STOCK MARKET WATCH, Friday 23 September

[ozymandius]

Friday September 23, 2005

COUNTING THE DAYS
DAYS REMAINING IN THE * REGIME 3 YEARS, 120 DAYS
DAYS SINCE DEMOCRACY DIED (12/12/00) 4 YEARS, 277 DAYS
WHERE'S OSAMA BIN-LADEN? 3 YEARS, 341 DAYS
DAYS SINCE ENRON COLLAPSE = 1398
Number of Enron Execs in handcuffs = 19
ENRON EXECS CONVICTED = 2
Other Arrests of Execs = 54


U.S. FUTURES & MARKETS INDICATORS
NASDAQ FUTURES-----------------------------S&P FUTURES




AT THE CLOSING BELL WHEN BUSH TOOK OFFICE on January 22, 2001
Dow - 10,578.24
Nasdaq - 2,757.91
S&P 500 - 1,342.90

AT THE CLOSING BELL ON September 22, 2005

Dow... 10,422.05 +44.02 (+0.42%)
Nasdaq... 2,110.78 +4.14 (+0.20%)
S&P 500... 1,214.62 +4.42 (+0.37%)
10-Yr Bond... 4.18% -0.01 (-0.29%)
Gold future... 470.30 -2.30 (-0.49%)

GOLD, EURO, YEN, Dollars and Loonie




PIEHOLE ALERT

Heads Up!
Preliminary info on appearances by Bush & Co. throughout the country. Details & links are added as they become available so check back. And if you know more, are organizing something, or would like to, contact [e-mail]

For information on protests and other actions Citizens For Legitimate Government

[ozymandius]

1. WrapUp by Martin Goldberg

Say Hello to the Bear Market in Consumer Stocks

As I pointed out here last week and with Ike Iossif on www.marketviews.tv two weeks ago, consumer stocks are showing signs of a technical breakdown. If there was any question since that time, it seems that there isn’t a question any more. In all probability consumer stocks have entered into a bear market. Yet, in the stock market environment over the last couple of years, stocks that were seemingly dead have routinely come back to life. Will this almost consistent trend continue one more time and rescue the sector? Will consumer stocks then surge to new highs? My money says, “No”! This time it is different. Tonight I’ll illustrate what are some of these differences.

The slowdown of the US consumer was showing signs of being foretold in the stock market even before hurricane Katrina, as key consumer stocks were showing technical weakness. The rising tide of broad-based positive stock market breadth was lifting practically all consumer stocks through June and even into July. It was easy to make money by owning practically any consumer stock at that time. In the Wrap Up July 7th, I pointed out that for the retail sector, it was “all good” for consumer stocks. Even low quality stocks such as Bon Ton Stores, Gottschalk’s, and Saks were breaking into new high ground. Was the retail market as bullish as it appeared on the surface? From the soft underbelly of the teenager clothing retail sector, the stock of Aeropostale (ARO) was trying to break into new high ground. In the “Today’s Market” section on July 7th, I referenced the one year daily chart of ARO. As you can see from the July 7th chart, in spite of an apparent raging bull market in that sector, ARO was only in a well defined trading range and had just failed in its 4th attempt to break above 35, by gapping down. Swing trading principles would have suggested that a decisive break above 35 would have carried the stock up to at least 45.

-cut-

While it may be time to say “Hello” to the bear market in consumer stocks, one can not rule out the potential that sometime soon, it may be time to say that I was wrong. What may indicate that saying hello to the bear market may have been premature? I would suggest that this may show on the chart of blue chip consumer stock, Time Warner Inc. (TWX). TWX is working on its third attempt of breaking above 20 and is showing excellent relative strength in the face of a tough market in consumer stocks. If a decisive break above 20 were to occur, it may be time to say what we have seen in consumer stocks was just a “healthy correction.”

-cut-

American Nobility Will Likely Impact Consumer Spending

There is a factor likely to impact US consumer stocks which I feel is important, yet, has not been mentioned broadly. While one of our weaknesses is our tendency to spend excessive amounts of money on material goods for ourselves, one of our biggest strengths is our generosity. With the holiday season a few short weeks away, there is a collision course between our strength and our weakness. Our noble generosity toward those impacted by Hurricane Katrina will likely reduce holiday season consumer spending by a significant amount. Generosity is the American way, yet one cannot ignore that this will impact upon the short term fundamentals of many US consumer stocks. Particularly vulnerable are restaurant stocks, apparel retailers and those involved with appliances such as the George Forman grill.

more...

http://www.financialsense.com/Market/wrapup.htm

[salin]

3. er... "holiday season a few weeks away"?

given the reference is to consumer spending and generosity - the holiday being refered to isn't halloween.

That would seem to me to be a 'straw grasping' view of what might keep the market strong in the near future.

[ozymandius]

23. It seems to start earlier every year.

In early August, I saw Halloween and Thanksgiving decorations in stores.

[ozymandius]

2. Wall St braces for Rita arrival

LONDON (Reuters) - Wall Street shares were expected to open weaker in cautious trade on Friday as markets braced for Hurricane Rita's arrival on the Gulf Coast, although any signs of the storm weakening could offer a boost, traders said.

U.S. shares closed higher on Thursday after Rita was downgraded to a Category 4 storm, easing fears it would cause as much damage as last month's Hurricane Katrina and disrupt oil production to the same extent, forcing energy costs higher.

But uncertainty remained despite oil prices falling below $66 a barrel, and U.S. stock futures were pointing to opening losses of around 0.1 percent for the three main indexes by 0934 GMT.

-cut-

"Oil and the hurricane seem to be the only games in town ... The will is there but investors and analysts are understandably reticent and will continue to be so until after the hurricane season is over with refineries in apple-pie working order," Cantor Index strategist David Buik said.

more

[UpInArms]

5. Rita's latest picture

(should update with refresh)

[ozymandius]

31. Rita's Aim Could Determine Impact at Pump

DALLAS (AP) -- Hurricane Rita's wandering aim could determine whether motorists face a small and temporary bump in gasoline prices or must adjust their budgets to absorb a bigger hit over a period of weeks.

-cut-

But experts agree that the Houston area -- home to 13 percent of the U.S. oil-refining capacity -- will not be spared the brunt of the storm.

The storm will reduce the supply of gasoline and other refined products no matter what because just about every major refinery around Houston and Port Arthur, Texas, 100 miles away on the Gulf Coast, shut down ahead of Rita's arrival. Together, the areas represent 20 percent of U.S. capacity.

-cut-

"Best case, it costs us 2 million barrels a day (of refining production) for about three days," resulting in gas prices briefly rising 5 to 15 cents per gallon, said Fadel Gheit, an energy analyst for Oppenheimer & Co. "But if it hits Houston hard, four or five refineries could be flooded."

more

[UpInArms]

53. Rita expected to make landfall near La, Texas early Sat -NHC

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.4939038773-843530685&siteID=mktw&scid=0&doctype=806&

SAN FRANCISCO (MarketWatch) -- Hurricane Rita is expected to make landfall near the southwest Louisiana and upper Texas coasts early Saturday, the National Hurricane Center said on Friday. Rita is a little weaker but still a very dangerous hurricane, the NHC said. Maximum sustained winds have decreased to near 135 mph, putting Rita at the border of a category 4 and category 3 hurricane. Slight weakening is possible before landfall, the NHC said, but Rita is still expected to come ashore as a major hurricane.

