Market Quiet;Tornadoes Strike

The stock market was slightly positive this week,with the S&P 500 Index managing a gain of 0.28%.This mirrors the economy,which is growing at a leisurely pace of 1.8%,according to the latest GDP number.PIMCO's new normal hypothesis is definitely being borne out by such reports as the recovery fails to gather much steam,but is nonetheless real.The prospect of further economic stimulus from the Federal Reserve is unlikely as long as data continue on the current positive track,which leaves traders in a guarded mood in light of the Iranian situation,high oil prices and question marks in Europe.
Frankly,things are looking a bit toppy at this point,in the absence of further indications.One could come next Friday with the employment report due from the Labor Department.The Institute for Supply Management will also release its service sector data next week,but the winding down of earnings season leaves everyone feeling a little flat.
An early severe weather season is punishing the Midwest and South as tornado outbreaks from Indiana to Alabama had fatal consequences.Entire small towns were razed to the ground by fierce winds that left 31 dead in Indiana,Kentucky and Ohio.A cold air mass from the Rocky Mountains clashed with warm air,resulting in the unusually violent beginning to meteorological spring,which started March 1.
The Phoenix Suns bested the Los Angeles Clippers on Friday night at U.S. Airways Center in Phoenix.Jared Dudley,26,led the Suns to their conquest,scoring the game high 22 points,with 7 rebounds and 4 assists.For L.A.,Blake Griffin topped the stats with 17 points,7 rebounds and 1 assist.The Clippers fell to 21-12 on the year,while Phoenix still lags behind them with a record of 16-20.
The S&P futures dropped 5.70 Friday evening,while bond index futures rose.

Celtics Continue Streak;Economy Looking Strong

The Boston Celtics won their third game in a row Friday night at TD Garden in Boston,edging past the New York Knicks 91-89.Ray Allen put Boston ahead with a three-pointer in the 4th period,followed by another three and a two.
The Celtics defense stopped the Knicks in the second half.Our defense is keeping us around the game,Boston coach Doc Rivers told his team.Your energy is good.
The Celtics have won seven of their last eight games.Carmelo Anthony has returned to the court for the Knicks,but his 26 points on the night weren't enough to overcome the Boston defense in the second half.
The Denver area is overcoming something most of the rest of the country hasn't seen much of this winter: heavy snow.Denver itself reports 13 inches of accumulation,but the foothills of the Rockies west of the city got up to four feet,or just over one meter of snow.
The market had a smooth journey on Friday when the unemployment rate dropped to 8.3% for January-its lowest level since February 2009,and the economy added a better than expected 243,000 jobs.The Institute for Supply Management also reported bigger than predicted growth in both the manufacturing and service sectors for January.For the week,the S&P 500 Index rose 2.17%,yielding a gain of 6.94 on the year.
Next week,earnings season continues with data coming in from Disney,Coca-Cola,PepsiCo,Visa and Time Warner Communications.Consumer sentiment will be reported on Friday.
The S&P futures climbed another 16.40 Friday evening,while bond index futures dropped.
PepsiCo(PEP),Coca-Cola(KO),Disney(DIS),Visa(V),Time Warner Communications(TWX)

Heat Hot;Market Cool

The Miami Heat overpowered the New York Knicks 99-89 Friday night at American Airlines Arena in Miami,bringing their record up to 14-5.After missing six games with a bad ankle,Dwayne Wade returned to the court for Miami.The story here is Dwayne Wade,said commentator and NBA great Magic Johnson.He makes everybody on the Heat team that much better.Wade scored 28 points on the night.
New York's Billy Walker was outstanding from a distance,shooting a career high seven three-pointers,ending up with a total of 21 points.As a team,the Knicks hit a remarkable 18 threes on the evening.They did little else well,however,missing their star Carmelo Anthony,who was sidelined with wrist and thumb injuries.
The market was nondescript this week,with the broadly based S&P 500 Index basically flat with a tiny weekly gain of 0.07%.Several mixed earnings reports were received from the likes of Ford,3M and AT&T,and GDP growth was a disappointing 2.8,missing the estimate of 3.0 for Q4 2011.So far this earnings season,only 59% of reports have exceeded estimates,which is below average.
Next week,earnings from Exxon Mobil,Pfizer,Qualcomm and Sony are on the calendar,as well as the important monthly readings from the Institute for Supply Management and the January employment report.The sports scene will be in the grip of pre-Super Bowl excitement as the New York Giants and New England Patriots complete their preparations for the mega American football game.
The S&P futures dropped 2.80 Friday evening,and bond index futures rose.
Exxon Mobil(XOM),Pfizer(PFE),Qualcomm(QCOM),Sony(SNE)

