YAHOO [BRIEFING.COM]: Stocks
lacked direction for the entire session and, appropriately, finished in mixed
fashion.
Overseas gains had offered
mild support to stock prices this morning, but buying failed to generate any
meaningful momentum before the open. Support waned with an uninspiring initial
jobless claims count for the week ended January 1. Initial claims totaled
409,000, which is on par with the 405,000 initial claims that had been
expected, on average, among economists polled by Briefing.com. Initial claims
were up 18,000 from the prior week while continuing claims were down 50,000
from the prior week to 4.10 million.
December same-store sales
disatisfied as only a few firms met or exceeded expectations. That left the lot
of retailers to slide to a 1.6% loss. Target (TGT 54.93,
-4.01) was among the worst performing retailers after it reported that its
same-store sales increased by less than 1% during December. The stock found
support at its 200-day average, which was last touched two months ago, but it
still settled with its worst single-session loss in more than a year.
Telecom stocks were also
shunned. In turn, the telecom sector lost 2.8%, which made it the worst performing
sector of the session.
At the other end of the
spectrum, tech scored a 0.9% gain, which made for the sector's fourth straight
advance and puts it on pace for a 2.9% weekly gain. Semiconductor plays
underpinned the sector's most recent advance. Semiconductor stocks collectively
advanced 1.8%. Such strength also helped prop up the Nasdaq.
Though the negative
correlation between the dollar and the stock market has diminished in recent
days, the broader market ran into some late morning selling that coincided with
a bounce by the greenback against the euro. The euro violated its 200-day
moving average to set a one-month low after the release of a report that
offered a framework for future eurozone bank failures in the eurozone. No
report was issued on sovereign debt in the eurozone.
Commodities, save for
livestock (-1.2%), sold off today. Grains (-2.1%) and industrials (-1.8%) led
the way lower for the sector. Sugar futures fell 6.1% to close at $0.3024 per
pound.
It was a quiet session for Feb
gold and March silver, which closed lower by $2.00 to $1371.70 per ounce and
7.2 cents to $29.13 per ounce respectively. Despite sizeable strength in the
dollar index, both metals closed near the flat line.
Feb crude oil shed 2.1% to end
at $88.38 per barrel, closing sharply lower for the second time in two
sessions. Since trading to fresh ~2 yrs highs earlier this month, crude oil
prices have dropped over 4%. Feb natural gas ended down 1.1% to $4.43 per MMBtu
after it gave back all of its gains from this morning's inventory data.
A stronger dollar certainly
didn't help the case for commodities, which were clipped for further losses
today. In broad terms, the CRB Commodity Index fell 1.3%. Crude oil prices
tumbled 2.1% to settle at $88.38 per barrel. Natural gas prices logged a 1.1%
loss at $4.43 per MMBtu after they had swung to a gain of more than 2%
following news of a greater-than-expected draw of 135 bcf.
Advancing Sectors: Tech (+0.9%), Health Care (+0.4%)
Declining Sectors: Telecom (-2.8%), Consumer Discretionary
(-0.7%), Energy (-0.7%), Financials (-0.6%), Materials (-0.4%), Consumer
Staples (-0.4%), Industrials (-0.2%)
Unchanged: UtilitiesDJ30 -25.58 NASDAQ +7.69 SP500 -2.71
NASDAQ Adv/Vol/Dec 1148/2.11 bln/1469 NYSE Adv/Vol/Dec 1165/1.09 bln/1821