Active broad-market exchange-traded funds at mid-day:
SPDR S&P 500 (
Financial Select Sector SPDR (
iPath S&P 500 VIX Short Term Futures TM (
): +1.8%, further from year lows.
iShares MSCI Emerging Markets Index (
PowerShares QQQ Trust, Series 1 (
): -0.38% from near year lows.
Broad Market Indicators
Most broad-market exchange-traded funds, including SPY, IWM, IVV
and others, continue to slip into negative territory. Actively
traded PowerShares QQQ (
) is down 0.4%. ETFs in the Healthcare and Consumer sectors were
moderately outperforming ETFs in the broader market.
U.S. stocks continue to see weakness in the session's half, but
have trimmed earlier losses. Concerns about a global economic
slowdown are making a come back following weak manufacturing data
out of China and the euro zone, and further underscored by a mixed
bag of U.S. data. Earlier, the Labor Department reported that U.S.
jobless benefits claims fell to a seasonally adjusted 382,000 - but
was still better than economists' forecasts. The Philadelphia Fed
factory index also beat expectations, slipping 1.9 in September,
better than the 4.0 decline analysts had projected. On the other
hand, mortgage rates dropped 3.49% to record lows, after the
Federal Reserve's decision to bandage the ailing economy by buying
Winners and Losers
Select Financial Sector SPDRs (
) is down 0.72%. Direxion Daily Financial Bull 3X shares (FAS) is
down 2.48%. Its bearish counterpart, FAZ, is up 2.5%.
Among financial actives, Nomura Holdings (NMR) is down 2.34%
following reports that it will be slashing its workforce in Europe
and in Dubai as part of a restructuring program that aims to reduce
the bank's costs by $1 billion. According to a report on CNBC,
which cited at least three sources, the bank will cut about 30% in
its European investment banking division, as well as closing its
Swiss coverage. Reuters, on the other hand, reported that the bank
will slash a third of its investment banking team of 12, in Dubai.
The head of its investment banking business for Middle East and
North Africa region, Scott Ferguson, will also be discharged from
his position, the report added.
Tech ETFs are weakening in mid-day action, but are still in the
higher end of their 52-week ranges: Technology Select Sector SPDR
ETF (XLK), down 0.43%; iShares Dow Jones US Technology ETF (IYW),
down 0.65%; iShares S&P North American Technology ETF (IGM),
down 0.7%; and iShares S&P North American Technology-Software
Index (IGV), down 0.38%.
Among Semiconductor ETFs, SPDR S&P Semiconductor (XSD) is
down 1.75% and Semiconductor Sector Index Fund (SOXX) is down
SPDR S&P International Technology Sector ETF (IPK) is down
In sector news, Ascent Solar Technologies, Inc. (ASTI) shares
are down near 30% after the company said it intends to commence a
public offering of its common stock. Proceeds from such offering
will be used for general corporate purposes, including working
capital, operations and other general corporate purposes.
Energy ETFs are mostly joining the broader market lower: Dow
Jones U.S. Energy Fund (IYE) has turned slightly negative%; Energy
Select Sector SPDR (XLE) is off 0.15%.
Among stocks, Denbury Resources Inc. (DNR) is up 4%, pulling
back from earlier gains of some 8%, after it entered into an
agreement to sell its Bakken assets in North Dakota and Montana to
Exxon Mobil Corporation (XOM). Denbury will receive $1.6 billion in
cash, subject to closing adjustments, and ExxonMobil's operating
interests in Webster Field in Texas and Hartzog Draw Field in
Wyoming. XOM shares are up 0.56%.
Crude was up 0.29%; likewise, natural gas was up 0.44%. United
States Oil Fund (USO) is up 0.41%. United States Natural Gas Fund
(UNG) is down 0.18%.
Gold for December delivery was down 0.05% while silver was up
0.38%. Among rare metal funds, SPDR Gold Trust (GLD) is down 0.13%;
iShares Silver Trust (SLV) is down 0.03%.
Healthcare ETFs are mostly firmer, nearing their year highs:
Health Care SPDR (XLV), up 0.20% to near year highs; Vanguard
Health Care ETF (VHT), up 0.14% and also near 52 week highs; and
iShares Dow Jones US Healthcare (IYH), up 0.05%, to near year
highs. Biotech ETF iShares NASDAQ Biotechnology Index (IBB) is off
0.11% but still near year highs.
In corporate news, Rite Aid (RAD) is now down 3% after reporting
a Q2 loss of $0.05 per share, vs. a year ago loss of $0.11 per
share. Revenue was $6.2 bln, down from $6.3 bln last year. The
analyst consensus was a loss of $0.08 per share on revenue of $6.2
bln, according to Capital IQ. Rite Aid has updated its FY13
guidance with sales expected to be between $25.1 bln and $25.4 bln,
versus the consensus of $25.43 bln. Same store sales is expected to
range from a decrease of 1% to an increase of 0.25% compared to
Power Play -
Consumer ETFs continue to firm up, outperforming the broader
market, with most seeing fresh new 52-week highs: Consumer Staples
Select Sector SPDR (XLP), up 0.36%, with a new year high of $36.40;
iShares Dow Jones US Consumer Goods (IYK), up 0.32%, with a new
year high of $76.17; and Vanguard Consumer Staples ETF (VDC), up
0.28%, with a new year high of $92.42.
Retail ETFs are slipping into negative territory: SPDR S&P
Retail (XRT), down 0.26%; PowerShares Dynamic Retail (PMR), down
0.74%; and Market Vectors Retail ETF (RTH), now down 0.8%, but
earlier saw a new 52-week high of $45.27.