Monday, January 19, 2009
Saturday, January 17, 2009
9:34 am - US STOCKS-Wall St rises on energy gain, financials cut losses
US STOCKS-Wall St rises on energy gain, financials cut losses By Leah Schnurr NEW YORK, Jan 16 (Reuters) - U.S. stocks rose on Friday on strength in theenergy sector and companies that hold up well in recessions, while reassuringcomments from Britain's Barclays late in the day helped financials cut lossesthat had driven the market lower earlier. The banking sector was in the spotlight throughout the session after afresh $20 billion government capital injection for Bank of America revivedworries about the fate of the sector. "For better or for ill, we have to at least keep the banks going," saidPaul Nolte, director of investments at Hinsdale Associates in Hinsdale Illinois."Investors are struggling with what is happening and that's why we're seeing thevolatility." The S&P financial index pared steep declines to end down 2.4 percentafter Barclays said it expected next month to report pretax profit for 2008"well ahead" of analysts' estimates. Barclays comments came a few hours afterits shares had plummeted by 25 percent in European trade. Energy shares rose along with a rebound in the price of oil, whileMcDonald's was the Dow's biggest lift, offsetting the drag from Bank of Americaand JPMorgan Chase & Co. The Dow Jones industrial average rose 68.73 points, or 0.84 percent, to8,281.22. The Standard & Poor's 500 Index gained 6.38 points, or 0.76 percent,to 850.12. The Nasdaq Composite Index was up 17.49 points, or 1.16 percent, at1,529.33. Markets will be closed on Monday for the Martin Luther King Jr. Dayholiday, a day before the inauguration of President-elect Barack Obama. Friday marked an end to the stock market's run under the administrationof President George W. Bush. The S&P 500 lost more than 35 percent of its valuesince the day Bush took office in 2001, wiping out more than $4.6 trillion ofinvestor wealth during his eight-year presidency. By contrast, under his predecessor, William Clinton, the S&P tripled,gaining more than $9 trillion. On the heels of the financial lifeline for Bank of America, the bankposted its first quarterly loss in 17 years, while Citigroup also reported ahefty quarterly loss and said it plans to split into two units. For moredetails, see . Citigroup fell 8.6 percent to $3.50. Bank of America and JPMorgan Chase & Co were the Dow's biggest drags,falling 13.7 percent to $7.18 and 6.2 percent to $22.82, respectively. AlthoughJPMorgan is viewed as being healthier than Bank of America and Citigroup, itposted a hefty decline in quarterly profit on Thursday. Despite the maneuvers surrounding the financial sector, analysts saidworries persisted over the health of the group and whether banks will need toraise more capital as they struggle to deal with the credit crunch and globaleconomic slowdown. McDonald's gained 2.9 percent to $59.67 after its chief executive toldCNBC television the company expected to continue paying dividends.. Energy shares, including Exxon Mobil, rose along with oil prices as shortcovering overshadowed a gloomy demand outlook. U.S. crude was up $1.11 to $36.51a barrel, while Exxon gained 1.9 percent to $78.10. Highlighting the deteriorating economy, there was no let up in companiesannouncing job cuts. Advanced Micro Devices Inc said it would cut 1,100 jobs,while The Wall Street Journal reported that drugmaker Pfizer Inc plans to layoff as many as 2,400 sales staff.
Friday, January 16, 2009
9:51 am - FKLI gap up indicating stronger regional market opening !
However, it is started to weaken now !
9:44 am - DJIA formed a doji - cud this a balance for it to rebound ???
Volume last nite is high - a good indication DJIA to rebound tonite !
Thursday, January 15, 2009
10:03 am - DJIA has broken down the support level 8400
Remember DJIA has been down 6 days consecutively. Ready for the rebound ! Support for DJIA is at 8,100 level.
Wednesday, January 14, 2009
Tuesday, January 13, 2009
Monday, January 12, 2009
Saturday, January 10, 2009
Thursday, January 08, 2009
Wednesday, January 07, 2009
Tuesday, January 06, 2009
5:05 am - FKLI looking toppish from a daily chart !
If DJIA closed lower, FKLI is set to be bearish tomorrow !
9:47 am - FKLI is weaker today due to profit taking !
Professionals are taking profit or distributing today !Regional markets are weaker too !
