Active broad-market exchange-traded funds at mid-day:
SPDR S&P 500 (
PowerShares QQQ Trust, Series 1 (
iShares Russell 2000 Index (
Financial Select Sector SPDR (
): -0.65% from near year highs
iShares MSCI Emerging Markets Index (
Broad Market Indicators
Broad-market exchange-traded funds, including SPY, IWM, IVV and
others continue to weaken. Actively traded PowerShares QQQ (
) is down 1.65%.
U.S. stocks continue to slip into the negative territory as the
International Monetary Fund's lowered global growth estimates for
2012 and 2013 continue to cast a pall over market sentiment, adding
more fuel to concerns over a global growth slowdown. The IMF
earlier cut its 2012 growth estimate to 3.3% from 3.5% and 2013
growth to 3.6% from 3.9% due to lower growth prospects, as well as
the increased risk of another recession. Back home, investors are
bracing for what most expect will be a bleak earnings season,
kicking off today with Alcoa (AA), due to report its third quarter
earnings in the after hours session.
Winners and Losers
Select Financial Sector SPDRs (
) is down 0.69% from near year highs. Direxion Daily Financial Bull
3X shares (FAS) is down 2.2%. Its bearish counterpart, FAZ, is up
Among financial stocks, Cash America International, Inc. (CSH)
is up 1.5% after it announced that it has entered into agreements
to add 34 pawn lending locations in the United States through two
Tech ETFs are in the red in mid-day action: Technology Select
Sector SPDR ETF (XLK), down 1.4%; iShares Dow Jones US Technology
ETF (IYW), down 1.5%; iShares S&P North American Technology ETF
(IGM), down 1.65%; and iShares S&P North American
Technology-Software Index (IGV), down 1.44% from near year
Among semiconductor ETFs, SPDR S&P Semiconductor (XSD) is
down 1.6% and Semiconductor Sector Index Fund (SOXX), is down 1.5%.
SPDR S&P International Technology Sector ETF (IPK) is flat.
In sector actives, Apple (AAPL) shares are down 1% to around
$631.50, but up from the day's low of $623.55. The stock is 10% off
the 52-week high it hit when it launched the iPhone 5 on Sept. 21.
AAPL is allegedly working on a mini version of it's iPad computer
tablet. There have been reports that the company is now sending
invitations for an event in which the smaller iPad will be
launched, but these are unconfirmed. The Wall Street Journal
reported over the weekend that Apple suppliers have received orders
for more than 10 million units of the smaller tablets in Q4.
Healthcare ETFs are logging mid-day losses but many of them are
still near year high levels: Health Care SPDR (XLV), down 1.2%;
Vanguard Health Care ETF (VHT), down 1.3%; and iShares Dow Jones US
Healthcare (IYH), down 1.27%. Biotech ETF iShares NASDAQ
Biotechnology Index (IBB) is down 1.75%.
In corporate news, AngioDynamics (ANGO) is down 12.5% and closer
to year low levels after the company reported that Q1 sales were
$83.4 million, below the Thomson Reuters mean for $84.35 million.
Adjusted income was $0.10 per share, a penny ahead of expectations.
It sees FY13 sales between $361 - $364 million and adjusted EPS
between $0.40 - $0.42. Estimates are for $360.04 million in sales
and EPS of $0.50.
Consumer ETFs are slipping into negative territory: Consumer
Staples Select Sector SPDR (XLP), down 0.66% from near year highs;
iShares Dow Jones US Consumer Goods (IYK), down 0.74%; and Vanguard
Consum Staples ETF (VDC), down 0.68%.
Retail ETFs are also weaker: SPDR S&P Retail (XRT), down
1.5%; PowerShares Dynamic Retail (PMR), down 1.5%; and Market
Vectors Retail ETF (RTH), down 1%.
In sector news, Destination Maternity (DEST) is up 7.5% after
the company reported Q4 net sales of $128.5 million, which is at
the higher end of its sales guidance range of $125.5 to $130
million. In the same period last year, net sales were $129.4
million. The company said it expects GAAP diluted earnings per
share to exceed the top end of its prior earnings guidance range of
$0.17 to $0.28 per share.
Power Play -
Oil continued to edge higher on reports that tensions between
Syria and Turkey are stoking supply fears, as well as news that
China enacted more measures to support its economy. Crude was up
2.7% while natural gas was down 1.15%. United States Oil Fund (USO)
is up 2.7%. United States Natural Gas Fund (UNG) is 1.1%
Gold and silver were weaker, down 0.5% and 0.68% respectively.
Among rare metal funds, SPDR Gold Trust (GLD) is down 0.55%;
iShares Silver Trust (SLV) is down 0.45%.
Among stocks, Rio Tinto (RIO) is up 0.29% after a report on
Reuters said the company is planning further cost reductions due to
the continuing volatile short-term environment. The company has so
far saved $500 million a year as a result of cost cutting
initiatives in service and support roles, the report stated. RIO
also lowered its forecast for Chinese economic growth to just below
8%, but sees the "significant stimulus efforts" in China, the U.S.
and Europe as positive, even if the impact on its markets remains
to be seen, the report stated further. The company is dependent on
steel demand from China, driven by Chinese infrastructure spending,
the report said.