STOCK MARKET WATCH, Monday 19 June

[ozymandius]

Monday June 19, 2006

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 947 DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 2004 DAYS
WHERE'S OSAMA BIN-LADEN? 1704 DAYS
DAYS SINCE ENRON COLLAPSE = 1665
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 6
Other Arrests of Execs = 54


U.S. FUTURES & MARKETS INDICATORS
NASDAQ FUTURES-----------------------------S&P FUTURES




AT THE CLOSING BELL WHEN BUSH TOOK OFFICE on January 22, 2001
Dow - 10,578.24
Nasdaq - 2,757.91
S&P 500 - 1,342.90
Oil - $27.69/bbl
Gold - $266.70/oz.

AT THE CLOSING BELL ON June 16, 2006

Dow... 11,014.55 -0.64 (-0.01%)
Nasdaq... 2,129.95 -14.20 (-0.66%)
S&P 500... 1,251.54 -4.62 (-0.37%)
Gold future... 581.70 +11.40 (+1.96%)
30-Year Bond 5.17% +0.04 (+0.72%)
10-Yr Bond... 5.13% +0.03 (+0.59%)






GOLD, EURO, YEN, Loonie and Silver


PIEHOLE ALERT

Heads Up!
Preliminary info on appearances by Bush & Co. throughout the country. Details & links are added as they become available so check back. And if you know more, are organizing something, or would like to, contact [e-mail]

For information on protests and other actions Citizens For Legitimate Government

[ozymandius]

1. WrapUp by Tim W. Wood

THE DOW REPORT
Three Peaks and a Domed House

Today I want to share a rather rare chart formation with you. The pattern known as “Three Peaks and a Domed House” was made known by George Lindsay. I have very little history on Mr. Lindsay other than the actual work that is available in his “Selected Articles” and what was published in the 1971 Encyclopedia of Stock Market Techniques. I know that Mr. Lindsay began publishing an advisory letter in 1951 and this letter continued until 1975. The following is quoted from these sources.

The Model: The Essential Movements In Sequence

Chart 1 (Below) shows the basic model. The first shape to remember is called the Three Peaks. It usually starts with a base (between points 1 and 2 on the chart), but the base is not important. After point 2, the average rises sharply to the First Peak at point 3. Typically, the top of a peak has a rather flattened shape. After the top has been completed, prices react more than you would expect after such a short advance. The chief characteristic of this movement, as of the whole chart, is that the average makes rapid upside progress, but keeps going for only a short time. In between the brief spurts, the average goes through long stretches of consolidation, or sideways movements.

-cut-

After the Third Peak (at point 7), a rather severe downtrend begins. It is called the Separating Decline because it separates the Three Peaks from the formation which follows. The Separating Decline usually comprises at least two selling waves, from point 7 to 8 and from 9 to 10. Point 10 is always at a lower level than either point 4 or 6, and it is often lower than both. Unless one of the two prior lows is broken, it doesn’t qualify as a Separating Decline.

-cut-

I have also found that when this pattern forms and comes to fruition, it is at important market junctures for sure. The key, is of course, it coming to fruition and not evolving or morphing into something else. I have also found that this pattern is fractal and can appear on multiple timeframes in that I have seen this pattern form on hourly charts, daily charts and even monthly charts. As an example, below is a monthly chart of the dollar and Three Peaks and a Domed House count that I covered in my newsletter as the dollar fell into the 2004 low. Let me point out that in this particular case the Point 10 daily closing low was 80.43. Recall from above that Mr. Lindsay said from Point 27 the drop was abrupt and quickly returned to the Point 10 low. In this case the pattern worked out with near perfection and the closing low at Point 28 was 80.53. Yes, one tenth of a point from the Point 10 low. I actually used this pattern and combined it with my cyclical and statistical analysis as the dollar declined into the 2004 low and that time it worked beautifully.

http://www.financialsense.com/Market/wrapup.htm

[ozymandius]

2. Oil prices fall slightly over Iran anxiety

SINGAPORE - Oil prices fell Monday, but clung to the $69 level amid lingering worries over Iran's nuclear ambitions, and how that might affect oil supplies.

Light, sweet crude for July delivery fell 37 cents to $69.51 a barrel in electronic trading on the New York Mercantile Exchange.

On Sunday, Iran accused the United States of steering Europe away from a possible compromise over the issue. Foreign Ministry spokesman Hamid Reza Asefi said America's insistence on conditional negotiations over a Western incentive package has narrowed the scope of potential talks and made it tougher for all parties to reach a solution.

Asefi reiterated that enriching uranium was his country's unalienable right, and that no conditions should be placed on the talks. He said Iranian officials were reviewing the package, and Iran would propose amendments to the deal.

more

[ozymandius]

3. Oil company execs: Fuel relatively cheap

WASHINGTON - Americans paying $3 per gallon at the pump have it relatively cheap when compared with prices globally, say oil and gas company executives who defend their record profits as essential to maintaining supplies.

In parts of Europe and elsewhere in the West, gasoline prices are more like $5 per gallon to $7 per gallon, said the chairman of ConocoPhillips Co., James J. Mulva.

"This is a global business, and it's not only that we need to add to supply, but we need to reduce demand," Mulva said. "In the United States alone, we have about 2 percent of world oil reserves, 5 percent of the population and yet we use about 25 percent of the world's consumption of oil."

Mulva and two other executives who appeared on NBC's "Meet the Press" said they are optimistic about keeping a lid on domestic prices, unless their fears come true about the potential for damage to U.S. energy production from the hurricane season that began June 1.

more

Yeah, right! We knew that Europe paid these prices at the beginning of the Bush era. So while Europe's cost of petrol has risen only slightly since 2001, the cost has nearly doubled in the U.S.

[HereSince1628]

10. Apples and oranges. The guy is making fruit cocktail.

The US consumer was screwed when they demostrated they were willing to bear the price increase without killing comsumer spending everywhere else. The robber barons immediately recognized that their pricing was way too low.

[ozymandius]

8. Oilman Calls for More Fuel Efficiency

WASHINGTON — The chief executive of the world's fifth-largest oil company endorsed tougher fuel economy standards for cars and trucks Sunday, underscoring higher gas prices' potential to change the political equation on an issue that has long stalemated the capital.

"There's been enough finger-pointing for a long period of time that we need to improve the efficiency of transportation fuels," said James J. Mulva, chairman and chief executive of ConocoPhillips.

-cut-

Environmentalists are pushing for new votes in the House and Senate on higher fuel economy standards, which have been blocked for years by opposition from vehicle manufacturers and the United Auto Workers union.

"I think we have reached an important point in the debate when an oil executive calls for better fuel economy for vehicles," said Dan Becker, director of the global warming program of the Sierra Club.

"It's like a tobacco executive calling for reduced smoking. The shame is that the head of Conoco is far ahead of the Congress and the president."

http://www.latimes.com/business/la-fi-oil19jun19,1,749571.story?coll=la-headlines-business

[UpInArms]

29. Crude futures @ $69.51 bbl

8:46 AM ET 6/19/06 CRUDE FUTURES DOWN 37 CENTS AT $69.51 A BARREL

[ozymandius]

4. Bernanke's dilemma: Avoiding a recession

WASHINGTON - Four months into the job and the honeymoon is over for Federal Reserve Chairman Ben Bernanke. The stock market is gyrating. Inflation is picking up. Economic growth is slowing down. It's an unsettling picture for Alan Greenspan's successor.

Bernanke has made clear that his biggest concern at the moment is making sure inflation does not spread through the economy. The main remedy is raising interest rates.

Yet that also is Bernanke's dilemma: How high can raise rates go before they slow an economy that already is showing signs of lethargy?

more

[UpInArms]

12. Great Commentary: Get a grip, Bernanke, it's a rocky ride ahead

http://www.heraldsun.news.com.au/common/story_page/0,5478,19502941%255E664,00.html

THE big jump in share prices on Wall St late in the week does not signal that happy days are here again.

In fact, disturbingly, it points to the exact opposite because the rises were not in response to good news about the real US or global economy, but simply snatching at flip-flopping comments over inflation and interest rates.

Not just anyone's flip-flopping comments, but those of the man who has his finger on the global economic and financial "button", so to speak -- head of the US Federal Reserve, Ben Bernanke.

<snip>

He said, without the slightest "Delphicism", that the Fed might pause in lifting rates even if it still felt inflation was too high.

Not surprisingly, investors took this as one big signal: rate rises over, go for it.

<snip>

It's been downhill for clarity ever since. Instead of shutting up and letting Fed decisions talk, Bernanke has been reacting to every market and statistical shift.

...more...

[TAPat]

15. Yet * says again and again the tax cuts are working!

And the economy is great what with all the "new jobs" created... :freak:

[Roland99]

22. Well, let's shed a little on the subject, eh?

Updated June 12, 2006 | EPI Policy Memorandum

What's wrong with the economy?
http://www.epi.org/content.cfm/pm110

1. Profits are up, but the wages and incomes of average Americans are down.

2. More and more people are deeper and deeper in debt.

3. Job creation has not kept up with population growth, and the employment rate has fallen sharply.

4. Poverty is on the rise.

5. Rising health care costs are eroding families' already declining income.

More detail on each point at the link.

[54anickel]

31. "The Demons of Greed are Loose"

http://www.counterpunch.com/kolko06152006.html

snip>

Worse yet, the whole nature of the global financial system has changed radically in ways that have nothing whatsoever to do with "virtuous" national economic policies that follow IMF advic. These are ways the IMF cannot control. The investment managers of private equity funds and major banks have displaced national banks and international bodies such as the IMF, moving well beyond the existing regulatory structures and they have "reintermediated" themselves between the traditional borrowers, both national and individual, and markets. They have deregulated the world financial structure, making it far more unpredictable and susceptible to crises. They seek to generate high investment returns, which is the key to their compensation, and they take mounting risks to do so.