Monday, January 05, 2009
Saturday, January 03, 2009
8:05 am - Wall Street enjoys upbeat start to 2009
NEW YORK (AP) - Wall Street started 2009 with a big rally Friday asinvestors, brushing aside a disappointing report on manufacturing, sent the DowJones industrials up more than 250 points and to their first close above 9,000in two months. All the major indexes shot up more than six percent for the week. The market lived up to the hopes of many analysts that it would have a freshstart in the new year after a horrific 2008. But many traders were also waitingto see how the market fares next week; they're cognizant of the fact thatpost-holiday volume was light and therefore Friday's trading might not be thebest indicator of market sentiment. Still, the market held to its recent pattern of taking bad economic news instride, a pattern that began to emerge after it touched multiyear lows on Nov.20. "Over the last month you've started to see a change in sentiment and thiscertainly advances that," said Carl Beck, partner at Harris Financial Group inRichmond, Va. The Institute for Supply Management said its manufacturing activity indexfell to the lowest level in 28 years in December. The ISM, a trade group ofpurchasing executives, said its manufacturing index fell to 32.4 last month from36.2 in November. Economists polled by Thomson Reuters had expected a reading of35.5; a figure below 50 indicates contraction. "We like to see the markets shrug off the bad news. That typically is a signthat we're forming a bottom," said Eric Thorne, an investment adviser at BrynMawr Trust. Todd Leone, managing director at Cowen & Co., cautioned against reading toomuch into Friday's advance and said the first full week of the new year shouldprovide insight into investor sentiment for 2009. "The first five days are usually very telling," Leone said. "I'm not surewe'll be up or down." He said an advance in stocks Friday wasn't a surprise assome investors start the year by wading into the market. He said selling is morelikely to occur next week. The Dow rose 258.30, or 2.94 percent, to 9,034.69, finishing the week up 6.1percent. The blue chips last closed above 9,000 on Nov. 5, when they stood at9,139.27. The Dow, the oldest of the big market indexes, fell 33.8 percent in 2008,its worst performance since 1931, during the Great Depression. Like the Dow, broader stock indicators also advanced for the third straightsession. The Standard & Poor's 500 index rose 28.55 percent, or 3.16 percent, to931.80, its highest close since Nov. 5. The Nasdaq composite index rose 55.18,or 3.50 percent, to 1,632.21. For the week, the S&P 500 finished up 6.8 percent, while the Nasdaq rose 6.7percent. The Russell 2000 index of smaller companies rose 6.39, or 1.28 percent, to505.84. Advancing issues outnumbered decliners by about 5 to 1 on the New York StockExchange. Consolidated volume came to 3.48 billion shares, compared with 3.75billion on Wednesday. Bond prices fell as investors took on riskier assets including stocks. Theyield on the benchmark 10-year Treasury note, which moves opposite its price,rose to 2.39 percent late Friday from 2.22 percent late Wednesday. The yield onthe three-month T-bill, considered one of the safest investments and in greatdemand since the credit markets seized up in September, fell to 0.07 percentfrom 0.08 percent Wednesday. The dollar was mixed against other major currencies, while gold prices fell. Light, sweet crude rose $1.74 to settle at $46.34 a barrel on the New YorkMercantile Exchange. Thorne contends 2009 could be a strong year for Wall Street because mostinvestors are so shaken from the sell-off in 2008, which erased six years ofgains in stocks. Market bottoms often emerge because investors are sopessimistic or because stocks seem incapable of making any sustained recovery. "A bottom isn't formed in one day or even in one month but probably overseveral months," he said. "Expectations are extremely low for the economy, forcorporate earnings and for the stock market itself." Since hitting multiyear lows on Nov. 20, the Dow has advanced 19.6 percent,while the S&P 500 is up 23.8 percent. "We're very confident that the $9 trillion that is in cash right now willlook to find a home in better-performing assets," he said, referring to theamount of money invested in conservative but low-yielding areas like moneymarket funds. Yields on safe investments like Treasurys have fallen to virtuallynil as investors have clamored for safety and surrendered hopes of even earninga return on their money. Next week brings a flurry of economic readings and potentially earlycomments from companies on their 2008 results and 2009 forecasts. Traders will be anxiously awaiting a Labor