YAHOO [BRIEFING.COM]: Stocks
will close mixed with the S&P 500 and Nasdaq holding respective gains of
0.3% and 0.2% while the Dow closed lower by 0.1%. Today's action saw the Nasdaq
hit its best level in three years, and the S&P 500 cross 1250 for the first
time since September 22, 2008.
Energy was the best performing
sector all day, with the S&P 500 Energy Index closing higher by 0.7%. Chesapeake
Energy (CHK 25.35, +2.05), Valero Energy (VLO 22.18,
+1.10), and Tesoro (TSO 18.37, 0.93) were among the best
performers in the space.
Homebuilders were also strong
today, ahead of this week's release of November Existing Home Sales, and New
Home Sales, which are scheduled to be released on Wednesday and Thursday. Lennar
(LEN 18.26, +0.94), DR Horton (DHI 11.80, +0.41), and PulteGroup
(PHM 7.26, +0.20) all finished the day with gains.
Shares of AT&T
(T 29.14, -0.07) finished the day well off their best levels of the session
after the company announced it would purchase Qualcomm's (QCOM
49.49, +0.03) Lower 700 MHz D and E Block unpaired U.S. spectrum licenses. The
purchase is expected to improve AT&T's cellular network.
Sara Lee (SLE 17.69, +0.43) was down more than 4%
in-premarket trading after reports indicated the company's sale of itself to
Brazilian meat company JBS SA was on hold after the two sides failed to agree
on a price. The stock shook off the news and closed higher by 2.4%.
Following the Fed's first
Permanent Open Market Operations of the day, the 10-yr yield moved off its
session low of 3.247%, climbing back to the flat line at 3.33% ahead of the
Fed's second Permanent Open Market Operations of the day. After the results of
the second POMO of the day were announced sellers reentered the market, pushing
the 10-yr yield up to 3.36%. The 2-10-yr spread will end the day steeper near
274.
The dollar ran to its session
high just following the open of U.S. equities and remained range between 80.55
and 80.70 for most of the session. Dollar strength pushed the euro lower by 70
pips to 1.3120, and the pound down 20 pips to 1.5510. Dollar/yen failed near
84.00 and will end today's trade near 83.75.
Commodities finished higher
across the board today, led by a 1.9% gain in energy and a 1.4% rally in
industrials. The rally in cotton continued today after it gained 2.7% and is
closing in on its all time high $1.5723 per pound.
Jan natural gas rallied for
3.4% to close at $4.24 per MMBtu, just shy of its highs at $4.25. Forecasts for
below average temps once again boosted prices. Feb crude oil gained 0.8% to end
at $89.37 per barrel. It rallied off of its session lows, at $87.73, throughout
the session to close just shy of its session highs at $89.57.
Feb gold finished higher by
+0.5% to $1385.30, while March silver gained +0.9% to close at $29.36 per
ounce. Both metals bounced off of their respective lows to recoup losses and
close in positive territory.
Volume was light, and is
expected to remain that way for much of the next two weeks as traders vacation
over the holidays. Just less than 830 million shares traded hands on the floor
of the New York Stock Exchange. DJ30 -13.78 NASDAQ +6.59 SP500 +3.17 NASDAQ
Adv/Vol/Dec 1273/1.71 bln/1383 NYSE Adv/Vol/Dec 1482/829.1 mln/1534