YAHOO [BRIEFING.COM]: After
digesting the latest dose of data the major equity averages brushed aside some
fainthearted selling to extend their climb to new two-year highs. Natural
resource plays led the move for the second straight session.
There was little surprise to
the initial jobless claims tally for the week ended February 12. Initial claims
increased from 385,000 in the prior week to 410,000, which is in stride with
the 408,000 initial claims that had been expected, on average, among economists
polled by Briefing.com. Continuing claims were essentially unchanged at 3.91
million.
Consumer prices for January
featured a 0.4% increase in the headline number and a 0.2% increase in the core
number. The consensus among economists polled by Briefing.com had called for a
0.3% increase in total CPI and a 0.1% increase in core CPI. Prior month
increases were 0.4% and 0.1%, respectively, for total and core consumer prices.
The Philadelphia Fed Survey
for February surged to a seven-year high of 35.9. Economists had generally
expected a reading of only 21.0 after it came in at 19.3 in the prior month.
Leading Indicators for January
increased by just 0.1%, which is shy of the 0.3% increase that had been widely
anticipated. Indicators for December were downwardly revised to reflect a 0.8%
increase.
Data did little to provide
direction to morning participants, who were initially inclined to sell. It
became clear, though, that there was little conviction behind the selling as
stocks gradually turned modest losses into modest gains. The move reflected the
broad market's bullish bias, which has helped stocks gain 10 times in the 13
sessions traded so far this month.
Materials stocks (+0.9%) and
energy stocks (+0.8%) were leaders in the latest move. The two sectors also
outperformed in the prior session and are now up 2.0% and 3.1% week to date,
respectively.
There wasn't much news out of
the materials sector, but energy plays Apache (APA 120.62,
+0.11) and Pride International (PDE 40.55, +0.02) settled near
the neutral line after the pair had posted quarterly results this morning. Williams
Companies (WMB 30.08, +2.32) was a standout in the space after it
announced better-than-expected earnings, an increased dividend, and plans to
separate into two stand-alone publicly traded companies.
Semiconductors also made
strong gains. NVIDIA (NVDA 25.68, +2.30) led the Philadelphia
Semiconductor Index to a 1.4% gain following its latest quarterly report and
forecast.
Financials failed to follow
the broader market's lead this session. Instead, the sector fell to a 0.1% loss
after it failed to push into positive territory on only on a few occasions.
Regional banks (-1.3%) and diversified banks (-1.1%) weighed on the sector.
Commodities staged broad gains
today, but natural gas was an exception following the latest weekly inventory
figures.
Gold prices gained 0.6% to
close pit trade at $1385.10 per ounce. Silver staged an even stronger gain of
2.8%, which put the precious metal at $31.57 per ounce at the close of pit
trade. Along the way silver prices set a 30-year high of $31.58 per ounce. Both
metals began their ascent following the release of the latest CPI data, which
featured a slightly greater-than-expected increse in the headline number.
Oil prices extended modest
gains in the early going to finish pit trade with a 1.6% gain at $86.36 per
barrel. At its session high, oil traded at $86.50 per barrel.
Natural gas prices fell 1.3%
to close at $3.88 per MMBtu following a slightly smaller-than-expected draw.
Prices had been as low as $3.83 per MMBtu.
Among industrial commodities,
cotton continued its climb. It eclipsed $2 per pound for the first time ever.
Advancing Sectors: Materials (+0.9%), Energy (+0.8%),
Consumer Staples (+0.7%), Telecom (+0.3%), Utilities (+0.3%), Health Care
(+0.3%), Tech (+0.2%), Industrials (+0.2%), Consumer Discretionary (+0.1%)
Declining Sectors: Financial (-0.1%)DJ30 +29.97 NASDAQ +6.02
SP500 +4.11 NASDAQ Adv/Vol/Dec 1575/1.94 bln/1053 NYSE Adv/Vol/Dec 1868/881
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