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Wall Street Breakfast: Must-Know News

US manufacturing economy stalling per today's news. "Manufacturing activity in the New York area deteriorated slightly in May, the New York Federal Reserve Bank said Thursday. The bank's Empire State Manufacturing index fell to negative 3.2 in May from 0.6 in April. This is the third month in the last four that the index has been negative. Readings below zero indicate contraction. The report was weaker than expected. Economists were expecting to be essentially flat in April. "

Expect Basic Materials IYM to pull back. Higher costs for Basic Materials companies due to energy price spike matched with inability to raise prices in a near-recessionary environment.