Referenced Stocks

ETF Update: ETFs Post Mild Gains, Stocks Edge Higher on Mixed Economic Data; Investors Look Ahead to Jackson Hole Forum

By Midnight Trader August 28, 2012, 02:06:10 PM EDT

Active broad-market exchange-traded funds at mid-day:

SPDR S&P 500 ( SPY ): -0.01%

iPath S&P 500 VIX Short Term Futures TM ( VXX ): +0.79%, still near 52-week low

PowerShares QQQ Trust, Series 1 ( QQQ ): +0.05%, near year highs

iShares Russell 2000 Index ( IWM ): +0.4%

iShares MSCI Emerging Markets Index ( EEM ): -0.2%

Broad Market Indicators

Broad-market exchange-traded funds, including SPY, IWM, IVV and others, are mostly inching higher. Actively traded PowerShares QQQ ( QQQ ) is up 0.05% and near its 52-week high of $68.88.

U.S. stocks are little changed after investors showed subdued interest in economic data that was released today. They instead await a speech later this week from U.S. Federal Reserve Chairman Ben Bernanke for clues as to when and how the Fed might move to stimulate the U.S. economy. Investors are mildly disappointed that European Central Bank President Mario Draghi will not attend the Jackson Hole, Wyo. economic forum this week.

On the data front today, the International Council of Shopping Centers (ICSC) - Goldman Same Stores Sales Index rose week-over-week, versus a contraction from last week, while store sales also grew year over year. However, Redbook data showed an opposite trend, posting a decrease. Earlier, the S&P/Case-Shiller index saw its strongest back-to-back monthly increase according to Market Watch.

Winners and Losers

Financial -

Select Financial Sector SPDRs (XLF) is up 0.03; Direxion Daily Financial Bull 3X shares (FAS) is up 0.19%. Its bearish counterpart, FAZ, is down 0.15%. SPDR KBW Regional Banking (KRE), which tracks U.S.-listed regional banks, is up 0.6%.

In financial news, SeaBright Holdings, Inc. (SBX) is up 32% and touched a new year high of $11.01, after it announced late yesterday that it has entered into a definitive merger agreement under which Enstar Group Limited (ESGR) will acquire SeaBright for $11.11 per share in cash. ESGR is up 0.32%.

Technology -

Tech ETFs are mixed: Technology Select Sector SPDR ETF (XLK), was up 0.1% but is now down 0.2%; iShares Dow Jones US Technology ETF (IYW), was up 0.29% but is now up 0.09%; iShares S&P North American Technology ETF (IGM), up 0.26%; and iShares S&P North American Technology-Software Index (IGV), up 026%.

Among semiconductor ETFs, SPDR S&P Semiconductor (XSD) is up 0.5% and Semiconductor Sector Index Fund (SOXX) is up 0.2%.

SPDR S&P International Technology Sector ETF (IPK) is up 1.07%.

Among tech stocks, Lexmark International (LXK) is up 16.5% after it today announced restructuring actions which it says are expected to result in annualized savings of $95 million once fully implemented. The actions include closing the Cebu, Philippines, inkjet supplies manufacturing facility by the end of 2015. The actions also include eliminating inkjet development worldwide, including costs related to facilities, tooling, equipment, contract termination, and scrapping in process inventory, which are expected to be principally complete by the end of 2013. These restructuring actions are expected to result in the elimination of approximately 1,700 positions worldwide, including 1,100 manufacturing positions.

Energy -

Dow Jones U.S. Energy Fund (IYE) is up 0.02%; Energy Select Sector SPDR (XLE) is down 0.14%.

Among stocks, Magellan Petroleum (MPET) continues to gain after Stratex Oil & Gas offered to acquire the company for $2.30 per share in cash and stock, according to a Dow Jones Newswire report. Shares are up more than 30%, and nearing its 52-week high of $1.72.

Commodities -

Crude was up around 0.5%. United States Oil Fund (USO) is up 0.5%. Natural gas was down near 0.6%. United States Natural Gas Fund (UNG) is down 0.61%.

Gold was down 0.19%; silver was down 0.76%. Among rare metal funds, SPDR Gold Trust (GLD) is up 0.15% while iShares Silver Trust (SLV) is up 0.54%.

Healthcare -

Healthcare and biotech ETFs are mostly firmer: Health Care SPDR (XLV), was up 0.15% but is now slightly lower; iShares NASDAQ Biotechnology Index (IBB), was up 0.27% but is now up 0.5%; Vanguard Health Care ETF (VHT), was down 0.03% but is now up by as much and still near its 52-week high of $70.53; and iShares Dow Jones US Healthcare (IYH), was up 0.09%. Is still up 0.02% and near its year high of $81.55.

Depomed, Inc. (DEPO) is up more than 2%, trimming earlier gains of some 6%, after the company announced late Tuesday that Janssen Pharmaceuticals, Inc., has licensed rights to Depomed's Acuform gastric retentive drug delivery technology. Under the terms of the agreement Janssen received a non-exclusive license and other rights to certain Acuform patents. In exchange, Depomed will receive an upfront payment of $10 million and will receive a low single digit royalty on net sales of NUCYNTA ER (tapentadol extended-release tablets) in the U.S., Canada and Japan from and after July 2, 2012 through December 31, 2021

Power Play -

Consumer -

Consumer ETFs continue to post gains: Consumer Staples Select Sector SPDR (XLP), up 0.28%; iShares Dow Jones US Consumer Goods (IYK), up 0.13%, near its year high of $74.97; and Vanguard Consumer Staples ETF (VDC), up 0.22%.

Retail ETFs are likewise higher: SPDR S&P Retail (XRT), up 0.49%; PowerShares Dynamic Retail (PMR), up 0.59% and Market Vectors Retail ETF (RTH), up 0.59% after hitting a new 52-week high of $44.19.

Movado Group (MOV) continues to climb, now up 16.24% and touched a new 52-week high of $36.12, after it reported Q2 earnings of $0.32 per share, ex one-time items, versus the Capital IQ consensus of $0.18. Revenues were $118 mln, versus the analyst estimate of $122.65 mln. The company raises its FY13 EPS outlook to about $1.40, up from the prior outlook of $1.15, and above the consensus of $1.24. It now expects revenues to be $510 mln, up from the prior guidance of $505 mln. Analysts are looking for $508.20 mln in revenues.




The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.


This article appears in: Investing, Commodities

Referenced Stocks: EEM, IWM, QQQ, SPY, VXX



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