A "brave new world" has emerged in the global financial structure, one that is far less transparent because there are fewer reporting demands imposed on those who operate in it. Financial adventurers are constantly creating new "products" that defy both states and international banks. The IMF's managing director, Rodrigo de Rato, at the end of May, 2005, deplored these new risks -- risks the weakness of the U.S. dollar and its mounting trade deficits have magnified greatly.4

In March of this year the IMF released Garry J. Schinasi's book, Safeguarding Financial Stability, giving it unusual prominence then and thereafter. In essence, Schinasi's book is alarmist, and it both reveals and documents in great and disturbing detail the IMF's deep anxieties. Essentially, "deregulation and liberalization", which the IMF and proponents of the "Washington consensus" advocated for decades, have become a nightmare, creating "tremendous private and social benefits" but also holding "the potential (although not necessarily a high likelihood) for fragility, instability, systemic risk, and adverse economic consequences."

Anyone who reads the data in Schinasi's superbly documented book will share his real conclusion that the irrational development of global finance, combined with deregulation and liberalization, has "created scope for financial innovation and enhanced the mobility of risks". Schinasi and the IMF advocate a radical new framework to monitor and prevent the problems now able to emerge, but success "may have as much to do with good luck" as policy design and market surveillance.5 Leaving the future to luck is not what economics originally promised. The IMF is desperate, and not alone.

As the Argentina financial meltdown proved, countries that do not succumb to IMF and banker pressures can play on divisions within the IMF membership, particularly the U.S., comprising bankers and others to avoid many, although scarcely all, foreign demands. About $140 billion in sovereign bonds to private creditors and the IMF were at stake, terminating at the end of 2001 as the largest national default in history. Banks in the 1990s were eager to loan Argentina money and they ultimately paid for it. Since then, however, commodity prices have soared and the growth rate of developing nations in 2004 and 2005 was over double that of high income nation, a pattern projected to continue through 2008.

As early as 2003 developing countries were already the source of 37 percent of the foreign direct investment in other developing nations. China accounts for a great part of this growth, but it also means that the IMF and rich bankers of New York, Tokyo, and London have far less leverage than ever. Growing complexity is the order of the world economy that has emerged in the past decade, and with it has come the potential for far greater instability, and dangers for the rich.

more...

[ozymandius]

5. Nokia, Siemens to merge mobile networks

FRANKFURT, Germany - Nokia Corp. and Siemens AG said Monday they will combine their mobile network operations to create a joint venture with annual revenues of $20 billion, a move that will help them compete with market leader Ericsson AB.

The 50-50 joint venture, to be called Nokia Siemens Networks, will comprise Nokia's network business group and Siemens' carrier-related operations, creating estimated synergies of $1.9 billion by 2010, Nokia said.

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The new company will have some 60,000 employees. It will be headed by the chief of Nokia's network operations, Simon Beresford-Wylieand, and its chief financial officer will be Peter Schoenhofer from Siemens. Its headquarters will be in the Finnish capital, Helsinki, but it also will have key offices in Munich.

The joint venture was expected to be finalized by the end of the year, pending regulatory approval, and both companies said that between 10 percent and 15 percent of staff positions, or about 9,000 jobs, would likely be cut over the next four years in a bid to save $1.9 billion.

more

[ozymandius]

6. States vie for next-generation power plant

ST. LOUIS - In fierce bidding reminiscent of efforts two decades ago to win the superconducting super collider, seven states are aggressively trying to land a billion-dollar power plant prototype that's virtually pollution free.

Home to a third of the dozen sites chasing FutureGen, Illinois has up to $80 million in incentives on the table, from grants to low-interest loans. Ohio is offering twice that, while Texas has passed a law making it responsible for any legal entanglements stemming from the coal-fired plant's carbon dioxide emissions.

Some of the states are ponying up everything from sales-tax relief to free land, pushing the enticements into the hundreds of millions of dollars in the hunt for more than 1,000 construction jobs and 150 permanent ones, along with the researchers and side businesses the plant should attract.

-cut-

Touted as the power plant of tomorrow, FutureGen involves technology that converts coal into highly enriched hydrogen gas that burns cleaner than coal. Plans call for the 275-megawatt plant to capture most of its emissions of carbon dioxide — a "greenhouse" gas widely blamed for global warming — and inject them permanently into underground reservoirs, a process called sequestration.

more

[ozymandius]

7. NYSE could set up rival London bourse: CEO

A merger of the New York Stock Exchange and European counterpart Euronext could pave the way for setting up a London bourse to rival the long-established London Stock Exchange, NYSE CEO John Thain said in today's Financial Times.

If a combined NYSE/Euronext didn't attract enough new listings 'there would be two options,' Thain said in the FT interview. 'The first of which would be to set up our own exchange in London', and he added that the other option would be to buy the LSE.

NYSE rival Nasdaq owns 25% of the London Stock Exchange.

http://www.rte.ie/business/2006/0619/nyse.html

[ozymandius]

9. Report Finds Disasters Fueled Rise in Giving in 2005

Charitable giving increased last year, propelled by a series of huge natural disasters at home and abroad, according to an annual report on philanthropy released today.

Individuals and institutions gave away an estimated $260.28 billion in 2005, a 2.7 percent increase on an inflation-adjusted basis over the prior year.

Giving for disaster relief accounted for about 3 percent of the total, according to the Giving USA Foundation, an educational and research program of the American Association of Fundraising Counsel, which together with the Center on Philanthropy at Indiana University publishes the annual report.

http://www.nytimes.com/2006/06/19/us/19giving.html?_r=1&oref=slogin

[UpInArms]

11. daily dollar watch

http://quotes.ino.com/chart/?s=NYBOT_DX&v=i

Last trade 86.29 Change -0.02 (-0.02%)

Brother Can You Spare a Billion?

http://www.dailyfx.com/story/strategy_pieces/trade_or_fade/Brother_Can_You_Spare_a_1150700018253.html

The week ended pretty much where it started with EUR/USD posting a miniscule loss 4 basis points. The placid results however hid a fair degree of volatility in the pair as dollar bulls made a concerted effort to gun for the 1.2500 level after the “hot” PPI and CPI numbers both of which showed that inflation was inching higher than expected. The producer and consumer gauges rose 0.3% versus 0.2% at the core level. Much to the dismay of dollar bulls however, Wednesday’s CPI results actually caused a rally in the pair after a brief foray in the 1.2530 zone. Speculation ran rampant about the causes for such seemingly contradictory price action. The primary reason for Wednesday’s whipsaw was attributed to reports of a large double no touch option at the 1.25-1.30 barriers defended aggressively by the Bank of China. Whether this was true or not cannot be verified with a total certainty, however, Wednesday’s action definitely stymied dollar longs and Thursday TIC results only exacerbated their problems. As we wrote on Friday, “With TICS printing only $46.7 Billion surplus against expectations of $60 Billion the news stopped the two week dollar rally dead in its tracks. According to market experts, US needs to attract approximately $65-$70 Billion worth of capital per month in order to finance its ever burgeoning Current Account and Trade deficits. If yesterday’s report was the start of a trend rather than a one off event, the news threatens to undermine the strength of the greenback as financing difficulties will begin to trump all other considerations in the currency market, including further rate hikes by the Fed. What will be the value of highUS interest rates if US cannot attract sufficient capital to finance its deficits?”

Next week the calendar is extraordinarily quiet, with only the Housing data at the front of the week LEI Wednesday and Durable Goods on Friday. None of the expectations look particularly dollar bullish with LEI specifically expected to drop –0.4% from –0.1% the month prior. Unless there is some extremely bad news from the other side of the Atlantic, the EUR/USD looks maintain its 1.2500-1.2700 range for the time being.

...more...

Dollar on the Cusp

http://www.dailyfx.com/story/dailyfx_reports/daily_technicals/Dollar_on_the_Cusp_1150710562694.html

EUR/USD – The EUR/USD broke through the 1.2600 figure in early Asia trade today the breakdown ended at 1.2570 well above the prior swing low of 1.2530 setting up a bullish higher double bottom formation. The pair continues to grind it out in range between 1.2530-1.2690 zone with volatility compressing sharply over the past week. A break above the `1.2700 level targets recent double top swing highs near 1.2970, a break below the key 1.2500 figure however would be ominous to long term euro bulls invalidating the recent uptrend in the pair.

<snip>

USD/JPY – USD/JPY finds itself at a tipping point. With the countertrend up move now extending beyond the 61.8% fibo of the 119.42-109.00 bear wave from 2/03/06-5/17/06 the retrace threatens to turn into a full fledged rally especially if the key 116.00 figure is conquered by dollar bulls. A break though those lines opens up a clear path to 119.40 for a possible test of a double top. On the other hand yen longs can take some solace in the failure of momentum confirmed by divergence in CCI which recently set a lower high on the dailies.

<snip>

USD/CAD – USD/CAD chart shows one of the cleanest range environments amongst all of the pairs we cover. The 1.1300-1.0900 zone has been tested 3 times on the top and 3 times on the bottom The most recent price action points to a bias for the big dollar, especially after Friday’s 138 point up candle. However, only a material break above the 1.1350 barrier would conclusively signal an upside breakout and for now odds still favor another test of range.

...more...

[UpInArms]

30. N.Korea missile talk hits yen, European stocks up

http://today.reuters.com/misc/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=2006-06-19T125942Z_01_L19777672_RTRIDST_0_MARKETS-GLOBAL-WRAPUP-4.XML

LONDON, June 19 (Reuters) - The yen hit a record low against the euro on Monday after reports that North Korea is preparing to test a long-range missile, while merger and acquisition activity drew investors back to European stocks.

Expectations that U.S. interest rates will rise further supported the dollar but weighed on government bonds and commodity prices.

Wall Street was set for a stronger open, with technology stocks benefiting from news of a joint venture between two of Europe's largest telecoms equipment makers and a broker upgrade for chip maker Intel Corp <INTC.O>.

