Closing Update for June 25

4:22 PM, Jun 25, 2009 --

• NYSE up 115.3 (2%) to 5,911.03.
• DJIA up 173 (2.1%) to 8,473.
• S&P 500 up 19.3 (2.1%) to 921.
• Nasdaq up 37.2 (2.1%) to 1,829.5.

GLOBAL SENTIMENT

• Hang Seng up 2.14%
• Nikkei up 2.15%
• FTSE down 0.95%

UPSIDE MOVERS

(+) CYTR reports statistically significant study data.

(+) PFE says phase III trial of sutent effective in type of pancreatic cancer.

(+) DBRN, TWB to merge in stock swap deal.

(+) AVGN confirms key terms for business combo.

(+) BBBY drew continued upside reaction to evening earnings beat.

(+) LEN tops with revenue.

(+) LM gained on analyst upgrade.

(+) JAZZ continued sharp upside in reaction to Fibromyalgia trial.

(+) AIG got Fed approval for IPOs.

(+) BSX said CEO to retire, names Ray Elliott replacement.

DOWNSIDE MOVERS

(-) PQ priced share offering.

(-) ABK got S&P credit downgrade.

(-) LEA slid as report says debt holders bracing for Ch. 11 filing.

(-) FSLR got analyst downgrade.

(-) NKE saw continued negative reaction to evening results.

(-) BP named Ericsson CEO as new Chairman.

MARKET DIRECTION

The major stock averages finish up 2%, at or near the best levels of the day. The S&P 500's 2% advance is the broad average's best one-day jump in more than three weeks.

Tech shares gained on back of Palm's (PALM) pre-earnings gain.

Stocks were helped around mid-day by gains in the retail sector after Bed Bath and Beyond (BBBY) posted better-than-expected results after Wednesday's bell and Dress Barn (DBRN) and Tween Brands (TWB) said this morning they would merge.

Stocks began the day under water after mixed economic data this morning sapped some pre-market upside momentum. U.S. Q1 GDP was revised up just slightly to show a 5.5% decline, not the 5.7% decline reported a month ago. Weekly jobless benefit claims, meanwhile, rose 15,000 to 627,000 in the latest week, the highest since mid-May. Wall Street expected claims to fall.

Among individual shares, Analog Devices (ADI) gained after BofA/Merrill raised its rating on the stock to Buy from Underperform.

American International Group (AIG) gained after the company says it's received approval from the Federal Reserve Bank of New York to proceed with initial public offerings of two of its international divisions, a deal that will see taxpayers recoup $25 billion of the money given the troubled insurer.

Hertz (HTZ) rose after predicting Q2 and full-year earnings above Wall Street estimates.

Decliners included First Solar (FSLR), which was downgraded by Canaccord Adams to Hold from Buy.

Nike (NKE) fell after reporting late Wednesday that its profit dropped in Q4 on costs to cut jobs. Adjusted results beat Wall Street expectations, but the athletic footwear and apparel company said orders for the next several months are down significantly from last year.

Insmed (INSM) plunged after a study showed its muscular dystrophy treatment did not show a statistically significant improvement in patients.

Jackson Hewitt (JTX) slid after missing Q4 sales estimates. Adjusted EPS meets expectations.

Comments

[a. palmer jr.:]

Pfizer may never reach the price I paid for it just a few short months ago, hoping the dividends will soften the fall somewhat.

Jun 26 10:08 AM