February 22, 2012 -- Updated January 20, 2012 00:25 HKT
World Market Snap Shot BAC, MS, GOOG, EKDKQ
Reds Bull Trader Alert: S&P 500 rises most since Y 1987 as Bernanke helps offset Europe fears.
US stocks are off to the best start in 25 yrs as investors believe Federal Reserve Chairman Ben S. Bernanke has done enough to insulate the economy from Europe’s debt crisis.
The S&P 500 has gained 4%, the most since it rose 10% over the 1st 11 days in Y 1987, according to data.
Stocks are overcoming earnings that trailed estimates by the widest margin in 3 yrs as improvements in hiring, manufacturing and car sales extend the biggest Q-4 advance since Y 2003.
Mr. Bernanke has left the target rate on overnight loans between banks unchanged since the end of Y 2008, the longest stretch since at least Y 1971, data show.
The policy may drive more investors toward equities after yields on 10-yr Treasuries finished Y 2011 within a 0.25 pt of a record low and the economy grew at an estimated 3.1% rate last Quarter.
The S&P 500 advanced in 7 of the 1st 8 days this year, something that has occurred 8 times since Y 1900, data compiled by JPMorgan Chase & Co. show. The mean return those years was 16%, the data show.
About US$640-B has been added to the value of American shares this year and the S&P 500 tapped a 6-month high yesterday, as economic reports outweighed concern that downgrades for European nations would worsen the debt crisis.
The average forecast for US gross domestic product (GDP) growth this year has been rising since October. From a low of 2%, the median estimate in a survey of 72 economists has climbed to 2.3%, including a 0.2-pt increase on 12 January that represented the biggest 1-day gain since projections for Y 2012 began, according to data.
Optimism about the economy is helping investors shrug off Q-4 earnings that have trailed estimates. Profit (SPX) fell short of analyst forecasts by an average of 4.3% among the 8 S&P 500 companies that posted results in the 1st week of earnings season, the data show. Three other Quarters with a worse 1st week of earnings season were in Y’s 2007 and 2008 as the economy was slipping into to the worst recession since the 1930′s.
The S&P 500 increased 0.49% to 1,314.50 Thursday, the highest level since July 26. It climbed 1.4% over 4 days last week, reaching a 5-month high of 1,292.48 on 11 January.
With the S&P 500 having broken above the Key 1,300 mark, it looks set to tap the 1,360-1,370, the May 2011 high, and I believe we will see it during this earnings season.
US Stocks: Wall Street rose for the 3rd day running Thursday, sparked by results from Bank of America (NYSE:BAC) and Morgan Stanley (NYSE:MS) and as the latest jobless claims dropped to a near 4-yr low.
The S&P 500 hit a fresh 5-month high, with the industrials, consumer discretionary stocks and financials leading gainers.
BAC, MS, GOOG, EKDKQ
| DJIA | 12,624.00 | 45.03 | 0.36% | 16:30 |
| S&P 500 | 1,314.50 | 6.46 | 0.49% | 16:32 |
| NAS | 2,788.33 | 18.62 | 0.67% | 16:58 |
Tech shares advanced ahead of earnings from a number of giants. But after the closing bell, shares of Google (NASDAQ:GOOG) fell 10% to 575.50 following its results.
In the regular session, Bank of America Corp rose 2.4% to 6.96 after it reported it swung to Q-4 profit from a year-ago loss. Morgan Stanley reported a loss that was narrower than expected, sparking a 5.4% rise in its stock to 18.28.
Financial shares have rallied since the beginning of the year. The S&P financial index .GSPF is up 8.1% so far in Y 2012, helping to push the S&P 500 up 4.5% for the year.
Semiconductor stocks also advanced, with the PHLX Sox Index .SOX rising 1.9%.
The broad market’s path higher was relatively choppy and without much volume, but nonetheless it enabled the stock market to book its best close since last Summer.
The S&P 500 is now up more than 20% from the 52-wk intra-day low set this past fall and only about 4% below the multi-year high that it set last Spring.
Weekly initial jobless claims dropped by 50,000 to 352,000, which is considerably less than the tally of 385,000 that had been expected, on average, among economists polled, and the lowest tally since Y 2008.