The yen fell to an eight-week low versus the dollar and touched an all-time low versus the euro after U.S. officials said North Korea appeared to have completed fuelling for a test of a long-range ballistic missile that could possibly reach as far as Alaska.

<snip>

"It suggests that Iran is not the only source of some of these geopolitical issues and that may well keep the market on higher alert ... (adding) to this increasing risk aversion which we've seen over the past week or so," said Ian Stannard, senior foreign exchange strategist at BNP Paribas.

...more...

[UpInArms]

13. Foreclosing on the American dream - First in an occasional series

http://www.denverpost.com/news/ci_3950960

Margie Ibarra worried about paying $160,500 for half a duplex. She knew she was buying it with no money down and a pair of home loans, one carrying a double-digit interest rate.

But she dreamed of spending her life on a peaceful street at the edge of Brighton - and of owning 710 Mockingbird Lane free and clear when she retired.

<snip>

In a two-block loop of Mockingbird Lane and Mockingbird Street - a neighborhood built just seven years ago - there have been 23 foreclosures among 94 homes in five years. That's nearly one of every four front doors. One home has been foreclosed three times, two others twice.

<snip>

It is common practice for lenders who originate a mortgage to resell it to other investors. In almost every case, the lenders who foreclosed on the Brighton homes did not originate the mortgage.

Colorado homebuyers have flocked to high-risk loans, which could trigger more foreclosures if interest rates rise. Last year, Colorado had the highest dependence on interest-only and adjustable-rate mortgages of any state. The higher-risk loans accounted for 43.6 percent of all mortgages, compared with 26.7 percent nationally, according to LoanPerformance, a California firm that tracks mortgage risk.

...more...

[Roland99]

21. "The higher-risk loans accounted for 43.6 percent of all mortgages"

Um, shouldn't that be some sort of, oh, I dunno, RED FLAG??

[UpInArms]

23. you know what really pisses me off about all of this?

it's that KB and all those builder/developers shoved those unqualified buyers - if they had a freakin' pulse, they qualified - into houses that they could not afford, had no margin for error and had no business buying at inflated prices (based on speculator/investor buying) - then those builder/developer/vultures bundled all those crap-assed loans and sold them off to mortgage lenders - which then bundled them again and sold them off as CDOs (the newly packaged/marketed participation loans of the '80s) and now they are infesting the portfolios of banks/insurance companies/REITs etc.

There will not be a small insignificant "pop" - it will be a huge "bust" as this splatters every area of the investment community.

[Roland99]

26. And mortgage brokers will continue to do that, too.

A friend of mine works for one (the sales mgr is a BIG TIME Bush-bot as well as several others working there) and my buddy says he's getting tired of it. He works almost solely off commission and if he doesn't push people into back-breaking loans, he doesn't get paid.

He's looking to get out, though.

[specimenfred1984]

57. Very Well Said and Explained

That's exactly why realtors aren't lowering prices much around here in the Northern VA area, the banks know when they start doing it, it's all over.

The "bundling" of all these real estate investments will cause the entire sector to fail all at once, including a lot of banks.

[UpInArms]

24. Credit Suisse cuts KB Home price target

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7BE12A7450%2DB1FE%2D4FEF%2D9FFC%2DBEC429CD2B4E%7D&dist=newsfinder&symbol=&siteid=mktw

BOSTON (MarketWatch) -- Credit Suisse on Monday cut its price target on KB Home (KBH : 45.47, +0.37, +0.8% ) to $49 from $55 a share, saying the home builder has "relatively higher exposure to markets with greater risk related to excessive speculation and affordability constraints." KBH home last week reduced its 2006 earnings estimate when it reported quarterly earnings, and Credit Suisse analyst Ivy Zelman in a note said "additional cuts may still be necessary as fundamentals have yet to stabilize and rising cancellations limit backlog visibility." Zelman maintained an underperform rating on KB Home, which closed Friday's session up 37 cents to $45.47 a share.

Another stoopid move - too little - too late.

Credit Suisse best be to finding out where all those loans have ended up and be looking at the valuations of those corporations.

[UpInArms]

43. Swampland in Florida: Franklin Templeton starts global real-estate fund

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7BE7C2EB5D%2D4060%2D4F13%2D962C%2D355D6476E45E%7D&dist=newsfinder&symbol=&siteid=mktw

BOSTON (MarketWatch) -- Franklin Templeton, a subsidiary of Franklin Resources Inc. (BEN : 85.06, +0.02, +0.0% ) , said Monday it has launched Franklin Global Real Estate Fund, designed to offer a portfolio of global real estate securities seeking diversification, liquidity, lower price volatility, and the potential for high dividend payouts. "This new fund is designed to offer investors the opportunity for broader and more diversified exposure to the asset class, by investing in real estate markets around the world," said Jack Foster, the portfolio manager. Foster will be joined by co-manager Charles McKinley, real estate investment trust portfolio manager and analyst at Franklin Templeton.

Remember: It's an "art" - not a "science" :eyes:

[KoKo]

73. Given that global bubble burst in Real Estate Emminent one wonders...

unless Templeton Group is planning on this being a giant hedge fund to prop up some very nice big estates who might be in danger of going under, too.

This is just idle speculation but already the AOL Founder Steve Case is heading a group that for $200,000 or more one can buy their way into a glorified Time Share operation where some of the Worlds Priciest Mansions are used for vacation homes for the Rich and Famous. This gives those holding the over priced mansions in Gated Resort Communties a chance to save their butts when times turn bad.

Makes me wonder what Templeton Funds is up to. Old John Templeton is a Fundie who gives much money to Conservative causes. Maybe the "Powers that Be" internationally have put some pressure on him. :tinfoilhat:

[KoKo]

77. Former GE Chair Jack Welch Auctioning his Nantucket Mansion....hmmm

(What's kind of funny is that he's offering a "funiture and artwork package to the buyer." Guess he's "downsizing" or maybe he's in the market for another new wife)

Welch opening mansion to bidders
Former GE CEO to auction Southport home next month

May 26, 2006

Harborside, a 16-room Nantucket-grey, shingled mansion, stands in stately splendor on a peninsula extending into Southport Harbor, overlooking Mill River, Long Island Sound and the greens of the Country Club of Fairfield.

On June 20, Jack Welch, the former chief executive of General Electric, plans to sell the house, completed three years ago, at a sealed-bid auction. Chicago-based Sheldon Good & Co., represents him.

The house has never been on the market. Among the advantages listed by the auction house to this form of sale are a date-certain time of sale, a no-surprise closing and seller-set showtimes.

The 9,100-square-foot house in American Palladian style was designed by J.P. Franzen Associates, Architects in Southport. The style evolved from the designs of Andrea Palladio, the 16th-century Italian architect, reknowned for his symmetrical, Roman-temple-like houses in Italy's Veneto region.

Monticello and the University of Virginia Rotunda, designed by Thomas Jefferson, were based on Palladio's drawings. Here, Palladian often brings to mind a large, arched, divided-light window, a symbol of elegance imposed on house facades of all styles and sizes.

Set on 0.78 acres, the Welch property offers winding rock paths, landscaped grounds and a dock on the river.
-snip-
Window coverings and lighting are included, and a furniture and artwork package will be available for an additional cost to be determined by the time of the auction.

http://www.stamfordadvocate.com/classified/realestate/scn-sa-onrealestate5.26thmmay26,0,5432926,print.story?coll=real-estate-headlines

[KoKo]

86. On Edit...His Southport, Conn. Nantucket Style Mansion......

I guess he's keeping the Nantucket Mansion down the street from Chris Mathews but selling his "home base" (as CNBC) described it in Southport, Conn.

[UpInArms]

14. Banks see boom in helping funds manage derivatives

http://today.reuters.com/misc/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=2006-06-19T111749Z_01_L15896516_RTRIDST_0_MARKETS-DERIVATIVES-OPERATIONS.XML

LONDON, June 19 (Reuters) - Investment banks in London and New York are competing for the booming business of selling operational support to asset managers entering the complex market in credit derivatives.

Some 70 percent of European asset managers have used derivatives this year, compared with 48 percent in 2004, according to a survey by Financial News and Eurex. Of those not involved, one in five expect to be in the next 12 months.

The surge in popularity has been driven by the promise of higher returns and by the changing strategies of traditional funds due to competition from hedge funds. However, the cost of entry is high -- estimated by one executive to be more than $30 million.

Many of these asset managers lack sufficient expertise, back-office systems and market information for derivatives and are turning to the investment banking community for support.

<snip>

"Everything about this area is more complex -- execution, pricing, risk management and accounting -- which for derivatives is more an art than a science," Littleboy said.

<snip>

"Asset managers may have a rocket scientist portfolio manager who says he wants to do some derivative trades, but then you have an operations person saying, 'Hang on - I don't have any systems to value these products'," said Jervis Smith, managing director for global transaction services at Citigroup.

...more...

Egads! I smell trouble! An "art" vs a "science"!

Making art is very very very risky - and you always have to content yourself with the outcome (personal experience). Science is mathematical and formulaic - reliable and consistent.

[stop the bleeding]

16. Good Morning everyone

:donut:

Isn't there some kind of Housing report coming out today? Not that it is a big deal but I notice that Ozy didn't put a report section - is that because there is nothing worth mentioning today?

I am gonna take a wait and see approach today :)

[UpInArms]

18. g'morning, stb!

here's where you can look for the report timing:

http://biz.yahoo.com/c/e.html

The housing report is due tomorrow. Very light reporting schedule this week. Markets will have to find their own way - today is Merger Mania Monday - which is stoopid - shaking money around in a box expecting it to grow :crazy:

[stop the bleeding]

20. Yes I have had my eye on the Housing starts that

is due out on Tuesday, seems like a small margin of error on Prior vs Expected.

as always thank you for your help.

