Schaeffer's Daily Market Blog Features Cytec Industries, Alcoa, Dynamic Materials, Martha Stewart Living Omnimedia, and Delta Air Lines.

CINCINNATI -- Among the stocks featured in the September 23 edition of Schaeffer's Market Blog are Cytec Industries (NYSE:CYT), Alcoa (NYSE:AA), Dynamic Materials (NASDAQ:BOOM), Martha Stewart Living Omnimedia (NYSE:MSO), and Delta Air Lines (NYSE:DAL). Schaeffer's Market Blog is just one of the many free market commentaries written every day at www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. The Market Blog is written throughout every trading day by Schaeffer's financial analysts and traders. They are quick insights to the day's most notable market activity from an options perspective. For additional information about this report or to have it delivered to you free via email every day click on the following link. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1M&PAGE=1 .

Schaeffer's Market Blog for Friday, September 23, 2005:

Below are just a few of today's Market Blog entries. Click here to read all of today's Market Blog. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1C&PAGE=1 .

9:18 AM Hurricane Season Hurts Cytec

According to Yahoo! Finance, Cytec Industries (NYSE:CYT) engages in the manufacture and sale of chemical products. The company operates in four segments: Water and Industrial Process Chemicals, Performance Products, Specialty Materials, and Building Block Chemicals. This morning before the market open, CYT guided its earnings lower. The company said that the impact of Hurricane Katrina is expected to reduce its earnings by approximately 14 to 16 cents per diluted share.

Technically speaking, the shares closed yesterday near an important area of support at the 40 level. Market players should keep a close eye on this level to see if the shares are able to hold support there with this morning's negative earnings revision.

9:56 AM Alcoa Cuts Third-Quarter Outlook

Last night after the market close, Alcoa (NYSE:AA) cut its third-quarter earnings outlook. AA now sees third-quarter earnings of 27 to 31 cents per share, versus the consensus estimate of 44 cents. The company stated that higher energy and raw-materials costs, in addition to lower selling prices for aluminum, contributed to the lowered earnings outlook. AA also suffered two analyst downgrades this morning on the negative fundamental development.

A check on its price action reveals that AA has been in a steady decline since January 2004. The security has shed 17 percent over the past year. Today, AA is trading six percent lower to $24.45.

10:39 AM Dynamic Material Soars on Stock Split Announcement

In my previous posts here on Dynamic Materials (NASDAQ:BOOM), I have noted the stock's volatility. Well, news this morning that the company has declared a two-for-one stock split has the shares soaring again. BOOM opened more than nine percent higher and has held most of those gains through the first hour of trading. The split will take the form of a stock dividend and is payable on October 12 to shareholders of record on October 5. According to my records here, 49.6 percent of the stock's float is shorted. The combination of news events and high short interest has been a recipe for big moves for BOOM.

2:01 PM Calling Martha

Investors are buying up Martha Stewart Living Omnimedia (NYSE:MSO) calls again today despite the stock's rapid decline recently. The Schaeffer's put/call open interest ratio (SOIR) on MSO was 0.84 before today's trading, a level lower than 98 percent of all readings over the past year. This ratio should move even lower, as call volume on the security today has eclipsed 5,000 contracts. The apparent optimism toward MSO amid the shares underperformance could be a harbinger of further weakness.

2:36 PM Delta Airlines Slowly Could be Improving

Check out Delta Air Lines (NYSE:DAL) today. The shares are up four cents, which amounts to 4.88 percent, to 86 cents, but what I like is the technical formation. Now first off, the sentiment towards DAL is rather negative, given they recently filed for bankruptcy and announced they would be cutting thousands of jobs. Nonetheless, the shares are set for their first close above their 10-day moving average since the middle of July. A stock under a buck is there for a reason but, given that all of the bad news is probably out on DAL now, with the shares actually higher over the past week and a half and now above the 10-day moving average, I'd be pretty open to the idea that a nice bottom has been put in place.

The above are just a few of today's Daily Market Blog entries. Click here to read all of today's Daily Market Blog. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1C&PAGE=1 .

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About Schaeffer's Investment Research (www.SchaeffersResearch.com)

Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com , is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method .