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    June 30, 2006

    Dow ends first half up by 4.3 percent

    Filed under: ExxonMobil, Administaff, General Motors, Intel, Micron Technology, EMC Corp

    The New York equities markets were down slightly at mid-session on Friday after gains on Thursday as the Federal Reserve announced yet another interest rate hike. But, while the markets slumped after starting strongly again Friday morning, they still looked to end the week with gains overall.

    The Dow Jones Industrial Average was 9.44 points lower at mid-session, to 11.181.36, while the Nasdaq Composite dropped 0.2 percent to 2,170.39 and the S&P 500 was only 0.3 points lower, to 1,272.57. However, the Dow was on track to see a gain of 1.7 percent this week, while the Nasdaq and the S&P were each up 2.3 percent on the week. The quarterly news wasn’t as good. While the Dow managed an 0.6 percent rise in the second quarter, the S&P was 1.7 percent lower in the quarter and the Nasdaq has fallen 7.2 percent since the end of March. Those figures leave the Dow up 4.3 percent in the first half of the year, the S&P up 1.9 percent in the first half, and the Nasdaq 1.6 percent lower. The losses in the Nasdaq reflect the difficulties that technology stocks have had so far this year.

    That trouble in the technology sector was reflected in the week’s activity for data storage system maker EMC Corp and flash memory products manufacturer Micron Technology. EMC and Micron each dropped 8.6 percent on the week, to $10.54 and $15.00 respectively. EMC’s investors were concerned that it had offered to much to purchase IT security company RSA Security, while Micron’s stockholders were not happy with its quarterly report.

    On the other hand, chipmaker Intel added 5.7 percent during the week to $19.02 on the launch of a new microprocessor for computer servers and the news that it has sold its unit to make chips for hand-held devices to Marvell Technology.

    In the automobile manufacturing sector, General Motors added 7 percent ton the week to $28.86 after dropping substantially on Tuesday when it said that sales in 2006 would be below 2005 levels. But receipt of a letter from investor Kirk Kerkorian on Friday that said Renault and Nissan are both interested in purchasing stakes in GM sent shares higher.

    ExxonMobil added 6.8 percent on the week to $62.05 as crude oil prices were on the rise again.





    June 29, 2006

    Oil stocks up on higher crude oil prices

    Filed under: Valero Energy, Sunoco, Administaff, Red Hat, Newmont Mining, Yahoo, Microsoft, Micron Technology, Barrick, Freeport McMoran, Duke Energy

    Wall Street saw gains by midday on Thursday as the Dow Jones Industrial Average, the Nasdaq composite, and the S&P 500 were all up by 0.8 percent. The Dow stood at 11,056.97, while the Nasdaq was at 2,129.55 and the S&P had reached 1,255.34. The gains came ahead of any announcement concerning interest rates from the US Federal Reserve.

    Miners were up as the prices of gold and copper went higher. Newmont Minng added 2.1 percent to $50.28, while Barrick Gold was up 2.7 percent to $28.55 and Freeport McMoran advanced by 3.4 percent to $51.86.

    Oil stocks were higher as well as the price of crude oil topped $73 per barrel. Sunoco was up 3 percent to $67.23, while Valero added 3.1 percent to $65.37, a six-week high. Duke Energy gained 3.6 percent to $29.39 after it said it will spin off its natural gas business. The announcement spurred an upgrade from “equal weight” to “overweight” from Lehman Brothers.

    Technology stocks were mixed. In the semiconductor sector, Micron Technology dropped 6.7 percent to $14.89 after it issued a third quarter report that was disappointing even though it showed a profit during the period this year after having sustained losses during the same time last year. Software maker Red Hat was down 8.9 percent to $22.78 on an earnings report that was below expectations due to acquisitions and accounting charges.

    On the other hand, Microsoft and Yahoo were both up at mid-session. Microsoft added 1.2 percent to $23.43, while Yahoo had gained 1.7 percent to $32.45.





    June 23, 2006

    Dow down on day, week

    Filed under: Administaff, Kerr-McGee, General Motors, New York Stock Exchange, Morgan Stanley, Jabil Circuit, Univision, Western Gas Resources

    Wall Street was lower at midday on Friday and looked to be on track to end the week in the red as investors worried about what the Federal Reserve’s Open Market Committee will do about interest rates when they meet next week. Also affecting market activity were reports that both the Index of Leading Economic Indicators and durable goods orders were off in May, implying that economic growth in the US is slowing.