:)

[UpInArms]

28. Spinning the Housing Data early: Softer data probably wouldn't matter

http://www.marketwatch.com/News/Story/71QWDMD3pMgQKpXBRWFwVsT?dist=RNPullDown&symbol=&siteid=mktw

WASHINGTON (MarketWatch) -- There's nothing on the economic calendar in the next week that would knock the Federal Reserve off its path toward raising interest rates at the end of the month.

It's a fairly light calendar for economic data, and even evidence of further weakening in housing and a drop in durable-goods orders probably wouldn't force Fed officials to conclude that the economy is getting too weak to handle a little insurance tightening.

There are only two indicators of note: housing starts on Tuesday and durable-goods orders on Friday. Both indicators are expected to be relatively unchanged in May.

One possible wild card is the release on Monday of the home builders' sentiment survey for June. It's a release that rarely gets any mention on the 10 o'clock news, but any further decline could signal real trouble in the housing market.

Housing starts

Despite the six-point drop in the home builders' index to an 11-year low of 45 in May, most economists are forecasting a slight increase in housing starts for May. Starts are expected to rise to 1.86 million seasonally adjusted annualized units from 1.85 million in April, according to economists surveyed by MarketWatch. See Economic Calendar.

...more...

[UpInArms]

60. spin not working at 1:30 EST ... eom

[UpInArms]

17. Technical, production woes threaten Boeing 787 delivery

http://news.yahoo.com/s/afp/20060618/bs_afp/usairlinecompany

WASHINGTON (AFP) - Boeing engineers are grappling with significant technical and production problems that could endanger the on-time delivery in 2008 of the 787 Dreamliner, a US magazine reported online.

"At a time when Boeing has left itself with little margin for error, the wide-ranging series of glitches could create a domino effect if they aren't resolved quickly," the BusinessWeek magazine said in its online edition.

"The worst news: The fuselage section -- the big multi-part cylindrical barrel that encompasses the passenger seating area -- has failed in company testing. That's forcing Boeing to make more sections than planned, and to reexamine quality and safety concerns."

...more that really doesn't explain anything...

[Paulie]

56. And last weeks news on the Airbus A380 delays

were read as a boon for Boeing, even though the planes won't really compete in the same markets. Boeing stock "surged" last week on the AirBus news, see: http://www.smartmoney.com/bn/ON/index.cfm?story=ON-20060614-000895-1451

Now Boeing has a little technical problem with their all carbon fiber main section? Yikes...

[UpInArms]

19. Gold @ $572.50 oz

8:20 AM ET 6/19/06 GOLD FUTURES DOWN $9.20 AT $572.50 AN OUNCE

[UpInArms]

32. Gold falls as dollar gains, Iran tensions ease

http://www.marketwatch.com/News/Story/Story.aspx?dist=newsfinder&siteid=mktw&guid=%7B2992AD1E%2D5367%2D4885%2DB051%2D650BB78740A5%7D&symbol=

NEW YORK (MarketWatch) - After posting gains on Friday, gold futures fell in early trading Monday, caught up in a broad selloff of commodities as the dollar soared on continued expectations of interest-rate hikes.

Gold for August delivery was last down $9.60 at $572.10 an ounce on the New York Mercantile Exchange.

A softening of tensions between Iran and the west over Tehran's nuclear research program contributed to the decline in the price of gold, but weekend reports that North Korea is about to test a long-range missile might strengthen gold in the coming days.

"Gold has suffered technical damage and some base building is needed," said Peter Grandich, editor of the Grandich Letter. "While a retest of the low last week can't be ruled out, any weakness is a great buying opportunity, because all the key bullish fundamentals that led this secular bull market up remain."

Silver fell 18.5 cents to $9.95 an ounce, platinum was down $9.60 at $1,136 an ounce, palladium lost $5.05 to $301 an ounce and copper lost 11.27 cents to $3.18 a pound.

...more...

[UpInArms]

25. Wall Street's focus shifting to earnings

http://news.yahoo.com/s/ap/wall_street_week_ahead

NEW YORK - Wall Street has finally come to grips with the fact that the
Federal Reserve is going to raise interest rates until inflation is well contained. Now investors will focus on whether those rate hikes are going to pressure corporate profits.

There's very little economic data in the week ahead, which is not necessarily a bad thing. In recent months, Wall Street has shown a tendency to overreact to economic reports, even when analysts say the numbers are insignificant or inconclusive. The Fed's month-long tough talk on inflation has coincided with a month-long selloff based on inflation fears.

Now, however, with the Fed all but certain to raise rates at its meeting at the end of this month, Wall Street's attention will turn to corporate earnings. This is "preannouncement" season, in which companies issue revised forecasts on their earnings. Preannouncements, which often aren't scheduled in advance, can be either good or bad, and can send a stock sharply higher or lower.

The key for the week will be in watching the preponderance of earnings forecasts. If they are generally positive, stocks could continue to rally. But if bellwether companies start to show weakness, and if they blame a slower economy for their troubles, stocks could resume their tumble.

...more...

Watching those earnings reports is also foolish - the restatements of earnings by companies this year is at an all-time high - the accounting systems have been cooked to favor all those corporate piggies bonuses and compensation packages - i.e. options timing, etc.

But then it's all an "art" :puke: and science and mathematics have fallen out of favor :eyes:

[UpInArms]

39. SteelCloud founder/chmn resigns amid options investigation

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B422FEFEC%2D4293%2D41FC%2D83A4%2DE30F28EB3007%7D&dist=newsfinder&symbol=&siteid=mktw

NEW YORK (MarketWatch) -- SteelCloud Inc. (SCLD : 0.98, -0.01, -1.0% ) said Monday that its founder and chairman, Thomas Dunne, has resigned in response to an audit committee investigation into the attempted exercise of certain stock options he owned. The Herndon, Va., company said Dunne has denied any wrongdoing. The company said the options had no direct financial loss nor any direct effect on its financial statements. SteelCloud provides appliance servers, network security and infrastructure management technology.

[UpInArms]

27. Treasurys lower ahead of expected higher opening for stocks

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B7E845279%2D35C2%2D4ED5%2D81C6%2DF3B1592F2F97%7D&dist=newsfinder&symbol=&siteid=mktw

NEW YORK (MarketWatch) - Treasury prices were under pressure in the early going Monday, sending yields higher. In recent sessions yields have risen on growing expecation that the Federal Reserve will be forced to lift rates again at both its June and August monetary policy meetings to curb inflation. Expected gains in the stock market at Monday's opening also could keep stock prices under pressure and further support yields. There are few scheduled economic reports Monday. Atlanta Fed President Jack Guynn will speak on the U.S. economic outlook and his remarks could shake trade. The benchmark 10-year Treasury note last was down 2/32 at 99-29/32 with a yield ($TNX : 51.30, +0.02, +0.0% ) of 5.138%, up from 5.126% at Friday's close. overall strength seen in the stock market late last week will continue into Monday's equtiies opening.

...more that is an incomplete sentence...

[UpInArms]

37. FedSpew Redux: Atlanta Fed's Guynn to give same speech as June 7

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-06-19T132636Z_01_WAT005865_RTRIDST_0_ECONOMY-FED-GUYNN-URGENT.XML

WASHINGTON, June 19 (Reuters) - Atlanta Federal Reserve Bank President Jack Guynn will on Monday deliver "essentially" the same speech he gave on June 7 when he speaks on the economy to the Georgia Bankers Association Annual Convention in Naples, Florida, the Atlanta Fed said.

In that speech, Guynn said U.S. core inflation, excluding volatile food and energy costs, has moved to the upper end, or beyond, the range he considers acceptable "over time."

"If we're on target with our present forecast for growth to moderate to a sustainable pace and for inflation to fall back within acceptable bounds, I would say that monetary policy is now close to where it should be," Guynn said on June 7.

[UpInArms]

49. U.S. must tackle fiscal problems-Atlanta Fed's Guynn

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-06-19T140818Z_01_WAT005866_RTRIDST_0_ECONOMY-FED-GUYNN-DEFICITS-URGENT.XML

NAPLES, Fla., June 19 (Reuters) - The United States and its elected officials must take a hard look at the problems posed by long-term fiscal strains, Atlanta Federal Reserve President Jack Guynn said on Monday.

"My one big wish ... is that as a nation, we as business leaders and bankers and as elected officials, would stop and recognize the dilemma we've got with the federal deficit," Guynn said during audience questions after a speech to the Georgia Bankers Association Annual Convention in Naples, Florida.

"We're on an unsustainable path. We keep hearing that over and over again from everybody ... And yet somehow or other, in the classic American way, we have trouble stopping and dealing with the imbalance that we know is coming," he added.

...more...

Fiscal policy is set by the administration - and if Jack Guynn thinks this bunch of crooks is going to change their course, I want some of what he's smokin'.

[UpInArms]

61. Fed's Fischer does head-up-arse trick - doesn't see U.S. housing crisis

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2006-06-19T170900Z_01_N19338756_RTRIDST_0_ECONOMY-FED-FISHER-UPDATE-1.XML

WASHINGTON, June 19 (Reuters) - The president of the Dallas Federal Reserve bank, Richard Fisher, said on Monday that while the pace of activity in U.S. housing markets was slowing he did not see a crisis developing.

"The pace nationally that was taking place seems to be subsiding," Fisher said on CNBC television, adding that higher capital equipment spending seemed to be replacing some of the economic impetus that had been lost as housing prices eased.

"I don't see a crisis on the edge of the table ... I do see a subsiding of that (housing price) pressure," Fisher said. "The kind of 6 percent growth we had ... in the first quarter just wasn't sustainable."

U.S. gross domestic product expanded at a 5.3 percent annual rate in the first three months of 2006.

Fisher noted that Fed officials had indicated they expected the growth to ease from that first-quarter pace, "but these bumper-sticker predictions of stagflation or (what) some of the analysts are saying that things are falling apart ... we just don't see that happening."

