Referenced Stocks

Mid-Day ETF Update: ETFs Track Stocks Higher as Home Depot's Upbeat Earnings Veer Focus Away from Fiscal Cliff

By Midnight Trader November 13, 2012, 01:03:57 PM EDT

Active broad-market exchange-traded funds:

SPDR S&P 500 ( SPY ): +0.2%

iShares MSCI Emerging Markets Index ( EEM ): -0.85%

Financial Select Sector SPDR ( XLF ): +0.03%

PowerShares QQQ Trust, Series 1 ( QQQ ): -0.2%

iPath S&P 500 VIX Short Term Futures TM ETN ( VXX ): -0.06%, near year lows.

Broad Market Indicators

Broad-market exchange-traded funds, including SPY, IWM, IVV and others, are mixed. Actively traded PowerShares QQQ ( QQQ ) is down 0.2%.

U.S. stocks are edging higher, as the retail sector led a modest rally sparked by Home Depot's (HD) better-than-expected results, wrenching attention away from the 'fiscal cliff' issue, which economists warn could trigger a U.S. recession. HD's upbeat earnings also has positive implications on the housing sector, according to MarketWatch, which cited a Janney Montgomery Scott analyst. Investors will be watching President Obama as he talks with union leaders today, business leaders Wednesday, and Congressional leaders Friday as he moves to try and address the 'fiscall cliff' issue.

Winners and Losers

Financial -

Select Financial Sector SPDRs ( XLF ) is up 0.1%. Direxion Daily Financial Bull 3X shares (FAS) is up 0.3%. Its bearish counterpart, FAZ, is up 0.1%.

Among financial stocks, LPL Financial (LPLA) is now down 4.5%, pulling back from earlier loss of more than 8% and after touching a new year low of $23.17. Earlier today, LPLA's subsidiary LPL Financial LLC announced that Level Four Group has affiliated with the LPL Financial broker-dealer platform. Level Four plans to utilize the LPL Financial RIA platform as its principal custodian through its independent registered investment advisory firm, Level Four Advisory.

Technology -

Tech ETFs are mixed: Technology Select Sector SPDR ETF (XLK), up 0.07%; iShares Dow Jones US Technology ETF (IYW), down 0.2%; iShares S&P North American Technology ETF (IGM), down 0.2%; and iShares S&P North American Technology-Software Index (IGV), down 0.46%.

Among semiconductor ETFs, SPDR S&P Semiconductor (XSD) is down 0.58% and near year lows while Semiconductor Sector Index Fund (SOXX) is off 0.36%.

SPDR S&P International Technology Sector ETF (IPK) is flat.

In sector news, Cornerstone OnDemand (CSOD) is up 10% after it reported in Monday's after hours session a 55.8% year-over-year rise in Q3 revenues to $31.2 million, beating analyst estimates by almost $1 million. Non-GAAP net loss for the period was $0.07 a share, excluding acquisition cost, stock-based compensation and other items, trailed analyst expectations by a penny.

Industrial -

Industrial ETFs have turned higher in mid-day action: iShares Trust Dow Jones U.S. Industrial Sector Index Fund (IYJ) up 0.2%; Select Sector SPDR-Industrial (XLI), up 0.52%; and Vanguard Industrials (VIS), up 0.32%.

In stocks news, Tronox (TROX) is down 16% and has hit new year lows after it reported Q3 earnings of $0.21 per share, below the single analyst estimate of $0.36 on Capital IQ. Revenues were $487.3 mln, also missing the analyst estimate of $492.8 mln.

Energy -

Dow Jones U.S. Energy Fund (IYE) is up 0.5%; Energy Select Sector SPDR (XLE) is up 0.76%.

In sector news, ZaZa Energy (ZAZA) is up 25% after the company earlier reported Q3 earnings of $1.02 per share, on total revenues of $207.2 mln, which includes oil and gas revenues of $10.2 million. This compares with the Q3 loss of $0.03 on revenues of $4.4 mln it reported last year.

Commodities -

Crude was down 0.49%; natural gas was up 3.65%. United States Oil Fund (USO) is down 0.6%. United States Natural Gas Fund (UNG) is up 4.3%.

Gold was down 0.12%; silver was up 0.36%. Among rare metal funds, SPDR Gold Trust (GLD) has turned slightly negative; iShares Silver Trust (SLV) is up 0.7%.

Healthcare -

Healthcare ETFs are hgiher: Health Care SPDR (XLV), up 0.36%; Vanguard Health Care ETF (VHT), up 0.39%; and iShares Dow Jones US Healthcare (IYH), up 0.34%. Biotech ETF iShares NASDAQ Biotechnology Index (IBB) is up 0.38%.

In corporate news, Idenix Pharmaceuticals, Inc. (IDIX) are up 7.5% after it presented late yesterday positive safety and antiviral activity results for its clinical-stage hepatitis C virus drug candidates - IDX719, a next-generation pan-genotypic NS5A inhibitor, and IDX184, a nucleotide polymerase inhibitor.

Power Play -

Consumer -

Consumer ETFs are firmer at mid-day: Consumer Staples Select Sector SPDR (XLP), up 0.49%; iShares Dow Jones US Consumer Goods (IYK), up 0.32%; and Vanguard Consumer Staples ETF (VDC), up 0.45%.

Retail ETFs are also in positive territory: SPDR S&P Retail (XRT), up 0.9%; PowerShares Dynamic Retail (PMR), up 0.40%; and Market Vectors Retail ETF (RTH), up 0.9% with a new year high of $44.

In earnings news, Diamond Foods (DMND) shares are now up more than 10%, adding to earlier gains of some 6%, after the company said late yesterday that it will release its restated FY10-FY12 results tomorrow.




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, QQQ, SPY, VXX, XLF



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