    The Dow Jones Industrial Average had lost 0.2 percent to 10,995.16 by mid-session, a loss of 0.2 percent for the week. The Dow, however, is still up 2.6 percent for the year so far. The Nasdaq Composite was down 0.1 percent to 2,120.45 at midday, down 0.4 percent on the week. Meanwhile, the S&P 500 was essentially flat, down just 0.95 points to 1,244.65, which brought it to a loss of 0.6 percent for the week.

    The biggest gains for the week were in the oil sector, where Kerr-McGee added 33.5 percent to $68.52 and Western Gas Resources gained 41.6 percent to $59.71 on the news that Anadarko Petroleum will purchase both companies. The announcement sent Anadarko down 6.7 percent to $44.99.

    General Motors was up 4.4 percent on the week to $26.73 after it was learned that Delphi, GM’s largest parts supplier, has reached a settlement with one of its unions on employee buyouts.

    In the banking sector, Morgan Stanley gained 4.1 percent to $59.35 this week after it said profits doubled in the second quarter.

    NYSE Group added 8.8 percent to $59.90 after Euronext characterized a modified offer from Deutsche Borse as basically the same as its previous bid and continued to recommend NYSE’s offer for the European stock exchange operator.

    Jabil Circuit lost 6 percent over the week to $24.68, for a total decline of over 40 percent since the first of April, after announcing that it had been subpoenaed over its practices in granting stock options.

    Univision dropped 6.5 percent to $33.43 after two private equity groups dropped out of one of two consortia bidding for the Spanish language broadcaster.





    June 22, 2006

    Miners lower on dropping metals prices

    Filed under: Administaff, Apple Computers, Newmont Mining, Bed, Bath & Beyond, Micron Technology, Barrick, Jabil Circuit

    Midday on Thursday found the New York equities markets lower after new data showed the Index of Leading Economic Indicators down by 0.6 percent in May. The new figures were yet another sign that the US economy is growing at a slower pace. The possibility of new interest rate hikes also held investors back, with some analysts not expecting much change in the markets until the Federal Reserve meets next week.

    By mid-session, the Dow Jones Industrial Average had dropped 0.2 percent to 11,057.29, while the Nasdaq Composite was 0.5 percent lower at 2,130.30 and the S&P 500 had lost 0.3 percent to 1,248.80.

    Miners declined with the price of gold and copper. Both Barrick Gold and Newmont Mining dropped 1.2 percent, to $27.97 and $49.90 respectively.

    In computer related sectors, Apple Computer added 1.7 percent to $58.83 after French legislators approved a law concerning online music services that stopped short of provisions that had been proposed by some lawmakers. Chipmaker Micron Technology added 1.5 percent to $16.20 after Wednesday night’s news that it has finalized its merger with Lexar Media. Jabil Circuit, however, dropped 3.3 percent to $24.64 on the news that it has been subpoenaed about its practices connected with the granting of stock options. Jabil also has said that it is planning on eliminating jobs and closing some factories.

    Bed, Bath and Beyond dropped 5.8 percent to $34.80. While its first-quarter earnings report was about where analysts expected it to be, the home furnishings retailer’s forecast of future profits was on the negative side and it said that some store openings could be cancelled.





    June 21, 2006

    FedEx claims 27 percent jump in 4Q earnings

    Filed under: FedEx, Toll Brothers, Administaff, Cisco Systems, Hewlett-Packard, Amazon, Kaufman & Broad, Jabil Circuit, New York Times, Darden Restaurants, Univision

    Wall Street was higher at mid-session on Wednesday, with the Dow Jones Industrial Average up 1.2 percent to 11,102.19. The Nasdaq composite had added 1.7 percent to 2,141.75, while the S&P 500 gained 1.1 percent to 1,253.63. The number of shares traded stayed fairly low, which is a problem according to some analysts, who would like to see more shares change hands before considering the markets to be in recovery from recent losses.

    Homebuilders saw advances. Toll Brothers was up 2.6 percent to $26.73, while Kaufman & Broad added 2.9 percent to $45.34 and Pulte gained 3.8 percent to $28.25.

    Many technology stocks were higher as well. Cisco Systems was up 2.8 percent to $20.29, Hewlett-Packard added 3.2 percent to $33.92, and Amazon gained 3.7 percent to $36.49. However, Jabil Circuit dropped 3 percent to $25.45 ahead of a scheduled earnings report.

    The New York Times added 4.7 percent to $24.52 after it said that it was looking at strategies for increasing the amount of for-pay content on its online service.

