We are an hour into the session and find selling pressure weighing on the market. The Dow Jones Industrial Average (DJIA) and Nasdaq Composite (COMP) are down one percent while the S&P 500 (SPX) and Russell 2000 (RUT) are slightly stronger. The SPDR Homebuilders (XHB) is the standout decliner with a loss of more than 3%. Other relatively weak areas include the S&P Retail Index (RLX), Regional Bank HOLDRS (RKH), and Broker/Dealer Index (XBD). Oil is higher as are gold and gold stocks.
When I signed off last night I was discussing the rejection at the top of the range. Today's selling would seem to further that pattern. However, I wouldn't view the selling as a concern until (if) the S&P 500 (SPX) began to flirt with the lower end of the range near 1380.
Here are a few of the analyst upgrades and downgrades that I thought were worth noting this morning...
Upgrades
- Charming Shoppes (CHRS)
- Canadian Natrl Res (CNQ)
- ConocoPhillips (COP)
- Intersil (ISIL)
- Netflix (NFLX)
- Reliant Energy (RRI)
Downgrades
- Career Education (CECO)
- Corinthian Colleges (COCO)
- EMC Corp (EMC)
- ITT Educational (ESI)
- Hess (HES)
- Universal Technical Institute (UTI)
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