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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Jenne who wrote (48821)	11/10/1999 10:01:00 AM
From: r.edwards	Read Replies (1) \| Respond to of 152472

jenne ? are you nervous ? with $375 around the corner, I'd buy the jan.280 calls....chill darling.

To: Jenne who wrote (48821)	11/10/1999 10:03:00 AM
From: T L Comiskey	Respond to of 152472

PPI Putting a Crimp in the Market This Morning By Thomas Lepri Staff Reporter 11/10/99 9:24 AM ET An unexpected jump in core producer prices has set stocks up for a bout of selling when the market opens. Things looked good for the headline October Producer Price Index, which fell 0.1% overall, cooler than expectations for a 0.1% gain in the Reuters poll. But Wall Street is reacting less than enthusiastically to a larger-than-expected spike in the core rate, which excludes food and energy prices. The core gained 0.3%, hotter than the expected 0.1% increase, though down from last month's whopping 0.8% gain. Stock futures fell back from early highs on the news. At 9:05 a.m. EST, the S&P 500 futures were off 9, about 8 points below fair value and indicating a wave of selling at the open. "The core number's getting everybody a little fired up here," said Bryan Piskorowski, market analyst at Prudential Securities. "With that number, I think we'll see a little more profit-taking in the early going. We'll just have to see where [stocks] bottom and form a base." The PPI hasn't done what many on Wall Street were hoping for: bolster the growing sense that the Fed may not be raising rates when it meets next Tuesday. That task has been deferred to Friday's preliminary second-quarter productivity report, which is closely watched by Fed boss Alan Greenspan. In the meantime, stocks certainly have some more room to consolidate. "It's just a case of too much, too soon," said Piskorowski. "Forty-two percent on the Nasdaq year to date is a pretty heady number. So I think this will lead to a little backing and filling." Profit-taking in technology stocks will be stanched some this morning by Cisco (CSCO:Nasdaq), which last night posted upside first-quarter earnings. More important, unlike some of its tech-bellwether brethren, the company said that it expects little or no impact from Y2K. So much for the rumor that circulated briefly last month about a possible Cisco shortfall. Meanwhile, traders are keeping an eye on United Parcel Service's (UPS: NYSE) $5.47 billion IPO. TheStreet.com wrote about the intense demand that offering has met with in a story last night. The bond market was also falling back on the core PPI, but more moderately so. The 30-year Treasury was down 14/32 to 100 9/32, putting the yield at 6.104%. Today the Treasury will conclude its quarterly refunding with an auction of $10 billion in 10-year notes. The results of the auction will be announced at about 1:30 p.m. The large European indices saw their early gains evaporate after the PPI's release. Frankfurt's Xetra Dax was 19.20 lower to 5675.53, while the London FTSE was off 10.8 to 6424.7. The Paris CAC was essentially flat at 4998.13 The euro was lately quoted at $1.0415, near where it stood late in New York yesterday. In Tokyo, the Nikkei closed above the key 18,500 level for the first time since mid-July. The benchmark index rose 275.71, or 1.5%, to 18,567.87, its highest level in more than two years. Sentiment in stocks was boosted by an unconfirmed wire report that Japan's economic stimulus package would total more than 16 trillion yen, vs. the 15 trillion-yen package the market has been expecting. But Finance Minister Kiichi Miyazawa did better than that after the close, indicating to reporters that the stimulus package will be close to 17 trillion yen. Ultimately, the yen was little changed against the dollar amid all this talk of new government spending. After sinking as low as 104.5 yen early in the Tokyo session, the dollar rallied back above the 105-yen level, where it was late in New York trading last night. The greenback was lately quoted at 104.78 yen.