Market and Arkansas Razorbacks Achieve Goals

It was a good week for the stock market and the Arkansas Razorbacks.Encouraged by a positive employment report and a promising result from the Institute for Supply Management's manufacturing survey,the Dow logged a 1.17% weekly gain,while the NASDAQ led the way with a 2.65 uptick and the S&P added 1.61 to its ledger.
Some dismissed the expansion of employment by 200,000 jobs in December as a result of seasonal hiring.They also pointed out that the number of long term unemployed remains at 5.6 million.The Euro-zone debt crisis,Iranian behavior and U.S. deficit issue remain significant headwinds as well.
The Arkansas Razorbacks won their school record 11th football game of the season as they soundly beat the Kansas State Wildcats 29-13 in the AT&T Cotton Bowl in Arlington,Texas.It was the Razorbacks' fourth Cotton Bowl trophy,the last one being earned in the year 2000.The game was held at the NFL's largest venue,Cowboy Stadium,before a spirited sellout crowd of 80,000.
AT&T,which is based in nearby Dallas,has been a Cotton Bowl sponsor for 16 years.
Next week,earnings season begins as Alcoa reports its Q4 results on Monday.Also on Monday,German Chancellor Angela Merkel will hold talks with French President Nicolas Sarkozy on European financial problems.In addition,retail sales and consumer sentiment reports could color the market's performance.The S&P futures rose 1.10 on Friday evening,and bond index futures edged higher as well.
AT&T(T)

Rare October Snowfall Developing

Winter Storm Warnings are posted for the interior Northeast and Mid-Atlantic as a rare October nor'easter threatens the regions.Widespread power outages may occur as heavy snow coats leafy trees,bringing limbs down on power lines.Baltimore,Maryland has not had October snow since 1903.Upwards of a foot of snow could blanket the Appalachian Mountains,aggravating residents who are looking forward to Halloween on Monday.
Wall Street was not aggravated this week,hailing European leaders for devising a broad outline for handling the Euro debt crisis.Gains were muted on Friday,however,as traders soberly contemplated the U.S. deficit and the prospects for the Europeans now agreeing on details.
For the week,the broadly based S&P added 46.83 points,bringing it up 2.18% on the year.Large cap stocks are leading the way,with the Dow thirty up 5.65% on the year.
Scores were high at the Andalucia Masters at the Valderrama Golf Club in Sotogrande,Spain on Friday.Scotsman Richie Ramsay topped the leader board with a five under par 72.France's Gregory Havret and Spaniard Sergio Garcia shot a 71 and a 70,respectively,on the very hilly course.
Next week will be back loaded by the employment report on Friday.The Institute for Supply Management will also release important manufacturing data.The S&P futures were basically flat in response on Friday evening,barely declining at -0.13,while bond index futures rose.

Pueblo Faces Wind as Rockies Win

Pueblo County,Colorado braved fierce winds and quarter-sized hail as thunderstorms rocked the Front Range this evening.At 6:52 pm,a gust of 78 mph was recorded,and a semi truck was knocked over on its side 5 miles east of Pueblo.
Meanwhile,the Colorado Rockies were playing ball back east in Washington.They bested the Washington Nationals 3-2 as closer Houston Street blanked the Nats,striking out two in the ninth inning.The Rockies have won four straight games against the Nats,and the last 15 out of 18 contests with the Nats.
The stock market faced the winds of a poor employment report on Friday.Nonetheless,it managed a slight gain on the week,with the Dow up 0.59,the NASDAQ adding 1.55,and the S&P improving by the hair of 0.31,supported by strong manufacturing data from the Institute for Supply Management.June was the 23rd consecutive month of expansion in the sector,with new orders and production up modestly and employment rising a strong 1.7%.
Next week will see the start of earnings season as companies report their Q2 results.Alcoa reports on Monday,while JP Morgan Chase goes on Thursday along with Google.Citigroup checks in on Friday,and the Empire State manufacturing report will also be released at that time.
The futures were still affected by nerves Friday evening,as the S&P dropped 9.90.Oil futures also fell,losing 2.46,while gold and bond index futures hiked upward.
Alcoa(AA),Citigroup(C),Google(GOOG),JP Morgan Chase(JPM)

Jays Lose,But Canadian Powers Nats Win

The Toronto Blue Jays could not deliver a victory to fans on Canada Day,losing 7-6 as the Philidelphia Phillies came from behind to win Friday afternoon in Toronto.Canadian Matt Stairs,however,celebrated his homeland's birthday with a walk-off base hit,earning a 2-1 win for his team,the Washington Nationals,over the Pittsburgh Pirates at Nationals Park Friday evening.
Reliever Chris Resop had shut the Nats down with his fastballs in the eighth inning,but the veteran Stairs came through in the bottom of the ninth with his second RBI in a Nationals uniform.It was a nice hit,Stairs said;it was a good feeling.
Traders were having a good feeling on Friday as well,with all three major averages logging a successful week at the closing bell.The Dow rose 5.4 on the week,and the NASDAQ gained 6.2,while the broadly-based S&P added 5.6.The Jefferies-Reuters CRB Index showed a commodities loss of 0.4.
The S&P futures continued the rally,up 19.30,while bond index futures declined.
The holiday-shortened next week will test the rally with several data points,including the ISM service sector reading;factory orders;chain store sales;and the crucial employment report on Friday.

