YAHOO [BRIEFING.COM]: Modest
gains in the early going turned into modest losses during afternoon action, but
some late support helped the stock market settle higher for the sixth straight
session. There weren't many catalysts to account for this session's trade;
instead, stocks were largely left to move on their own.
Amid a lack of news flow,
early participants took their cues from overseas markets, which made solid
gains on the back of better-than-expected economic data in Japan and word that
stimulus policies in China will remain intact. A modest pullback by the
greenback also provided early support to stocks. The Dollar Index settled with
a 0.1% loss.
However, stocks came under
pressure in afternoon trade. Financials proved to be a particular drag on
action and fell 0.3% as bank stocks sank to a 0.7% loss, based on the KBW Bank
Index. That slide came even though the Federal Reserve proposed amendments that
would offer interest-bearing term deposits to eligible institutions.
Though financials faltered,
the broader market was able to reclaim its gains into the close. Telecom and
health care settled 0.6% and 0.4% higher, respectively, and were the best
performing sectors.
Retailers looked relatively
strong for the entire session amid news from MasterCard Advisors' SpendingPulse
that U.S. retail holiday sales increased an estimated 3.6% year-over-year.
Internet retailers contributed meaningfully to the increase so Amazon.com
(AMZN 139.29, +0.82) garnered support, but its strength faded. Still, it was
able to provide support to the Nasdaq 100, which outperformed the headline
indices by booking a 0.5% gain.
Commodities performed well for
the entire session. That helped the CRB Commodity Index climb 1.3% to trade at
a fresh two-month high, even though weakness in the dollar was relatively tame.
Treasuries tripped again. That
took the benchmark 10-year Note down nine ticks and its yield to 3.84%, which
puts it near four-month highs. Treasuries temporarily pared their losses amid
news that results from an auction of two-year Notes produced a bid-to-cover
that was in-line with this year's average of 2.9. The two-year Note fell four
ticks, which put its yield at 1.04%.
Only some 700 million shares
exchanged hands on the NYSE this session. Though Christmas holiday has passed,
light action is likely to persist until after the new year.
Advancing Sectors: Telecom (+0.6%), Health Care (+0.4%),
Energy (+0.3%), Tech (+0.2%), Utilities (+0.2%), Materials (+0.2%), Consumer
Staples (+0.1%)
Declining Sectors: Financials (-0.3%), Industrials (-0.1%)
Unchanged: Consumer DiscretionaryDJ30 +26.98 NASDAQ +5.39
NQ100 +0.5% R2K +0.0% SP400 +0.0% SP500 +1.30 NASDAQ Adv/Vol/Dec 1215/1.23
bln/1482 NYSE Adv/Vol/Dec 1555/705 mln/1482