YAHOO [BRIEFING.COM]: The mood
among market participants was dampened by a mixed bag of data, but the S&P
500 managed to swing to a slight gain on the back of a late spike by financials
and energy plays.
Stocks spent almost the entire
session in the red and were even down more than 1% at their lows, which were
set after the Philadelphia Fed Index for July made an unexpected decline. Other
data was more mixed as a lower-than-expected initial jobless claims count was
overshadowed by a sharp climb in continuing jobless claims and a disappointing
Empire Manufacturing Index was balanced by an in-line industrial production
figure. There was a sharper-than-expected slide in overall producer prices,
though.
Financial stocks had been down
2% after market participants refused to be inspired by Dow component JPMorgan
(JPM 40.46, +0.11), which posted this morning better-than-expected earnings
from earnings that were helped by a massive reduction in loan loss reserves.
However, the sector slashed
its losses to finish the session down just 0.1% after CNBC reported that the
SEC will make a significant announcement in regard to Goldman Sachs (GS
145.22, +6.16). Many believe that investigations of Goldman Sachs have been
settled.
Meanwhile, embattled BP
(BP 38.92, +2.74) got a late bid as reports surfaced that there is no flow
going into the gulf after the start of a well test. Energy stocks finished with
a fractional gain after they had been down close to 2% earlier in the day.
Stocks seemed to shrug off
continued strength in the euro, which is currently spiked 1.6% against the
greenback to set a fresh two-month high.
Though the euro was strong,
Europe's major bourses booked steep losses. Asia's major market averages had
also moved sharply lower overnight. China announced a hefty 10.3% year-over-year
increase in its first quarter GDP, but that was slightly below what had been
widely expected.
Gains once again led the CRB
Commodity Index higher today after they posted a 3.8% gain. Sept wheat rallied
for 6.7% to settle at $5.96 per bushel.
The energy sector was the
second largest gainer on the day after it finished up 1.2%. August natural gas
futures rallied for 6.6% to close at $4.59 per MMBtu. The catalyst for today's
rally was this morning's inventory data, which showed a build of 78 bcf vs the
consensus build of 80 bcf. August crude oil had a quiet session as it closed
lower by 0.5% to $76.62.
It was another uneventful
session for precious metals as the sector finished higher by 0.2%. August gold
ended higher by 0.1% to $1208.30 per ounce and September silver gained 0.2% to
finish at $18.362.
Advancing Sectors: Utilities (+0.6%), Health Care (+0.4%),
Consumer Discretionary (+0.3%), Consumer Staples (+0.2%), Tech (+0.1%), Telecom
(+0.1%)
Declining Sectors: Financials (-0.1%), Materials (-0.1%),
Industrials (-0.1%)
Unchanged: Energy DJ30 -7.41 NASDAQ -0.76 NQ100 +0.1% R2K
-0.9% SP400 -0.1% SP500 +1.31 NASDAQ Adv/Vol/Dec 865/1.98 bln/1756 NYSE
Adv/Vol/Dec 1459/1.12 bln/1523