Housing starts for December had been widely expected to hit an annualized rate of 673,000 units, but instead came in at a rate of 657,000, down from the prior month rate of 685,000 units
Advancing Sectors: Industrials +0.9%, Financials +0.9%, Consumer Discretionary +0.9%, Tech +0.7%, Energy +0.4%, Consumer Staples +0.2%, Telecom +0.2%
Unchanged: Health Care
Declining Sectors: Utilities -0.8%
Volume and Breadth: trade totaled about 7.6-B/shrs on the NYSE, AMEX and NAS, above the daily average of 6.68-B/shrs, and the highest since 16 December. Advancing stocks outnumbered declining ones by a ratio of about 2 to 1 on the NYSE and on the NAS, by about 7 to 5.
US Treasuries saw heavy selling for much of the morning before settling into an afternoon trading range near session lows. Longer dated paper saw the heaviest selling as the long bond tumbled more than 2 handles before seeing some light buying.
Thursday’s selling ran yields at the back of the curve up as much as 9 bps as the 10-yr settled at 1.972%, its highest level since 10 January.
A steeper yield curve played out over the course of today’s session as the 2-10-yr spread widened to 174 bps.
Little data Friday with only existing home sales (10) due out.
| Date | Symbol | Price | Technical Analysis | Support | Resistance |
| 19 Jan 2012 | QQQ | 59.76 | Neutral (0.12) | 50.03 | |
| 19 Jan 2012 | DIA | 126.07 | Neutral (0.16) | 105.08 | |
| 19 Jan 2012 | SPY | 131.22 | Neutral (0.13) | 108.35 |
|
INDEX
|
VALUE | CHANGE | % CHANGE | TIME |
|---|---|---|---|---|
| DJIA | 12,624.00 | 45.03 | 0.36% | 16:30 |
| S&P 500 | 1,314.50 | 6.46 | 0.49% | 16:32 |
| NAS | 2,788.33 | 18.62 | 0.67% | 16:58 |
| S&P/TSX | 12,380.70 | 53.17 | 0.43% | 16:35 |
| MEXICO IPC | 37,680.10 | 173.30 | 0.46% | 16:07 |
| BRAZIL BOVESPA | 61,926.70 | 203.83 | 0.33% | 15:16 |
Europe, Africa and Middle East
| INDEX | VALUE | CHANGE | % CHANGE | TIME |
|---|---|---|---|---|
| Euro Stoxx 50 Pr | 2,435.04 | 44.40 | 1.86% | 11:50 |
| FTSE 100 | 5,741.15 | 38.78 | 0.68% | 01/19 |
| CAC 40 | 3,328.94 | 64.01 | 1.96% | 11:45 |
| DAX | 6,416.26 | 61.69 | 0.97% | 01/19 |
| IBEX 35 | 8,603.80 | 183.10 | 2.17% | 11:38 |
| FTSE MIB | 15,652.00 | 373.99 | 2.45% | 11:30 |
| AEX | 320.48 | 4.96 | 1.57% | 12:10 |
| OMX STOCKHOLM 30 | 1,037.82 | 9.20 | 0.89% | 11:30 |
| SWISS MARKET | 6,194.45 | 78.22 | 1.28% | 11:31 |
Asia-Pacific
| INDEX | VALUE | CHANGE | % CHANGE | TIME |
|---|---|---|---|---|
| NIKKEI 225 | 8,639.68 | 89.10 | 1.04% | 01/19 |
| HANG SENG | 19,942.90 | 256.03 | 1.30% | 01/19 |
| S&P/ASX 200 | 4,214.77 | -3.11 | -0.07% | 01/19 |
Commodities
| VALUE | CHANGE | % CHANGE | TIME | |
|---|---|---|---|---|
| Nymex Crude Future | 100.55 | -0.04 | -0.04 | 16:45 |
| Nymex Henry Hub Future | 2.30 | -0.17 | -6.96 | 16:45 |
| Gold 100 oz Future (USD oz.) | 1,657.70 | -2.20 | -0.13 | 16:46 |
| UBS Bloomberg CMCI | 1,570.87 | 9.99 | 0.64 | 16:19 |
Currencies
| CURRENCY | VALUE | CHANGE | % CHANGE | DATE/TIME |
|---|---|---|---|---|
| EUR-USD | 1.2970 | 0.0106 | 0.8240% | 16:57 |
| USD-JPY | 77.1012 | 0.2763 | 0.3596% | 16:56 |
| GBP-USD | 1.5491 | 0.0052 | 0.3366% | 16:57 |
| USD-CAD | 1.0114 | 0.0002 | 0.0237% | 16:56 |
strong>Paul A. Ebeling, Jnr
Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster’s Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.
