Schaeffer's Today's Market Features: Nokia, Palm, Anheuser-Busch, Boeing, and DuPont.CINCINNATI -- Among the stocks featured in the November 28 edition of Schaeffer's Today's Market are Nokia (NYSE NYSE See: New York Stock Exchange :NOK NOK In currencies, this is the abbreviation for the Norwegian Krone. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. ), Palm (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :PALM), Anheuser-Busch (NYSE:BUD), Boeing (NYSE:BA), and DuPont (NYSE:DD). Schaeffer's Today's Market 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. Today's Market is written throughout every trading day In Business, the trading day is the time span that a particular stock exchange is open. For example, the New York Stock Exchange is, as of 2006, open from 09:30AM to 4:00PM. Trading days never take place on weekends. by Schaeffer's financial analysts and traders. The entries are quick updates on the day's most notable market activity and news. To have our weekly column Monday Morning Outlook delivered to you free via email, click on the following link and you'll also get an opportunity to win an iPod Nano A flash-based digital music player from Apple, introduced in 2005. Like larger iPod models, the nano has a color screen. Although the nano name suggests ultra-small "nanotechnology," the iPod shuffle is actually smaller. See iPod. . http://www.schaeffersresearch.com/redirect.aspx?CODE=PRMS A full featured ERP system for the AS/400 from SSA Global Technologies, Inc., Chicago IL (www.ssaglobal.com). PRMS dates back to 1980 when the PCR company released its Resource Management System (RMS) software. In 1987, Pansophic Systems acquired PCR and added the "P" to the "RMS. 13M&PAGE=1 Don't forget that many of our observations are available as audio presentations that you can hear on your computer or download from Apple's iTunes Music Store to play on a portable device such as an iPod. To see the full menu of podcasts, please visit http://www.schaeffersresearch.com/commentary/podcasts/ 9:39 AM Good Morning Market Following yesterday's heavy losses, induced by a flagging U.S. dollar and poor same-store sales from Wal-Mart Stores (WMT (Windows Media Technologies) See Windows Media. ), U.S. futures are resting at breakeven as we head into the open this morning. Many investors are in a wait-and-see mood, as key economic data in the form of durable goods durable goods Goods, such as appliances and automobiles, that have a useful life over a number of periods. Firms that produce durable goods are often subject to wide fluctuations in sales and profits. Also called consumer durables. data and existing home sales Existing Home Sales An economic indicator of both the number and prices of existing single family houses, condos and co-op sales over a one-month period. Released monthly by the U.S. are due out later this morning. What's more, keep an ear out for a speech from Federal Reserve Chairman Ben Bernanke, as you can be sure that the currency and bond markets will be listening closely. In equity news, Nokia (NYSE:NOK) shares could come under pressure today after the company lowered its operating margin Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: forecast to 15 percent for the next one to two years. However, NOK did state that it expects to reach the three-billion mobile subscriptions mark in 2007, one year earlier than initially planned. Holding with the handset news, Palm (NASDAQ:PALM) reported after the close last night that it now sees second-quarter earnings of 10 to11 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. , down from a prior view for 15 to 18 cents per share. Revenue was also lowered to a range of $390 million to $395 million, compared with its prior outlook of $430 million to $450 million. The company added that it now expects to start shipping the Treo 750 for the United States market early in the fiscal third quarter. Apparently beer is good this morning, as Anheuser-Busch (NYSE:BUD) backed its 2006 forecast, with international beer operations profits expected to decline a bit due to "unfavorable revenue mix" in the U.K. BUD also backed its long-term earnings growth target of seven to 10 percent. 11:36 AM A Glut of Data Hits the Street While the major market indices could have started off the session in worse shape given yesterday's rather abysmal performance, traders are still in the process of digesting the latest round of economic data hitting the Street. At last check, the Dow Jones Industrial Average Dow Jones Industrial Average The best known U.S. index of stocks. A price-weighted average of 30 actively traded blue-chip stocks, primarily industrials including stocks that trade on the New York Stock Exchange. (DJIA DJIA See Dow Jones Industrial Averager (DJIA). - 12,123.1) was up 1.4 points while the S&P 500 Index (SPX (Sequenced Packet EXchange) The transport layer protocol in the NetWare operating system. Similar to the