Schaeffer's Daily Market Blog Features: Goldman Sachs Group, Apple Computer, Marriott International, Warner Music, and Sony.

CINCINNATI -- Among the stocks featured in the July 13 edition of Schaeffer's Market Blog are Goldman Sachs Group (NYSE:GS), Apple Computer (NASDAQ:AAPL), Marriott International (NYSE:MAR), Warner Music (NYSE:WMG), and Sony (NYSE:SNE).

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=PROB12M&PAGE=1

Schaeffer's Market Blog for Thursday, July 13, 2006:

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

9:54 AM Free Stock Picks in our Podcast Interviews

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 observations, please visit http://www.schaeffersresearch.com/commentary/podcasts/

10:54 AM Goldman Sachs Group Trades Calls Heavily

Goldman Sachs Group (NYSE:GS) is seeing a lot of action this morning in the options pits. The July 155 call (GPY GK) began the day with 15,953 contracts in open interest but 5,120 contracts have crossed the tape this morning, with the big blocks all changing hands on the Chicago Board Options Exchange (one of the six exchanges that trade options). Just after 9:40 a.m. Eastern time, a block of 3,080 contracts traded at 15 cents, at a time when the bid price was flickering between a nickel and a dime and the ask price was 15 cents, so it looks as if these trades were initiated by a buyer. A further 200 contracts were marked on the tape at that time, with the same price.

GS gapped lower this morning, and was down one percent at $143.83 at last check. The technicals are mixed. The stock has fallen to the support of its 10-month moving average, but it is incommoded by overhead resistance from its 10-week and 20-week moving averages, which have just completed a bearish cross.

12:38 PM Apple Reiterated at "Buy"

Apple Computer (NASDAQ:AAPL) was reiterated at "buy" by brokerage Soleil this morning, but the stock hit another new low at $51.21, its lowest level since October 2005. The stock is relying on the support of its 20-month moving average.

12:55 PM Marriott Makes Investors Comfortable

Marriott International (NYSE:MAR) reported second-quarter earnings of 42 cents per share, excluding non-recurring items, two cents per share better than the Reuters consensus estimate. Revenue fell 1.4 percent on a year-over-year basis to $2.81 billion.

The stock has enjoyed a very strong run since late 2002, riding the support of its 10-month and 20-month moving averages to hit an all-time high in June 2006. The stock might be worth a tipple. It scores 8.0 out of 10 on our Schaeffer's Equity Scorecard. Sentiment in the options pits is pessimistic, which is good news from our contrarian perspective. The Schaeffer's put/call open interest ratio (SOIR) for MAR is at an annual high, telling us that money is very likely to be waiting on the sidelines. The short-interest ratio for MAR is higher than six days to cover, suggesting that a short-coving rally is a possibility. One word of warning: analysts are screaming "buy," so the likelihood of upgrades is limited. Nevertheless, this one is well worth watching.

12:58 PM Take on Today's Market Action

Geopolitical concerns and a less-than-impressive start to the earnings season seem to have the broader equity market a bit spooked. Until now, higher energy prices have done little to hold back stocks, but that seems to be changing a bit. Nevertheless, record crude prices still don't seem to be having much of an effect on inflation-sensitive bonds. Longer-term bonds, which should fall on expectations of higher inflation, have held steady today. Metals should act strongly in the face of inflation but metals stocks are some of the hardest hit today, however. Something's not adding up. Perhaps we're seeing a market that has faith in a Fed that will contain inflation at all costs.

1:01 PM Merger Concerns Depress Warner Music

Warner Music (NYSE:WMG) is slumping dramatically today, in the red by about 15 percent in mid-session action. This morning, the European Union Court of First Instance ruled that a 2004 merger between Sony's (NYSE:SNE) music unit and Bertelsmann AG violated European antitrust provisions. The Court noted that the European Union previously approved the alliance on erroneous grounds. This ruling bodes rather poorly for a proposed merger between WMG and fellow industry heavyweight EMI Group PLC. Officials with WMG are reviewing the court's decision in an effort to determine possible impact on its own plans.

Today's pullback occurred on very heavy volume and brought the shares beneath their 10-day and 20-day moving averages. Holding firm, however, is the equity's 20-week moving average, upon which WMG is perched. The equity has not suffered a weekly close beneath this trendline since November 11.

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 today's 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.