Reply #74: Heading into the "magical hour" at 2:02....Can they change the color of this horse before the close? [View All]

[54anickel]

My guess is no, but stranger things have happened.....

Dow 12,682.81 55.60 (0.44%)
Nasdaq 2,516.88 1.54 (0.06%)
S&P 500 1,455.41 2.22 (0.15%)
10-yr Bond 4.738% 0.046
30-yr Bond 4.837% 0.048
NYSE Volume 1,685,565,000
Nasdaq Volume 1,368,235,000

2:00 pm : Range-bound trading persists as the absence of notable industry leadership continues to dictate today's action. Of the six sectors trading lower, Industrials (-0.7%) continues to pace the way. After hitting an all-time high yesterday, Deere & Co (DE 112.34 -3.61) has succumbed to the most aggressive of profit-taking efforts. Transports, also a day removed from reaching historic highs, is another sector sore sport.

Surging oil prices are also prompting consolidation throughout the Consumer Discretionary sector (-0.5%), especially retailers. Two days ago, the S&P Retail Index closed at its best levels ever, but JC Penney (JCP 83.55 -2.80) following up record Q4 results with downside Q1 guidance has exacerbated consolidation efforts. DJ30 -55.24 NASDAQ -2.70 SP500 -2.62 NASDAQ Dec/Adv/Vol 1708/1237/1.34 bln NYSE Dec/Adv/Vol 1909/1258/918 mln

1:30 pm : More of the same for stocks as selling remains widespread across most areas. Not even bonds, in the face of geopolitical worries tied to Iran no less, are attracting buyers. The 10-year note, which has been under pressure all day ahead of a $13 bln 5-year note auction, has recently slipped to session lows in response to today's mediocre sale.

While the auction attracted decent 26.5% indirect bidder participation, a relatively low bid-to-cover ratio of 2.43 has exacerbated consolidation throughout the credit market. The 10-year note is now down 10 ticks, lifting the yield to 4.73%. DJ30 -55.52 NASDAQ -2.52 SP500 -2.63 NASDAQ Dec/Adv/Vol 1720/1215/1.24 blnAuction Push NYSE Dec/Adv/Vol 1907/1265/842 mln