...more crapspew at link...

[54anickel]

33. Douglas R. Gillespie passed away last week (I missed that)

from the end of the Credit Bubble Bulletin

http://www.prudentbear.com/creditbubblebulletin.asp

I lost a dear friend and colleague this week. Doug Gillespie was such a good man, and where I come from praise doesn’t come any higher. Our mutual friend Kate Welling, as she tends to do, said it best: “Doug was a true rarity, a gentleman and a scholar on Wall Street. I already miss him a lot.”

I always considered Doug one of the best kept secrets on Wall Street. But the strength and depth of his analysis, experience and insight were becoming better known and appreciated. It was just a couple of weeks back that he was mentioned in The Economist magazine. We at David Tice & Associates have been a client for almost 10 years. Doug’s always in-depth analysis and keen market insights would arrive – neatly handwritten – regularly via the fax machine. And while he may have been a little tardy to the technology revolution, once he acquired his PC and AOL membership there was absolutely no holding Doug back. His endearing enthusiasm for “going digital” was matched by his seasoned/disciplined “old school” approach to analyzing the economy and markets.

I will always hold the utmost respect for Doug as an exceptionally diligent analyst, astute and clear thinker, and hard worker. He was the veritable human encyclopedia when it came to markets and policymaking. Doug was as smart as he was humble and unassuming – as well as invariably caring and compassionate. His relentless efforts paid dividends with a top-notch research product and website, and I can confidently write that he was admired by all with the good fortune to have worked with him. And, not uncharacteristically, his table-pounding warnings this past April that the stock market was heading for an imminent spill were spot on. His instincts for foretelling the ever shifting winds of Washington and national politics were something to behold. Doug’s passing could not have been more untimely.

snip>

A final email from Doug:

snip>

There are two items docketed for immediate attention: (1) Later today, I will post on the GRA website the latest installment -- #25 -- in Ned Schmidt’s ‘Moneyization’ series…

Also later today, or by first thing tomorrow, I want to get out something of a ‘potpourri’ missive. As the name suggests, it will address some research areas I think need some relatively immediate attention. The recent trade data will be included, since colleague, John Williams, has turned up some serious hanky-panky regarding these numbers.”

more...

[UpInArms]

34. Zoellick to Resign From State Department - going to Goldman Sachs

http://www.topix.net/content/ap/1461857316350694064709323494663340961530

Deputy Secretary of State Robert Zoellick plans to announce his resignation Monday, Bush administration officials said.

Zoellick, who served six years in the Bush administration, will take a job in the private sector. Zoellick will join the investment house Goldman Sachs, said a senior official, speaking on condition of anonymity because the announcement had not been made.

Zoellick reportedly wanted to be promoted to treasury secretary to replace departing secretary John Snow, but the job instead went to Goldman Sachs executive Henry Paulison instead.

Zoellick is expected to leave his post as the state's no. 2 official in July, officials said.

...more...

Musical chairs - Paulson into the Treasury - Zoellick into Goldman Sachs - keeping their fingers firmly stuck into the pie.

[Roland99]

46. PNACer leading World Bank and another going to Goldman Sachs

and who knows how many at Carlyle....

[54anickel]

35. Europe still sees US as greatest threat to stability

http://www.ft.com/cms/s/4d0ad7dc-feeb-11da-84f3-0000779e2340.html

Europeans remain deeply suspicious of US foreign policy in spite of President George W. Bush’s concerted attempts since the start of his second term to improve transatlantic relations.

In a Harris opinion poll, published on the eve of Mr Bush’s latest visit to Europe this week, 36 per cent of respondents identify the US as the greatest threat to global stability.

The poll, conducted in association with the FT, questioned a representative sample of 5,000 people in the UK, France, Germany, Italy, and Spain on a range of issues. Thirty per cent of respondents named Iran as the greatest threat to global stability, with 18 per cent selecting China.

Guillaume Parmentier, director of the Paris-based French Centre on the US, said such polls reflected the lingering ill will caused by the US-led invasion of Iraq in 2003 but tended to obscure better co-operation between the US and Europe over a number of issues, such as Lebanon, Afghanistan, and Iran.

snip>

At a US-European Union summit in Vienna on Wednesday, Mr Bush is likely to press for full payment of the billions of dollars in aid pledged by Europe for Iraq and Afghanistan.

snip>

European leaders are expected to call on Mr Bush to close the detention centre at Guantánamo bay in Cuba, where three prisoners recently killed themselves.

more...

Hmmmm, that summit might be interesting to follow. Bush demanding $$money$$, Europeans calling for the "evil one" to become human. Just the stark differences in priorities ought to help his poll numbers over there - NOT!!!

[UpInArms]

36. S. Korea Bank falsified data in sale to (US Investor) Lone Star (VC Fund)

http://news.yahoo.com/s/afp/20060619/bs_afp/skoreabankingprobeus_060619105642%3b_ylt=A9FJqbDEjJZEby0AnwKmOrgF%3b_ylu=X3oDMTA5aHJvMDdwBHNlYwN5bmNhdA--

SEOUL (AFP) - South Korean state auditors have said that officials falsified financial data in order to sell Korea Exchange Bank (KEB) quickly and cheaply to US investment fund Lone Star in 2003.

The Board of Audit and Inspection (BAI), which investigates financial and ethical misconduct by government officials, said financial data was manipulated to lower KEB price and guarantee a swift sale.

"KEB's management exaggerated financial data to ensure the deal with Lone Star went through," BAI official Ha Bok-Dong said at a news conference Monday concluding a two-month investigation.

Bank officials artificially lowered KEB's capital ratio, which measures the health of a bank, to below statutory minimums, falsely suggesting the bank was on the brink of collapse.

BAI said it was considering punishing financial authorities for failing to conduct proper oversight of the bank's alleged fraudulent accounting.

...more...

I wonder if the "banks" also falsified data on those Carlyle investments?

[UpInArms]

38. Tenneco plans restructuring and job-cuts

9:18am 06/19/06 Tenneco charges include $4M for severance and benefits - MarketWatch.com

9:17am 06/19/06 Tenneco restructuring to include job cuts - MarketWatch.com

9:16am 06/19/06 Tenneco sees $15M pretax charges to improve operations - MarketWatch.com

9:17am 06/19/06 Tenneco to take $8M Q2 charge, $7M over next 4 quarters - MarketWatch.com

9:15am 06/19/06 Tenneco wins $8M-year new business; plans $6M Q2 charge - MarketWatch.com

http://www.marketwatch.com/News/Story/Story.aspx?guid=%7B01087675%2D4D0A%2D433C%2DAA30%2D4DE098C9E1CC%7D&dist=newsfinder&symbol=&siteid=mktw

NEW YORK (MarketWatch) -- Tenneco Inc., (TEN : 25.00, +0.95, +4.0% ) the Lake Forest, Ill., auto-systems manufacturer, said it would take $15 million of pretax charges as it restructures its global distribution and manufacturing operations. Tenneco said it would report $8 million of charges for the second quarter and the rest over the following four quarters. The move is designed to save $10 million a year. The figures include $4 million for severance costs and benefits and $4 million to close and relocate plants and for asset impairments. Affected plants include Tenneco's Adelaide, Australia, operations; consolidation at Etain, France; closing of the Sterling Heights, Mich., just-in-time facility; discontinuation of the Martorell, Spain, just-in-time operations; consolidation and sale of the Harrisonburg, Va., aftermarket distribution center; and continued integration of Tenneco's recent acquisition of the Gabilan exhaust-manufacturing company. Tenneco also said it won $8 million in annual new business from 13 aftermarket customers in North America. Tenneco will take $6 million in second-quarter charges in connection with the new business.

[UpInArms]

40. Prison construction firm GEO ups 2006 estimates

http://www.marketwatch.com/News/Story/Story.aspx?guid=3efc75a9-500a-4cca-a94f-442114b9dc56&siteid=mktw&dist=MorePulse

LONDON (MarketWatch) -- Prison construction firm GEO Group (GGI : 33.41, -0.78, -2.3% ) said it was revising higher its 2006 pro forma earnings and revenue guidance following its follow-on offering of 3 million shares, as higher occupancy levels at several of its existing facilities and new contract awards will absorb the dulitive impact. It now sees 2006 proforma earnings per share between $2.11 and $2.21, up by a penny, and lifted its revenue guidance by $10 million to a rnage of $770 million to $785 million. The proforma guidance excludes 14 cents a share in after-tax start-up expenses and discontinued operations as well as an after-tax write-off of 6 cents a share in deferred financing fees. Analysts polled by Thomson First Call were looking for earnings of $2.02 a share on revenue of $774 million.

[stop the bleeding]

41. None of my data streams are updating - I am in the dark

as far as what is going on right now in the market. It looks like it may be trading up this morning out of the gate, anyone know for sure?

Thank you in advance

[UpInArms]

42. 9:41 EST numbers and pre-opening blather

Dow 11,049.20 +34.65 (+0.31%)
Nasdaq 2,134.75 +4.80 (+0.23%)
S&P 500 1,254.60 +3.06 (+0.24%)
10-Yr Bond 5.139 +0.11 (+0.21%)

NYSE Volume 109,786,000
Nasdaq Volume 91,648,000

09:16 am : S&P futures vs fair value: +2.8. Nasdaq futures vs fair value: +2.0.

08:49 am : S&P futures vs fair value: +1.9. Nasdaq futures vs fair value: +0.2. Sellers are keeping to the sidelines for the most part as the leaning of futures trading continues to suggest a slightly higher start for stocks. The Treasury market for its part is flat at the moment, as there hasn't been any data to stir the pot. The 10-year yield is at 5.13%, which is three basis points lower than the yield on the 2-year note, but up 16 basis points from where it was when last week began.

08:16 am : S&P futures vs fair value: +2.7. Nasdaq futures vs fair value: +0.5. There has been some improvement in the futures trade following a better than expected earnings report from Circuit City (CC) that was replete with an affirmation of the company's guidance for fiscal 2007. Accordingly, it now appears as if the market will start the session on a modestly higher note.