[UpInArms]

60. link to graphic map of oilrigs in Rita's path

http://gom.rigzone.com/rita.asp?Command=MAP

[UpInArms]

4. daily dollar watch

http://quotes.ino.com/chart/?s=NYBOT_DXY0

Last trade 88.71 Change +0.15 (+0.17%)

Dollar Rallies on Carry Interest and Corporate Repatriation

http://www.dailyfx.com/index.php?option=com_content&task=view&id=3676&Itemid=39

US Dollar

The mighty dollar continues to soar despite Hurricane Rita blowing closer and closer to the coastal parts of Texas as well as weaker economic data. The only explanations for the latest bout of strength still lies in the age old argument of increasing carry for the dollar and tax incentives for US companies to repatriate overseas earnings as a part of the Homeland Investment Act. The Act provided a one-time tax break for US corporations by applying a 5.25% effective tax rate on repatriated dividends instead of the usual 35%. Companies had the option to either apply the tax break to their 2004 fiscal year earnings or their 2005 fiscal earnings. This means that repatriation back into the US could still be a big wildcard for the remainder of the year. As for carry, it was only 2 days ago that the Fed injected some optimism into the markets by being more hawkish than most traders had anticipated. With at least one more rate hike in the pipeline, carry traders still have interest in the US dollar. Yet, this does not mean that the US economy is performing all that better. Today, we saw jobless claims reach 432,

Euro

The Euro fell over 130 pips today against the dollar, erasing most of yesterday’s gains. These days it seems to really be a matter of who is facing a more dire fate – the US or Europe. First Germany was plunged into a political crisis when there was no clear winner following the German elections this past weekend. Now, Italy faces its own crisis following the surprising resignation of Domenico Siniscalo, Italy’s finance minister. Even though Italy the was worst performing major economy within the Eurozone this year, Siniscalo’s determination to tackle Italy’s economic problems provided a glimmer of hope. He also stood strong against Antonio Fazio, the Bank of Italy Governor who attempted to impede the free movement of capital. Siniscalo resigned in protest to the government’s failure to penalize the central bank governor following a banking scandal. However it doesn’t end there – the situation got even more uncertain when Italian Prime Minister Berlusconi requested for the resignation of Antonio Fazio. There is no word yet from Fazio, who is on route to Washington to attend the G7 meeting this weekend.

<snip>

Japanese Yen

A smaller trade surplus for the month of August as well as broad dollar strength has sent the USDJPY currency pair higher once again. The trade surplus shrank 80% in August as higher oil prices outweighed export growth. Even though Japan has become much more energy efficient and along the same lines more resilient to higher energy prices, the latest trade data indicates that the economy has not been completely immune to the rise in oil. Although the yen strengthened throughout the month of August and into the first week of September, economic officials have continued to warn about the negative implications that it has for the economy. Although the impact has been felt, it should be limited. Meanwhile shifting over to politics, Koizumi’s strong win has given him a solid platform to push forward on privatizing the financial system, starting off with restructuring or in some cases even elimination of eight state owned banks. This should be really positive for the private banks who are frequently undercut by the government owned banks. Meanwhile, in revaluation news, Zheng Xinli, China’s Deputy Minister for central policy research was caught saying that investments in US Treasuries is “not worthwhile” on a long-term basis. He also hinted said that equity investments, particularly that of overseas energy resource companies would be a much better investment. Over the medium term, China’s decreasing appetite for US Treasuries should be negative for the dollar.

...more...

[UpInArms]

8. China tweaks yuan trading rules

http://today.reuters.com/investing/FinanceArticle.aspx?type=businessNews&storyID=2005-09-23T110558Z_01_SCH335580_RTRUKOC_0_US-ECONOMY-CHINA-FOREX.xml

BEIJING (Reuters) - China's central bank on Friday widened the yuan's trading band against non-dollar currencies in a move analysts said was aimed at responding to overseas pressure for greater flexibility while keeping the yuan on a tight leash against the dollar.

The People's Bank of China said it would now let the yuan range as much as 3.0 percent a day against non-dollar currencies such as the yen and the euro instead of 1.5 percent.

The bank said the reform, announced ahead of a G7 meeting of finance chiefs later on Friday, marked a further liberalization of the foreign-exchange market following China's shift from a dollar peg to a managed float of its currency on July 21, when it revalued the yuan, also known as the renminbi, by 2.1 percent.

"The goal of the foreign exchange reforms is to keep the renminbi basically stable at a rational and balanced level. This will make the exchange rate more market-oriented," a senior monetary official said.

<snip>

Because the euro and yen can easily swing more than 1.5 percent a day against the dollar, the central bank could theoretically have found itself intervening to buy or sell dollars just to protect the value of the yuan against other currencies if it had not widened the band, economists said.

...more...

[UpInArms]

15. China currency move seen cutting its demand for U.S. bonds

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.3378109144-843501664&siteID=mktw&scid=0&doctype=806&

NEW YORK (MarketWatch) -- Treasury prices fell Friday in anticipation China, the second largest holder of U.S. debt, could curb its purchases as it takes more steps toward currency flexibility. China may need fewer of the U.S. Treasurys it buys with dollar proceeds from transactions historically used to hold down the value of its yuan. China said Friday it will widen from 1.5% to 3% the band in which the yuan trades against the euro, yen and the Hong Kong dollar. Treasurys, which gained initially this week on risks seen posed by Hurricane Rita, finished U.S. trade lower on Thursday after oil prices eased modestly. Friday morning, the benchmark 10-year Treasury note was down 1/4, or $2.50 for each $1,000 in securities at face value, at 100 9/32. The drop in price lifted its yield ($TNX) to 4.21% vs. 4.18% Thursday.

[54anickel]

16. Oh WTF! They're grasping for reasons for the buck rally now -

Corporate repatriation my arse! That has been running way behind what was planned. They rules were too confusing, the buck too high, corps too greedy.

I think there's some funny stuff going on in the background with the CBs. Gold has gotten too high, uncovering a not-so-tame inflation rate. They are having trouble hiding the inflation now.

[UpInArms]

36. here's the buck on global intervention

Last trade 89.03 Change +0.47 (+0.53%)

Settle 88.56 Settle Time 23:36

Open 88.51 Previous Close 88.56

High 89.08 Low 88.40

Last tick: 2005-09-23 09:53:14 ET
30-min delayed quote.

I would say that the CBs (and with the meeting of the G7 going on) there is definitely some (?) intervention occurring. The fear (very real and palpable) is that the US is going down the drain in a hurry (jmho).

[spotbird]

39. How long can they hang on?

Wouldn't an ease down be more prudent?

[UpInArms]

40. since all that remains is an "illusion"

it makes it doubly important to attempt to maintain just that - the nasty truth about the US being the "richest nation" as the curtain parts and shows that we are merely a 3rd world nation with a huge dependency on refined crude oil products - see the 4 million attempting to flee Houston without gas - see the loss of one major metropolitan area and the dead bodies left to decay for weeks - see the number of billionaires increase at an astronomical rate, while the poor fall from being merely "poor" to "destitute".

How long will other countries hold up the tattered remnants of our thoroughly scavenged carcass?

Well, I am certain that there is a lot of maneuvering going on behind the curtains of civility - no one wants to be the last one holding the bag on this daisy chain of lies.

[UpInArms]

50. "Arm-twisting" meetings set up

US's Snow to meet China finmin, central bank chief

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T153555Z_01_WBT003879_RTRIDST_0_GROUP-USA-CHINA-SNOW-URGENT.XML

WASHINGTON, Sept 23 (Reuters) - U.S. Treasury Secretary John Snow is scheduled to hold separate meetings on Saturday with China's Finance Minister Jin Renqing and Bank of China Governor Zhou Xiaochuan, a Treasury spokeswoman said on Friday.

Snow also has bilateral meetings with senior officials from France, Mexico, Britain, South Korea, and India that day, Treasury Department spokeswoman Brookly McLaughlin told reporters.

[spotbird]

58. What could Snow possibly have to bring to

the table? Nuclear annihilation unless they cooperate? The only strategery known to the administration is strong arming, buy they are impotent here, as I see it at least.

[UpInArms]

59. just a guess, but

"Chopper" Ben has a plan (it will destroy us in the process, but ... when did that matter to these criminal?)

http://www.federalreserve.gov/boarddocs/speeches/2002/20021121/default.htm

excerpt:

What has this got to do with monetary policy? Like gold, U.S. dollars have value only to the extent that they are strictly limited in supply. But the U.S. government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at essentially no cost. By increasing the number of U.S. dollars in circulation, or even by credibly threatening to do so, the U.S. government can also reduce the value of a dollar in terms of goods and services, which is equivalent to raising the prices in dollars of those goods and services. We conclude that, under a paper-money system, a determined government can always generate higher spending and hence positive inflation.

