Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

NASDAQ Halted for Technical Glitch, S&P 500 Recaptures Important Moving Average

By

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

PrintPRINT
Overnight, emerging markets remained under pressure, despite better economic data out of China. China's flash manufacturing PMI rose to 50.1 from last month's 47.7. Readings over 50 indicate that economic activity has expanded from the prior month. Economists estimated that the index would show a small gain to 48.2. HSBC, which is the company that assists in compiling the report, stated that China's manufacturing growth had begun to stabilize on the back of modest improvements in new business and output.

Eurozone manufacturing and services PMI also showed marked improvements. The composite index rose to 51.7 from the prior month's 50.5, ahead of the 50.9 estimate. European indexes rose 1% or more in today's trading.

US equities rebounded from yesterday's late day plunge, opening near unchanged and finishing the day up 0.86%. Trading on the NASDAQ (INDEXNASDAQ:.IXIC) was halted shortly after noon due to a technical glitch with UTP SIP. Trading was halted on Tape C securities, and all options trading was halted. Trading was reopened for all securities at 3:25 p.m. ET.

The ratio of advancing stocks to declining stocks on the NYSE remained solidly positive at 3:1 for much of the day. Additionally, the S&P 500 (INDEXSP:.INX) recaptured its 50-day moving average in the closing moments, something viewed by many traders as a sign of strength after two weeks of weakness.

Weekly initial jobless claims rose to 336,000 from last week's 323,000. The estimates were for 330,000. The 4-week average of claims fell to the lowest level since November 2007 at 330,500. The FHFA home price index rose 0.7% in June versus an estimated rise of 0.6%.

Abercrombie & Fitch (NYSE:ANF) reported a disastrous second quarter and fell 17.5% in the day's trading. Earnings per share for the current quarter were $0.16 versus the $0.29 estimates and well below its $0.28-$0.33 guidance for the quarter. Comparable sales for the quarter fell 10% versus analyst's estimates for a drop of 3.7%. Forward guidance showed a shocking slowdown for the company. Third-quarter EPS was forecast at $0.40-$0.45 versus estimates of $1.07; comparable sales were down 10% versus an estimated decline of 1.6%

Tomorrow's Financial Outlook

Tomorrow morning, July new home sales will be released at 10:00 a.m. ET. Economists are expecting sales to decline by 2% from the prior month to an annualized rate of 487,000. The lone major earnings report comes from Foot Locker (NYSE:FL), which is set to report before the market opens.

Global market-moving news includes second-quarter GDP from both Germany and the UK. The UK's release will be the first estimate, and Germany's growth will be the final estimate. In Germany's first estimate, its economy rose 0.9% from the prior year. Economists expect the UK to grow 1.4% from the prior year and 0.6% from the prior quarter.

Twitter: @Minyanville

Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.
< Previous
  • 1
Next >
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.

PrintPRINT

Busy? Subscribe to our free newsletter!

Submit
 

WHAT'S POPULAR IN THE VILLE