -2.00 at 401.00
Crude Oil is -1.41 at
36.14
Volume is 620 million on
the NYSE, and 740 million on the Nasdaq.
Market breadth is positive.
| NYSE | Issues | |
| Advancing | 1808 | Up Vol 360 |
| Declining | 1309 | Down Vol 218 |
| Ratio | 1.38 | 1.65 |
| Nasdaq |
||
| Advancing | 1555 | Up Vol 415 |
| Declining | 1395 | Down Vol 286 |
| Ratio | 1.11 | 1.45 |
Top Dow stocks are:
Altria
(
MO |
Quote |
Chart |
News |
PowerRating), +5.39%
SBC Communications
(
SBC |
Quote |
Chart |
News |
PowerRating) +2.53%, Hewlett Packard
(
HPQ |
Quote |
Chart |
News |
PowerRating)
+1.23%, Disney
(
DIS |
Quote |
Chart |
News |
PowerRating), +1.12%.
Stocks in the news:
Amgen
(
AMGN |
Quote |
Chart |
News |
PowerRating) is lower after
reporting its GDNF drug for the treatment of advanced Parkinson’s disease did
not meet study expectations.
Novell
(
NOVL |
Quote |
Chart |
News |
PowerRating) fell after
announcing plans to sell $450 million of convertible debt.
Altria
(
MO |
Quote |
Chart |
News |
PowerRating) rose after a judge
allowed the company to appeal the ruling that allowed the federal government to
sue the industry for $280 billion.
Bristol-Myers Squibb
(
BMY |
Quote |
Chart |
News |
PowerRating) said
they would pad its liability reserves by $400 million on an inventory scandal in
which the company inflated its earnings between 11999 and 2001.
Brice Wightman
bricew@tradingmarkets.com
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