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