YAHOO [BRIEFING.COM]: A big
dose of data failed to draw market participants to action today. In turn, the
stock market slogged along listlessly before it settled with a slight loss.
There was plenty of data out
ahead of the open, but none of it produced any real reaction among premarket
participants. Among the items, personal income increased 0.3% while consumption
increased 0.4%. The Briefing.com consensus called for respective increases of
0.2% and 0.5%. Personal income in the prior month had increased 0.4% while
spending had increased 0.7% in the same time.
Durable goods orders for
November fell 1.3%, which is worse than the 1.1% decline that had been
generally expected, but not as bad as the prior month's 3.1% drop. Excluding
transportation, durable goods orders increased 2.4% in November. They were
widely expected to increase by just 0.8% after they fell 1.9% in the prior
month.
Initial jobless claims for the
week ended December 18 were also out ahead of the open. They totaled 420,000,
which is in step with the 424,000 initial claims that had been expected and
down slightly from the tally of 423,000 that was recorded for the previous
week.
Continuing claims came in 4.06
million, down about 100,000 from the prior week. Its steady downtrend since
summer is largely the result of fewer initial claims and the expiration of
unemployment benefits, rather than actual hiring.
Even after trade opened
participants were largely unresponsive to the University of Michigan's final
December Consumer Sentiment Survey, which improved slightly to a five-month
best of 74.5, up from 74.2.
New home sales were a bit
disappointing. They increase 5.5% in November to an annualized rate of 290,000,
but that was still a bit less than the rate of 300,000 that had been expected.
Many remain concerned that recent increases in the 10-year Treasury yield,
which is now near 3.40%, has put added pressure on housing demand.
Despite all of that data, many
traders and investors couldn't be pulled off of their couches or away from
shopping centers ahead of Christmas weekend. In turn, trading volume barely
broke 600 million shares on the NYSE.
Even amid such thin trade,
which can often led to dramatic swings, the stock market still made only modest
moves through the day and stayed in a relatively tight trading range. It didn't
help that financials failed to offer the leadership that they had earlier this
week. Instead, the sector slid to a 0.8% loss as profit takers cut into the 3%
gain that it had accumulated during the first three days of this week.
Materials stocks made the best
gains of the day. They advanced 0.4%, despite mixed action among commodities
and basic materials prices.
Oil was a leader among
commodities. February contracts closed pit trade with crude oil priced 1.1%
higher at $91.51 per barrel. Prior to that, the energy component set a fresh
two-year high at $91.63 per barrel.
Oil's climb came partly in
response to the dollar's narrow loss of 0.2%, which came after the greenback
had made a couple of modest moves during the day. The dollar's downturn came
even after analysts at Fitch downgraded the debt of both Portugal and Hungary
in direct recognition of the ongoing fiscal and financial troubles that
continue to face countries in the eurozone and its periphery.
U.S. Treasury and equity
markets will be closed tomorrow in observance of Christmas.
The S&P 500 continues to
gradually pare its loss. Only 30 minutes remain before the day comes to a
close. If stocks fail to find positive ground, the loss would only be the
second for the S&P 500 in a dozen sessions.
As a reminder, U.S. Treasury
and equity markets will be closed tomorrow in observance of Christmas. With
trading desks so thinly staffed ahead of the holiday, fewer than 500 million
shares have traded hands on the NYSE so far today.
Advancing Sectors: Materials (+0.4%), Energy (+0.3%),
Telecom (+0.3%), Utilities (+0.1%)
Declining Sectors: Financials (-0.8%), Consumer Discretionary
(-0.4%), Tech (-0.2%), Industrials (-0.2%)
Unchanged: Consumer Staples, Health CareDJ30 +14.00 NASDAQ
-5.88 NQ100 -0.3% R2K -0.2% SP400 -0.2% SP500 -2.07 NASDAQ Adv/Vol/Dec
1173/1.27 bln/1478 NYSE Adv/Vol/Dec 1422/616 mln/1529