Early Look: RIMM Disappoints
The market is roughly flat in early trading. The dollar hasn't gained any traction, and commodities are moving higher again. Oil prices are above $113, and gold prices have reached new highs at $1544.
In earnings, Catepillar (CAT) reported strong earnings and raised guidance, and its stock has hit new all-time highs this morning. It is also helping to boost the industrial group.
On the downside, RIMM gave disappointing guidance last night, and lowered estimates, resulting in the stock getting pummeled for -13% so far. We moved entirely out of RIMM several months ago after concluding that they were going to continue to lost market share to Apple (AAPL) in both the retail and the all important corporate market. Today that is looking like a great call.
Asian markets were mixed overnight; the 10-year yield is flat near 3.30%; and the VIX is also flattish around 14.60.
Trading comment: Earnings reports continue to come in better than expected for the most part, and the number of stocks making new highs expanded yesterday. This shows broadening participation in this new upleg, which is a bullish sign. You can find leading stocks from a variety of sectors, helping investors stay diversified.
long AAPL, CAT