Day Traders Diary


The markets tally modest gains on Monday following the drumming on Friday due to the weak employment data. The Dow Jones Industrial Average added 45 points to 9,977. The S&P 500 Index rose 5 points to 1,070. The Nasdaq Composite gained 9 points to 2,228. The rally did not last long. The weak employment data out on Friday took the wind out of the sails for the bulls case. The commodities push lower on fears of an economic slowdown except for BP. Go figure. The financials are weaker. Goldman suggested a hedge using the financial ETF in case of more weakness. Bank of America is down over 2% after settling a $108 million lawsuit against Countrywide. That merger has not worked out well. Metlife, American Express, and Capital One are modestly higher on upgrades. In the tech space Apple keeps getting upgrades, but the stock is lower. A report out this weekend indicates that the ipad is nearly sold out country-wide. That's amazing. Plenty of upgrades in the tech space including Seagate, Symantec, HP, Cisco, and Yahoo. Only Seagate and HP are lower. Surprisingly a number of retailers are performing well. Imax and Amazon are higher on upgrades. Walmart is performing well following their annual meeting on Friday. Nike is lower on a downgrade. In the drug space Bristol Myers is jumping 8% on positive late stage data on their leukemia drug. Abbott Labs is lower on a downgrade. Through the morning the averages did not vacillate far from the unchanged level. No rally as of yet. In the afternoon the Dow moved into the green. The oil companies are performing well. In the tech sector, Research in Motion is down nearly 4% as Apple presents a roadshow indicating they are selling ipads every three seconds. Amazing. Through the afternoon the selling accelerated moving closer to the lows of the year, below the flash crash lows. Not pretty. The Dow Jones Industrial Average finished down 115 points, or 1.2%, to end at 9,816, below the blue-chip average's May 6 low of 9,869. The S&P 500 index fell 14 points, or 1.4%, to 1,050, weighed down by a 2% drop in financials and a 1.9% drop in the technology sector. The Nasdaq Composite dropped 45 points, or 2%, to 2,173. All comments contained herein are for informational purposes only, and should not be considered as a solicitation to buy or sell any security. The firm does not guarantee the accuracy or completeness of the information or make any warranties regarding results from it's usage.