07:50 am : S&P futures vs fair value: +1.3. Nasdaq futures vs fair value: -0.2. It is shapping up to be a mixed and relatively flat open as both the SnP 500 and Nasdaq 100 futures are trading close to fair value. There hasn't much news this morning to stir the U.S. market, but European bourses are trading with a bullish bias following an announcement that Nokia (NOK) and Siemens are planning a joint venture that will combine their telecom network equipment businsses. There is no economic data today, but Atlanta Fed President Guynn will be speaking at 09:30 ET about the economic outlook.

[UpInArms]

44. Columbia (SC) outsourced-boondoggle bidding system under fire

http://www.topix.net/content/kri/1754601290331212035100164786260857056824

Subcontracting Outreach Program

A city of Columbia program - designed to increase the number of businesses awarded construction work - is costing taxpayers big money and not producing results, critics say.

The Subcontracting Outreach Program recently added about $150,000 to the cost of a sewer project that the city estimated would cost nearly $295,000, a City Council member and councilman-elect say.

They are not convinced the program is meeting its goal of creating new opportunities, particularly for small businesses and businesses owned by historically underrepresented groups like women and minorities.

The office that oversees the program does not have documents showing how effective the program is. But the staff is in the process of gathering information.

<snip>

'This is taxpayers' money, not City Council's money,' said Jay Graham, a city resident. 'Someone needs to tell City Council to quit wasting $150,000. That's a lot of money. Work needs to go to the lowest bidder.'

...more...

[UpInArms]

45. 9:59 EST Cracks in the Facade

Dow 11,038.32 +23.77 (+0.22%)
Nasdaq 2,127.97 -1.98 (-0.09%)
S&P 500 1,252.06 +0.52 (+0.04%)
10-Yr Bond 5.141 +0.13 (+0.25%)

NYSE Volume 240,056,000
Nasdaq Volume 189,181,000

09:45 am : Trading at the open went off pretty much as expected, with the indices logging modest gains that were led by the blue chip averages. The Nasdaq, however, is challenging for the pacesetter position as it is garnering support from the semiconductor and communication equipment stocks. Intel (INTC 18.55, +0.25) has been a constructive force for the broader market following an upgrade at UBS to Buy from Neutral, as has Circuit City (CC 30.20, +0.72), which posted better than expected fiscal first quarter earnings results and reaffirmed its full-year outlook.DJ30 +33.29 NASDAQ +4.98 SP500 +2.91 NASDAQ Vol 80 mln NYSE Vol 68 mln

[stop the bleeding]

47. Thank UIA - I am still getting choppy feeds with my

data streaming - it looks like a band aid may need to be applied soon, I think there may be some bleeding going on but it is still too early to tell if this is range trading or not.

[Roland99]

48. Look at those bond yields go!

[UpInArms]

50. 10:19 EST Looks like last week was a dead cat bounce

Dow 11,013.66 -0.89 (-0.01%)
Nasdaq 2,123.22 -6.73 (-0.32%)
S&P 500 1,248.63 -2.91 (-0.23%)
10-Yr Bond 5.137 +0.09 (+0.18%)

NYSE Volume 359,296,000
Nasdaq Volume 284,046,000

10:00 am : There hasn't been much conviction in the early-going, which is understandable given the whipsaw action of late. Energy Services (-0.86%) is the sector providing the biggest drag on the market, as stocks in the group seem to be following the path of oil prices, which are down $0.53 today to $69.67 per barrel. Modest gains in the influential financial (+0.40%) and information technology (+0.27%) sectors, however, are providing enough support to keep the broader market in positive territory. There wasn't any economic data this morning, but Atlanta Fed President Guynn did speak about the economic outlook and observed that growth is starting to moderate and that core inflation is "beyond an acceptable range." In other words, he didn't deviate much from the Fed script of late.DJ30 +22.81 NASDAQ -2.53 SP500 +0.48 NASDAQ Dec/Adv/Vol 1296/1132/181.3 mln NYSE Dec/Adv/Vol 1020/1607/156 mln

[Roland99]

51. Oh, the markets just have a bad case of the Mondays

he he

[stop the bleeding]

52. As long as I don't have to have a meeting with the 2 Bob's

then I am ok.

also no cake, stapler's or Hawaiian shirts on fridays.;)

[Roland99]

53. 11:12am - Whole lotta nothin' goin' on

DJIA 11,013.98 -0.57 -0.01%
Nasdaq 2,127.21 -2.74 -0.13%
S&P 500 1,249.84 -1.70 -0.14%
Dow Util 406.53 -4.24 -1.03%
NYSE 7,909.77 -24.09 -0.30%
AMEX 1,850.74 -8.13 -0.44%
Russell 2000 686.75 -6.32 -0.91%
Semcond 455.74 +2.21 +0.49%
Gold future 573.30 -8.40 -1.44%
30-Year Bond 5.19% +0.01 +0.25%
10-Year Bond 5.14% +0.02 +0.29%

[UpInArms]

54. 12:21 EST Clinging to 11k

Dow 11,000.22 -14.33 (-0.13%)
Nasdaq 2,125.96 -3.99 (-0.19%)
S&P 500 1,248.05 -3.49 (-0.28%)
10-Yr Bond 5.151 +0.23 (+0.45%)

NYSE Volume 964,495,000
Nasdaq Volume 743,649,000

12:00 pm : The stock market has stumbled out of the gate this week, tripped up by the absence of spirited sector leadership, noticeable losses in the small-cap and mid-cap arenas, and disconcerting commentary again from a Fed official. These factors have all combined to overshadow the positive forces of better than expected earnings results from Circuit City (CC 29.49, +0.01) and CarMax (KMX 34.22, +2.72), and news that Nokia (NOK 20.21, +0.24) and Siemens are entering into a joint venture that will combine their telecom network equipment businesses.

The latter development, which will create a company with nearly $20 billion in annual sales, put a bid in the European markets, but that's where it has largely remained as the U.S. has spent the majority of the morning session in red figures.

Buying interest has been concentrated largely in individual stocks, as opposed to an indiscriminate push into any one industry group. Conversely, selling activity has been concentrated in the energy services (-2.66%) and basic materials (-1.29%) sectors which, along with the underperformance of the small-cap and mid-cap stocks, speaks to the market's underlying concerns about the pace of economic growth. Atlanta Fed President Jack Guynn spwaned those concerns with a speech before the Georgia Bankers Association today that touched on the view that growth is starting to moderate but that core inflation is beyond an acceptable range.

Guynn's commentary isn't anything that is particularly new as it relates to the Fed's view of things, but it served as another sobering reminder that interest rates are due to go up at the June 28-29 FOMC meeting. That thought has been supportive to the dollar whose strength is fostering another retreat in dollar-denominated commodity prices. Crude futures are helping to pace the slide in the CRB Index, as they are down $1.25 at $68.95 per barrel.

By and large, today's participants aren't showing a lot of conviction as volume at the NYSE (589 mln) and Nasdaq (678 mln) can be deemed light at this point in the session.CRB -1.57% DJ30 -18.96 DJUA -1.16% NASDAQ -4.58 R2K -1.08% SOX +0.20% SP400 -1.05% SP500 -3.84 NASDAQ Dec/Adv/Vol 1906/962/678 mln NYSE Dec/Adv/Vol 2075/983/589 mln

[Roland99]

55. 12:25pm - A little Drifting (courtesy Trey Anastasio)

DJIA 10,993.88 -20.67 -0.19%
Nasdaq 2,125.16 -4.79 -0.22%
S&P 500 1,247.43 -4.11 -0.33%
Dow Util 405.83 -4.94 -1.20%
NYSE 7,894.00 -39.86 -0.50%
AMEX 1,844.24 -14.63 -0.79%
Russell 2000 686.14 -6.93 -1.00%
Semcond 454.81 +1.28 +0.28%
Gold future 574.10 -7.60 -1.31%
30-Year Bond 5.19% +0.02 +0.33%
10-Year Bond 5.15% +0.02 +0.41%

I've been drifting
For years it seems
But now you've come along
to rescue me
And the fog has lifted
We've got the moon and the stars above

since you came along (love, love, love)
Back where I belong (love, love, love)
since you rescued me (love, love, love)
the whole world is there to see (love, love, love)
Cause the storm has lifted
We've got the moon and the stars above

In the morning
It's plain to see
Smell coffee in the air
You're here with me
I'm Walking down the street (love, love, love)
The sun beams down
The grass is cool beneath my feet (love, love, love)
My head is spinning round
But the storm has lifted
We've got the moon and the stars above

Overall, lyrics aren't really pertinent but it just came up on my iPod and it's a good tune. ;)

[UpInArms]

58. Housing market index falls to 11-year low

http://www.marketwatch.com/News/Story/Story.aspx?dist=newsfinder&siteid=mktw&guid=%7B57D1C3F0%2D3AA2%2D4DED%2DA259%2DC4E68DE13BFF%7D&symbol=

WASHINGTON (MarketWatch) -- Sentiment among U.S. home builders fell for the sixth month in a row to an 11-year low in June, the National Association of Home Builders said Monday.

The housing market index dropped four points to 42, the lowest since April 1995. May's reading was revised up to 46 from 45.

Readings over 50 indicate most builders think business conditions are good or fair.
The index was at 68 in October and peaked at 72 in June.

The index declined in all four regions of the nation, but still remains positive at 61 in the West after a one-point dip in June. The index fell by two points to 49 in the South, by seven points to 40 in the Northeast and by four points to 25 in the Midwest.

All three subindexes declined in June.

The index for single-family sales dropped to 47 from 50. The index for expected sales dropped to 50 from 55. The index of buyers' traffic dropped to 29 from 33.

...more...