    Darden Restaurants, which owns Olive Garden and Red Lobster, saw a gain of 5.5 percent to $37.52 on the news that its fourth-quarter profits were up by 10 percent, around what had been predicted.

    Also reporting fourth-quarter earnings was Federal Express. The parcel service said its fourth-quarter earnings were well ahead of analyst predictions, adding 27 percent. Its share price gained 4.7 percent on the day to $113.14.

    Univision, the Spanish-language broadcaster, dropped 4.1 percent to $33.96 after one potential bidder missed a Tuesday deadline to submit an offer.





    June 20, 2006

    Miners up on Wall Street

    Filed under: Continental Airlines, Administaff, Newmont Mining, Safeway, Costco Wholesale, Nvidia, Phelps Dodge, Circuit City, SanDisk, Barrick, Kroger, Freeport McMoran, Kellog, Campbell Soup, Heinz, JetBlue

    The New York equities markets were mixed at midday on Tuesday after having suffered losses in the past two sessions. The Dow Jones Industrial Average was 0.7 percent higher at 11,022.31 and the S&P 500 had gained 0.6 percent to 1,247.22. The Nasdaq Composite, however, was 0.5 percent lower at 2,121.01.

    Retailers were up on the day. Supermarket chain Safeway was up 2.6 percent to $25.06, while rival Kroger had added 5.3 percent to $20.48 on higher than forecast earnings in its first quarter. Meanwhile, discount reatiler Costco gained 2.7 percent to $55.00 on an upgrade from “neutral” to “overweight” from JPMorgan.

    Companies that produce food staples were up as well. Kellog, the cereal maker, was up 1 percent to $47.34, while Campbell Soup added 1.2 percent to $35.93 and condiment maker Heinz gained 1.3 percent to $41.65.

    Miners, too, saw advances. Newmont Mining was up 1.9 percent to $50.10. Phelps Dodge gained 2.4 percent to $78.88, while Freeport McMoran added 2.6 percent to $48.20 and Barrick Gold advanced by 2.9 percent to $28.02.

    In the airline sector, Continental Airlines was up 3.1 percent to $27.72, while JetBlue gained 5.2 percent to $12.13 on positive comments from Morgan Stanley.

    The semiconductor sector, however, saw losses, as Sandisk lost 2.1 percent to $51.38 and Nvidia dropped 2.5 percent to $20.48.

    Electronics retailer Circuit City was down 0.9 percent to $28.36 after Monday’s statement that higher interest rates are likely to affect its sales.





    June 16, 2006

    Stock exchange operators lose ground

    Filed under: Administaff, Bear Stearns, Schlumberger, New York Stock Exchange, Nasdaq Stock Market, Lehman Brothers, Goldman Sachs, BJ Services, InterContinental Exchange, Verasun Energy

    The New York equities markets were lower at mid-session on Friday, reflecting what looked to end up a losing week for everyone but the Dow Jones Industrial Average. The Dow was lower by 0.1 percent at the mid-point in the day, to 11,009.19, but was on course to finish 1.1 percent higher on the week. Meanwhile, the Nasdaq Composite was down 0.6 percent on the day so far and down 0.2 percent on the week to 2,130.38. The S&P 500 was 0.5 percent lower on the day to 1,250.24, also 0.1 percent lower over the week.

    Oil services companies were off for the week, as Schlumberger was down 2.3 percent to $57.88 and BJ Services also lost 2.3 percent, to $35.24.

    Banks were down, as well, though not by as much as they could have been. Lehman Brothers, down by 11 percent at one point in the week, was down 4 percent to $62.97 by mid-session on Friday, and Goldman Sachs was off 4 percent to $143.94 where it had been down by as much as 8.7 percent earlier in the week. Bear Stearns was 3.1 percent lower to $132.18.

    Stock exchange operators also ended the week in negative territory. Intercontinental Exchange was down 2.7 percent to $49.45, while Nasdaq lost 3.2 percent to $25.52 and NYSE Group declined by 6.4 percent to $53.50.

    Ethanol producer Verasun Energy began trade on Wednesday, gaining 30 percent on its first day of availability. While it lost value on Thursday, mid-day Friday found it still 8.7 percent ahead for the week at $25.00.





