Stocks Flat After Economic Data

Stocks have recovered from early losses mid-session
after data showed that manufacturing slowed unexpectedly. (full
story) In addition, traders fear that high fuel costs will
take a toll on consumer spending. The ISM Index was 53.6 vs 57.0
consensus. Construction spending was unchanged.

Jobless claims for the week ending 8/27 rose 3,000 to 320,000, the
highest since early July. The 4-week moving average rose 1,250 to 316,750. The
current data does not reflect Hurricane Katrina.

Personal income rose 0.3% in July; spending rose 1%. The

personal savings rate is now the lowest since records began in 1959.

Novartis
(
NVS |
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(
CHIR |
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Lehman Brothers upgraded the refiners: Sunoco
(
SUN |
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Tesoro
(
TSO |
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(
FTO |
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(
COP |
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The manufactured homes group is strong:
(
CAV |
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(
FLE |
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(
CHB |
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(
MODT |
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(
SKY |
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(
PHHM |
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manufactured homes.

Strong Sectors are:  Oil 

(
XOI |
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+3.42%    
 Gold 
(
XAU |
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+3.32%       Biotech

(
BTK |
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+2.35%

Weak sectors are:  Airlines 
(
XAL |
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-3.92%      Semis 

(
SOX |
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-0.49%

Costco’s
(
COST |
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Sharper Image’s
(
SHRP |
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than expected.

Pier One’s
(
PIR |
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Wet Seal’s
(
WTSLA |
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expected.

XM Satellite Radio
(
XMSR |
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(
SIRI |
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upgraded top outperform at Wachovia.

Starbucks
(
SBUX |
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Brice Wightman