[stop the bleeding]

63. this is the report that I was looking for earlier

I know Tuesday's May Housing Starts is the one to watch, but I knew this would play on role on Housing stocks.

I carried over a July Put on a Housing Stock today and did very well. I had to get out of it even though it is still going in my favor cause I don't want to be in anything until Tuesday's report hits the market.

Here kitty kitty - nope no bounce today

I guess this will end the Bulls rally as well unless Jesus and the sprites come back to save the market today;)

[UpInArms]

59. 1:27 EST Wind leaves Sails - too much ballast - updated blather

Dow 10,947.15 -67.40 (-0.61%)
Nasdaq 2,115.53 -14.43 (-0.68%)
S&P 500 1,241.28 -10.26 (-0.82%)
10-Yr Bond 5.141 +0.13 (+0.25%)

NYSE Volume 1,216,747,000
Nasdaq Volume 973,035,000

1:30 pm : The trading range seen for the better part of the last three hours has been broken with a new leg to the downside that has seen the indices reach session lows in the past half hour. The absence of strong sector leadership, a lack of conviction from buyers, and a recent report from the NAHB showing that its June index of the housing market fell to an 11-year low, have left the market vulnerable to such a move. There is no telling if the current trend will persist today, but one thing investors should come to expect, in general, is volatility until there is a clear sense of the Fed's ultimate stopping point with its tightening cycle.DJ30 -67.08 NASDAQ -14.02 SP500 -10.17 NASDAQ Dec/Adv/Vol 1980/959/968 mln NYSE Dec/Adv/Vol 2160/999/819 mln

12:55 pm : Indices remain stuck in their trading range, unmoved by the observations made by Dallas Fed President Fisher in a CNBC interview. The lack of response is a function of Fisher not saying anything the market didn't know already. He said Q1 growth can't be sustained and he is worried about longer term inflation; he said the Fed is doing what is right to make sure inflation expectations don't get out of control; he said housing prices have backed off, but are not falling off; and that capex spending has helped pick up the slack in consumption. One salient tidbit is that stagflation, in his view, is unlikely.DJ30 -19.00 NASDAQ -4.63 SP500 -4.55 NASDAQ Dec/Adv/Vol 1879/1041/837 mln NYSE Dec/Adv/Vol 2032/1099/720 mln

[54anickel]

62. America's untested management team

http://www.atimes.com/atimes/Global_Economy/HF17Dj01.html

All top posts in the management team of the world's biggest economy are now headed by untested appointees with little high-level experience in government or proven policy predilections.

First Ben Bernanke, a respected academician with little market experience, replaced Alan Greenspan as chairman of the US Federal Reserve in February. So far, every time the new Fed chairman has made a public statement about his resolve on price stability, a technical euphemism for inflation and deflation, the market has shown its lack of confidence by a substantial price correction.

Edward Lazear, a noted labor economist among whose published papers is "The Peter Principle: A Theory of Decline", replaced Bernanke as chairman of the president's Council of Economic

Advisers (CEA). For those who are not familiar with the Peter Principle, it states that routine promotion in organizations continues until incompetence surfaces.

big snip>

Paulson is a banker. Bankers are interested in the state of the market, not the economy per se. In two and a half years, a treasury secretary can, with the full power of the Treasury behind him, have a chance of saving the market from imminent collapse from its current structural imbalances.

The formula is to accelerate the crash in order to gain a fast recovery later. The prospect of Paulson engineering a sharp correction in the equity market right after the mid-term congressional election is almost certain. The strategy is to remove the structural bottlenecks and to weed out the weaknesses and have the market resume its upward path by June 2008. This strategy is doable with a heavy dose of government intervention, but it will require a crash to create a serious enough emergency to make government intervention patriotic, possibly including massive bailouts of several troubled giants such as General Motors, General Electric and Fannie Mae (the Federal National Mortgage Association) and the big money-center banks that are up to their necks with credit-derivative exposures.

Strong dollar is the key

more...

[UpInArms]

64. you know, 54anickel, I can feel really badly about the

markets - and then - here you come and make me really, really, really nervous

:scared:

The formula is to accelerate the crash in order to gain a fast recovery later. The prospect of Paulson engineering a sharp correction in the equity market right after the mid-term congressional election is almost certain. The strategy is to remove the structural bottlenecks and to weed out the weaknesses and have the market resume its upward path by June 2008. This strategy is doable with a heavy dose of government intervention, but it will require a crash to create a serious enough emergency to make government intervention patriotic, possibly including massive bailouts of several troubled giants such as General Motors, General Electric and Fannie Mae (the Federal National Mortgage Association) and the big money-center banks that are up to their necks with credit-derivative exposures.

I do believe someone will need to hold my hair as I :puke:

and then there is this little jewel of a paragraph that so succinctly states the WUHSPH's legacy:

Under Greenspan, the US had amassed $44 trillion of debt by 2005: $10 trillion by the federal government, $2 trillion by state and local governments, and $34 trillion by the private sector, of which the business sector held $8.3 trillion, the finance sector held $12.5 trillion and the household sector held $11.5 trillion. In addition, the United States faces an unfunded contingent liability of $7 trillion in Social Security and $37 trillion in Medicare obligations. The Greenspan debt monkey is 10 times as large as Mellon's after adjustment for inflation. The delayed but unavoidable bursting of Greenspan's debt bubble will make the 1930s Depression look like a minor storm.

[KoKo]

70. Reading "54" and "UIA's" reply......it's clear

engineered a crash is in the works and given the incompetency of these boobs in their past track record of administration choices in personnel and policy...we might have the "Crash that Can't Be Recovered From."

Wheeeeeeee lets head for the Great Bush Depression! :scared:

I'd like to think that some "competent heads" are working against this in the background but, once again, seeing the lack of success in pushback against these thugs since they stole 2000 election...one has to even shake one's head that that scenario would work, either.

The money is going to run out...we can't keep going "crash cart" like this.
So much manipulation is in the system already with the Fed pouring in the helicopter money every night...how much longer before the foreign investors and other (possible criminal elements) start to pull back. Only folks with cash left are our Big Corporations and I'm not looking for them to save our butts anytime soon. :-(

Let's hope that this speculation from the article is off base...even though it rings so true.

[UpInArms]

72. I think perhaps the old sage words might work best at this point

"hope for the best, plan for the worst"

:pals:

[54anickel]

75. Yep, that beats being "faith-based". Gotta at least have a plan and

hope you never have to resort to it. The article is a bit troubling, Liu tends to be "on the money". Hope he's got it wrong this time. Crudele alluded to similar thinking last week regarding Paulson and some market rigging in the works (though not a "planned crash")...

http://www.nypost.com/business/a_plan_for_a_plunge_business_john_crudele.htm

snip>

The Working Group's nickname? The "Plunge Protection Team," which was the headline of that Washington Post piece.

As I said in last Thursday's column, incoming Treasury Secretary Hank Paulson soon becomes a member of that team.

In fact, as a veteran of Wall Street who would know what to do in just such a crisis, Paulson might even be considered the likely team captain.

There are, of course, some innocuous things that Washington could (and should) do to prevent a bad situation on Wall Street from rippling through the whole economy and becoming a national crisis.

For one thing, the Federal Reserve could immediately reduce interest rates so that people will be able to borrow money more easily to make purchases.

That easy money will eventually provide a prop under the financial markets.

Or the Plunge Protection Team could simply rig the market, as was proposed by former Federal Reserve Gov. Robert Heller in 1989.

more...

[54anickel]

80. Congressman Discusses P.P.T. & Gold (Ron Paul)

http://www.kitco.com/ind/Texashedge/jun142006.html

snip>

Six years ago, the Council on Foreign Relations conducted a policy simulation in which a small number of experienced policymakers worked through the options and constraints facing the U.S. government in the aftermath of a sudden and significant stock market decline. A few years beforehand, the Washington Post published an article about the President’s Working Group on Financial Markets which was established via executive order 12631 in response to the crash of 1987. Known on some trading floors as “the plunge protection team”, very little since has been reported about the prospect of government intervention in the stock and other securities markets. As someone who constantly fights government intervention in the economy, what are your thoughts about the degree (if any) to which the Federal government intervenes in the stock market?

Well, it’s secretive and everything the Fed does is very secretive unless they feel like it’s necessary to announce it. Like on Long Term Capital Management, they had to come clean on that, but I think they’re into it. But I don’t think very often. On the big events like on the crisis with Russia and the Southeast Asian crisis, I’m sure they’re in there and they’re capable of doing it. But it’s sort of like this idea about how much did our central bank and other central banks fix the price of gold for so long. I think they probably did because it’s the nature of government to try to prop up paper and badmouth gold. We certainly did it in the 1960s. We kept gold at $35/oz for years and years by dumping gold. Today it’s more sophisticated. So whether it’s propping up the stock market or keeping the price of gold down, they’re very capable and it is in their interest to do it. But I think in many ways it’s irrelevant except in the short run. I think it breaks loose just as it broke loose with gold in 1971 and again in 2001 when gold bottomed at $250/oz. These things exist but ultimately the market is more powerful than all the central banks and the governments put together.

snip>

A large pillar of support for the U.S. Dollar has been the recycling of so-called “petrodollars” from OPEC nations into our securities markets. Since oil is priced and traded in Dollars, many producing nations will take their proceeds from petroleum sales and invest them in US Treasuries. In 2000, Iraq switched to pricing their oil in Euros and came out ahead as the Dollar depreciated significantly in 2001 & 2002. Any time now, Iran is slated to open its Iranian Oil Bourse and will price transactions in Euros – a move that seems logical for Iran as almost half of its trade is with countries in the euro zone. Now we hear talk of Venezuela, Russia and several other nations moving out of the Dollar-denominated energy transactions while, at the same time, these countries have been on the receiving end of critical State Department rhetoric. Just how much of our foreign policy is designed to keep the Dollar as the undisputed reserve currency of the world?

