Stocks Are Near Their Highs. So Why Is This Making A 9-Year Low?
Stocks are lower after two chip warnings and a downgrade.
Advanced Micro Devices
(
AMD |
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Chart |
News |
PowerRating) warned on revenues. The company cited
a “competitive and challenging” flash memory environment.  Â
ST Microelectronics
(
STM |
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Chart |
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PowerRating) said margins for December were 31%, less
than the forecast 38-39%.The company blamed the shortfall on the weak dollar.
Morgan Stanley downgraded Hewlett Packard
(
HPQ |
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News |
PowerRating) to ‘underweight.’
A NYSE seat fell below $1 million for the first time in nine years, selling
for $975,000. The record high was $2.6 million in 1999. Some speculate that the
NYSE trading floor may go away with proposed changes to accelerate electronic
trading. The price has fallen 50% over the past year.
Strong sectors are: Gold
(
XAU.X |
Quote |
Chart |
News |
PowerRating) +1.03%, Natural Gas
(
XNG.X |
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Chart |
News |
PowerRating)
+0.11%, Oil Services
(
OSX.X |
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Chart |
News |
PowerRating)
+0.05%.
Weak sectors are: Semis
(
SOX.X |
Quote |
Chart |
News |
PowerRating) -0.33%, Brokers
(
XBD.X |
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Chart |
News |
PowerRating) -1.55%,
Biotech
(
XTC.X |
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Chart |
News |
PowerRating) -1.43%,
Â
| Dow | -65.03 | 10,556 |
| S&P 500 | -7.71 | 1182.54 |
| Nasdaq | -18.36 | 2,078.68 |
The dollar is -0.45 at
82.84
Crude Oil is +0.52 at
45.85
Gold is +1.00 to 421.80
1.0 billion on the Nasdaq.
Market breadth is negative.
| NYSE | Issues | |
| Advancing | 1091 | Up Vol 160 |
| Declining | 2064 | Down Vol 462 |
| 1.89 | 2.88 | |
| Nasdaq |
||
| Advancing | 828 | Up Vol 230 |
| Declining | 2133 | Down Vol 746 |
| 2.57 | 3.24 |
Stocks in the News
Genentech’s
(
DNA |
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Chart |
News |
PowerRating) Q4 profits fell short of expectations even after
reporting a 63% increase in Q4 profit.
Unisys
(
UIS |
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PowerRating) is now forecasting a Q4 loss.
Taser
(
TASR |
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News |
PowerRating) said some orders may be delayed in the first half of year
due to testing.
QLogic
(
QLGC |
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Chart |
News |
PowerRating) raised its Q3 outlook.
Williams Sonoma
(
WSM |
Quote |
Chart |
News |
PowerRating) said sales will be below expectations.
DR Horton
(
DHI |
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Chart |
News |
PowerRating) reported a 31% rise in Q4 sales and guided higher.
Brice Wightman
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