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Mid-Day ETF Update: ETFs, Stocks Hold Onto Gains, Cheered By Upbeat Jobs Data

By MT Newswires September 27, 2012, 01:38:23 PM EDT

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

SPDR S&P 500 ( SPY ): +1%

iPath S&P 500 VIX Short Term Futures TM ( VXX ): -7.5%, near 52-week low

Financial Select Sector SPDR ( XLF ): +1%

iShares Russell 2000 Index ( IWM ): +1.2%

iShares MSCI Emerging Markets Index ( EEM ): +1.8%

Broad Market Indicators

Broad-market exchange-traded funds, including SPY, IWM, IVV and others, are modestly firmer. Actively traded PowerShares QQQ (QQQ) is up 1.4%.

U.S. equities and ETFs alike continue to rebound following the broad-based sell off yesterday as investors cheered upbeat jobs data released earlier - with U.S. jobless claims falling 26,000 to 359,000, the lowest level since late July. Wall Street's gains, however, were undercut by more sobering data: U.S. orders for durable goods tumbled 13.2% in August; Q2 GDP was revised lower, indicating that U.S. growth was less than initially believed; and pending-home-sales fell to 99.2 from an upwardly revised 101.9 in July.

Winners and Losers

Financial -

Select Financial Sector SPDRs ( XLF ) is up 1.07%. Direxion Daily Financial Bull 3X shares (FAS) is up 3.6%. Its bearish counterpart, FAZ, is down 3.6%.

Among financial stocks, Discover Financial Services (DFS) is up more than 6% and closer to year highs after the firm reported Q3 earnings of $1.21 per share, up from $1.18 per share last year. The analyst consensus on Capital IQ was $1.03 per share. Revenue was $2 bln, up 10% over year ago levels and ahead of the Street view of $1.88 bln.

Technology -

Tech ETFs are in the green: Technology Select Sector SPDR ETF (XLK), up 1.5% and closer to year highs; iShares Dow Jones US Technology ETF (IYW), up 1.7%; iShares S&P North American Technology ETF (IGM), up 1.6%; and iShares S&P North American Technology-Software Index (IGV), up 1.9%.

Among semiconductor ETFs, SPDR S&P Semiconductor (XSD) is up 1.7%; and Semiconductor Sector Index Fund (SOXX) is up 2%.

SPDR S&P International Technology Sector ETF (IPK) is up 0.04%.

In sector news, shares of Progress Software (PRGS) are up 11%, adding to earlier gains of 3%, after the company reported Q3 non-GAAP EPS from continuing operations of $0.31. That beat the $0.24 a share gain expected by analysts but was a penny shy of the year-ago per-share profit. Revenue declined 9% year over year to $107.2 million, trailing estimates by $5.12 million. Looking forward, Q4 core revenue growth is expected in a range of -2% to 1% from year-ago levels. Analysts, on average, are expecting $125.13 million in Q4 sales. Core segment operating margin is expected to be in the range of 25% to 30%.

Industrial -

Industrial ETFs are firmer: Vanguard Industrials (VIS), up 0.70%; iShares Trust Dow Jones U.S. Industrial Sector Index Fund (IYJ), up 0.7%; and Select Sector SPDR-Industrial (XLI), up 0.8%.

Energy -

Dow Jones U.S. Energy Fund (IYE) is up 1.53%; Energy Select Sector SPDR (XLE) is up 1.55%.

In sector news, Royale Energy Inc (ROYL) is up 33% after the company reaffirmed plans to develop its acreage in Alaska near an area where privately held Great Bear Petroleum Operating LLC has said it could find oil. ROYL will develop nearly 100,000 acres immediately adjacent to Great Bear's acreage, it said in a statement on Thursday that also carried an article published in Petroleum News about Great Bear's Alaska oil program.

Commodities -

Crude was up 2.02%, almost touching $92 a barrel; likewise, natural gas was up 0.56%. United States Oil Fund (USO) is up 2.3%. United States Natural Gas Fund (UNG) is up 3%.

Gold and silver continued to log gains, and were up 1.31% and 2% respectively. Among rare metal funds, SPDR Gold Trust (GLD) is up 1.58%; iShares Silver Trust (SLV) is up 2.2%.

Healthcare -

Healthcare ETFs are higher: Health Care SPDR (XLV), up 0.8% and near year highs; Vanguard Health Care ETF (VHT), up 0.85%; and iShares Dow Jones US Healthcare (IYH), up 0.7%. Biotech ETF iShares NASDAQ Biotechnology Index (IBB) is up 1.5%.

In corporate news, Peregrine Pharma (PPHM) is now down 37% but above a day low 97 cents. The company disclosed in a regulatory filing late yesterday that it has paid all obligations under the company's loan agreement with certain lenders, including the outstanding principal amount of $15 million and all accrued interest thereon, plus a final payment fee equal to 6.5% of the principal amount repaid. The company said it received a written notice of default from its lenders stating that all amounts under the loan agreement was were accelerated as a result of major discrepancies PPHM discovered in its bavituximab phase II second-line non-small cell lung cancer trial.

Power Play -

Consumer -

Consumer ETFs are firmer: Consumer Staples Select Sector SPDR (XLP), up 0.6% and near year highs; iShares Dow Jones US Consumer Goods (IYK), up 0.6%; and Vanguard Consumer Staples ETF (VDC), up 0.6% to near year highs.

Retail ETFs are mixed to higher: SPDR S&P Retail (XRT), up 1.1%; PowerShares Dynamic Retail (PMR), down 0.04%; and Market Vectors Retail ETF (RTH), up 0.7%, touching a new year high.




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, SPY, VXX, XLF



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