North Dakota Devastated by Flooding

Many residents of Minot,North Dakota failed to get flood insurance,believing their levees would protect them.Although the levees would not breech,they are being topped,leaving many homeless for the foreseeable future.
Record flood waters,the result of prodigious winter snowfall and spring rain in the U.S. and Canada,are raising the misery index exponentially in Minot and nearby communities in the upper Midwest.Dam floodgates had to be opened in three Canadian dams and one American dam,sending a cascade of ruinous proportions southward down the Souris River,submerging countless homes and businesses.
Financial fears are mounting in Europe and the U.S.,where the Greek debt issue continues to ruffle markets.Accord has been reached with the EU and IMF,but the Greek parliament still has to approve the austerity requirements to receive the aid for upcoming repayments.As well,the Fedreral Reserve's quantitative easing program,or QE2,ends next Thursday,with unknown consequences for the stock market.
For the week,the Dow dropped 0.58%,while the NASDAQ lost 1.39 and the S&P edged 0.24 lower.
A number of data points will also condition trading next week.Pending home sales,consumer confidence,the ISM manufacturing index,and the S&P/Case-Shiller home price index will be released.
In reaction,the S&P futures tumbled 13.10 Friday evening,but bond index futures climbed.
At the College World Series in Omaha,Nebraska,South Carolina climbed past Virginia 3-2 in 13 innings on two throwing errors.The Gamecocks will face the Florida Gators in a best of three final beginning on Monday.

Wall Street Marks Losses,Blue Jays Win

Wall Street began June with its fifth straight week of losses,which is not surprising in that,historically,June has been a poor month for the stock market.Remarkably,all three major averages were down 2.3 on the week,as though giving a unanimous thumbs down to working at vacation time.
A gravely disappointing employment report got Friday off to a miserable start,with only 54,000 jobs being created in May,steeply down from April's 231,000.Labor Secretary Hilda Solis admitted that it does keep her up at night,because she knows that they have to do a better job at creating jobs.
Earlier in the week,the Institute for Supply Management issued its manufacturing survey,which also indicated a serious slowdown from April's readings.Manufacturing activity tumbled from 60.4 to 53.5 in May,and new orders followed suit,dropping from 61.7 to 51.0.Readings above 50 in the highly regarded report signify expansion.
Residents of Massachusetts waged their own struggle as they regrouped following a fatal tornado on Wednesday.The half-mile wide storm ripped through the communities of Springfield and Monson,killing four and sending a debris ball up to a height of 6,000 feet.At high elevations in the Rockies,winter weather advisories are posted for the Sierra Nevada and Cascade ranges,where late spring snow could total up to 7 inches.
The Toronto Blue Jays did not have to struggle as they clipped the Baltimore Orioles 8-4 Friday night in Baltimore.The win put the Jays above .500 again.The teams smacked 10 hits each,but the Orioles were also charged with an error.The Blue Jays' J.P. Arencibia hit a grand slam homer in the fifth inning and starting pitcher Carlos Villanueva climbed to a 3-0 record after having been promoted from the bullpen.
A relatively light data week is ahead for Wall Street,with the Federal Reserve's anecdotal Beige Book report slated for release,as is the World Bank's World Economic Outlook.The S&P futures lost 16.10 Friday evening,while bond index futures rose.

