Intraday Market Update
After last week's solid advances US equities opened relatively flat this morning but then climbed higher after a stronger than expected housing report and positive guidance from FedEx. The DJIA has gained +65 points while the S&P 500 has tacked on +9 points. The small caps are leading the way higher with the Russell 2000 gaining +1.6%. International markets were mostly higher as traders reacted to the European bank stress tests for the first time.

The market got a lift after US new home sales in June rebounded +23.6% after plunging to a revised -36.7% in May. The June pace recovered to an annualized 330,000 units from a revised 267,000 in May and revised 422,000 in April. The bad news is that May's record drop was revised down from the initial estimate of a -33.0% decline. The latest figure is down -16.7% year over year. Monthly supply has seen improvement in recent months and in June it eased to 7.6 months after surging to 9.6 in May. Once again, this report is less bad than expected and is giving the housing market something to hold onto in hopes for a recovery. The Home Construction sector has gained +3% on the news and it remains the strongest sector.

FedEx increased its guidance for both the current quarter and the full year this morning which is helping boost risk appetite. The company noted that revenue and earnings growth are exceeding original expectations, primarily due to better than anticipated growth in FedEx Express and FedEx Ground volumes. Shares of FDX are up nearly +6% while competitor UPS is up nearly +2%.

Core Sector List:
Overall reading: 15 sectors advancing, 1 sectors declining
Strongest Sectors: Home Construction, Transportation, Biotechnology
Weakest Sectors: Gold Miners, Oil Services, Internet


S&P 500 - Daily and 30-minute Intraday Charts:

Dow Jones - Daily and 30-minute Intraday Charts:

NASDAQ - Daily and 30-minute Intraday Charts:

Russell 2000 - Daily and 30-minute Intraday Charts: