subject: Stock Newsletter Pt1 [print this page] Daily Stock Report for Friday Morning, December 18, 2009 pt1
Stocks ended down today about 1.2% across the board on all indices. The financial stocks took a beating after a variety of bad news in that sector.
Meredith Whitney, a now influential analyst after calling last years (2008) banking crash, downgraded Goldman Sachs, Morgan Stanley (MS) and Citigroups earnings again. Citibank (C) s secondary offering to raise money to payback TARP money was undersubscribed and priced down to $3.15.
The US Dollar moved up to a 3 month high possibly from the optimistic assessment of the economy by the Fed in Wednesdays statements. Gold dropped $29 and this continued the slide. Monitor gold stocks and at some point gold stocks will make an excellent bounce to profit from on swing or intermediate long positions.
Jobless Claims rose slighty on Thursday by 7,000 to 480,000.
Interesting note that the Senate Banking Committee did not unanimously reaffirm Fed Reserve Chairman Bernanke to another term; the vote was 16 to 7.
Other notes for Friday: RIMM, Research in Motion was up 12.2% after market Thursday on surprisingly strong earnings. Friday is quadruple witching expiration day and volatility is usually high.
REPEAT: Oil has been making a nice move and most of the profit potential has been realized so caution if going long oil stocks now.
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