Of course, the U.S. government is not going to print money and distribute it willy-nilly (although as we will see later, there are practical policies that approximate this behavior).8 Normally, money is injected into the economy through asset purchases by the Federal Reserve. To stimulate aggregate spending when short-term interest rates have reached zero, the Fed must expand the scale of its asset purchases or, possibly, expand the menu of assets that it buys. Alternatively, the Fed could find other ways of injecting money into the system--for example, by making low-interest-rate loans to banks or cooperating with the fiscal authorities. Each method of adding money to the economy has advantages and drawbacks, both technical and economic. One important concern in practice is that calibrating the economic effects of nonstandard means of injecting money may be difficult, given our relative lack of experience with such policies. Thus, as I have stressed already, prevention of deflation remains preferable to having to cure it. If we do fall into deflation, however, we can take comfort that the logic of the printing press example must assert itself, and sufficient injections of money will ultimately always reverse a deflation.

So what then might the Fed do if its target interest rate, the overnight federal funds rate, fell to zero? One relatively straightforward extension of current procedures would be to try to stimulate spending by lowering rates further out along the Treasury term structure--that is, rates on government bonds of longer maturities.9 There are at least two ways of bringing down longer-term rates, which are complementary and could be employed separately or in combination. One approach, similar to an action taken in the past couple of years by the Bank of Japan, would be for the Fed to commit to holding the overnight rate at zero for some specified period. Because long-term interest rates represent averages of current and expected future short-term rates, plus a term premium, a commitment to keep short-term rates at zero for some time--if it were credible--would induce a decline in longer-term rates. A more direct method, which I personally prefer, would be for the Fed to begin announcing explicit ceilings for yields on longer-maturity Treasury debt (say, bonds maturing within the next two years). The Fed could enforce these interest-rate ceilings by committing to make unlimited purchases of securities up to two years from maturity at prices consistent with the targeted yields. If this program were successful, not only would yields on medium-term Treasury securities fall, but (because of links operating through expectations of future interest rates) yields on longer-term public and private debt (such as mortgages) would likely fall as well.

[UpInArms]

19. Dollar struggles on economic impact of hurricanes

http://news.ft.com/cms/s/82ac2c26-2b54-11da-995a-00000e2511c8,s01=2.html

The dollar remained under pressure onn Thursday amid rising concern about the effects of Hurricane Rita, the third strongest hurricane recorded in the Atlantic basin.

“We’re trading the weather reports to some extent,” said one dealer, who noted the market was reluctant to be drawn into selling the dollar aggressively, as the downward spike following Hurricane Katrina had unwound rapidly.

The release of weekly US jobless claims and leading indicators failed to provide direction, and with no data releases scheduled for today, traders said they expected the market’s focus to remain on possible disruption to US energy supplies.

Hurricane concerns dragged the dollar lower against the euro and Swiss franc in Asia, but the greenback recovered in European trade.

...more...

[UpInArms]

6. Goodyear to cut costs up to $1 bln

http://today.reuters.com/investing/FinanceArticle.aspx?type=businessNews&storyID=2005-09-23T112158Z_01_SCH340896_RTRUKOC_0_US-AUTOS-GOODYEAR-OUTLOOK.xml

NEW YORK (Reuters) - Goodyear Tire & Rubber Co., the largest U.S. tire maker, said on Friday it will close plants and increase sourcing from Asia, cutting costs by $750 million to $1 billion over the next three years.

The tire maker said it would take cash charges of $150 million to $350 million for the restructuring, which will include selling more noncore assets.

Goodyear expects to cut high-cost manufacturing capacity by 8 percent to 12 percent to generate savings of about $100 million to $150 million per year. It did not say how many plants it would close or where they are located.

[UpInArms]

7. U.S. Cellular to close customer care center (in Medford, Oregon)

http://today.reuters.com/investing/FinanceArticle.aspx?type=marketsNews&storyID=URI:urn:newsml:reuters.com:20050923:MTFH01631_2005-09-23_11-03-32_WEN9696:1

NEW YORK, Sept 23 (Reuters) - U.S. Cellular (USM.A: Quote, Profile, Research) said on Friday it is closing its customer care center in Medford, Oregon, which will affect about 170 employees.

The company said it expects the closure to hurt pretax income by about $2 million to $4 million. It will incur part of the costs in the third quarter, according to a filing with the Securities and Exchange Commission.

U.S. Cellular said the closure is part of a restructuring of its customer service department, undertaken as a result of its recently announced exchange of cellular properties with Alltel Corp. (AT.N: Quote, Profile, Research).

[UpInArms]

9. BA's departing chief slams America as 'land of the free ride' (for corps)

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2005/09/23/cnrod23.xml&menuId=242&sSheet=/money/2005/09/23/ixcitytop.html

Sir Rod Eddington yesterday used his last public speech as British Airways chief executive to launch a blistering attack on America for subsidising and protecting its loss-making aviation industry.

Speaking to the Aviation Club in London before he hands over to Willie Walsh at the end of this month, Sir Rod lashed out at America's attempts to prop up its crippled airlines.

"America - land of the free - is turning itself into the land of the free ride," Sir Rod said. "In the last four years, the airlines have soaked up $15billion to $20billion of public subsidy and loan guarantees.

"They're operating in protected markets, they're hoovering up public funds and they still can't make a profit."

His comments came just a week after both Delta and Northwest airlines filed for bankruptcy protection, joining United and US Airways, which are already in Chapter 11.

...more...

[loudsue]

67. Boy! Did he get this right: "In the last four years, the airlines have

< ...ooops! Ran out of room! Try again: >

"In the last four years, the airlines have soaked up $15billion to $20billion of public subsidy and loan guarantees."

It's that corporate welfare thiny...Welfare Kings. They cost one helluva lot more than the Welfare Queens the neocons are so quick to loathe. And yet, the Welfare Queens used to take their money, and plow it back into the economy. The Welfare Kings DON'T give this money to the workers, who would spend it in the economy: they give it all to the CEO's, who take half of it off shore, and spend the rest on hot-potato hedge funds games, etc.

I'm so OVER corporate welfare. Get rid of the ENTIRE federal legislature, and let's start all over. The ones we've got running the federal government are as crooked as a dog's hind leg, and keep spending OUR TAX DOLLARS like a bunch of drunken soldiers, for things nobody needs.

:kick::kick::kick:

[UpInArms]

10. Bill Gates, Buffett Lead Forbes's List of U.S.'s 400 Richest

http://www.bloomberg.com/apps/news?pid=10000103&sid=ax3bGPJ3k_lg&refer=us

Sept. 22 (Bloomberg) -- Microsoft Corp. Chairman Bill Gates, Berkshire Hathaway Inc. Chief Executive Officer Warren Buffett and Microsoft co-founder Paul Allen led Forbes magazine's list of the 400 wealthiest Americans for the fifth year.

The group is worth a combined $1.13 trillion, up $125 billion from a year ago, the New York-based magazine said in its annual ranking of the nation's richest citizens.

Rising real-estate and oil prices helped boost fortunes for some and help add 33 new members to the list. Among them are New Balance Athletic Shoe Inc. Chief Executive Officer Jim Davis and his family and Urban Outfitters Inc. co-founder Richard Hayne. Davis' wealth put him at 189th on the list at $1.6 billion and Hayne at 201 with $1.5 billion.

Those who dropped off the list included DreamWorks Animation SKG Inc. Chief Executive Officer Jeffrey Katzenberg and H.J. Heinz ketchup heiress Teresa Heinz Kerry, who is married to Massachusetts Senator John Kerry, who were ranked No. 369 and No. 389, respectively, last year, Forbes said.

Of the U.S.'s 400 richest, 94 percent are billionaires, up from about 78 percent a year ago. Forbes 400 members are worth an average of $2.85 billion, the magazine said.

