Will The Nazz Pull Back This Week?
The Nasdaq is off to an incredibly strong start to the year already. Given the large moves, it is normal to wonder if the market pulls back this week. Earnings seasons starts in earnest today, so this could be a natural time to take profits.
That said, the market is not even close to overbought judging by the oscillators. If Intel (INTC) and Apple (AAPL) report strong earnings, this could help things.
I thought it was interesting when reading Barron's Roundtable this weekend that none of the participants really seemed all that bullish. Half were expecting a flat year, and the other half seemed to be looking for something like +6-8%. And no one really talked much about the possibility of multiple expansion. I, for one, am in the double-digit gains camp.
Oil is down again this morning, which is weighing on the energy complex. The 10-year yield is off slightly to 4.75%, following last week's big runup.
In other news and notes:
- NFLX offering new streaming video service
- BofA downgrades CSCO to Neutral ($30 target)
- CTX lowers Q3 guidance; cites difficult conditions in housing
- Castro reportedly in 'grave' condition
- SIRF downgraded to Neutral at Oppenheimer
- ANF upgraded to Overweight at Pru ($89 tgt)
- HW beats estimates; stock lower
- SYMC lowers Q3 guidance; stock -7%
- WFC reports in-line EPS, revs above consensus
- NY Empire Index 9.1 vs. 20.0 consensus
- NCR raises guidance
- LVLT downgraded to Sell at Janco ($5 target)
long AAPL, INTC, SIRF, WFC