Equities Update: Stocks Snap 3-Day Slide

Includes: DIA, QQQ, SPY, UDN
by: Midnight Trader

4:39 PM, Nov 23, 2009 --

  • NYSE up 101.9 (1.4%) to 7,186.33.
  • DJIA up 132.8 (1.3%) to 10,451.
  • S&P 500 up 14.9 (1.4%) to 1,106.
  • Nasdaq up 29 (1.4%) to 2,176.


  • Hang Seng up 1.41%
  • Nikkei down 0.54%
  • FTSE up 1.67%


(+) TSEM gains in wake of TowerJazz's Asian deal.

(+) TECD beats with Q3 results.

(+) T gets favorable Barron's coverage.

(+) XOM, CVX gain as analyst boosts earnings view.

(+) LDK beats with Q3 and guides for Q4 revs above Street view.

(+) GIVN unveils 2nd generation pill-based colononscopy solution.

(+) CPB tops with Q1, raises FY EPS view to above Street.

(+) FSLR sells Calif. power project.

(+) SPPI gets milestone payment.

(+) NTII announces special dividend.

(+) IBAS agrees to $3/share buyout.

(+) DHI gets upgrade.

(+) NEXM buying Bioquant.

(+) FIF sold for $738 mln.

(+) SEED gets approval for genetically modified Phytase corn.


(-) AKNS inks new deal.

(-) TSN reports Q4 earnings ahead of expectations.

(-) CEPH gets negative study results.

(+) CIEN buying Nortel units.

(-) BBI to combine shares into single class.


Major averages close up 1% or better though off their best levels of the day. Still, the close for the DJIA, at 10,450, is its best for 2009. Stock bulls were influenced by higher commodities and strong home sales data.

Stocks made a strong move out of the gate, hit fresh highs of the recovery and ended off those highs but with solid gains. Investors reacted to reassuring statements from the Federal Reserve about its resolve to aid the recovery and the latest report on home sales beat the Street handily.

Investors have been keeping a close eye on the economy to determine if the recovery will be sustained or whether a "double-dip" recession is on the horizon.

In a new snapshot of the economy, sales of used homes jumped 10.1% in October to a seasonally adjusted annual rate of 6.10 million units, topping economists' estimates, as first-time home buyers rushed to take advantage of a tax credit. The increase to a 6.10 million unit annual pace topped the consensus forecast for a gain to a 5.74 million annual rate from a revised 5.57 million in September, according to the National Association of Realtors' latest report.

The National Association for Business Economics also provided a slightly more upbeat forecast for a 2010 recovery, but said growth is likely to be slowed next year by ongoing high unemployment and tight credit.

But St. Louis Federal Reserve President James Bullard helped start the bull stampede Sunday when he said the central bank should extend its mortgage-related assets purchase program, which is supposed to expire in March. His comments caused the dollar to retreat in early trading today.

A lower dollar pushed up commodities.