...more...

[UpInArms]

11. BP to pay record U.S. safety fine ($21.3 million)

http://www.marketwatch.com/news/story.asp?guid=%7B9330C110-10A5-4A15-A7D4-EA27F0FE904E%7D&siteid=google

LONDON (MarketWatch) -- BP PLC will pay a fine of $21.3 million to settle government claims of more than 300 safety violations after a March explosion and fire at its huge Texas City, Texas refinery that killed 15 and injured more than 170.

In a story in its Friday online edition, The Wall Street Journal said the fine is the largest ever assessed by the U.S. Occupational Health and Safety Administration. See Wall Street Journal story (subscription required.)

BP shares were down 0.8% in London morning trading.

The British global petroleum giant (BP: news, chart, profile) (UK:BP: news, chart, profile) said in a statement that under the settlement agreement with OSHA it did not admit to the alleged violations or agree with how OSHA characterized them.

The company said it also has agreed to make major safety improvements at the 460,000 barrel-per-day refinery, which has been shut down by the threat of Hurricane Rita.

...more...

[UpInArms]

12. AAA average retail gasoline price $2.748/gal vs $1.865 yr ago

7:56am 09/23/05 AAA DAILY AVG RETAIL GASOLINE PRICE $2.748 A GALLON

7:57am 09/23/05 AAA DAILY AVG RETAIL GASOLINE PRICE WAS $1.865 A YR AGO

[UpInArms]

13. Consumers feel gouged on gas: poll

http://www.marketwatch.com/news/story.asp?guid=%7B7A7D21EF%2DEE3E%2D4566%2D97B6%2D89F23F0339E6%7D&siteid=mktw

SAN FRANCISCO (MarketWatch) -- A majority of Americans are convinced they're being gouged at the gas pump, and many support a tax on oil companies' profits to fund research into alternative energy sources, according to a new survey.

Eighty-seven percent of U.S. consumers said oil companies are gouging them on gas prices, according to the telephone survey of 1,019 adults in mid-September by Opinion Research Corp. for the Civil Society Institute, a Newton Centre, Mass.-based non-profit advocacy group.

The Institute, funded by donations and foundation grants, supports a variety of initiatives, including 40mpg.org, which aims to make 40 miles per gallon the standard for all U.S. cars.

Another 7% said very little price gouging is going on, 4% said it's not happening at all, and 3% weren't sure. The survey has a margin of error of plus, or minus, 3 percentage points at a 95% confidence level.

The belief in price gouging was consistent across party lines, with 82% of Republicans pointing to "some" or "a great deal" of price gouging, 91% of Democrats doing so, and 87% of independents.

Many consumers appear ready to gouge right back: 79% of those surveyed said they support a tax on oil company's profits if the money collected goes to research on alternative energy sources.

...more...

It looks like fewer GOPpiggies think that gouging is going on. Perhaps those that don't should stand at the checkout registers and pay for all those that do. :eyes:

[UpInArms]

46. Shell says Houston pumps run dry as folks flee Rita

http://www.alertnet.org/thenews/newsdesk/L2366301.htm

LONDON, Sept 23 (Reuters) - Oil giantRoyal Dutch Shell Plc <RDSa.L><RDSb.L> said its stations in the Houston area of Texas had run out of fuel, as thousands of people swarmed highways to escape the approach of Hurricane Rita.

"We are experiencing product run-outs at Shell-branded stations in the Houston area ... We are making every effort to navigate current road conditions and deliver gasoline in a safe and efficient manner," the Anglo-Dutch firm said in a statement.

Shell Oil Products US and Shell's Motiva joint venture with Saudi Refining Inc. form the largest fuel retail group in the U.S. in terms of volume, market share, and total number of service stations, Shell said on its website.

...more...

[UpInArms]

14. U.S. Treasuries ease, glued to Rita developments

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T084400Z_01_L23714249_RTRIDST_0_MARKETS-BONDS-TREASURIES.XML

LONDON, Sept 23 (Reuters) - U.S. Treasuries were slightly
lower on Friday, drifting in a tight range, with investors
unwilling to take big positions before the arrival of Hurricane
Rita on the U.S. mainland at the weekend.

U.S. Treasuries ended lower on Thursday, as Hurricane Rita
weakened to a Category 4 storm and shifted direction slightly,
easing fears of a direct hit on the heart of the Texas refining
hub near Houston.

But with almost 30 percent of U.S. refining capacity across
the Gulf Coast already shut, investors were cautious, hoping
Rita wouldn't wreak as much havoc as Hurricane Katrina last
month.

"We are in a wait and see stance. I think investors will
stay on the sidelines and we'll have to see how big the damage
is and real trading will resume on Monday," said Kornelius
Purps, bond strategist at Hypovereinsbank.

...more...

[UpInArms]

20. Treasurys dip on Chinese demand doubt

http://www.marketwatch.com/news/story.asp?guid=%7B89A86A89%2DB7CF%2D465E%2DACF6%2D1DAA14CB7E96%7D&siteid=mktw

NEW YORK (MarketWatch) -- Treasury prices fell Friday in anticipation China, the second largest foreign holder of U.S. debt behind Japan, could curb its purchases as it took another step toward currency flexibility.

China may need fewer of the U.S. Treasurys it buys with dollar proceeds from transactions historically used to hold down the value of its yuan. A cheaper yuan, relative to the dollar in particular, makes Chinese goods more competitive. China earlier this year dropped a rigid, decade-long currency peg to the dollar.

On Friday morning, the benchmark 10-year Treasury note was down 1/4, or $2.50 for each $1,000 in securities at face value, at 100 9/32.

The drop in price lifted its yield ($TNX: news, chart, profile) , a reference for mortgage and corporate borrowing rates, to 4.21% vs. 4.18% Thursday.

...more...

[UpInArms]

17. Rita gives Bush a chance to reconnect with his base

OMG - that headline! We know who his "base" really is. :eyes:

http://news.ft.com/cms/s/f4eec734-2b96-11da-995a-00000e2511c8,dwp_uuid=6ab6c2fa-1adf-11da-a117-00000e2511c8.html

The prospect of a category 4 hurricane slamming the shores of his home state of Texas is hardly welcome news, but for President George W. Bush, Hurricane Rita offers a rare second chance at a political action replay: to do what he failed to do after Hurricane Katrina - show that he is in command.

Over the last two weeks Mr Bush's fabled political instincts have deserted him. He has veered between a stunned passivity to playing a munificent Santa, from a distant fly-over of the region to five ground visits, and from a policy of delegation to one that attempts to micro-manage relief efforts.

When relatives are wheeled out to the rescue - with George H.W. Bush, the former president, and his wife Barbara defending their son on television - it is clear that the mood is mordant. Their familial appeals have had little effect. Recent polls have recorded some of the worst approval ratings of Mr Bush's presidency, at about 40 per cent.

“This is worse now,” says one sympathetic Republican senator. “It was a house where the foundations were weak because of Iraq, and a strong wind has blown. The president is weaker today than he has ever been. No question.”

<snip>

“The thing that has worried me for most of the year is that the economy is very good, but the majority of voters don't think so,” says Charlie Black, a Republican strategist. “Pocketbook issues matter for the ability to win elections in 2006.”

...more...

More great laffs in a full reading!

[RawMaterials]

24. Bush Drinking Again

WASHINGTON, D.C. -- (OfficialWire) -- 09/23/05 -- According to the National Enquirer George W. Bush is sneaking shots behind his wife's back, while many of his staff know he's drinking again.

Enquirer reporters, Jennifer Luce and Don Gentile, quoting 'family sources' detail how the 59-year-old president was caught by First Lady Laura downing a shot of booze at their family ranch in Crawford, Texas, when he learned of the hurricane disaster.

His worried wife yelled at him: "Stop, George."

Bush claims to have given up the drink after his 40th birthday, but according to a Washington source "The sad fact is that he has been sneaking drinks for weeks now. Laura may have only just caught him—but the word is his drinking has been going on for a while in the capital. He's been in a pressure cooker for months."