TCP layer in TCP/IP, it ensures that the entire message arrives intact. SPX uses NetWare's IPX as its delivery mechanism. - 1,385.02) is holding support in the 1,385 region and has gained about three points. The Nasdaq Composite (COMP - 2,403.5) is still clinging to support in the 2,400 region but has lost about two. In economic news, U.S. consumer confidence pulled back during November, according to the Conference Board. The index fell to 102.9 in November from a revised 105.1 in October. Economists were expecting a rise to 106.4 from the initial reading. The present situation index fell to 123.6 from 125.1, while the expectations index slipped to 89.2 from 91.9. Elsewhere, sales of existing U.S. homes rose 0.5 percent to a seasonally adjusted Seasonally adjusted Mathematically adjusted by moderating a macroeconomic indicator (e.g., oil prices/imports) so that relative comparisons can be drawn from month to month all year. annual rate of 6.24 million in October, marking the first increase since February. Economists were expecting sales to fall to 6.15 million annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. . Further lending strength to the homebuilding sector, September's sales were revised higher to 6.21 million from 6.18 million initially reported. Finally, U.S. durable goods orders fell 8.3 percent in October, erasing September's 8.7-percent gain, the Commerce Department reported. The drop marked the largest decline since July 2000. Making up most of the pullback was a 44.5-percent drop in new orders for civilian aircraft. Excluding transportation goods, orders fell 1.7 percent. Economists were anticipating a drop of 4.8 percent. Let's finish this brief look at this morning's news with a glimpse at Dow Jones component, Boeing (NYSE:BA). The stock has advanced lightly after Air Berlin announced plans to order 60 planes from the aerospace firm. Air Berlin's chief executive Joachim Hunold stated that the airline is "exploring alternatives" for financing the order and will decide next year whether or not to order and exercise options for 40 airbus A320s. This uncertainty over financing has kept investor enthusiasm in check. 1:26 PM The Fed Speaks Trading is mixed this afternoon as investors sift through the latest comments made by a pair of Federal Reserve members. At last check, the Dow Jones Industrial Average (DJIA - 12,116.2) had dropped 5.5 points and the Nasdaq Composite (COMP - 2,401.7) had slipped four points. One the other hand, the S&P 500 Index (SPX - 1,383.56) has edged almost two points higher. Fed chief Ben Bernanke reaffirmed his belief that halting a long string of interest-rate hikes in August was a good decision. In a speech examining most of the hot topics captivating cap·ti·vate tr.v. cap·ti·vat·ed, cap·ti·vat·ing, cap·ti·vates 1. To attract and hold by charm, beauty, or excellence. See Synonyms at charm. 2. Archaic To capture. Wall Street economists, Bernanke said the economy is still on track to expand at a moderate pace during the next year without slowing too much. He said that inflation is already "better behaved of late" and should continue to slow gradually. Much of his speech was used to gently dampen two of the major fears about the outlook - that the housing market would push the economy into a full-fledged recession, or that inflation pressures were like a smoldering smol·der also smoul·der intr.v. smol·dered, smol·der·ing, smol·ders 1. To burn with little smoke and no flame. 2. campfire, seemingly controlled but ready to burst in the next strong wind. Elsewhere, president of the Philadelphia Federal Reserve Bank Charles Plosser said in a separate speech that the Federal Reserve may need to raise its overnight interest-rate target above 5.25 percent to keep inflation under control. Plosser said it's possible inflation could return to acceptable levels without further hikes, but stressed that the Fed must act to back up its words or it will lose credibility. In other news around the Street, DuPont (NYSE:DD) announced that it has agreed to sell its special adhesives business to Bostik GmbH, no later than December 31. Financial terms of the deal weren't disclosed. For more information on these stocks or any stock in your portfolio, feel free to visit our Schaeffer's Equity Scorecard feature. Click here to read all of the Today's Market entries: http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB PROB Probable/Probably PROB Problem PROB People's Republic of Bangladesh 13C&PAGE=1 Take advantage of the timely Schaeffer commentaries by signing up for their free e-newsletters -- Opening View, Market Recap and Monday Morning Outlook. Click here to have the Schaeffer's commentaries delivered to you free via email every day and get entered to win an IPod Nano. http://www.schaeffersresearch.com/redirect.aspx?CODE=PRMS13M&PAGE=1 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. |
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