I do not believe it is a coincidence. I believe it is very deliberate and they are related. I think the intertwining of international finance and foreign policy is closely linked. I have talked about this and believe that the Iraq invasion had something to do with it, although I don’t think that was the only thing. There were enough other reasons as well. I think this too will come to an end and the market will just overwhelm. If you look at the weekly reports on how many dollars of Treasury Bills as well as Fannie Mae and Freddie Mac bought by foreign governments are huge.

The international agreements are absolutely and totally secret. It is my suspicion without any proof whatsoever that our agreements, whether they are gentleman’s agreements or in writing, that it is in the interest in many of these countries to help prop up the dollar for their benefit. But our foreign policy can become so aggravating to some of these countries that it might be in the interest of Russia or Venezuela or China all of the sudden to turn on us. So that is why I think we live in very dangerous times for the dollar.

more...

[54anickel]

78. Ahhh, but to the new "ever-surprised" eCONomist, corporate debt is good

http://www.morganstanley.com/GEFdata/digests/20060616-fri.html#anchor1

Corporate America is re-levering in earnest, issuing debt and buying back stock in record volumes. Nonfinancial corporations issued debt — bonds, commercial paper, mortgages and draws on bank loans — at a record $509 billion annual rate in the first quarter. Relative to corporate GDP, that’s the fastest pace in six years. At the same time, such firms retired a record $587 billion in equity, net of new issuance. Except for a buyback spree following the sharp market selloff in the summer of 1998, that’s a record even in relation to corporate output. That debt-for-equity swap is far and away the largest on record. And while it netted to net funds repaid in the market, nonfinancial companies are poised to return to the capital markets as borrowers following a five-year hiatus. That’s because capital spending is about to outstrip the growth in cash flow, resulting in a sharp rise in external financing needs.

Many worry that this seemingly undisciplined behavior signals trouble, as so often it has in the past: Either CFOs can’t find good investment opportunities, or they are starving their businesses and limiting future growth, or the additional leverage will impair credit quality, especially if the economy is slowing down.

I disagree. In my view, companies have in the aggregate used "too little" debt in this 55-month-old expansion, so I see this re-levering as a conservative, rational, and appropriate return to normality. Nonetheless, I agree with our credit strategy team that credit spreads are likely gradually to widen. Here’s why.

snip>

...Most important, in my view, they evidently want to continue to maintain the disciplined approach to capital allocation that has served them well in the past four years, preferring to sustain returns by using some cash flow for share buybacks rather than indulge in excessive capital spending or frivolous, dilutive acquisitions...

snip>

There are, of course, risks to this relatively sanguine view of corporate behavior. Weaker growth would undermine the credit quality of many companies and especially those with higher debt levels. Or, a spike in interest rates could escalate debt service for companies with short-term debt. In fact, on the surface, this does seem a strange time to re-lever; it’s late in the cycle and interest rates are rising. The good news: Debt in relation to net worth is still at 30-year lows, companies have funded out their debt, and the flat yield curve is fostering an extension of that trend.

more...

[VegasWolf]

65. Just a bundle of sunshine aren't you?

:)
:toast:

[54anickel]

76. Bwahahahaha!!!!

:evilgrin: :toast: back-at-cha!

[VegasWolf]

66. 3:25 PM - New Highs - barely a green blip; New lows - solid red bars. nt

[UpInArms]

67. 2:59 EST Triple Digit Losses in the Dow (updated blather)

Dow 10,908.09 -106.46 (-0.97%)
Nasdaq 2,104.95 -25.01 (-1.17%)
S&P 500 1,237.25 -14.29 (-1.14%)
10-Yr Bond 5.145 +0.17 (+0.33%)

NYSE Volume 1,663,976,000
Nasdaq Volume 1,319,284,000

3:00 pm : It's not a pretty picture at the moment for the bulls as the major indices are well below the unchanged mark. The site of red figures today, however, is nothing new since the Dow, Nasdaq and SnP 500 have all been in negative territory since 10:30 ET. Losses have been extended throughout the session as there has been a conspicuous lack of leadership all day. With today's decline, the SnP 500 has returned to a losing position on a year-to-date basis. Separately, Reuters is reporting that the Senate has confirmed (as expected) Donald Kohn for a four-year term as Vice Chairman of the Federal Reserve.DJ30 -107.10 NASDAQ -25.07 SP500 -14.29 NASDAQ Dec/Adv/Vol 2170/811/1.31 bln NYSE Dec/Adv/Vol 2371/860/1.13 bln

2:30 pm : Buyers haven't stepped up to answer the call yet, and consequently, the indices remain stuck near their worst levels of the session. Volume is light at the NYSE and Nasdaq, but no matter, the losses count just the same on paper for investors. Aside from stocks, commodity prices, as measured by the CRB Index, are also at their lows for the day. The CRB Index is down 1.7% on the session and 8.8% from its May 11 high, which was hit just after the last FOMC rate hike. The market is fully expecting a rate hike from the Fed on June 29 and has placed a 78% probability on the likelihood of another boost to 5.50% at the August FOMC meeting.DJ30 -82.45 NASDAQ -18.53 SP500 -12.09 NASDAQ Dec/Adv/Vol 2112/858/1.19 bln NYSE Dec/Adv/Vol 2386/829/1.02 bln

[ramapo]

68. oopsie!

How can we know if we should be happy or sad if the market keeps jumping around like this?

[stop the bleeding]

69. But people were telling me that we are in a Bull rally???

I do not think that today will count as the follow through day that the Bulls needed.

I have said it before and I could be wrong, but I do not see the Bears going into Hibernation until sometime after August.

-100 points - whistling through teeth

[UpInArms]

71. I do believe that was incorrectly named - it should have been a

bullshit rally

:eyes:

[stop the bleeding]

74. .

:PB-):toast::rofl::rofl::rofl::rofl::rofl::rofl::rofl:

[54anickel]

79. 3:39 and the Witching hour makes the blather

Dow 10,959.47 -55.08 (-0.50%)
Nasdaq 2,115.20 -14.75 (-0.69%)
S&P 500 1,242.56 -8.98 (-0.72%)
10-yr Bond 51.45 +0.17 (+0.33%)
30-yr Bond 51.83 +0.11 (+0.21%)
NYSE Volume 1,929,380,000
Nasdaq Volume 1,517,354,000

3:30 pm : Buyers have been few and far between today, but at the moment, they are trying to forge a recovery effort that has seen the Dow recover approximately 60 points from its worst level of the session, which was reached at the top of the hour. The final hour of trading has come to be known as a fairly volatile period of time and today looks to be no exception. Helping the Dow's turnaround bid has been Altria Group (MO 71.55, +0.67). Shortly after our last update, the company announced the Illinois Supreme Court has ordered the return to Philip Morris USA the $2.15 billion in cash used to secure its appeal bond in the Price "lights" case. Overall, the market's rebound try is a broad-based affair as all sectors are paring larger losses seen earlier.DJ30 -44.67 NASDAQ -14.10 SP500 -7.85 NASDAQ Dec/Adv/Vol 2188/821/1.44 bln NYSE Dec/Adv/Vol 2440/803/1.27 bln

[Roland99]

81. broadbased rise? Look at the Dec/Adv between 2:59 and 3:39

Advances LOST ground.

[Roland99]

82. Closing numbers: Broadbased recovery? HA! Down in the red

DJIA 10,942.19 -72.36 -0.66%
Nasdaq 2,110.42 -19.53 -0.92%
S&P 500 1,240.13 -11.41 -0.91%
Dow Util 404.49 -6.28 -1.53%
NYSE 7,850.21 -83.65 -1.05%
AMEX 1,841.36 -17.51 -0.94%
Russell 2000 680.76 -12.31 -1.78%
Semcond 449.18 -4.35 -0.96%
Gold future 572.40 -9.30 -1.60%
30-Year Bond 5.18% +0.01 +0.21%
10-Year Bond 5.15% +0.02 +0.33%


10-year/30-year yield tightening.

[stop the bleeding]

83. Does this mean no ponies today?

:headbang:

[Roland99]

84. No ponies but plenty of asses available

:evilgrin:

[UpInArms]

85. blather

The stock market stumbled out of the gate this week, tripped up by the absence of spirited sector leadership, losses in the small-cap stocks, disconcerting commentary on inflation from Atlanta Fed President Jack Guynn, and a report from the NAHB that homebuilder confidence slumped to an 11-year low.

Those factors all combined to overshadow the positive forces of better than expected earnings results from Circuit City (CC 28.63, -0.85) and CarMax (KMX 33.89, +2.39), and news that Nokia (NOK 20.21, +0.24) and Siemens are entering into a joint venture that will combine their telecom network equipment businesses.

Losses were led by the energy services (-3.13%) and basic materials (-1.87%) sectors, which got clipped again, along with commodity prices, on economic growth concerns. As it turned out, all ten economic sectors closed the day with a loss. Information technology (-0.36%), which was aided by the Nokia-Siemens deal, fared the best.

At its low for the Day, the Dow was down 107 points. Late-day buying helped cut its losses, but when the closing bell rang, each of the major indices was still well below the unchanged mark. The Russell 2000, with a 1.8% decline, led the pullback on Wall Street that saw 1.52 billion shares change hands at the NYSE.

The specter of rising interest rates helped prop up the dollar which, in turn, acted as a weight on dollar-denominated commodity prices. The Treasury market sputtered a bit on Guynn's comment that inflation is beyond an acceptable range, but ended the day little changed as the 10-year note dropped just 3 ticks to bring its yield to 5.14%.CRB -1.67% DJ30 -72.44 DJUA -1.53% NASDAQ -19.53 NQ100 -0.89% SOX -0.96% SP400 -1.61% SP500 -11.40 NASDAQ Dec/Adv/Vol 2206/842/1.72 bln NYSE Dec/Adv/Vol 2415/857/1.52 bln

[KoKo]

87. Kick for good reads.............