YAHOO [BRIEFING.COM]: Today's
session was mostly uneventful as equities remained near their opening levels
throughout the day. The major averages showed some divergence as the S&P
500 shed 0.2% while the Dow added 0.1%.
Stocks within the consumer staples sector were the top performer of the day.
Within the group, Energizer (ENR 75.22, +7.30) surged 10.7% after announcing preliminary
results of a comprehensive review of the company's cost structure. As a result
of the review, Energizer expects annualized cost savings of $175-200 million.
Beverage and cigarette stocks were also on the rise within the defensive
sector. Coca-Cola (KO 38.62, +0.27) and British American Tobacco (BTI 104.81, +2.70) ended higher by 0.9%
and 2.6%, respectively.
The Dow Jones Transportation Average slipped 1.1% as it trailed the broader
market. Disappointing guidance from FedEx (FDX 86.55, -2.73) spilled over to other
group components as all twenty names within the transportation average traded
lower. Airlines showed the biggest weakness as Delta (DAL 8.96, -0.27) and United Continental (UAL 19.27, -0.46) both fell near 2.5%.
Shipping stocks were also pressured with Matson (MATX 21.84, -0.43) and Overseas Shipholding
Group (OSG 6.76,
-0.09) ending lower by 1.9% and 1.5%, respectively.
Technology stocks have traded mostly in-line with the broader market. AMD (AMD 3.62, -0.39) slumped 9.7% after
Senior Vice President and Chief Financial Officer, Thomas Seifert announced his
resignation. The company announced that Devinder Kumar will serve as interim
Chief Financial Officer while a search for a replacement takes place.
Meanwhile, OCZ (OCZ 4.13, -0.33) slid 7.4% after Chief Executive Officer, Ryan
Peterson resigned. The board of directors has appointed Amex Mei as interim
Chief Executive Officer. The change at the top resulted in several analysts
moving their ratings. Craig Hallum upgraded the stock from ‘hold' to ‘buy'
while Stifel Nicolaus downgraded OCZ from ‘buy' to ‘hold.'
Elsewhere, F5 Networks (FFIV 108.62, +4.16) jumped 4.0% after Piper Jaffray commented
on the company's attractive valuation, and said that the network provider is
likely to beat earnings estimates. Other networking names finished lower with Cisco Systems (CSCO 19.04, -0.11) and Juniper Networks (JNPR 18.94, -0.43) slipping 0.6% and 2.2%,
respectively.
For-profit education stocks were broadly higher today. Career Education (CECO 4.09, +0.27) and Corinthian Colleges (COCO 2.84, +0.14) added 7.1% and 5.2%,
respectively. The advances did not appear to be news-driven as other education listings
also made notable advances. Strayer Education (STRA 70.82, +2.85) and Bridgeport Education (BPI 11.64, +0.42) both gained near 4.0%.
The current account deficit for the second quarter totaled $117.4 billion,
which was lower than the $126.8 billion deficit that had been broadly
anticipated.
The July net long-term TIC flows print indicated a $67 billion inflow of
foreign capital into U.S. denominated assets.
Lastly, the NAHB Housing Market Index for September registered a reading of 40,
which was ahead of prior month's 37, and better than the reading of 38 that had
been expected among economists polled by Briefing.com.
Crude oil extended yesterday's
losses as it traded in negative territory for most of its floor session. The
energy component briefly broke into the black and touched a session high of
$96.63 per barrel and fell back into the red. It settled 1.3% lower at $95.27
per barrel, just above its session low of $95.15 per barrel.
Natural gas popped to a floor session high of $2.92 per MMBtu moments after pit
trade opened. However, the move was short lived as prices tumbled lower as the
session progressed. It touched a session low of $2.76 per MMBtu as it headed
into the close, and settled with a 3.1% loss at $2.78 per MMBtu.
Gold and silver came-off their respective floor session lows of $1758.90 per
ounce and $34.19 per ounce set at the pit open and broke into positive
territory in morning action. Gold brushed a session high of $1775.90 per ounce
but fell back into the red. However, buyers stepped in and pushed prices back
above the break-even level so that the yellow metal settled 50 cents higher at
$1771.20 per ounce.
Silver popped to a session high of $35.10 per ounce but was unable to keep the
momentum. It fell back to the unchanged line but managed to inch higher heading
into the close and settled with a 1.0% gain at $34.74 per ounce.
In tomorrow's economic data, the weekly MBA Mortgage Index will be reported at
7:00 ET, while housing starts and building permits will be released at 8:30 ET.
Lastly, existing home sales will be announced at 10:00 ET.DJ30 +11.54 NASDAQ
-0.87 SP500 -1.87 NASDAQ Adv/Vol/Dec 1203/1.65 bln/1260 NYSE Adv/Vol/Dec
1335/632.9 mln/1681