    June 15, 2006

    Oil stocks up

    Filed under: ConocoPhillips, Administaff, Bear Stearns, New York Stock Exchange, Nasdaq Stock Market, Lehman Brothers, Goldman Sachs, Nvidia, Caterpillar, SanDisk, Anadarko Petroleum, Verasun Energy

    Investors seemed to ignore data on inflation to send New York equities markets higher at the mid-point of the day on Thursday. The Dow Jones Industrial Average had added 0.8 percent to 10,905.22, while the Nasdaq Composite was up 1.7 percent to 2,120.64 and the S&P 500 gained 1 percent to 1,242.29.

    Banks saw gains. Goldman Sachs was up 2.7 percent to $142.26, Lehman Brothers gained 2.9 percent to $62.68, and Bear Stearns added 3.4 percent to $128.37 on a report that profits were up 81 percent in the second quarter.

    With crude oil prices rising again, ConocoPhillips gained 2.3 percent to $60.81, while Anadarko Petroleum advanced by 4 percent to $47.25. Ethanol producer Verasun Energy, however, which made its trading debut Wednesday with a gain of 30 percent, dropped 9.7 percent to $27.10.

    Stock exchange operators saw gains on the day. Nasdaq was up 6 percent to $26.63, while NYSE Group gained 7.1 percent to $54.50.

    Construction machinery manufacturer Caterpillar added 3.9 percent to $70.11 on the news that its quarterly dividend will go up by 20 percent.

    In the semiconductor sector, upgrades from “neutral” to “buy” sent both Nvidia and Sandisk higher. Sandisk gained 5 percent to $53.07, while Nvidia was up 7 percent to $21.87.





    June 14, 2006

    Semiconductors gain on upgrades

    Filed under: Administaff, Newmont Mining, Intel, Advanced Micro Device, Halliburton, Schlumberger, New York Stock Exchange, Nasdaq Stock Market, Boeing, Freeport McMoran, Noble Corporation

    Wall Street staged a slight recovery on Wednesday morning as investors paid less attention to concerns about inflation. By the middle of the session, the Dow Jones Industrial Average had added 0.6 percent to 10,764.73, while the Nasdaq Composite was up 0.5 percent to 2,082.01 and the S&P 500 gained 0.2 percent to 1,225.67.

    With metals prices higher, miners took back some of their recent losses. Freeport McMoran and Newmont Mining each added 4 percent, to $45.50 and $49.58 respectively. Still in commodities related stocks, oil and related companies saw gains on the day. Halliburton was up 2.7 percent to $70.12, while Schlumberger gained 2.9 percent to $56.16 and Noble Corporation advanced by 3.8 percent to $65.16.

    In semiconductors, upgrades from Goldman Sachs helped out both Intel and Advanced Micro Devices. AMD was up 3.2 percent to $25.18, while Intel gained 4 percent to $17.80 as it was advanced to “outperform”, from “inline”.

    Also receiving an upgrade from Goldman Sachs, from “underperform” to “inline” was airplane manufacturer Boeing, which gained 5 percent to $80.74 after Airbus said it would have to delay delivery of its new A380 superjumbo jet.

    Among stock exchange operators, NYSE Group was up 1.5 percent to $50.74, while Nasdaq added 4.9 percent to $25.48.





    June 13, 2006

    US miners take markets lower

    Filed under: Administaff, Apple Computers, Merrill Lynch, Bear Stearns, Intel, Goldman Sachs, Phelps Dodge, Barrick, Best Buy

    New York equities markets were lower again at mid-afternoon on Tuesday after their counterparts in Asia and Europe saw declines on the day. The Dow Jones Industrial Average and the Nasdaq Composite each had dropped 0.1 percent, to 10,780.34 and 2,088.79 respectively. The S&P 500 was 0.2 percent lower, to 1,233.55. Also helping bring about the declines was new data showing that producer price inflation was up more than had been expected, by 0.3 percent rather than the predicted 0.2 percent in May.

    Banks were down on the day, with the S&P banking index down 2.7 percent. Goldman Sachs lost 2.1 percent to $141.99 even though its second-quarter earnings were doubled. Merrill Lynch was down 2.9 percent to $66.61. Bear Stearns dropped 4.7 percent to $125.55.

    In the mining sector the declining price of gold sent Barrick Gold down 1.7 percent to $27.16. Phelps Dodge, meanwhile, dropped 3.7 percent to $73.96.

    Stocks related to computers were up on the day. Chipmaker Intel added 2.2 percent to $17.23, while Apple Computer advanced by 3 percent to $58.69.

    Consumer electronics retailer Best Buy was up 5 percent to $51.46 after it said that its first quarter profits were 37 percent higher than in the same period last year.





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