Moderate strength this morning gave way to a late day sell-off, pushing the Dow down 39 points. The S&P 500 was off 0.4% and the Nasdaq fell by more than 0.9%. The market continues to trade erratically, on light volume. Market direction is particularly sensitive to news flow, and is not gaining strength on recent deal news from Potash (NYSE:POT), McAfee (MFE) and 3Par (NYSE:PAR).
This morning I added some Fifth Street Finance Corp (NYSE:FSC), and maintained my short position in Salesforce.com (NYSE:CRM). Finally, I have been adding to my Frontier Communications (NYSE:FTR) position ahead of it's ex-dividend date.
Overall Sentiment: Cautious
Portfolio Yield: 7.29%
Projection: S&P 500 sell-off to 1,044 followed by rally to 1,280
My largest positions at days end are:
Disclosure: Long: FSC, FTR, EXC, HCN, PBI; Short: CRM