Mixed retail reports, a British pounding of sorts and profit-taking off the latest top have investors behaving a bit less Goofy. As of 10:45 ET the NASDAQ Composite ($COMPQ) and S&P500 ($SPX) are each off by -.33% on average investor thrill rides to be sure.
Entertainment and leisure provider Disney (DIS) made investors stand up and applaud out the gate this morning. The company delivered the ever-rare blowout by handily topping its sales [$9.72B vs $9.49 est.] and earnings [.50 EPS vs .39 est.] while posting a 41% increase in its bottom line. Just as important, investors aren't goofing around when it comes to schnitzeling off one of America's favorite fun rides of late. With neither stronger guidance or appreciate analyst upgrades to found, Disney shares have ducked lower by about a point, down 50 cents at 34.98. I guess you could say that sometimes "Magic Mountain" rides are closed for business.
While the Q4 earnings season has been a mostly disappointing affair, Thursday has sported a few companies continuing to make the right moves and investors apparently taking notice as well. Climbing higher today off better and obviously surprising results include names such as Prudential (PRU), Borg Warner (BWA), Bunge (BG) and EMC Corp (EMC).
Elsewhere on the corporate front, a slug of mixed retail reports is sending some shivery headlines into action, while other outlets are finding investors willing to sample the inventory. Net-net, a slug of monthly same-store sales reports is accommodating some of today's drama off the latest top. However, while the somewhat soft results are weighing on market sentiment, "schnitzel-vear" is far fitting all investor-types. Seeing some fashionable red today are Costco (COST), Target (TGT), Kohl's (KSS), Wal-Mart (WMT) and some not-so-trendy "handle-vear" at Gymboree (GYMB). And donning the bull suit in today's early trade are names like Cititrends (CTRN), Federated (FD) and a rodeo-style performance from Abercrombie & Fitch (ANF).
And finally, outside of âEquityland USA' but influencing trade, a quiet day on the commodity front has been replaced with invading and pounding headlines from not-so-jolly England. A ripple effect stateside has been felt in many banking shares after Britain's HSBC warned of debt collection problems in its U.S. mortgage lending business. Those shares apparently took a pounding in overseas trade, while closer to home issues such as Countrywide (CFC), JP Morgan (JPM) and American Home Mtg (AHM) are apparently finding issues with a few investors.
GROWTH & MOVERS COVERAGE
Industry / Sector
RS / EPS 1YR%
Select reports scheduled after the market close and in the premarket:
Industry / Sector
Q-Estimates / Prior Yr.
.16 / .33
.46 / .35
.67 / .61
Economic releases scheduled for tomorrow:
Wall Street Forecast
INDICES & MARKET MOOD
How many analysts does it take to change a light bulb? I couldn't help but be reminded of that old joke when reading completely different reasons today behind the market's woes. One account spoke of cold weather hurting retail sales, while another version emphasized stronger sales as chilly conditions had consumers snapping up winter threads. I guess it takes two, as both are correct depending on where one looks.
If traders need more reasons to approach the market with caution, Riverbed (RVBD) and the fore mentioned Gymboree (GYMB) are two current tributes. Both sport different reasons for schnitzeling or outright investor angst. Each has also been the subject of recent commentary by this corner; some right, some wrong. However, with a market that's never right or wrong: limited risk strategies aren't thought to be only an option.
S&P500 ETF (SPY)
ST Bear / LT Bear
141.50, 139 â 140.50
146.50 â 148.35
NASDAQ 100 (QQQQ)
Neutral / LT Bear
45 â 45.50, 46.25- 47.25
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