www.livetradingnews.com
Find out more about HCM Managed Funds
For More Information Contact
Linda Johnson,
Business Development Director – Private Client Group,
Heffernan Capital Management
Sales@Heffcap.com
Singapore
3 Raffles Place #07-01
Bharat Building Singapore 048617
Tel: +65 6329 6408
Fax: +65 6329 9699
Email : info@heffcap.com
Bangkok
Suite 53 Athenee Tower
63 Wireless Road,
Lumpini, Pathumwan,
Bangkok 10330 THAILAND
Email : info@heffcap.com
New York
347 5th Avenue, Suite 1402-508 NY, NY 10016
Email : info@heffcap.com
Get the Updates Daily
Brokerage, Investment Management, Investment Banking, Emerging
Managed Trading Account with Integrity and Stability
THE BEST OVERALL MANAGED ACCOUNT SOLUTION, FIND OUT WHY, CONTACT US TODAY
Now is the time to get professional portfolio management services with HCM. Reap the benefits of proper international diversification and positioning in the global market place, with a high degree of customer service.
Our Managed Account Program accommodates those investors who wish to allocate a portion of their risk capital to managed hedge funds.
Find out why we are at the top, select the right investment for inclusion in your portfolio, to receive information and/or get started Click Here
Lower the Exposure of Your Portfolio to the Risks of the Global Marketplace.
Profits can be made on a falling market (by selling short) just as easily as buying a rising market, in addition, derivatives and CFD trading allows profits to be compounded monthly. Let us put the world’s most liquid, but least understood market, in your financial arsenal.
Global Portfolio and World Events
Do you have your portfolio directly linked to the economy?
- Equities
- Interest Rates
- Real-Estate
Which investment benefits are You lacking?
- Recession Proof
- Inflation
- Full Transparency and Audit Trail
Select the right investment for inclusion in your portfolio,to receive information and or get started Click Here
Managed Trading Account
You have a choice. There is No need to own “Companies” .There is No need to own illiquid Company stock, funds or Real Estate”. Do you have your portfolio directly linked to the economy? Or Worse just the Stock Market or Real Estate? Get a Liquid, Transparent/Separately Managed Liquid,Alternative Investment Account in Your Name , where money management, along with capital preservation and liquidity are most important.
Features:
- Professionally supervised by traders
- Risk/Money management (very important to us)
- Trades only occur with the most liquid spot markets
- High degree of liquidity
- Excellent Risk-to-Reward ratio
- Profits possible regardless of direction of the market
- Portfolio diversification: currencies, commodities, stocks, bonds, mutual funds, ADRs
Benefits:
- No one can withdraw funds other than the client
- The clients deposit direct to custodian
- The trader can only trade
- The investor’s funds remain in the client’s OWN NAME.
- The investor’s funds are held by an independent institution .
- Clients have direct access to their account, 24 hours a day
Our Goals For You:
- Capital Preservation
- Income Generation
- Security
- Quality Service
- Planning for the Future
Select the right investments for inclusion in your portfolio, to receive information and or get started Click Here
Your use of any of the Websites or any of the Services (defined below) constitutes your agreement to be bound by and comply with the Website Terms and Conditions and your consent to the collection, use and disclosure of personal information as described in the Privacy Policy. If you do not so agree and consent, you are not authorized to visit or use our Websites or the Services.
Be extremely careful, investing in securities carries a high degree of risk; you may likely lose some or all of the investment. You must also accept that opinions on stock markets change minute to minute, opinions expressed my change at any time without warning. Opinions maybe influenced by ad sales and other financial consideration. This site does not offer any assistance in making financial decisions.
market news
Working with some of the World’s largest financial institutions HCM’s goal is to provide portfolio returns that exceed the S&P 500 Index benchmark while providing lower volatility of …
Live Trading News delivers free web content to your web site with our free rss newsfeeds. Have fresh news articles automatically appear on your site throughout the …
ASEAN as an Investment Destination with Global Strategist Christopher Harriman
Philippines:
With an estimated population of about 94 million people, the Philippines is the world’s 12th most …
The Hot List
American Estates Management Company PINK:AEMC is a firm that specializes in the purchase and sale of royalties and mineral rights from estates and individuals. AEMC buy royalty …
shoutbox
Guest: Samsung Electronics Co. (KS:005930),(PK:SSNLF)
Mon, 02/20/12 | 0 Comment
5 
0 
Guest: Internet volume and sales will double if they make online wagering legal. People will be more adjust to making online currency transactions.
Mon, 02/20/12 | 0 Comment
0
0
E-mail alerts
poll
Loading ...
