The Dow Jones Industrial Average (DJIA) closed at a two-year
high on Wednesday, as Wall Street digested the midterm election
results and the Fed's plan to purchase $600 billion in bonds.
What's more, the blue chip barometer appears to be poised to take
out its 2010 intraday high today, as futures on the DJIA and the
S&P 500 Index (SPX) are trading roughly 77 points and 10 points
above fair value, respectively. Weekly initial jobless claims,
slated for release early this morning, may be the only hurdle for
the Dow today, as the rest of the economic calendar is clear. Look
for the DJIA to find support in the 11,150-11,200 area, while
resistance may materialize near 11,300-11,350. As for the SPX,
1,200-1,205 is an area to watch for technical resistance, while
support could emerge near 1,195.
In earnings news, Sirius XM Radio Inc. (
) said that it swung to a third-quarter profit of $67.6 million, or
a penny per share, compared with a loss of $151.5 million, or 4
cents per share, in the year-ago period. Revenue rose to $717.5
million from $618.7 million. Analysts were looking for breakeven
earnings on revenue of $719.1 million.
Elsewhere, Whole Foods Market Inc. (
) reported fiscal fourth-quarter net income rose 58% to $57.5
million, or 33 cents per share. Analysts had expected the grocer to
earn 28 cents. Sales rose 15% to $2.1 billion.
Finally, QUALCOMM Inc. (
) reported a fiscal fourth-quarter profit of $865 million, or 53
cents per share, compared with a profit of $803 million, or 48
cents per share, for the year-earlier period. Revenue was $2.95
billion, up from $2.69 billion. Adjusted income was 68 cents per
share. Analysts had expected the company report earnings of 59
cents per share, on revenue of $2.85 billion.
On the earnings front, DIRECTV (
), Frontier Oil Corp. (
), Fuel Systems Solutions Inc. (FSYS), Liz Claiborne Inc. (LIZ),
PG&E Corp. (PCG), Suncor Energy Inc. (SU), Time Warner Cable
Inc. (TWC), Activision Blizzard Inc. (ATVI), bebe stores inc.
(BEBE), Blue Nile Inc. (NILE), CF Industries Holdings Inc. (CF),
Crocs Inc. (CROX), Isis Pharmaceuticals Inc. (ISIS), Kraft Foods
Inc. (KFT), SandRidge Energy Inc. (SD), and Starbucks Corp. (SBUX)
will release their quarterly reports today. Keep your browser at
for more news as it breaks.
The weekly initial jobless claims report is the lone piece of
economic data slated for release today, and we round out the week
tomorrow with October's nonfarm payrolls and unemployment rate.
Equity option activity on the Chicago Board Options Exchange
(CBOE) saw 1,445,460 call contracts traded on Wednesday, compared
to 800,243 put contracts. The resultant single-session put/call
ratio arrived at 0.55, while the 21-day moving average held at
**The volume data shown above is from the Nasdaq and NYSE
exchanges only. It does not include regional volume activity,
which means that other daily volume quotes you see may be
Overseas trading is in rally mode this morning, with all 10
foreign indexes that we track in positive territory. The cumulative
average return on the collective stands at an impressive gain of
1.64%. Regional indexes in both Asia and Europe are trading sharply
higher in the wake of the U.S. Fed's $600 billion bond buyback
program, which fell largely in line with expectations. Europe is
receiving a bit of extra lift, following strong quarterly reports
from Unilever, BNP Paribas, and Swiss Re.
Currencies and Commodities
The U.S. dollar has extended its recent run lower in the wake of
yesterday's Fed announcement. Specifically, the U.S. Dollar Index
has dropped 0.68% to 75.96, just above a fresh annual low for the
index. Commodities are reveling in the greenback's demise, with
crude futures up $1.16 at $85.85 per barrel, and gold rising a
hefty $24.90 to $1,362.50 an ounce in London.
Unusual Put and Call Activity:
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