DJIA Market Close for Wednesday, May 16, 2012

The Dow closed down -33.45 (-0.26%) at 12,598.55. The S&P 500, Nasdaq and Russell 2000 were all down.

There were 13 lucky Dow stocks in the winners column today led by GE (+3.26%), PFE, MRK, CSCO and PG.

Dow losers (17 of them) were led by BAC (-2.60%), AA, JPM, INTC and HPQ.

At this hour, futures are up.

Stocks closed at three-month lows Tuesday as the eurozone debt crisis continues to weigh on the markets.

Tomorrow before the market open, Wal-Mart (WMT) reports earnings.

The Fed released the minutes from the April meeting of the Federal Open Market Committee in which several members indicated that additional monetary policy accommodation could be necessary if the economic recovery lost momentum or the downside risks to the forecast became great enough.

Today the FBI director said that the agency had opened an investigation into JPMorgan Chase (JPM), the nation’s largest bank, a week after the bank disclosed a $2 billion trading loss.

Oil for June delivery dropped $1.17 to $92.81 a barrel, the lowest since November.

Gold futures for June delivery fell $20.50 to settle at $1,536.60 an ounce, it’s lowest since last July.

The price on the benchmark 10-year U.S. Treasury rose, pushing the yield down to 1.76% from 1.79% late Tuesday.

Tomorrow before the open, notable stocks expected to report earnings include AAP, ALKS, BONT, BKE, CATO, PLCE, CSC, DANG, DLTR, GME, GSOL, NM, PERY, PCP, PBH, QSII, ROST, SHLD, SMRT, TK, TNK, TSEM, and WMT.

Market Happenings for Wednesday, May 16, 2012

Premarket, futures are up. Gainers this morning include FTR, FOSL, GE, AKAM and PHM while losers include JCP (-14.92%), ANF, PCS, SPLS and KLAC.

The Market

Politicians in Greece have failed to agree on a coalition government with President Karolos Papoulias calling for all parties to meet Wednesday to set up a caretaker government that will conduct new elections. This instability in Athens has raised questions to whether the country will be forced to leave the eurozone and what such a move would mean for other troubled European economies.

Housing starts jumped to an annual rate of 717,000 in April, from the revised level of 699,000 in March. Analysts were expecting 680,000.

Building permits fell to an annual rate of 715,000 in April, from the revised figure of 769,000 in March. Analysts had expected permits to fall to 730,000.

JPMorgan Chase (JPM) shares edged higher yesterday as the bank held its annual shareholder meeting in Tampa, Fla. JPM stock is down more than 12% over the previous five trading sessions, however shares closed higher Tuesday and are up +1.23% premarket Wednesday.

Shareholders approved pay packages for the bank’s top executive, and affirmed their desire to keep Jamie Dimon in the dual role of chairman and CEO.

European stocks were mixed in midday trading and Asian markets ended lower.

The national average price of gasoline is up one-tenth of a cent today at $3.728 per gallon.

New High of the Day – Colgate-Palmolive (CL).

Earnings Reports

Earnings reports (sorted by mkt cap): TGT-Target (consensus $1.06), DE-Deere (2.53), LTD-Limited Brands (0.40), SPLS-Staples (0.30), NTES-Netease (1.04), ANF-Abercrombie (0.01).

Financial Calendar

0700 ET Weekly MBA mortgage applications, previous +1.7%, purchase sub-index +3.4%, refinancing sub-index +1.3%.

0830 ET Apr housing starts expected +4.7% to 685,000, Mar -5.8% to 654,000. Apr building permits expected -4.7% to 728,000, Mar +6.4% to 764,000.

0915 ET Apr industrial production expected +0.6%, Mar unchanged. Apr capacity utilization expected +0.4 to 79.0%, Mar -0.1 to 78.6%.

1000 ET Q1 mortgage delinquencies, Q4 7.58%. Q1 foreclosures, Q4 4.38%.

1030 ET DOE Weekly Petroleum Status Report.

1230 ET St. Louis Fed President James Bullard speaks about the U.S. economy and monetary policy at an event in Louisville, KY.

1400 ET Minutes of the Apr 24-25 FOMC meeting.

DJIA Market Close for Tuesday, May 15, 2012

The Dow was down -63.35 (-0.50%) to close at 12,632.00. The S&P 500 is near 1330 about 10 points below where I’ve been hearing we should find support. I don’t think we’ve reached the support point yet.

