Option Investor
Market Updates

Mild Monday

Printer friendly version

Index futures are posting small losses this morning, with Dow futures down 12, and Nasdaq futures lower by 2. According to HL Camp and Company, fair value for the S&P 500 is $2.28, with buy programs set at $4.04 and sell programs set at $0.52.

Treasuries are seeing some selling, pushing bond yields slightly higher. The U.S. Dollar Index is higher this morning at 113.53, and gold futures are slightly lower at $274.80. October crude oil is back above $27 a barrel, at $27.04.

Microsoft (MSFT) has delayed the release of its Xbox system in Japan in order to focus on the crucial U.S. holiday season. 1 million to 1.5 million units are expected to be sold by the end of the year. The stock is down 50 cents and pre-market trading.

JP Morgan (JPM) is cutting costs by reducing bonuses and jobs in their investment banking division. The cuts could remove an additional 6,000 jobs from the 3,000 the company has already trimmed.

Home Depot (HD) could see some selling today after a bearish article in Barron's stated that overly optimistic views of housing and consumer spending has exacerbated the retailers stock price. On the other hand, Barron's reported that The Limited (LTD) is undervalued.

Deere (DE) is planning on getting out of the consumer products business, and will focus on its construction and forestry to improve financial performance.

Seibel Systems (SEBL) is unchanged after Morgan Stanley reported that the company is having a tough quarter. Morgan believes this has already been factored into the stock, and the last three weeks of September are the crucial period.

Stocks rose in Tokyo on Monday after Hitachi and Toshiba both announced they would cut over 20,000 jobs. The move should help the companies cut costs, and restructure going forward. Shares of Nintendo also advanced on the news that Microsoft was delaying the release of its Xbox game console.

Jeffrey Canavan
Assistant Analyst

Intraday Update Archives