The result is he's taking drinks here and there, likely in private, to cope. "And now with the worst domestic crisis in his administration over Katrina, you pray his drinking doesn't go out of control."

Substance abuse is no stranger to Bush. During the 2000 presidential campaign, there were also persistent questions about past cocaine use. Eventually Bush denied using cocaine after 1992, then quickly extended the cocaine-free period back to 1974, when he was 28.

Dr. Justin Frank, a Washington D.C. psychiatrist and author of Bush On The Couch: Inside The Mind Of The President, said: "I do think that Bush is drinking again. Alcoholics who are not in any program, like the President, have a hard time when stress gets to be great.

"I think it's a concern that Bush disappears during times of stress. He spends so much time on his ranch. It's very frightening."




http://news.baou.com/main.php?action=recent&rid=20531


so this is who has a finger on the trigger huh?

everyone know a little of :beer: leeds to a :hangover:

[UpInArms]

26. I wonder if he disappears completely into the bottle if we can

get more momentum to have him "removed" from office?

:popcorn:

[RawMaterials]

28. should we send

him a care package of whiskey, maybe a couple of case's.

:evilgrin:

[UpInArms]

30. I'll start the collection

with a large virtual stocking stuffer :D

[UpInArms]

57. After Katrina flop, Bush polishes up Rita response

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T162521Z_01_N23637023_RTRIDST_0_RITA-BUSH-POLITICS.XML

WASHINGTON, Sept 23 (Reuters) - This time, President George W. Bush is determined to get it right.

Harshly criticized for his slow response to Hurricane Katrina, Bush didn't wait for Hurricane Rita to hit before flying to the affected region.

<snip>

"But everything that a president in trouble does is also at least partly political and designed to stop his slide in the polls," he said.

Bush's approval ratings have plummeted to all-time lows in recent polls. Most put his favorability at around 38 to 41 percent and his image as a strong and decisive leader has taken a serious hit.

White House spokesman Scott McClellan on Thursday angrily dismissed the suggestion that Bush's trip to Texas was mainly a photo opportunity.

...more...

[UpInArms]

18. US junk bond funds report $329 mln outflow in week

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T121147Z_01_N23617393_RTRIDST_0_FINANCIAL-JUNK-AMG-URGENT.XML

NEW YORK, Sept 23 (Reuters) - U.S. junk bond funds reported $329 million in net outflows in the week ended Wednesday, following a $199.6 million outflow the prior week, AMG Data reported late on Thursday.

The outflows came as junk bonds posted sharp losses on concerns about rising interest rates, troubles in the auto sector, and the impact of surging energy prices on corporate profits. Counting interest and price changes, junk bonds are down 1.06 percent month-to-date, the worst performance of any major class of U.S. bonds, according to Merrill Lynch.

Junk bond funds have lost more than $8 billion in net outflows year to date, according to AMG Data, as investors took profits after a two-year rally.

[UpInArms]

21. HCA SUBPOENAED BY U.S. ATTORNEY'S OFFICE; RELATED TO STOCK SALE BY SENATOR

HCA SUBPOENAED BY U.S. ATTORNEY'S OFFICE; RELATED TO STOCK SALE BY SENATOR FRIST

(Bulletin headline with subarticle links)

HCA gets subpoena to produce documents

http://www.marketwatch.com/news/newsfinder/pulseone.asp?siteid=mktw&dateid=38618.3508349421-843504255&

NEW YORK (MarketWatch) -- HCA Inc. (HCA) said Friday it has received a subpoena from the U.S. Attorney's office for the Southern District of New York. The Nashville, Tenn., hospital operator said the subpoena calls for the production of documents, and HCA believes it relates to the sale of HCA stock by Sen. William H. Frist. It plans to cooperate fully with the subpoena. The stock closed Thursday at $45.90, down 3.2%.

Agency Calls on Frist About Timing of Stock Sale

http://www.nytimes.com/2005/09/23/politics/23frist.html?ex=1213848000&en=f5cf4be6d0da611e&ei=5035&partner=MARKETWATCH

WASHINGTON, Sept. 22 - A spokesman for Senator Bill Frist, Republican of Tennessee, said Thursday that the Securities and Exchange Commission had contacted Mr. Frist's office about the sale in June of his shares in HCA, the giant hospital company founded by his family.

Mr. Frist, whose brother Thomas F. Frist Jr. is chairman emeritus and the largest individual shareholder of the company, disclosed earlier this week that on June 13 he asked the managers of blind trusts controlling many of his assets to sell any of his remaining shares in HCA.

The sales occurred just as the share price reached a new peak and shortly before the company's announcement in mid-July of lower-than-expected quarterly results sent the price tumbling.

Mr. Frist, the Senate majority leader and a potential presidential candidate, initially placed more than $10 million in shares of the company in his trusts, but his spokesman said he could not determine how much remained at the time of the sale.

Mr. Stevenson, the spokesman, said the securities commission had contacted Mr. Frist after news organizations published articles this week raising questions about the profitable timing of the sale. Only a few such contacts lead to formal investigations or penalties.

...more...

[UpInArms]

27. Feds seek records for Frist stock sales

http://www.marketwatch.com/news/story.asp?guid=%7B7EEE110C%2DCE13%2D400A%2D9AC1%2D658BED43DD8E%7D&siteid=mktw

NEW YORK (MarketWatch) -- Hospital firm HCA Inc. said Friday the U.S. Attorney in Manhattan has subpoenaed documents the company says are related to stock sales by the U.S. Senate majority leader William Frist of Tennessee.

Earlier this week the senator announced that he and his immediate family had sold all the shares they owned in HCA (HCA: news, chart, profile) , which was founded by his family.

At that time, an aide to the senator told the Congressional Quarterly that, "the senator wanted to prevent any future, baseless complaints about a possible conflict of interest. He felt it was best to divest all the HCA stock."

<snip>

And on Thursday, Frist responded to further criticism from some quarters, as well as suggestions the share sales may have been influenced by information he'd received from his brother, HCA director Thomas Frist.

...more...

[ozymandius]

22. Stock futures lose steam as Rita builds

NEW YORK (Reuters) - U.S. stock futures suggested a lower market open on Friday, shaking off earlier gains as Hurricane Rita roared toward the U.S. Gulf Coast.

S&P 500 futures were down 0.3 points, but held above their fair value, a mathematical model that evaluates their pricing by taking into account interest rates, dividends and time to expiration on the contract.

Dow Jones industrial average futures were down 9 points. Nasdaq 100 futures slipped 1.5 points.

"Things are sort of touch and go right now," said Michael Malone, trading analyst at S.G. Cowen, of New York. "People are keyed up on this storm and you're going to see some fits and starts here."

more

[ozymandius]

25. pre-open blather

9:03AM: S&P futures vs fair value: flat. Nasdaq futures vs fair value: -3.5. Futures trading continues to suggest a subdued start for the equity market. With no economic data on the docket, and with the earnings calendar similarly blank, Rita continues to garner the full market focus... On that note, crude's $0.59/bbl decline, to $65.91, offers early support and may help trigger some bargain hunting as traders eye respective week-to-date losses of 3.1%, 1.8%, and 2.3% on the Dow, S&P, and Nasdaq.

8:31AM: S&P futures vs fair value: -0.7. Nasdaq futures vs fair value: -4.5. Stage still set for stocks to open relatively flat, with Hurricane Rita's impending influx the focal point of traders' attention and reason for a cautious stance...

The current downtick in crude (-0.73 $65.77), however, has perhaps helped offset some downbeat news on the corporate front, which includes a Q3 profit warning from Alcoa (AA), prompting two analyst downgrades, and Oracle's (ORCL) in-line results on lower than expected Q1 (Aug) sales, both of which could act as overhangs on the Dow and Nasdaq, respectively, throughout the session.