Looking at the Dow stocks I see none other than JPMorgan (JPM) leading the meager few Dow stocks that were higher today, up +1.26%. And that happened on the day of its annual share holders meeting. I guess Jamie Dimon found the right words.

Among the 30 Dow stocks only JPM, WMT, VZ, UTX, PG and MCD closed higher.

The Dow loss leaders were HPQ (-2.46%),HD (-2.43%), AA, MSFT and DD.

Home Depot (HD) reported okay earnings numbers this morning but came up a little light on revenue and was knocked down -2.43% for it.

Notable stocks expected to report earnings tomorrow before the open include ANF, ABMD, BRC, CHS, CTRN, DE, EXP, SPLS, TGT, and VVTV.

New High of the Day – United Natural Foods (UNFI).

Market Happenings for Tuesday, May 15, 2012

Premarket, futures are mixed and near unchanged. Gainers this morning include CHK, AVP, BMC, PHM and YHOO while losers include HCP, SYMC, RSG, PSX and BAC.

The Market

Home Depot (HD) reported weaker-than-expected quarterly sales today after demand slowed in April following a jump in home improvement projects spurred by warm weather earlier in the year. Sales at Home Depot rose 5.9 percent to $17.81 billion in the first quarter ended on April 29, but missed the analysts’ average estimate of $17.96 billion. The company’s net earnings rose to $1.04 billion, or 68 cents a share, from $812 million, or 50 cents a share, a year earlier. Estimates were for $0.66 per share. Shares are down today, but I bet they go higher this coming year.

JPMorgan (JPM) is having it’s annual shareholders meeting today and it will be interesting to hear what comes out of it.

European stocks were mostly higher in afternoon trading and Asian markets ended mixed.

The national average price of gasoline was unchanged this morning at $3.727 per gallon.

Earnings Reports

Earnings reports (sorted by mkt cap): HD-Home Depot (consensus $0.66), TJX-TJX Co. (0.54), JCP-JC Penney (-0.08), CG-Carlyle Group, DKS-Dick’s Sporting Goods (0.38), VAL-Valspar (0.82), RAH-Ralcorp (0.85), SINA-Sina Corp (-0.23), SKS-Saks (0.18).

Financial Calendar

US American Iron and Steel Institute’s steel production report for period ended May 11

DJIA Market Close for Monday, May 14, 2012

The Dow closed down -125.25 (-0.98%) at 12,695.35.

So far tonight, the futures are up a hair, but I suspect by morning there will be some bad vibe from Europe or some other company will provide a downward spin to this market. I love it! Right now, I’m bearish having raised cash to about 60%, waiting for better prices to jump back in. Fridays expiration might turn out to be a good spot, with the Facebook IPO happening too. We’ll see…

Tomorrow before the open Home Depot reports earnings and we are expecting to hear good things, especially with many home builders already reporting good news with their earnings. So should Home Depot. If not, they will probably be shredded.

This morning, the national average price of gasoline was down to $3.727 per gallon. Tonight, I filled up at my local Costco and paid $4.169 a gallon here in Gig Harbor, WA. What’s with that? The national average price has been going down this past month and here in western Washington the price has gone up at least $0.18 in the same time period. Oh, just now on the King5 tv news ad, they say they are going to tell me why our gas demands a higher price tonight at 11:00.

Now on to JPMorgan (JPM). I think a bunch of folks should be fired, especially Dimon and Drew. Him for not knowing whats going on and her for knowing. How do you let a trade go bad to the tune of $2 billion dollars with the possibility of more to come. Especially after just bailing out the banking industry. Got to be time for some drastic changes to investment banking.

The dollar was up against the euro, but fell versus the Japanese yen and British pound.

Oil prices for June delivery dropped to a five-month low, losing $1.96 to $94.17 a barrel. Yeah!

Gold futures for June delivery fell another $26.30 and reached $1,557.70 an ounce.

The price on the benchmark 10-year U.S. Treasury was up, pushing the yield down to 1.78%.

Tomorrow before the open, notable stocks expected to report earnings include HD, RTK, ALIM, SOL, TNP, GMAN, and CACH.

On another note. I watched “Americas Got Talent” tonight from St. Louis, and it was great, even with Howard Stern.

UPDATE: Our gasoline is so much higher than the national average because half a dozen refineries are down or at reduced capacity for repairs. And we don’t live where there are tornados or hurricanes. The refineries aren’t expected to be back running until July. How convenient for the Refiners pocket books.