Today's Closing Update

4:15 PM, Jun 22, 2009 --

• NYSE down 209.2 (3.5%) to 5,725.07.
• DJIA down 200 (2.4%) to 8,339.
• S&P 500 down 28.2 (3.1%) to 893.04.
• Nasdaq down 61.3 (3.3%) to 1,766.

GLOBAL SENTIMENT

• Hang Seng up 0.77%
• Nikkei up 0.41%
• FTSE down 2.57%

DOWNSIDE MOVERS

(-) CTIC down in active volume after reporting disappointing Pixantrone data.

(-) MRK and SGP get "second request" from FTC on merger.

(-) RIMM continues sell-off that followed disappointing guidance.

(-) ORCL turns lower; gets analyst price target hike.

(-) WAG profit down vs year ago.

(-) ACLS says Applied Materials to exclusively provide its processing systems in Japan.

(-) MRVL raises Q2 revenue guidance but caught in tech retreat.

(-) AAPL sells more than 1 mln iPhone SGS; already on the move in wake of WSJ article saying Steve Jobs had liver transplant.

(-) EMKR inks contract.

(-) PWER inks license pact with Texas Instruments (TXN).

(-) CYTX secures equity commitment from Seaside.

(-) AVII inks Defense contract.

UPSIDE MOVERS

(+) MEDX report says two patients with inoperable prostate cancer recover with single dose of drug.

(+) AAUK gains on Xstrata bid.

(+) LSI gets favorable Barron's coverage.

(+) SIRI to offer $350 mln in notes.

MARKET DIRECTION

Deep losses left the Dow Jones Industrial Average down 200 points at today's close and pushed the S&P 500 back into negative territory for the year.

Stocks beat a hasty retreat out of the gate and remained lower throughout today's trading session. A new World Bank report offering a more pessimistic view of the 2009 global economy than a previous forecast fueled uncertainty. The lending agency said the global economy will contract more than expected, 2.9% this year.

The bank's latest forecast is a sharp retreat from its March prediction for a 1.7% global contraction, which it said then would be the worst on record. Economic damage to developing countries "has been much deeper and broader than previous crises," the report said.

Without much news to offset the outlook, and concerns among analysts that the market may be overbought, investors pulled back throughout the stock market's many sectors and sent oil to three-week lows below $67 a barrel. The dollar gained ground, also cutting demand for oil as an inflation hedge.

The next big market mover is likely to come mid-week; the Federal Reserve meets for a two-day session beginning Tuesday. Investors will be looking to the Fed for guidance on the recovery and the central bank's position on buying Treasuries. Investors will also be watching the Treasury's record $104 billion in bond auctions this week. The money will be used to finance massive spending aimed at reviving the world's biggest economy. Housing and gross domestic product data are also expected this week.

Crude futures dropped nearly 4% to hit the lowest level in nearly three weeks.
July crude dropped $2.62, or 3.8%, to $66.93 a barrel. The July contract expires today. The more actively traded August contract also fell, to end at $67.50 a barrel.

Comments

[Snitzer]

The Fed is corrupt; or inept, or possibly just struggling to figure this whole thing out: all the same.
The children won't care about the debt; they'll just pass it off to their kids, like their parents.
I'm working on becoming one of the "financial elite", but there's a long way to go.
Gas @ 7 USD, oil @ 200 USD? My oil stocks should do well.
Cesspool of globalism/cultural perversion? Sounds like it could be fun.
Things are never as bad as most people say, and never as good as some people say.

2009 Jun 22 10:18 PM

[beenburnedtwice]

Pretty funny stuff and as close to reality as Krugman or Roubini...


On Jun 22 10:18 PM Snitzer wrote:

> The Fed is corrupt; or inept, or possibly just struggling to figure
> this whole thing out: all the same.
> The children won't care about the debt; they'll just pass it off
> to their kids, like their parents.
> I'm working on becoming one of the "financial elite", but there's
> a long way to go.
> Gas @ 7 USD, oil @ 200 USD? My oil stocks should do well.
> Cesspool of globalism/cultural perversion? Sounds like it could be
> fun.
> Things are never as bad as most people say, and never as good as
> some people say.

2009 Jun 22 11:45 PM