11:00AM: Once again we have a mixed market as the Nasdaq has turned back into positive territory.
The Dow continues to struggle in negative ground on the back of weakness in cyclicals (chemicals,
paper, airline). Transports are weak today due in part to an earnings warning from Roadway (ROAD
-9.3%). The trucking company is getting hammered after warning that current quarter revenues could be
down by as much as 70% versus last year's levels. Today's warning is anecdotal though important
evidence that the economic slowdown may not have hit bottom. Transports are considered a leading
indicator of economic activity as they represent the first step in the manufacturing process -- namely
transporting the raw materials necessary for production. XOI -0.2%, S&P Midcap 400 -0.4%, DJTA
-1.6%, DJUA -1.4%, Nasdaq 100 -0.4%, SOX +0.1%, Russell 2000 -0.3%, NYSE Adv/Dec 1123/1565,
Nasdaq Adv/Dec 1420/1670 |
