The Nasdaq Joins the 40/40 Club

By Minyanville Staff  NOV 27, 2013 4:15 PM

Today's financial recap and tomorrow's financial outlook.

 


Today was light on volume ahead of Thanksgiving and Black Friday, but heavy on economic data.

Initial jobless claims were 4% below consensus at 316,000. Last week’s number was revised up to 326,000 from 323,000.

The November Chicago PMI came in at 63.0, beating expectations of 60.0.

October durable goods fell 2%, in line with Wall Street forecasts. However, for ex-transportation, the number fell 0.1% vs. an expected 0.5% gain.

November Michigan sentiment survey rose to 75.1, which was ahead of the 73.1 consensus.

And finally, October leading indicators rose 0.2% vs. expectations for a flat reading.

The data was good enough to drive another all-time high on the Russell 2000 (INDEXRUSSELL:RUT), and kept the S&P 500 (INDEXSP:.INX) within striking range of yesterday’s record high in that index.

The numbers also drove down US Treasury prices, though high-yield bonds were fractionally higher.

Over in Europe, ECB Vice President Vitor Constancio said that the eurozone economy has improved significantly over the past two years, though an ECB report said that risks still remain, including those related to a scaling back of QE in the US .

Hewlett-Packard (NYSE:HPQ) rose 9.1% after reporting better-than-expected fourth-quarter earnings and revenues. The stock was also upgraded to Equal Weight from Underweight at Evercore.

Apple (NASDAQ:AAPL) was also strong today, rising 2.4% on positive reports regarding iPhone 5S production and demand. The Wall Street Journal reported that contract manufacturer Foxconn boosted its output of iPhone 5S, which has shortened waiting times. Additionally, Piper Jaffray analyst Gene Munster issued a report noting improved inventory levels within the US.

The solid tech news resulted in significant outperformance for the Nasdaq Composite (INDEXNASDAQ:.IXIC), which hit a new post-2000 high of 4045.81 just before the close.

On the negative side, energy stocks were weak on a decline in oil prices.

Tomorrow's Financial Outlook

Markets will be closed Thursday in observance of Thanksgiving.

On Friday, we will have an abbreviated trading session, with stock exchanges closing at 1:00 p.m. EST.

There are no US economic or earnings reports scheduled for Friday.

The Friday after Thanksgiving is typically a low-volume day as so many traders are out on vacation or out shopping. However, depending upon the news flow, the reduced liquidity could boost volatility.

Twitter: @Minyanville

No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.