[ozymandius]

29. markets are open for bidness (and into the crapper)

9:33
Dow 10,407.64 -14.41 (-0.14%)
Nasdaq 2,104.89 -5.89 (-0.28%)
S&P 500 1,213.63 -0.99 (-0.08%)
10-Yr Bond 4.207% +0.03
NYSE Volume 39,449,000
Nasdaq Volume 50,151,000

[ozymandius]

32. flushing below 10,400

9:40
Dow 10,398.57 -23.48 (-0.23%)
Nasdaq 2,103.05 -7.73 (-0.37%)
S&P 500 1,211.42 -3.20 (-0.26%)
10-Yr Bond 4.204% +0.03
NYSE Volume 95,878,000
Nasdaq Volume 100,186,000

[UpInArms]

33. 9:50 EST no traction on that oil slickened sewer pipe

Dow 10,390.61 -31.44 (-0.30%)
Nasdaq 2,102.21 -8.57 (-0.41%)
S&P 500 1,210.91 -3.71 (-0.31%)
10-Yr Bond 4.206 +0.30 (+0.72%)

NYSE Volume 175,170,000
Nasdaq Volume 170,026,000

[UpInArms]

34. 10:17 EST redder still

Dow 10,380.42 -41.63 (-0.40%)
Nasdaq 2,104.47 -6.31 (-0.30%)
S&P 500 1,210.77 -3.85 (-0.32%)
10-Yr Bond 4.216 +0.40 (+0.96%)

NYSE Volume 343,766,000
Nasdaq Volume 307,504,000

10:00AM: The major averages hang steadily below the flat line, pressured by eight of ten economic sectors' negative stances. Energy has emerged as the early laggard, off 1.2% as prices across the energy complex still head south as governmental agencies and OPEC remain prepared to increase supply if necessary... Fueled by Oracle's (ORCL) decline, the Tech sector serves a substantial drag on the overall market and on the Nasdaq especially while the Materials sector have lost 0.6% on Alcoa's (AA) Q3 warning...

Financials has also been weak, as rising bond yields have weighed on brokerage and banks, while consolidation in retail and homebuilding has weighed on Consumer Discretionary... NYSE Adv/Dec 817/1663, Nasdaq Adv/Dec 818/1456

9:40AM: Market opens lower as investors continue to build in fears related to the unknown impact of Hurricane Rita on the economy... While the energy markets are assuming that the damage from Rita will not be that severe, as evidenced in oil prices slipping below $66/bbl (-1.0%), a Q3 profit warning from Alcoa (AA) has raised some concerns heading into earnings season while a disappointing Q1 report from Oracle (ORCL) has also weighed on early sentiment...

[UpInArms]

35. Rubin: U.S. on wrong economic track

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.4274093287-843518814&siteID=mktw&scid=0&doctype=806&

WASHINGTON (MarketWatch) -- The United States is on the wrong economic track and finds itself in a deepening hole of debt, former Treasury Secretary Robert Rubin said Friday. Speaking to a congressional Democrats forum on the economy, Rubin said mounting government deficits are especially "pernicious" when combined with a large current account deficit and low personal savings rates. Rubin said leaders of both parties should make a "renewed commitment to facing our problems." Rubin, now a co-director of Citigroup, said short-term risks include the probability of higher interest rates and a weaker dollar, while the longer-term risks include paying for soaring health care costs.

[UpInArms]

37. Greenlight for Fraud: Accting board chair McDonough will step down by 1/30

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.4379722569-843520659&siteID=mktw&scid=0&doctype=806&

WASHINGTON (MarketWatch) -- William McDonough, chairman of a board created to oversee auditors of public companies, said Friday he's stepping down by Nov. 30. McDonough has been chair of the Public Company Accounting Oversight Board since June 2003. He said the board, created by 2002's corporate-fraud-fighting Sarbanes-Oxley Act, has put in place an effective supervisory process. The board cooperates closely with the Securities and Exchange Commission on implementing the act, which requires companies to report on internal financial controls.

[UpInArms]

38. Wal-Mart shuts down 104 facilities ahead of Hurricane Rita

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.4398507523-843521075&siteID=mktw&scid=0&doctype=806&

CHICAGO (MarketWatch) -- Wal-Mart Stores Inc., the world's largest retailer, said Friday that it has shut down 104 facilities near and in the path of Hurricane Rita. Of the closures, 52 are Wal-Mart supercenters, 22 are Sam's Clubs and three are distribution centers. At the same time, Wal-Mart has loaded up 200 trucks with merchandise to staging areas in Texas that include 621,000 gallons of water and 24 generators. Shares of Wal-Mart were up 7 cents to $43.26.

Guess their x-mas season will not be so cheery :eyes:

[UpInArms]

41. "Force Majeure" declared at Nymex

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.4548225347-843523795&siteID=mktw&scid=0&doctype=806&property=symb&value=&categories=&

NEW YORK (MarketWatch) -- The New York Mercantile Exchange on Friday declared a "force majeure" for September contracts, which means that normal contractual obligations regarding the physical delivery of oil and its products have been suspended for Hurricane Rita.

Ruh-Roh.

:scared:

[UpInArms]

42. Rita breaches levee in New Orleans -official

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T144839Z_01_N23378934_RTRIDST_0_RITA-LEVEES-URGENT.XML

NEW ORLEANS, Sept 23 (Reuters) - Water is spilling over a levee in New Orleans as the outer edge of Hurricane Rita dumps rain on the city, an official with the Army Corps of Engineers said on Friday.

"We have discovered an overtopping on the industrial canal," Army Corps of Engineers spokesman Mitch Frazier told local radio.

The Army Corps had repaired the section after Hurricane Katrina flooded the Lower Ninth Ward section of the city.

Water seeped through the repaired section on Thursday.

[UpInArms]

49. Water flowing back into New Orleans 9th Ward -reports

http://www.marketwatch.com/news/newsfinder/pulseone.asp?dateid=38618.4872145139-843529440&siteID=mktw&scid=0&doctype=806&property=symb&value=&categories=&

SAN FRANCISCO (MarketWatch) -- Water is quickly flowing back into the 9th Ward of New Orleans on Friday, one of the areas hardest hit by Hurricane Katrina, according to various news reports. Some reports said there have been significant breaches in levees. Other reports said water was surging over the top of the levees.

:cry: for the lost city of New Orleans

[UpInArms]

43. 11:03 EST markets say: Rita of no importance - WHEE!

Dow 10,406.54 -15.51 (-0.15%)
Nasdaq 2,109.49 -1.29 (-0.06%)
S&P 500 1,213.97 -0.65 (-0.05%)
10-Yr Bond 4.212 +0.36 (+0.86%)

NYSE Volume 595,477,000
Nasdaq Volume 504,139,000

10:30AM: The major averages continue to run in place, with Telecom (+0.2%) on positive turf while Healthcare (+0.1%) and Industrials have recently joined it above the flat line... While pullbacks in energy prices are not currently driving buyers to the table, further consolidation in the commodity may be helping to minimize the Rita effect, perhaps most notably in the energy-sensitive airline group (+0.5%)...NYSE Adv/Dec 917/1886, Nasdaq Adv/Dec 1028/1470

[UpInArms]

44. blather - yippee! winds only 135 miles per hour!

11:00AM: Market rebounds somewhat over the last half hour, perhaps amid reports that Rita winds have weakened to 135 MPH, leading some to think Rita could be downgraded this time to a Category 3 hurricane... However, there has been little conviction behind the renewed buying interest as total volume remains lighter than usual and all three major indices continue to trade in negative territory... NYSE Adv/Dec 978/1914, Nasdaq Adv/Dec 1119/1520

[UpInArms]

45. Rita expected to flood Port Arthur, smash 6,000 homes

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T151353Z_01_N23636153_RTRIDST_0_RITA-PREDICTION-URGENT.XML

AUSTIN, Texas, Sept 23 (Reuters) - Texas expects catastrophic damage from Hurricane Rita, including the flooding of the entire coastal city of Port Arthur, a senior state official said on Friday.

Speaking as the first winds of the massive storm were felt along the Gulf of Mexico coast, Jack Colley, the director of the Texas Division of Emergency Management, told reporters an estimated 5.2 million Texans would be affected, 6,000 homes would be destroyed and 16,000 people made homeless.

