Market Recap, The Bleeding Continues
The market continued its woes today with the NASDAQ Composite finishing the day down 1.67% to 2,584.13, the Dow Jones finishing down 0.42% to 12,987.55, and the S&P 500 closing down 1% even to 1,439.18.
The big loser on the day was E-trade Financial (ETFC) which finished the day down a staggering 58% as the stock traded as low as $3.46 on the day, and closed at about $3.60. The company faces big subprime related write downs and Citigroup analysts are going as far as to suggest a possible bankruptcy for the big online broker.
A handful of big leaders in this market were down substantially today. Google (GOOG) finished down 4.7%, Apple (APPL) -6.9%, Potash (POT) -14.4%, Baidu.com (BIDU) -12.3%, First Solar (FSLR) -14.3%, Research in Motion (RIMM) -.9.6%, Intuitive Surgical (ISRG) down 5.7%, and Dryships (DRYS) down 12.5%.
On the upside Goldman Sachs (GS) finished the day up just over 2%, and Cognos (COGN) gapped up today on the news that International Business Machines (IBM) was going to buy them out for $5 billion in cash. IBM finished the day up 1.2% but is down 19% since early October.
Interesting to see today was that both Gold and Oil fell today. Gold futures finished the session at $807.70 an ounce and oil closed down $1.70 a barrel to $94.62. This translated to the ETFs Streettracks Gold Trust (GLD) finishing down nearly 4.6% and Oil Services Trust (OIH) closing down 5.5% as well.
International names didn’t turn out too hot either as the FXI lost $12.50 points, closing the day at $169.50. Petrochina (PTR), China Life Insurance (LFC), and Baidu.com (BIDU) all finished the day in the red. Also, the Msci Emerging Markets (EEM) ETF traded down $8.50 today closing below its 50 day moving average at $145.10.
Looking ahead the NASDAQ is now only several points away from its 200 day moving average. All three indices traded down on higher than average volume but not higher volume than Friday. This as a result does not classify the day as a true distribution day.
Happy Veterans Day.
Seeing those market leaders like Apple and Google tanking is pretty disturbing. If they keep falling at those percentage rates they are going to be good buys in the long term.
this thing just needs to turn around
Nice little bounce this morning. I’ll call a bottom and say we’ll see 13,600 by year’s end. 14,000 if we have another 25 bp cut.