Market Outlook ( USA ) As of: Jul 2 2003 4:20PM ET
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Market Outlook ( USA ) As of: Jul 2 2003 4:20PM ET
Dow +101.89 at 9142.84, Nasdaq +38.64 at 1678.77, S&P +11.44 at 993.76:
As of: Jul 2 2003 4:20PM ET
In a virtual dearth of corporate news, the market extended yesterday's gains and closed near its session highs, spurred on by the sizeable advance of the international bourses (Nikkei +3.38%, DAX +3.0%, CAC +2.2%, FTSE +1.1%) and favorable brokerage calls of significance... To wit, Microsoft (MSFT 26.89 +0.74) was upgraded at Merrill Lynch to Buy from Neutral and added to the firm's Focus 1 List based on MSFT's potential for EPS upside, a possible increase in the dividend, and the valuation disparity to its peer group... Separately, Goldman Sachs stated its expectation of mostly in-line results from the Biotech companies when they begin reporting Q2 results on July 9 and singled out Amgen (AMGN 67.26 +1.41) for a potential upside surprise based on strong sales... As a result, the biotech and technology sectors were among the strongest performers throughout the session, although the market also got a boost from gains in sectors such as financial, drug, retail, paper, transportation, defense, and restaurant... As a matter of fact, the only laggards of note were the department store and airline sectors, which capped the advance of the blue-chip averages and aided in the Nasdaq's relative outperformance... On the economic front, May's Factory Orders rose 0.4%, above the flat consensus, as customers ordered more seasonal items, but cut back on big-ticket purchases... The market popped on the news, but the report was not a driving force behind the market due to its largely predictable nature... Tomorrow's Economic Calendar is jam-packed with reports of importance, including June's Employment report and the Initial Claims report for the week of 6/28... Note that economic reports may have an exaggerated effect on the market tomorrow due to it being a half-day, with relatively light volume expected... Elsewhere, after starting the day in negative territory Treasuries staged a nice recovery and closed the session with gains to show for it... The 10-yr note finished the session with gains of +4/32, bringing its yield to 3.53%...
As of: Jul 2 2003 4:20PM ET
In a virtual dearth of corporate news, the market extended yesterday's gains and closed near its session highs, spurred on by the sizeable advance of the international bourses (Nikkei +3.38%, DAX +3.0%, CAC +2.2%, FTSE +1.1%) and favorable brokerage calls of significance... To wit, Microsoft (MSFT 26.89 +0.74) was upgraded at Merrill Lynch to Buy from Neutral and added to the firm's Focus 1 List based on MSFT's potential for EPS upside, a possible increase in the dividend, and the valuation disparity to its peer group... Separately, Goldman Sachs stated its expectation of mostly in-line results from the Biotech companies when they begin reporting Q2 results on July 9 and singled out Amgen (AMGN 67.26 +1.41) for a potential upside surprise based on strong sales... As a result, the biotech and technology sectors were among the strongest performers throughout the session, although the market also got a boost from gains in sectors such as financial, drug, retail, paper, transportation, defense, and restaurant... As a matter of fact, the only laggards of note were the department store and airline sectors, which capped the advance of the blue-chip averages and aided in the Nasdaq's relative outperformance... On the economic front, May's Factory Orders rose 0.4%, above the flat consensus, as customers ordered more seasonal items, but cut back on big-ticket purchases... The market popped on the news, but the report was not a driving force behind the market due to its largely predictable nature... Tomorrow's Economic Calendar is jam-packed with reports of importance, including June's Employment report and the Initial Claims report for the week of 6/28... Note that economic reports may have an exaggerated effect on the market tomorrow due to it being a half-day, with relatively light volume expected... Elsewhere, after starting the day in negative territory Treasuries staged a nice recovery and closed the session with gains to show for it... The 10-yr note finished the session with gains of +4/32, bringing its yield to 3.53%...
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