He said parts of southeast Texas, where tens of thousands of people have been evacuated, was AUSTIN, Texas, Sept 23 (Reuters) - Texas expects catastrophic damage from Hurricane Rita, including the flooding of the entire coastal city of Port Arthur, a senior state official said on Friday.

Speaking as the first winds of the massive storm were felt along the Gulf of Mexico coast, Jack Colley, the director of the Texas Division of Emergency Management, told reporters an estimated 5.2 million Texans would be affected, 6,000 homes would be destroyed and 16,000 people made homeless.

He said parts of southeast Texas, where tens of thousands of people have been evacuated, was expected to be hit by hurricane force winds for 16 straight hours. He expected the entire city of Port Arthur to go underwater with an 18- to 22-foot (6- to 7- metre) storm surge.. He expected the entire city of Port Arthur to go underwater with an 18- to 22-foot (6- to 7- metre) storm surge.

Gee, isn't that great for the market! expected to be hit by hurricane force winds for 16 straight hours - but those winds are only 135 miles per hour! That's great news!

:sarcasm:

[Tace]

47. I Suspect The Equity Markets Will Sell-Off Into The Close

Nobody's going to want to stay long over the weekend. I'm no expert, but that's what I'm thinking.

[UpInArms]

48. "nervousness heading into the weekend"

11:39 EST

Dow 10,398.97 -23.08 (-0.22%)
Nasdaq 2,109.12 -1.66 (-0.08%)
S&P 500 1,213.03 -1.59 (-0.13%)
10-Yr Bond 4.228 +0.52 (+1.25%)

NYSE Volume 768,897,000
Nasdaq Volume 646,605,000

11:30 Market continues to trade at improved levels but still languishes below the unchanged mark... Even though falling oil prices suggest ensuing hurricane damage will not be that severe, Rita uncertainty, coupled with disappointments from AA and ORCL and a lack of market-moving economic data to set a more definitive tone to trading, continue to underpin a sense of nervousness heading into the weekend...NYSE Adv/Dec 1163/1777, Nasdaq Adv/Dec 1257/1455

Good call, Tace!

[Tace]

51. Thing Is -- I'm Not Taking The PPT Into Consideration

The Fed Plunge Protection Team -- AKA "Pixie Dust," nor gains in companies like Halliburton that could benefit from Rita destruction on the Gulf, and offset declines in other companies.

[UpInArms]

52. Sears cuts retiree benefits, shares fall

http://www.marketwatch.com/news/story.asp?guid=%7BB36EAB54%2DC40B%2D489E%2DA48A%2D3739CD216037%7D&siteid=mktw

CHICAGO (MarketWatch) - Sears Holding Corp. is again trimming medical benefits to its Sears Roebuck & Co. retirees, a move aimed at cutting costs and shoring up profits.

Shares of Sears Holdings (SHLD: news, chart, profile) , the parent of the namesake stores and Kmart stores, dropped $1.83, or 1.5%, to $120.08 on Friday.

Beginning Jan. 1, retirees under 65 years old will continue to have access to medical cover, but the company will stop paying for it. That accounts for about 15% of the company's more than 45,000 retirees, spokesman Chris Braithwaite said. The majority of those retired from Sears are over 65 years and left between Jan. 1, 1978 and Jan. 1, 2000.

About half of those people will become eligible for subsidized coverage when they do turn 65, he said.

Those over the age of 40 will begin paying the full cost of medical premiums when they leave the company.

Coverage will vary for retirees under 65 dependent on when they retired. There will be changes for those 65 year and older, for example, who retired on or after Jan. 1, 2000. And those who have left before Jan. 1, 1978, all benefits stay intact.

...more...

[UpInArms]

54. Rita may lead to more insurers' downgrades - S&P

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T155443Z_01_N23639945_RTRIDST_0_FINANCIAL-INSURANCE-SP-URGENT.XML

NEW YORK, Sept 23 (Reuters) - Insurers and reinsurers of energy and chemical companies will likely bear some of the brunt of Hurricane Rita, possibly leading to more downgrades in the sector, Standard & Poor's said on Friday.

Ten insurers already were on review for a downgrade, and more could be added to that list, S&P said in a statement.

"We don't see the solvency of companies we follow threatened, but if Rita turns out to be extremely severe, we may have to reassess our position," the rating agency said. "Also, smaller insurers in the region that we don't follow could be hard-hit."

I'd say that Allstate may be on the possible "insolvent" list :eyes:

[UpInArms]

55. 12:15 EST numbers and blather

Dow 10,408.20 -13.85 (-0.13%)
Nasdaq 2,109.76 -1.02 (-0.05%)
S&P 500 1,213.81 -0.81 (-0.07%)
10-Yr Bond 4.243 +0.67 (+1.60%)

NYSE Volume 910,278,000
Nasdaq Volume 758,866,000

Remaining on Rita watch, the equity market trades at its best levels midday, as investors weigh disappointments from Alcoa (AA 24.16 -1.74) and Oracle (ORCL 12.33 -1.19) against further deterioration in oil prices following an encouraging update on Rita... Within the last hour, it has been reported that Hurricane Rita's winds have weakened to 135 MPH, which has sparked hope that that the storm will be downgraded to a Category 3 hurricane and pushed oil prices ($64.75/bbl -$1.75) even lower...

Nonetheless, the market's major averages still trade within a tight range around the flat line, supported somewhat by pulled back energy prices that suggest the market believes Rita's damage will not be that severe, but ultimately bogged down by the degree of uncertainty surrounding its impending arrival... The Q3 profit warning from Alcoa and weak sales growth at Oracle, coupled with a dearth of market-moving data on the economic front, have also underpinned traders' cautious stance ahead of the weekend...

Aside from the Energy sector's 1.6% decline, fueled by the 2% slide in crude and subsequent consolidation of the sector's 40.2% year-to-date gain, Materials (-0.7%) has been a loser today, languishing on account of the Alcoa-induced aluminum (-6.4%) loss. Although Oracle delivered in-line earnings results last night, the market was disappointed by its lower than expected Q1 (Aug) sales and earnings that reflect decelerating growth. As such, shares have plummeted 9.3% and have stunted both the Tech sector's (-0.2%) the Nasdaq's upward efforts... On the flip side, though, pockets of strength in networking (+0.7%) and diskdrives (+0.4%), along with a recently recovered semiconductor group (+0.03%) have helped minimize Oracle's effect...

Industrials, however, have climbed 0.3% on Goodyear's (GT 15.57 +0.57) announced turnaround plan and 3.8% rise, while Healthcare has matched that performance on account of strength in HMOs... The influential Financials sector has also lent a bit of muscle with its 0.2% rise, but continues to be pressured by banks, which are trending negative alongside a weak Treasury market...

While the air of uncertainty may likely prevail, and as lower than average trading volume evidences a lack of conviction today, week to date respective losses of 3.1%, 1.8%, and 2.3% in the Dow, S&P, and Nasdaq may give traders some reason to bargain hunt, especially if Rita continues to lose steam...NYSE Adv/Dec 1274/1771, Nasdaq Adv/Dec 1334/1434

[UpInArms]

56. ALERT: US says will adjust Sept jobs count due to Katrina

http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=2005-09-23T161657Z_01_N23482626_RTRIDST_0_ECONOMY-KATRINA-JOBS-UPDATE-1.XML

WASHINGTON, Sept 23 (Reuters) - The U.S. Bureau of Labor Statistics on Friday said it will change the way it estimates September employment due to the devastation of businesses and dislocation of workers in regions hit by Hurricane Katrina.

The BLS said it will change its estimation procedure for its payrolls survey to recognize the likelihood of businesses being temporarily or permanently out of business and will adjust sample weights in the disaster area to compensate for lower-than-average survey response rates.

"If there are sample units that BLS is unable to contact in the most heavily impacted disaster areas, CES will assume the business is not operating and therefore has an employment level of zero. This carries some risk of overstating employment loss," the BLS said.

