 |
© Bulbrokers AD |
U.S. stocks extended their gains
U.S. stocks started the Wednesday’s session with a sharp gain, after a private report showed an unexpected increase in jobs bolstering expectations that the labor market will weather an economic slowdown.
Yesterday the big item was an unexpected 9,000 increase in July’s private non-farm employment, according to ADP. Economists expected a 60,000 decrease in jobs. The ADP report has a spotty track record in relation to the government's jobs report, set for release on Friday. However, ADP's data increased expectations that the government's report will show a smaller decline in employment than the current median estimate of -75 000.
The financial sector also started with big gains, after the Securities and exchange Commission extended until Aug. 12 an emergency limit on socalled naked short sales in shares of the mortgagefinance companies and 17 brokerages as it prepares broader rules to thwart stock manipulation.
However the positive sentiment reversed, as the crude oil gained. The oil futures with delivery in September rose 5% to $127.30, which drove back the major indexes from their day highs.
On corporate level Exxon Mobil Corp. and Chevron Corp., the biggest oil companies, gained 3.2% and 5% to $83.50 and $87respectively.
On the other hand General Motors Corp. lost 5% to 11.30 per share due to higher oil prices.
Shares of Garmin Ltd. sunk with more than 22% to $10, after the navigation device maker cut its 2008 outlook.
Elan and Wyeth lost 41% and 12% respectively, as the drug makers said a Phase II study of an Alzheimer's disease drug didn't generate statistically significant results.
After all, Fannie Mae and Freddie Mac remained on the positive ground. Fannie rose 4.8% to $12.20 , while Freddie gained 5.4% to $8.90.
After all, Dow Jones Industrial Average and S&P 500 managed to close with big gains, while Nasdaq Composite rebound from the negative ground. Dow Jones rose with 1.6% to 11 585, S&P 500 gained 1.7% to 1.285 and Nasdaq added 0.3% to 2 328.
Trading volume on NYSE was 1.47 billion shares, with ratio advancers/decliners 2 to 1. The volume on Nasdaq was 2.27 billion shares, with ratio advancers/decliners 5 to 4.
TECHNICAL OVERVIEW
DOW JONES
Dow Jones extended the positive sentiment gaining more than 180points to 11 585. If Dow extends its positive sentiment, it will meet first resistance at the key level 11 700, followed by psychological border at 12 000. On the opposite direction, supports are seen at 11 100, 10 950 and 10 680.
DOW JONES (chart, table)
*****
To view the original document, please click on the link below:
http://reports.aiidatapro.com/BBB/Bulbrokers/31.07.2008_Dow_daily_report.pdf
*****
Copyright: 2007 STS Finance AD. All rights reserved.
For further Information please contact STS Finance, 1 Chervena Stena Str., 1421 Sofia
Phone: + 359 2 963 11 38, fax: +359 2 963 09 36, e-mail: research@finance.sts.bg, web site: http://www.finance.sts.bg
*****
AII Data Processing does not endorse in any way, the views, opinions or recommendations expressed above. The use of the Information is subject to the terms and conditions as published by the original source, which you have to read and accept in full prior to the execution of any actions taken in reliance on Information contained herein.
 | SeeNews SeeNews is a business and financial news and information provider which brings its visitors and customers access to detailed coverage on the fast-growing companies, economies and markets of ten Southeast European nations. |
Search for: market |
Search for: share |
Search for: exchange |
Search for: report |
Search for: chart |
Search for: sales |
Terms & ConditionsPrivacyCopyrightPublished by All Data Processing. All rights reserved. Created by Ladger.
31.07.2008 Dow daily report.pdf, 155 Kb
