DJ30 PointChange: -134.86 Level: 11768.3 NASDAQ PointChange: -51.62 Level: 2586.45 NQ100 PercentChange: -2.3 R2K PercentChange: -1.5 SP400 PercentChange: -1.9 SP500 PointChange: -20.78 Level: 1215.16 NASDAQ-Adv:710 Dec: 1787 NYSE-Adv:577 Dec: 2445
Continued lack of leadership caused stocks to struggle in the face of
resistance, which ultimately gave way to a technical breakdown that
resulted in steep losses for the major averages.
Sellers hit stocks at the open. The major averages fought back some,
but their efforts lacked leadership. That hampered the broad market and
kept it from poking into positive territory. Most notably, though, a
barrage of selling was brought about by the inability of the S&P 500
to push back above a rising trendline that formed the bottom of a
triangle pattern and a simultaneous pullback by the euro.
The slide stabilized once the S&P 500 found the 1210 zone,
setting a near one-month low, but stocks never really rebounded from
there. The euro also drifted into the close, resulting in only a
fractional gain for the day. It is on pace for a 2% weekly loss.
Participation picked up in response to the market's volatility. In
recent session's share volume has been anemic, but today it approached 1
billion on the Big Board.
Market movement distracted participants from a dose of generally
pleasing data, which featured the latest weekly initial jobless claims
count. Initial jobless claims for the week ended November 12 totaled
388,000. Not only is that less than the 398,000 initial claims that had
been broadly expected, it marked the lowest initial claims level since
Housing starts in October hit an annualized rate of 628,000, which is
little changed from the downwardly revised rate of 630,000 units in the
prior month, but greater than the pace of 604,000 that had been
generally expected. Building permits set an annualized pace of 653,000
to exceed the rate of 603,000 that had been anticipated. Building
permits in the prior month had trended at an annualized pace of 589,000.
The Philadelphia Fed Survey for November slipped to 3.6 from 8.7 in the prior month. Many had expected to ease to just 7.5.
Advancing Sectors: (None)
Telecom -0.5%, Consumer Staples -0.5%, Utilities -0.6%, Health Care
-1.2%, Consumer Discretionary -1.7%, Industrials -1.8%, Financials
-2.1%, Energy -2.1%, Tech -2.2%, Materials -2.9%