Tech Bell Ringing Naz Futures

  • November 13, 2000
  • Marc Dupee

Following on the heels of Dell’s disappointing earnings last week, technology bellwether
Hewlett-Packard is reinvigorating the negative argument in tech and has broken
the Nasdaq 100 cash index to a one-year low. Nasdaq 100 futures
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concern here are Oracle, Microsoft, Intel, and Veritas, which are all trading on
their lows or in the bottom quartile of Monday’s range. These stocks are among
the largest weighted stocks on the Nasdaq 100. NDZ0 is the leading contract on
the Implosion-5 List
and is trading just off its lows of the session down 105 at 2789.00. S&P futures
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and
Dow futures
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Moving in opposite but nearly equal steps with the stock
index futures, T-bonds
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the perceived safety of  Treasury futures. T-bonds are now trading up
21/32, on their highs of the session at 99 27/32.

The decline in equities is hurting the dollar.
December  dollar index futures
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Interestingly and indicative of the continuing weakness in the euro (and belief
that the ECB will not intervene for a forth time in a week on a down stock
market day) is the negative showing in the Euro FX
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PowerRating), which is
off .00020 at .86260.

This morning’s Pre-Opening Cocoa commentary summed
up the situation in cocoa prior to its moving to a new low in Monday’s session:

Speculative selling, which is likely small trader long liquidation, continues
to hit the Cocoa market. Buyers needs appear to be covered and the Ivory Coast
crop continues to move to the market with the harvest expected to get into full
swing by early December and January. With the market already weak and in a long
liquidation phase, the strong US dollar and weak CRB Index yesterday only added
to the negative sentiment. Cocoa
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the
New 10-Day Low List, and hinted it could make a larger-than-normal move by
registering on the 6/100 Low Volatility
List. 

Also in the softs and showing its negative sentiment with
an Implosion-5 List
and Multiple Days Low
Volatility List
 readings,
coffee
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PowerRating) is down and probing new multi-year lows. 

A cold snap in the middle of the country has sparked
natural gas
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PowerRating) back to within striking distance of its highest
level ever. Nat gas is the leading contract on the Momentum-5
List. 

Comments from OPEC that it will stop additional
production output hikes are encouraging higher oil and product prices. December crude oil
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PowerRating) and heating oil
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PowerRating), also from the Momentum-5
List, are gaining, up .33 and .0184 each.