DJ30 PointChange: +46.17 Level: 12460.96 NASDAQ PointChange: -13.70 Level: 2831.02 NQ100 PercentChange: -0.4 R2K PercentChange: -0.6 SP400 PercentChange: -0.5 SP500 PointChange: -0.14 Level: 1314.99 NASDAQ-Adv:1017 Dec: 1481 NYSE-Adv:1389 Dec: 1635

[BRIEFING.COM] The stock market opened trade with a gain of about 1%, but by session’s end it fell to a flat finish.

A decision by China's central bank to trim its benchmark interest rate helped perpetuate a positive tone among market participants, who bid stocks up in the prior session for the S&P 500’s best one-day bounce since December. Sentiment was also helped by the belief that efforts will be made to improve banking and financial conditions in Spain and that the Fed will take steps further stimulate the domestic economy.

An in-line weekly initial jobless claims count of 377,000 did little to disrupt the positive tone ahead of the open. However, there was some disappointment associated with continuing claims, which climbed to about 3.29 million from roughly 3.26 million.

Stocks were knocked down from their early perch by a flurry of selling that came after Fed Chairman Bernanke failed to hint at plans for further quantitative easing in the immediate future during his speech before Congress.

Stocks attempted to gradually reclaim gains. From time to time the effort was interrupted by the dollar’s attempts to undo its loss. By session’s end it was down just 0.1% against a basket of major foreign currencies. The euro ended the day at the unchanged mark after it had moved up to a weekly high this morning. Despite recent relief, many pundits remain concerned that the euro will be weighed down by the persistently precarious conditions in the eurozone, most notably in Greece and Spain. Spain held a successful debt auction earlier today, but had its debt rating downgraded to BBB from A afterward.

The broad market’s afternoon flush left the Nasdaq to suffer a sizable loss. It was hurt by weakness among large-cap Tech issues. Blue chips seemed to help prop up the Dow during the day. The broad-based S&P 500 settled at the neutral line, unable to extend its advance to a third straight day.

Up by about 1% or more in the early going, Energy and Financials had been sources of strength, but both rolled over right alongside the rest of the market. Telecom stocks were clipped again, leaving the defensive-oriented sector to suffer a 0.7% loss.

Corporate news flow was limited, but consumer electronics retailer Best Buy (BBY 19.70, -0.19) announced this morning that Chairman and Founder Richard Schulze has resigned from the Board to explore options for his 20% stake in the company. Effective immediately, Hatim Tyabji will assume the Chairman role after serving as Chairman of the Audit Committee.

Advancing Sectors: Materials +0.2%, Consumer Staples +0.2%, Energy +0.2%, Industrials +0.6%, Utilities +0.7%
Unchanged: Health Care
Declining Sectors: Consumer Discretionary -0.1%, Financials -0.2%, Tech -0.4%, Telecom -0.7%

Source: Briefing