Goldman Trounces Estimates

After the SPX broke support at 1292 yesterday, it looked like a test of the 50-day average might be in the cards. It also was shaping up to be a large-range outside day, but the market reversed its early losses to avoid said technical damage.

I could comment about the statement the market was making on the anniversary of 9/11, but I won't go there.

Yesterday, I mentioned that I wanted to buy any weakness on the heels of Goldman Sach's (GS) earnings. Well, not only was there no weakness, but the company again trounced estimates ($3.26 vs. $2.98 consensus) and announced a $60 million buyback. I will still likely use any pullback to add to my position.

In other news and notes:

• QCOM is up on buzz surrounding mobile TV adoption
• BRCM gets upgraded to buy at Pac Growth
• Piper ups EWBC with a $44 target
• Amtech ups its target to $120 on RIMM!
• BBY rises on stronger earnings
• IBB/TIPP Econ. Optimism Index rises 10.7%, after 6 negative months

Energy stocks are getting a small bounce, after being sold relentlessly over the last few days. I would use any strength to reduce exposure here until crude prices (and nat gas) stabilize.

Bond yields are up a bit at 4.82%. Stock indexes are up across the board.

long BRCM, EWBC, GS, QCOM