| Index | Last | Chg | % Chg |
| DJ Industrials | 12987.55 | -55.19 | -0.42% |
| Nasdaq Comp | 2584.13 | -43.81 | -1.67% |
| S&P 500 | 1439.18 | -14.52 | -1.00% |
| DJ Wilshire 5K | 14542.93 | -166.36 | -1.13% |
| Russell 2000 | 767.09 | -5.29 | -0.68% |
| Nasdaq 100 | 1982.16 | -52.14 | -2.56% |
COMMENTS: Nasdaq Big Cap Tech (QQQQ) took another beating today. It is now sitting right on the 200 EMA. Today makes the fourth consecutive down day for a cumulative loss of 11.08%!
| Issues | NYSE | Nasdaq | Amex |
| Advancing | 1,074 | 1,226 | 375 |
| Declining | 2,177 | 1,750 | 891 |
| Unchanged | 94 | 96 | 83 |
| Total | 3,345 | 3,072 | 1,349 |
| New 52 Week High | 16 | 26 | 33 |
| New 52 Week Low | 273 | 252 | 96 |
| Total Volume | 1,706,331,760 | 2,838,685,872 | 52,086,461 |
| Advancing Vol | 575,258,890 | 751,435,154 | 14,946,470 |
| Declining Vol | 1,100,942,240 | 2,050,836,151 | 36,628,591 |
| Unchanged Vol | 30,130,630 | 36,414,567 | 511,400 |
COMMENTS: New 52-week lows continue to lead highs for the fourth straight day now. Downward momentum is solidly in place. Decliners lead advancers.
| Futures | Last | Change | |
| Crude Oil | 93.76 | -2.56 | |
| Natural Gas, Jan | 8.285 | -0.005 | |
| Gold, Dec. | 796.6 | -38.1 |
From Briefing.com:
| Moving the Market |  | Sector Watch |
| IBM to acquire Cognos for $5 billion E*Trade announces write-downs in the value of mortgage backed assets; stock plummets 58% but financial sector stil exhibits relative strength Dollar boost undercuts commodity-based stocks Market hit with another broad-based sell-off in last half hour; closes at lows for the day Bond market is closed in observance of Veterans Day | Strong: airlines; health care facilities; specialty consumer services; forest products; apparel; leisure products; trucking; specialty stores; home furnishings Weak: diversified metals & mining; gold; steel; fertilizer & agriculture chemicals; construction & engineering; coal & consumable fuels; education services; oil & gas drilling; oil & gas equipment; oil & gas exploration |
With the stock market declining nearly 4.0% last week, one would have expected to see a better showing on Monday from the bulls. They did flex some muscle in early trading as bargain hunting efforts helped lift the major indices. At the end of the day, though, there were no gains to be had as the market experienced another round of broad-based selling activity in the final half-hour that left them at their lows for the session. Once again, there were headlines out of the financial sector involving the need to write-down the value of mortgage-backed securities. E*Trade Financial (ETFC 3.55, -5.04) was the center of attention on this front as its stock plummeted 59% following the company's announcement that it would be taking further write-downs in the fourth quarter and that investors should no longer rely on the company's prior 2007 earnings outlook. The selling pressure on E*Trade's stock was exacerbated by a Citigroup downgrade to Sell from Hold and an observation from the Citigroup analyst that an E*Trade bankruptcy filing was not out of the question. E*Trade dismissed that talk as "irresponsible," but that did little to help its stock. Strikingly, neither E*Trade's news nor Countrywide's (CFC 13.19, -0.64) warning that it would have difficulty accessing the public corporate debt market if its debt rating was cut to junk caused the financial sector to come unglued. In fact, the financial sector (+0.2%) was one of the better-performing sectors in Monday's trading as it benefited from bottom-fishing interest in a host of names including Goldman Sachs (GS 214.71, +3.38) and Washington Mutual (WM 20.77, +0.26). Many retail stocks also moved up on bottom-fishing interest following a weekend article in Barron's that highlighted their oversold status. The relative strength in those two beaten-down areas, though, was more than offset by continued weakness in the technology sector (-1.5%) and material weakness in the energy (-3.8%) and basic materials (-3.7%) sectors. Weakness in technology followed a Merrill Lynch downgrade of Microsoft (MSFT 33.38, -0.35) to Neutral from Buy, but it was primarily a carryover move from last week as the sector, which rallied 21% from its Aug. 16 low to its Oct. 31 high, was still viewed as ripe for profit taking in the face of burgeoning concerns about business spending and an unwinding of the yen carry-trade that helped finance some of the big moves in the tech sector. Similarly, the energy and basic materials sectors, also big gainers of late, got hit on the unwinding concerns that were reflected in the yen's strength against the dollar today. The dollar index, though, which averages exchange rates between the dollar and six major world currencies, gained 0.7%. The greenback's gain fueled the selling interest in the commodity space that saw oil prices slip 1.8% to $94.62 per barrel and gold prices drop 3.2% to $814.70 per troy ounce. There wasn't any action in the Treasury market Monday as it was closed in observance of Veterans Day. The Treasury market will open for trading again on Tuesday. Separately, IBM (IBM 101.45, +1.20) bucked the selling trend as investors cheered the news that it will be acquiring Cognos (COGN 57.15, +4.17) for approximately $5 billion, or $58 per share, in cash. |
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