Published: Fri, 16 Oct 2009
Description: (NECN) – The week that saw stocks reach their highest levels in a year, ends with losses on Wall Street. The Dow is back below ten thousand. Investors reacted negatively to evidence consumers are still struggling to pay their b...
Automatically Generated Transcript (may not be 100% accurate)
" The report says that enthusiasm from earlier in the week the numbers the Dow Jones Industrial Average closed. -- nearly 9996. Falling 67 points more than half -- percent. For the week though the blue chips are up more than a percent. The Nasdaq Composite finished -- almost funny 157. Off sixteen points or three quarters of -- percent. For the week the NASDAQ gained nearly 1% the S&P 500 ended about 1087. Dropping almost nine or eight tenths of -- percent for the week the S&P 500 climbed one and a half percent. Regionally the Bloomberg's New England index fell about three and a half points the New England tech stock index dropped to -- us."
" Market analysis tonight Jim Lowell is chief investment strategist at adviser investments and editor of fidelity investor dot com -- Jim -- I -- the problem when you set up 10000 does a big target at a big headline when stocks fall below what that becomes a story to this was. This was pretty mild with a less than 1%."
" Clearly just rational selling on the news no unexpected Bank of America disappoint them both the top to bottom line. The same could be said for G so. Given the fact that too big Bellwether stocks basically didn't simply failed to deliver but fell markedly short of consensus estimates. This market with hardly and sell off mode just some rational profit taking."
" Let me come back to that that expression used a moment ago the top of the line the bottom of the -- the disparity we are beginning to see in some of these earnings reports why is that of concern."
" Mission critical here is basically being able to deliver better than expected top line numbers top line relate to sales that's. That's the way we really can gauge whether or not this rebounded rally will be able to sustain themselves as opposed to simply bottom line management which has cost cutting. Layoffs scaling back of production the goods and services. That we have seen we -- as early as the second quarter to enable businesses to basically. Pull themselves back from the brink but if this market's gonna go higher we're gonna have to be able to see that businesses. Are just simply able to stem the bleeding but it factor. Beginning to kill themselves through selling their goods and services."
" And the growing concern here is that Bellwether companies like G he's not showing that increase in revenue that would suggest the business is actually picking up."
" That's right and as you just reported the numbers inside of g.'s report we're telling it basically reflects the fact. That's like Bank of America consumers remain under some considerable pressure. Especially on the consumer credit. Card lines but we also saw a consumer sentiment numbers come in below consensus estimates today. That are reflective of the jobs market and housing market. Which still well stabilized hasn't turned around another piece of information today in the factories were working a little bit harder. And that was a fundamentally good does the best news we've had for years the industrial output side of the economy but. It's coming off of an extraordinarily low scale back -- And so didn't do much to move the markets that might have helped the market. -- up a little bit less. But the reality is the pace of production has been cut so far below. The pace of sales that basically any sort of mildly good news is already priced. And next week more big companies report numbers we do Texas Instruments could Monday after the closing bell Tuesday. I hit a three -- is -- caterpillar coach and Coca-Cola. That's a broad spectrum right there of the general goods and services on a global scale. Deposited DuPont chemical maker he did any sort of infrastructure play read both domestically and globally. So it will be a very key week for earnings to drive the market also -- cover."
" Ports are market wrap for this Friday evening thanks to Jim wolf from adviser investments and fidelity investor dot com have a good weekend Jim majority."