YAHOO [BRIEFING.COM]: Action
was generally lackluster in the broader market this session, but there were a
few pockets of strength as participants digested the latest round of earnings
results.
Choppy trade took the S&P
500 from a modest gain in the early going down below the psychologically
significant 1200 line, but the broad market measure was able to recover into
the close to settle with a slight loss.
Industrials were a steady source
of strength this session. The sector finished 0.9% higher amid strength in Dow
components United Technologies (UTX 76.93, +2.73) and Boeing
(BA 74.21, +2.80), along with Lockheed Martin (LMT
86.25, +1.28). Each posted a positive earnings surprise for the latest quarter.
Huntington Bancshares (HBAN 6.59, +0.76) led regional banks 1.7%
higher, even as Wells Fargo (WFC 33.01, -0.68) faltered amid
disappointment over the lender's top line results.
In a similar vein, Morgan
Stanley (MS 31.68, +1.23) moved investment banks markedly higher with
its earnings, but Goldman Sachs (GS 158.93, -1.05) failed to
follow. Shares of GS were grounded despite a CNBC report that the SEC has a
testimony that appears to contradict the fraud charges aimed against Goldman
Sachs.
Financials finished with a
0.5% loss, but had been down in excess of 1% at their session low.
Health care stocks were the
weakest overall with a 1.8% loss. That slide came even though Stryker (SYK
57.93, -0.52) and St Jude Medical (STJ 41.75, +0.75) posted
positive reports. Abbott Labs (ABT 51.78, -1.28) also beat
expectations, but led pharmaceutical plays lower. Gilead Sciences (GILD
40.76, -4.31) bested earnings expectations, too, but was hit with an analyst
downgrade that imbued the broader biotech space.
Weakness among biotechs
undermined the Nasdaq Composite, such that it was unable to finish with more
than a modest gain despite a record high for Apple (AAPL
259.22, +14.63). Apple boasted blowout numbers in its latest quarterly report.
Though the Nasdaq Composite
was hampered a bit, the Nasdaq 100 was able to outperform with a 0.5% gain. Amazon.com
(AMZN 146.43, +2.23) was an additional source of support ahead of its
earnings announcement Thursday night.
The S&P 400 Mid-Cap Index
managed a 0.4% gain, thanks to help from Tupperware Brand (TUP
53.92, +5.56), which not only posted upside earnings results, but also issued
an upside forecast.
Small-caps in the Russell 2000
settled 0.6% higher amid leadership from Cybersource (CYBS
25.72, +6.28), which will be acquired by Visa (V 93.13, -0.92)
for $26 per share -- a premium of nearly 34% above its prior session close.
Commodities closed with a
collective gain of 0.4%, as measured by the CRB Commodity Index. Its strength
was primarily underpinned by gold's 0.8% gain to $1148.80 per ounce and
silver's 1.4% climb to $18.08 per ounce in the face of the dollar's 0.2%
increase against a basket of foreign currencies.
The CRB Commodity Index put
together a 0.4% gain for this session. Its strength was primarily underpinned
by higher precious metals prices, which advanced in the face of the dollar's
0.2% increase against a basket of foreign currencies.
More specifically, gold prices
closed pit trade with a 0.8% gain at $1148.80 per ounce. Silver prices settled
with a 1.4% gain at $18.08 per ounce.
Energy prices succumbed to the
efforts of sellers, though. Oil prices had dropped below $83 per barrel in
response to a surprise build in weekly oil inventories, but then rebounded to a
modest gain only to settle with a 0.2% loss at $83.68 per barrel.
Natural gas gave up a handsome
gain. Prices for the commodity had been up more than 1%, but it retreated to a
loss of 0.5% at $3.96 per MMBtu.
Oil prices failed to sustain a
rebound that followed a selloff induced by a surprise build in weekly oil
inventories. It settled with a 0.2% loss at $83.68 per barrel. Natural gas gave
up a gain of more than 1% to close 0.5% lower at $3.96 per MMBtu.
Treasuries garnered strong
support this session. In turn, the benchmark 10-year Note made its way 15 ticks
higher, which took its yield down to 3.75%.
Advancing Sectors: Industrials (+0.9%), Consumer
Discretionary (+0.6%), Tech (+0.4%), Utilities (+0.2%), Consumer Staples
(+0.1%)
Declining Sectors: Health Care (-1.8%), Telecom (-0.9%),
Financial (-0.5%), Energy (-0.2%), Materials (-0.1%) DJ30 +7.86 NASDAQ +4.30
SP500 -1.23 NASDAQ Adv/Vol/Dec 1418/2.63 bln/1265 NYSE Adv/Vol/Dec 1741/1.21
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