It also said it will drop uninhabitable households from its survey of households in September and give a higher weight to responses from households it is able to reach, but noted that may introduce "some inaccuracy" to the data.

"For example, if persons who are interviewed are more likely to be employed than those who cannot be interviewed, the CPS would overstate employment in September," it said.

...lots more...

[ozymandius]

61. 1:27 update and bye

Dow 10,413.61 -8.44 (-0.08%)
Nasdaq 2,111.09 +0.31 (+0.01%)
S&P 500 1,214.13 -0.49 (-0.04%)
10-Yr Bond 4.248% +0.07
NYSE Volume 1,124,157,000
Nasdaq Volume 929,851,000

1:00PM: With traders finding no fresh catalyst to trigger buying or fuel further selling activity, the indices remain stuck in negative territory... The Dow is currently split down the middle, with 15 of its 30 components on each side of the flat line... Despite top-ranking gains in Honeywell (HON), American International Group (AIG), and Wal-Mart, the blue chip average remains underwater on account of Alcoa's (AA) 6.0% plunge and losses from Exxon-Mobil (XOM) and McDonald's (MCD)...NYSE Adv/Dec 1323/1801, Nasdaq Adv/Dec 1407/1445


Gotta run. I am taking the day off from work to do errands and tasks that have been pressing for awhile. Have a wonderful weekend and see you Monday!

Ozy :hi:

[Tace]

62. Have Fun, And Stay Safe

[UpInArms]

63. have a great weekend Ozy!

:hi:

[UpInArms]

64. 1:48 EST all happy now! (except for treasuries)

Dow 10,426.11 +4.06 (+0.04%)
Nasdaq 2,115.78 +5.00 (+0.24%)
S&P 500 1,215.80 +1.18 (+0.10%)
10-Yr Bond 4.235 +0.59 (+1.41%)

NYSE Volume 1,205,058,000
Nasdaq Volume 1,004,421,000

1:30 Range-bound trading persists, as the market's majors continue march in place just below the flat line... The Consumer Discretionary sector, however, is trading near its best level of the day, up 0.3% largely on account of a 0.8% rebound in retail, assisted by a 2.3% surge in Best Buy (BBY) after UBS initiated coverage with a Buy rating based on its solid outlook for consumer spending... Better than expected Q1 (Aug) earnings and a 400% dividend increase from Darden (DRI), coupled with Goodyear's (GT) announced turnaround plan and an analyst upgrade on Delphi (DPH), have also provided a lift...

NYSE Adv/Dec 1421/1743, Nasdaq Adv/Dec 1497/1386

[UpInArms]

65. ALERT: US says to sell US Airways, America West loans

http://today.reuters.com/PrinterFriendlyPopup.aspx?type=bondsNews&storyID=uri:2005-09-23T174406Z_01_N23648002_RTRIDST_0_AIRLINES-LOANS-UPDATE-1.XML

(selling assets? hmmmm.....)

WASHINGTON, Sept 23 (Reuters) - The U.S. government wants to significantly lower its profile in commercial airline financing by selling $1 billion in federally backed loans for US Airways <UAIRQ.OB> and America West Airlines <AWA.N>, the Treasury Department said on Friday.

The Air Transportation Stabilization Board said it is working with a financial adviser to assess the remarketing of two government-backed loans to the carriers, which are merging this fall.

The US Airways loan is roughly $700 million, while the America West debt is about $300 million. The two agreements were renegotiated separately after the merger announcement last spring.

<snip>

In addition, the stabilization board is exploring options to sell its remaining warrants in World Airways, a cargo carrier, and Frontier Airlines. The government would still be securing financing for World and bankrupt ATA Airlines, a unit of ATA Holdings Corp. <ATAHQ.OB>

The $10 billion loan guarantee program was created by Congress after the Sept. 11, 2001, hijack attacks to help struggling airlines and cargo carriers get financing during a time when lenders would not extend the industry any credit.

Only a few carriers took advantage of the help. Many companies were unwilling to give the government a stake in their business in exchange for financing guarantees. Typically, the stabilization board would back a substantial portion of a loan underwritten by banks.

...more...

[Tace]

66. How 'Bout Those Bonds?

Added seven basis points to the 10-year. Nice a move that helped to steepen the yield curve a bit. Fed will be happy.

[UpInArms]

68. close

Dow 10,419.59 -2.46 (-0.02%)
Nasdaq 2,116.84 +6.06 (+0.29%)
S&P 500 1,215.29 +0.67 (+0.06%)
10-Yr Bond 4.248 +0.72 (+1.72%)

NYSE Volume 2,009,334,000
Nasdaq Volume 1,641,660,000

Close: A Rita-roiled market maintained a wait-and-see stance throughout the session, ultimately finishing in mixed fashion and within a tight, day-long trading range that encircled the flat line. Staging a modest recovery mid-afternoon upon the hurricane's downgrade - to a still-dangerous Category Three - and amid a subsequent decline in energy prices, the market mirrored yesterday's downgrade-induced rebound, but today could not quite sustain gains as uneasy traders began the weekend anticipating Rita's arrival...

With a blank economic calendar and a similarly uneventful earnings docket to steal some attention, the market remained on a session-long Rita watch. Early reports that the hurricane's path veered, eyeing the eastern part of Texas as opposed to the Houston refining region, led to a sell-off across the energy complex (crude closed 3.5% lower to $64.19/bbl) that held throughout the session and fostered some modest bargain hunting action in the wake of 3.1%, 1.8%, and 2.3% declines on the Dow, S&P, and Nasdaq, respectively...

A pair of disappointments on the corporate front, however, further infected the market's sentiment and undercut upward efforts. Alcoa's (AA 24.44 -1.46) Q3 profit warning sent its shares spiraling 5.6%, impeded the Dow, and left the Materials sector languishing for most of the day. Although managing to close with a 0.2% gain, the sector remained one of the session's laggards, second only to Energy - which declined 1.7% alongside energy price pullbacks and resulting reasons for profit-taking...

Oracle (ORCL 12.39 -1.13) delivered the second piece of disappointing news. While reporting in-line earnings last night, Wall Street was turned off by lower than expected Q1 (Aug) sales and earnings that reflected decelerating growth of about 2%, which sent shares tumbling 8.4%. Oracle's distress weighed heavily upon the Tech sector, which eventually found support as lifts in Texas Instruments (TXN 33.86 +1.13), Qualcomm (QCOM 44.76 +0.76), and Motorola (MOT 22.79 +0.64) offset ORCL's effect. But hardware's 1.7% decline, largely due to Palm Inc.'s (PALM) disappointing outlook, and software's 0.6% dip ultimately stunted an overall advance...

The Financial sector's 0.3% gain came with rebounds in banks (+0.2%) and brokers (+0.3%), despite a weak Treasury market, and lent muscle to the market; in the end, though, it was too modest to sustain the indices' gains... A particular area of strength today was within Consumer Discretionary (+0.2%). A turnaround in retailers (+0.4%), spurred by a 2.3% surge in Best Buy (BBY 42.91 +0.71) after UBS initiated coverage with a Buy rating and falling gas prices, a better than expected Q1 (Aug) report and a 400% dividend increase from Darden (DRI 29.75 +0.68), Goodyear's (GT 15.49 +0.49) announced turnaround plan, and an analyst upgrade on Delphi (DPH 3.46 +0.34), helped the sector maintain its positive footing throughout most of the session...DJTA +0.35, DJUA +0.18, DOT +0.10, Nasdaq 100 +0.28, Russell 2000 +0.58, SOX +0.79, S&P Midcap 400 +0.41, XOI -1.62, NYSE Adv/Dec 1683/1578, Nasdaq Adv/Dec 1813/1176

[54anickel]

69. Wow, held out pretty well for the day. And what's up with the buck?

My god, look at that chart! One huge drop and then it's to the moon for the rest of the day. If these numbers don't scream intervention I don't know what does. Wasn't 1,210-1,215 some important technical support number for the S&P again? :eyes: