Dow was up 44, advancers ahead of decliners 3-1 & NAZ rose 37. Bank stocks had a modest gain, uncertain whether to climb higher or react to the confusing debt situation in Greece (among their many problems).
The MLP index rose & the REIT index gained a fraction to 220. Junk bond funds were up, typically around 1%, but Treasuries fell. There was an auction of 10 year Treasury notes today & the yield was 2%, low by historical standards but a little above where it has been in the last week. Oil climbed, rising above $90, on speculation tomorrow's inventory report will show stockpiles dropped. Gold has had a choppy time of it after reaching its $1900+ record last month. But its still up over $400 YTD!
Get the latest market update below:
![Live 24 hours gold chart [Kitco Inc.]](http://www.kitco.com/images/live/gold.gif)
The Treasury Dept reported the deficit federal grew $134B in Aug. At that rate, the CBO projects the deficit will total $1.28T when the budget year ends in 2 weeks. That would nearly match last year's $1.29B imbalance & come in below the record $1.41B in fiscal 2009. A congressional panel is seeking agreement on $1.5T ($1T = 1,000,000,000,000) in savings over the next decade. CBO Director Douglas Elmendorf warned that spiraling interest payments could swamp the ability by the gov to pay for its operations & could spark a financial crisis if nothing is done. Interest on the debt is the fastest growing category. Payments totaled $233B through Aug, up 15% from the same period a year ago. And that's in a low interest rate environment! Revenues for Oct-Aug totaled $2.06T, up 7.6% from a year ago. Tax receipts have increased as more people have gone back to work. Spending totaled $3.3T, an increase of 3.8% from 2010. Before 2009, the deficit had never come close to $1T in a single year!!
Budget Deficit in U.S. Grew to $134.2 Billion in August on Calendar Effect
The new Windows 8
Photo: Yahoo
Microsoft, a Dow stock, handed out 5K tablet computers running a test version of Windows 8 to stoke excitement over its new operating system. The devices, are powered by Intel, another Dow stock, i5 chips. It includes features tailored for touchscreens & tablets as MSFT is aimed at the iPad. Tablet makers are expected to start selling products with Windows 8 by the middle of next year at the earliest. The new system boots up in seconds & features a home page filled with colorful tiles taking the user directly into applications such as Facebook, messaging or news feeds. MSFT has sold 450M Windows 7 licenses in 2 years, but it still accounts for less than one-third of global Windows users. Tablets running Windows 8 will be able to connect easily to printers, cameras & other devices (i.e. mouse & keyboards). Separately MSFT is likely to raise its quarterly div to 19¢ from 16¢, possibly later this week. The stock rose 15¢ & will yield almost 3% if the div increase is approved.
While stocks gained, very little was decided as was the case yesterday. Markets have had a rough summer, shown below in the chart. Dow is down 460 YTD & the negative performance came in the last 2 months. Refinancing Greek bonds is going nowhere, despite reassurances by officials, The federal deficit drones on, $4B every day. The Congressional super committee will try to figure out how to stop the bleeding. It has just 2 months, or mandated budget cuts will kick in. There will be a very ugly fight, not good for stocks.
S&P 500 Financials Sector Index
| Value | 167.27 | |
| Change | 1.05 (0.6%) |
The MLP index rose & the REIT index gained a fraction to 220. Junk bond funds were up, typically around 1%, but Treasuries fell. There was an auction of 10 year Treasury notes today & the yield was 2%, low by historical standards but a little above where it has been in the last week. Oil climbed, rising above $90, on speculation tomorrow's inventory report will show stockpiles dropped. Gold has had a choppy time of it after reaching its $1900+ record last month. But its still up over $400 YTD!
Alerian MLP Index
| Value | 348.33 | |
| Change | 1.32 (0.4%) |
Get the latest market update below:
Treasury yields:
U.S. 3-month | 0.005% | |
U.S. 2-year | 0.205% | |
U.S. 10-year | 1.989% |
| CLV11.NYM | ...Crude Oil Oct 11 | ...90.01 | ... 1.82 (2.1%) |
The Treasury Dept reported the deficit federal grew $134B in Aug. At that rate, the CBO projects the deficit will total $1.28T when the budget year ends in 2 weeks. That would nearly match last year's $1.29B imbalance & come in below the record $1.41B in fiscal 2009. A congressional panel is seeking agreement on $1.5T ($1T = 1,000,000,000,000) in savings over the next decade. CBO Director Douglas Elmendorf warned that spiraling interest payments could swamp the ability by the gov to pay for its operations & could spark a financial crisis if nothing is done. Interest on the debt is the fastest growing category. Payments totaled $233B through Aug, up 15% from the same period a year ago. And that's in a low interest rate environment! Revenues for Oct-Aug totaled $2.06T, up 7.6% from a year ago. Tax receipts have increased as more people have gone back to work. Spending totaled $3.3T, an increase of 3.8% from 2010. Before 2009, the deficit had never come close to $1T in a single year!!
Budget Deficit in U.S. Grew to $134.2 Billion in August on Calendar Effect
Photo: Yahoo
Microsoft, a Dow stock, handed out 5K tablet computers running a test version of Windows 8 to stoke excitement over its new operating system. The devices, are powered by Intel, another Dow stock, i5 chips. It includes features tailored for touchscreens & tablets as MSFT is aimed at the iPad. Tablet makers are expected to start selling products with Windows 8 by the middle of next year at the earliest. The new system boots up in seconds & features a home page filled with colorful tiles taking the user directly into applications such as Facebook, messaging or news feeds. MSFT has sold 450M Windows 7 licenses in 2 years, but it still accounts for less than one-third of global Windows users. Tablets running Windows 8 will be able to connect easily to printers, cameras & other devices (i.e. mouse & keyboards). Separately MSFT is likely to raise its quarterly div to 19¢ from 16¢, possibly later this week. The stock rose 15¢ & will yield almost 3% if the div increase is approved.
Microsoft Corporation (MSFT)
While stocks gained, very little was decided as was the case yesterday. Markets have had a rough summer, shown below in the chart. Dow is down 460 YTD & the negative performance came in the last 2 months. Refinancing Greek bonds is going nowhere, despite reassurances by officials, The federal deficit drones on, $4B every day. The Congressional super committee will try to figure out how to stop the bleeding. It has just 2 months, or mandated budget cuts will kick in. There will be a very ugly fight, not good for stocks.
Dow Industrials (INDU)
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1 comment:
One more bailout....
Euro zone has reached on such a stage where it will eat up whole world by being bailed out by every country . Franc and UK has already
started feeling heat due to huge bail out of greece and portugal...
To avoid the risks, I follow http://www.forecastfortomorrow.com/ they give an accurate predictions about the market and other happenings.
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