Department report next Friday onDecember employment. A month ago, Wall Street showed newfound resiliency in theface of a bad reading on what is typically the most important economic report ofthe month. Stocks initially sagged but finished with big gains Dec. 5 after thegovernment reported that employers slashed a larger-than-expected 533,000 jobsin November. Investors were hoping the report would prompt Washington to takebroader steps to shore up the economy. "The employment numbers will almost undoubtedly be very ugly. What will beinteresting to see is what the market's reaction will be to those numbers,"Thorne said. "We're also very interested to see what the corporate earningsreporting season will be like." Harris Financial's Beck said the earnings reports could be a turning pointfor the market. "People expect earnings to be really bad. If they come out andthey're not quite as bad, you could see this momentum in the market continue,"he said. "If they come out even worse than expectations, that could be a majorset back." Stocks overseas also began the new year with a rally. Britain's FTSE 100rose 2.88 percent, Germany's DAX index jumped 3.39 percent, and France's CAC-40increased 4.09 percent. Markets in Japan were closed for a holiday. The Dow Jones industrial average ended the week up 519.14, or 6.1 percent,at 9,034.69. The Standard & Poor's 500 index rose 59, or 6.8 percent, to 931.80.The Nasdaq composite index ended the week up 101.97, or 6.7 percent, at1,632.21. The Russell 2000 index finished the week up 29.07, or 6.1 percent, at505.84. The Dow Jones Wilshire 5000 Composite Index -- a free-float weighted indexthat measures 5,000 U.S. based companies -- ended at 9,364.54, up 595.19 points,or 6.79 percent, for the week. A year ago, the index was at 14,613.57.
Friday, January 02, 2009
Wednesday, December 31, 2008
9:14 am - FKLI gap up due to stronger DJIA closer last nite !
With Nikkei's closing today and Kospi opening late, KLCI will be thinly traded today !
Tuesday, December 30, 2008
1:16 pm - Market Outlook by Bill Wermine
Dear Traders,
Below is my outlook for the stock market in 2009. It will be published in Malaysian Business in their end Jan edition:
Below is my outlook for the stock market in 2009. It will be published in Malaysian Business in their end Jan edition:
By the way, we plan a Traders Club meeting on Sat 7 Feb at 10 AM at CIMB auditorium and plan to have the head of Technical analysis of CIMB (to be confirmed) who will give his 2009 stock market outlook.
Please let me know if you wish to attend Attached is the latest valuation of Man Essential, the recent launch. (30 Nov 2008 valuation)
How to Minimize your Costs and Risks while riding the 2009 stock market Bull
Below is a prophetic chart from Deutsche Bank research. It shows that stock markets bottom out a little more than half-way through recessions.
Based on this chart, I expect that 2009 will likely be a much better year for the markets than the year we have just endured. From this chart it appears that we are more than half way through the recession and probability is high that we will soon have a market recovery.
The Fuel to drive the Bull
We are on the verge of the Obama administration “stimulating” the US economy through public works and infrastructure projects, likely to the tune of nearly $1 trillion.
Obama’s program is likely to stimulate the economy and invigorate world markets in the near term.
The Federal Reserve has also signaled that it will do everything within its power to stimulate the economy. In the eyes of central planners, desperate times call for desperate measures. And the Fed is clearly desperate.
With their latest policy statement, issued on 22 December 2008, it is clear that the monetary helicopters have arrived. Not only have short term interest rates been cut to nearly zero, the Fed has also stated that it will resort to “alternative” means to juice the economy.
Have a prosporous New Year,
Bill
Obama’s program is likely to stimulate the economy and invigorate world markets in the near term.
The Federal Reserve has also signaled that it will do everything within its power to stimulate the economy. In the eyes of central planners, desperate times call for desperate measures. And the Fed is clearly desperate.
With their latest policy statement, issued on 22 December 2008, it is clear that the monetary helicopters have arrived. Not only have short term interest rates been cut to nearly zero, the Fed has also stated that it will resort to “alternative” means to juice the economy.
Have a prosporous New Year,
Bill
12:59 pm - FKLI Jan 09 contract - Facing resistance @ 886
It looks to break above 886 for the 3rd time.
Subscribe to:
Posts (Atom)
Posts
