Stocks Mixed Mid-Session

Stocks are mixed, with the Dow higher on several
component upgrades.

Hewlett Packard
(
HPQ |
Quote |
Chart |
News |
PowerRating) was upgraded to Buy at UBS. JP Morgan
(
JPM |
Quote |
Chart |
News |
PowerRating) was upgraded to
outperform at Piper Jaffray and McDonald’s
(
MCD |
Quote |
Chart |
News |
PowerRating) was upgraded to
outperform at Bear Stearns.

The Congressional Budget Office said that Katrina may slow economic
growth by 0.5 to 1.0% and that it could reduce employment by 400,000. Estimates
now are that the storm costs could reach $150-$200 billion.

In other Katrina-related news, the price of steel used in making cars could rise
20% in the next few months, The Wall Street Journal reports. Major steel
manufacturers like Nucor
(
NUE |
Quote |
Chart |
News |
PowerRating) and U.S. Steel
(
X |
Quote |
Chart |
News |
PowerRating) already
raised prices 20% on September 1.

Albertson’s
(
ABS |
Quote |
Chart |
News |
PowerRating)
missed by 0.04 and missed on revenues. (full
story)

Electronics For Imaging
(
EFII |
Quote |
Chart |
News |
PowerRating) raised its Q3 outlook and now sees 0.21 – 0.23.

McCormick 
(
MCK |
Quote |
Chart |
News |
PowerRating) lowered its Q3 and fiscal 2005 forecast and now sees 1.58 – 1.62.

Strong Sectors are:    Networking 

(
NWX |
Quote |
Chart |
News |
PowerRating)
+1.94%    
 Chemicals 
(
CEX |
Quote |
Chart |
News |
PowerRating)
+1.20%     Healthcare 

(
HCX |
Quote |
Chart |
News |
PowerRating)
+0.44% 

Weak sectors are:     Biotech 
(
BTK |
Quote |
Chart |
News |
PowerRating)
-0.43%      Semis

(
SOX |
Quote |
Chart |
News |
PowerRating) -0.52%         Airlines

(
XAL |
Quote |
Chart |
News |
PowerRating) -0.44%

McData
(
MCDT |
Quote |
Chart |
News |
PowerRating)
beat by 0.03.

Yum Brands
(
YUM |
Quote |
Chart |
News |
PowerRating)
was upgraded to Buy at UBS.

Altera
(
ALTR |
Quote |
Chart |
News |
PowerRating)
reaffirmed guidance but said its gross margins would be lower than expected at
65 – 67%.

The Wall Street Journal reports that insiders are buying Lion’s
Gate
(
LGF |
Quote |
Chart |
News |
PowerRating). Seven execs and board members bought $819,000 in stock the
past month.

Brice Wightman