Closing Bell -- market update, Wednesday
See it to believe it! Read online or subscribe free.
bradhill.com
INTERNET RULES
While the broad market yawns over yesterday's interest rate cuts, the Internet sector launches a new assault on the stratosphere.
A late rally pushed the Dow upward, closing at the high of the day. Otherwise, a lack of fundamental news kept the session quiet, with low volume on the NYSE and busier activity on the technology-intensive Nasdaq. With yesterday's interest rate cuts already priced into the market after weeks of optimistic speculation, and following Alan Greenspan's implication that no further rate cuts could expected soon, investors were left to wander listlessly today.
The blazing exception was in the Internet sector, where eBay (EBAY), Yahoo (YHOO), Inktomi (INKT), Amazon.com (AMZN), Netscape (NSCP) and America Online (AOL), among others, posted radical gains of their already orbital prices. Netscape became today's big story when the Wall Street Journal reported ongoing talks between the browser/portal company and America Online, involving a possible minority position purchase by the gargantuan online service. "You've Got Equity!"
SECTOR WATCH: Internet stocks outperformed the market yet again, in one of the most spectacular displays of new media bullishness ever seen in a single session. Software, semiconductors, networkers, and computer companies joined the party. Airlines flew, pharmaceuticals healed recent ailments, transportation stocks drove forward, and the biotech industry forged a higher reality. On the downside, banks erased yesterday's gains, and natural gas and oil stunk up the joint.
CBS MarketWatch Industry Indexes:
cbs.marketwatch.com
TIDBIT: It's all in the timing. Just as a brokerage analyst raises the rating for Real Networks (RNWK), the company that makes RealAudio, RealVideo, and RealPlayer multimedia streaming Internet software, Microsoft (MSFT) announced its intent to sell its entire minority stake in RNWK on the open market. The two companies have shared ill humor in the past, especially when Microsoft developed competing software products. Busted discussions about a possible MSFT-underwritten secondary stock offering didn't help. RNWK shares have tumbled almost 5 points in after-hours trading.
TECHNICAL ANALYSIS: Want to see a couple of train wrecks? Check out today's charts, which demonstrate conclusively that not all Internet speculation turns to gold at the touch. EarthWeb (EWBX) and TheGlobe.com (TGLO), recent issues both, have turned disastrous for investors who hopped on board after the initial offerings.
bradhill.com
LOOKING AHEAD:
Thursday: Housing starts for October, released at 8:30 am EST by the Census Bureau and the Dapartment of Commerce.
biz.yahoo.com
===================================================================
Closing Bell -- a daily market update.
See it to believe it! Read online or subscribe free.
bradhill.com
** Index closings; Advance-Decline; gainers & losers
** Essential information for those who have a life
** Links to essential news stories around the Web
** Concise text summary of the day, with a sense of humor
** Links to news sites and investment advice sites
** No graphics; no Java; no delays; nice design
** Built for beginners; informative for everyone
Thank you for reading, and good luck to everyone.
Brad Hill
bradhill.com |
