(INDEXSP:.INX) fell for the second day in a row after Wednesday's
all-time highs on the back of the Fed's announcement that it would
not be tapering its QE program.
While there were no economic data reports today, it certainly
wasn't a slow day. Shares of
) rose early as news reports of
strong demand for the company's new iPhone 5S
made the rounds, but they sold off into the close and finished down
more than 1%.
In earnings news,
), operator of several dining chains including Red Lobster and
Olive Garden, announced fiscal first-quarter results that were
below Wall Street's expectations. The company also announced
layoffs and cost cuts aimed at improving earnings.
But the big mover today was Canadian smartphone maker
), which fell 17% after announcing preliminary second-quarter
results. The company now expects revenues of $1.6 billion, which is
43% below the analysts' consensus forecast of $3 billion.
BlackBerry also said that it would lay off 4,500 workers and
continue to explore strategic options, such as a sale.
In fixed income news, the 10-year US Treasury yield tightened.
However, interest-rate-sensitive stocks like utilities, metals, and
junk bonds sold off, possibly due to fear that the strong actionon
Wednesday marked a near-term bottom for yields.
Over on the political front, the House of Representatives passed a
spending bill that avoided a government shutdown and eliminated
funding for the Affordable Care Act (a.k.a. Obamacare). However,
ACA spending may be restored next week by the Senate.
Tomorrow's Financial Outlook
At8:30 a.m. ET on Monday , the Chicago Fed National Activity
Index will be reported. The consensus currently stands at -0.05.
Twenty-eight minutes later at8:58 a.m. ET , the Markit US
Preliminary PMI will be released, with economists expecting a
reading of 54.
Also note that three major domestic monetary policy players will
be giving speecheson Monday : Atlanta Fed President Lockhart will
speak at9:20 a.m. ET, New York Fed President Dudley will speak
at9:30 a.m. ET, and Dallas Fed President Fisher will speak at1:30
p.m. ET . Given this week's controversial decision not to taper QE,
market participants may be listening extra closely to their
Readers should also watch for an announcement from Apple regarding
iPhone sales, as this information could most certainly move the
Disclosure: Minyanville Studios, a division of Minyanville
Media, has a corporate relationship with BlackBerry.