Britannia Rules Airwaves,Earnings Rule Market

If you notice that you're starting to speak with a slightly British accent,it isn't surprising,given the royal wedding mania that has swept through the televised world.And why shouldn't it have,given the tough row most people have to hoe?A diversion like that is a welcome relief for the average person.It's an extra holiday.
For its part,the market was living out its own fairy story this week,as corporate earnings continued to please,for the most part.When good earnings are rolling in,economic reality such as poor housing figures and persistently high unemployment may be shoved aside for a while.
Analysts caution,however,that gains in the second half of the year could slow down quite a bit as companies find it increasingly difficult to post the type of results that characterized the last few years.
For the week,however,the Dow was up 2.44,while the S&P rose 1.95 and the NASDAQ 1.89.The Dow and S&P closed at their highest since 2008,and the NASDAQ hasn't been this elevated since the year 2000.
Next week,the earnings parade goes on as General Motors,Pfizer,Kraft Foods and AIG share their results for Q1.The Institute for Supply Management will release its April purchasing manager surveys,and the unemployment report will close out the week.
Stock futures were largely positive Friday evening,with the S&P futures up 4.80,the Dow futures adding 48.00 and the NASDAQ retreating a little,down 1.00.
Winter isn't retreating in some areas.Blizzard warnings are up for the Northern Plains.As much as nine inches of snow are expected in northern North Dakota and adjacent areas.
Kraft Foods(KFT),General Motors(GM),Pfizer(PFE),American International Group(AIG)

Winds and Fears Buffet East Coast

The East Coast was buffeted by a number of winds and economic fears on Friday,leaving a lot to be forgotten about for a relaxing weekend to take shape.Gusts of near 70 miles an hour-hurricane force-tore siding off a home,knocked billboards over and power lines down,and delayed flights as high wind warnings were issued and a low pressure system moved up the coastline.It's unsettled spring conditions right before the start of meteorological spring on March 1,Tuesday.
The convulsing Middle East sent a dark cloud over fretting markets on Wall Street as oil prices reached more than 98.00 a barrel in after hours trading.Friday trading was light as institutions trimmed their purchases,anxious about any weekend developments overseas while the markets are closed.Consumers are feeling the oil surge at the gas pump and struggling at the supermarket check-out as well,with commodities soaring generally.
For the week,the Dow lost 2.1%;the S&P 1.72;and the NASDAQ 1.9%.It was the S&P's biggest weekly drop since mid-November of last year.The CBOE Volatility Index,the fear index,was up 17% on the week.
Next week will see the Institute for Supply Management issue its key reports on manufacturing and service sector activity for February,as well as earnings from H.J. Heinz and the February employment report on Friday.
The S&P futures were down 1.90 on Friday evening,but the NASDAQ futures went the other direction,rising 2.25,reflecting Friday's strength in the tech sector.
German Martin Kaymer was the sole number one seed to reach the quarterfinals of the World Golf Championships Accenture Match Play Championship at the Ritz-Carlton Golf Club at Dove Mountain in Marana,Arizona,where frost can still delay play at this time of year on the oasis course.Spaniard Miguel Angel Jimenez and American Ryan Moore were also still alive in the jagged desert scenery.
H.J. Heinz(HNZ)
Update:Martin Kaymer will play England's Luke Donald in the finals of the Accenture Match Play Championship on Sunday.Americans Matt Kuchar and Bubba Watson will play in the consolation match.Kaymer,26,became the world number one when he defeated Watson in Saturday's semifinal.

Market Disses Jobs Report,Egypt

The stock market was seemingly little concerned about a disappointing employment report,as well as an unfolding crisis of global import,as it logged modest gains for the week that was.The Dow added 2.27,while the NASDAQ gained 3.07 and the S&P 2.7 respectively.The paltry jobs growth of only 36,000 in January,when what is needed is well into six figures,and the struggle of Egyptians against authoritarian rule were set aside in favor of strong manufacturing and service sector data from the Institute for Supply Management,as well as a stable European situation.
Winter weather could not be dismissed at the Dallas Super Bowl site,where six people were injured by ice falling off the roof of Cowboys Stadium;nor in Scottsdale,where the Phoenix Open was delayed by yesterday's frost and subfreezing temperatures.Americans Tommy Gainey and Mark Wilson led the portion of the second round completed on Friday at -11,while Australian Geoff Ogilvy notched a third place with a -9.Phil Mickelson will play his second round Saturday.
The S&P futures warmed up 3.90 Friday evening,and the ten year Treasury futures tacked on more interest.Next week,Kraft Foods and Disney will be among those reporting earnings.
Kraft Foods(KFT),Disney(DIS)

Debt Crisis From Europe

The S&P was down 0.7 for the week,making for a total loss of 4.2 with last week.Until the Europe situation resolves,its hard to see any real progress being made.There is an atmosphere of crisis,whether or not the economics of European debt really impact the U.S. or not.That doesn't matter.There's a perception that it might.It might even be a harbinger for the American economy.Investor's Business Daily says the market is in a correction.Many other analysts thought the first half of 2010 could be the roughest part.With some good internals in today's employment report and a promising ISM manufacturing survey,it would indeed seem we are in a correction,not another leg down.There is enough strength in the numbers to suggest we aren't going back down to the lows of last March.There probably won't be another Lehman weekend.All we have to handle this weekend is a lot of snow on the car in the Mid-Atlantic region.That's achievable.