Monday Morning Musings
The markets have opened weak, and remain under pressure in the first hour of trading. The energy complex is getting hit the hardest, as momentum seems to be leaving the oil & gas stocks.
Crude oil is down for six days in a row, the longest streak since October 2003. Mild weather and the lack of any severe hurricanes has also continued to push natural gas lower. And gold is off more than $20 on a weakening of geopolitical fears. So the schmeissing of commodities could be weighing on the overall market.
Other news and notes:
- UBS raises S&P 500 target to 1450 - expects broad year-end rally
- RBC likes GOOG near-term - high likelihood of intl. revs upside
- DELL off -5% on further SEC probe; share buyback suspended
- FSL +20% on news of possible takeover
- Amtech ups SNDK price target to $90
- FMCN: CIBC says block trades weighing on shares, creats buying opp
The brokers report earnings this week, and I still intend to use any weakness to add exposure to the group. I think analyst estimates are too low for 2007, and reflect too much negativity.