YAHOO [BRIEFING.COM]: Late
selling pressured stocks, but the major averages still made out with another
modest gain. Treasuries ticked higher, too. Little attention was paid to the
dollar, which dropped markedly.
Though buying during the
session remained reserved, broad support helped take the stock market to a new
two-year high today. Sellers knocked stocks off of that perch in the last leg
of trade, but the session ended before the ticker tape could print red. The
S&P 500 has managed to settle out of the red on all but three occasions
this month. The benchmark index is now on pace for an annual gain of about 13%
with only two sessions remaining in 2010.
As an overall group energy
stocks boasted some of the biggest gains of the day. They were only up narrowly
in the early going, but ended the day 0.8% higher. The sector was largely led
by drillers and equipment plays, which settled with gains of 1.8% and 2.0%,
respectively.
Fertilizer and agricultural
plays also found favor among participants. That helped Potash (POT
152.07, +7.40), Mosaic (MOS 74.80, +3.36), and Agrium (AGU
90.16, +3.90) surge to new two-year highs. Their strength also helped prop up
the basic materials sector so that it settled with a 0.4% gain, which was
second only to energy.
Financials and utilities
lagged all session; both ended the day with a 0.3% loss. Financials, which had
been leaders earlier this month, were weighed down by investment banks and
brokerages like Morgan Stanley (MS 27.28, -0.38). Utilities
were undercut by losses in electric utilities like Exelon (EXC
41.57, -0.39).
Just as a rally by the dollar
was shrugged off in the prior session, nothing was really made of its 0.8% drop
today. Relative to a basket of foreign currencies the dollar is still up 2.4%
for the year.
Treasuries attempted to
recover the losses sustained during the prior session with a strong rally
today. The benchmark 10-year Note gained more than a point so that its yield
was at 3.34% by the end of the day. Buying came in response to results from an
auction of 7-year Notes. The auction attracted dollar demand of $82.9 billion
while the bid-to-cover ratio came in at 2.86. The indirect bidder participation
rate hit 64.2%. All were improved from the prior session.
Share volume was anemic once
again as barely a half billion shares traded hands on the NYSE. That's only
half of the NYSE's 50-day moving average of 1.00 billion shares. However,
trading volume surpassed Monday's paltry total of 467 million shares, which
made for the second lowest tally of the entire year.
Silver had another strong
session. After a spike of 3.6% in the prior session, silver prices advanced
another 0.9% today to settle at $30.60 per ounce. At their best level of the
day, prices in the continuous contract were just a penny shy of the 30-year
high of $30.69 per ounce.
Gold prices gained 0.5% to
finish pit trade at a session high of $1413.30 per ounce. That advance came on
top of the prior session's 1.7% gain.
As for energy, crude oil
prices fell to $91.14 per barrel, which made for a 0.4% loss. Weekly oil
inventory data will be released tomorrow. Meanwhile, natural gas prices were
able to pare early losses and finish flat at $4.29 per MMBtu.
Advancing Sectors: Energy (+0.8%), Materials (+0.4%),
Consumer Discretionary (+0.2%), Health Care (+0.1%), Tech (+0.1%), Telecom
(+0.1%)
Declining Sectors: Financials (-0.3%), Utilities (-0.3%),
Industrials (-0.1%)
Unchanged: Consumer StaplesDJ30 +9.84 NASDAQ +4.05 NQ100 +0.2%
R2K +0.1% SP400 +0.3% SP500 +1.27 NASDAQ Adv/Vol/Dec 1441/1.13 bln/1194 NYSE
Adv/Vol/Dec 1922/518 mln/1091