Dow is up 14, advancers over decliners 4-3 but NAZ fell 17. The Financial Index was up a fraction in the 198s, near its highs since late Jul.
The MLP index jumped another 3 to the 409s, yet another record, but the REIT index slipped 1 to the 246s. There is excitement about the drilling boom for oil & gas in the North Dakota area. Junk bond funds were mixed & Treasuries pulled back on hopes of bailout II going thru. Oil climbed, heading for the biggest weekly gain this year, as signs of an improving US economy & progress on a bailout for Greece bolstered the outlook for fuel demand. Gold hasn't moved a lot this week, remaining in the low 1700s area.
Photo: Yahoo
Gasoline prices jumped 0.9% in Jan, pushing overall consumer prices up. The 0.2% increase in the CPI reported by the Labor Dept shows inflation remains largely under control, but a reading of underlying price pressures could reinforce caution at the Federal Reserve as it mulls further measures to help the economy. The gain in gas prices, following 3 straight months of declines, reflected tensions in the Middle East that have pushed oil prices higher, translating in to extra costs at the pump, leaving them less money for other things. After rising throughout Jan, the national price for regular unleaded gasoline prices rose to $3.58 a gallon last week, after starting the year around $3.32. Core prices, which strip out food & energy costs, rose 0.2%, in line with expectations. However, it also showed core prices have risen an unexpectedly steep 2.3% over the past 12 months. Overall consumer prices rose 2.9% year-on-year after increasing 3.0% in Dec, in line with expectations.
CPI in U.S. Climbs 0.2%, Below Forecasts
German Chancellor Merkel, Italian PM Monti & Greek PM Papademos discussed efforts to secure a bailout II for Greece & are confident that euro-area finance ministers will “find a solution for open questions” on Feb 20, according to a spokesman for Merkel, after the 3 leaders held a conference call today. We're still in the who knows what's going on phase of bailout II.
Yelp plans to raise up to $100M in first IPO from a major internet company this year. It will offer 7.15M shares at $12-$14 each & the stock will trade on the NYSE under the ticker YELP. At the midpoint of the price range, this offering would value YELP at about $778M, or 9.3 times last year’s sales (a new metric used when old ones don't look pretty). That compares with 5.2X for Google (GOOG) & 3.8X for Yahoo (YHOO) which are listed as competitors. About 66M unique visitors looked at Yelp on a monthly average basis in Q4. YELP has 25M total reviews of local businesses such as dentists, mechanics & salons. The success of this IPO will give an idea of fast the speculative juices are running. Already, they seem to be in high gear.
Yelp to Raise as Much as $100 Million in IPO Amid Internet Stock Demand
Markets continue to twiddle their thumbs, but on balance the buyers are wining out. Dow needs less than 100 to go over 13K. But it has been hovering on this plateau for a couple of weeks. The MLP story is something else. Low yields elsewhere are driving demand for these yield securities even though higher prices have brought the yield on the index below 6%. Chances are the European leaders will approve some kind of bailout package over the long weekend. Then we'll find out what kind of reception the US markets give this Scotch-Tape approach to solve complex, fundamental problems. I'm worried about the damage that higher gas prices will do the recovery which is still fragile.
The MLP index jumped another 3 to the 409s, yet another record, but the REIT index slipped 1 to the 246s. There is excitement about the drilling boom for oil & gas in the North Dakota area. Junk bond funds were mixed & Treasuries pulled back on hopes of bailout II going thru. Oil climbed, heading for the biggest weekly gain this year, as signs of an improving US economy & progress on a bailout for Greece bolstered the outlook for fuel demand. Gold hasn't moved a lot this week, remaining in the low 1700s area.
JPMorgan Chase Capital XVI (AMJ)
Treasury yields:
U.S. 3-month | 0.086% | |
U.S. 2-year | 0.290% | |
U.S. 10-year | 2.019% |
| CLH12.NYM | ...Crude Oil Mar 12 | ...102.82 | ... 0.51 | (0.5%) |
| GCG12.CMX | ...Gold Feb 12 | ...1,723.70 | ... 3.10 | (0.2%) |
Get the latest daily market update below:
Gasoline prices jumped 0.9% in Jan, pushing overall consumer prices up. The 0.2% increase in the CPI reported by the Labor Dept shows inflation remains largely under control, but a reading of underlying price pressures could reinforce caution at the Federal Reserve as it mulls further measures to help the economy. The gain in gas prices, following 3 straight months of declines, reflected tensions in the Middle East that have pushed oil prices higher, translating in to extra costs at the pump, leaving them less money for other things. After rising throughout Jan, the national price for regular unleaded gasoline prices rose to $3.58 a gallon last week, after starting the year around $3.32. Core prices, which strip out food & energy costs, rose 0.2%, in line with expectations. However, it also showed core prices have risen an unexpectedly steep 2.3% over the past 12 months. Overall consumer prices rose 2.9% year-on-year after increasing 3.0% in Dec, in line with expectations.
CPI in U.S. Climbs 0.2%, Below Forecasts
German Chancellor Merkel, Italian PM Monti & Greek PM Papademos discussed efforts to secure a bailout II for Greece & are confident that euro-area finance ministers will “find a solution for open questions” on Feb 20, according to a spokesman for Merkel, after the 3 leaders held a conference call today. We're still in the who knows what's going on phase of bailout II.
Yelp plans to raise up to $100M in first IPO from a major internet company this year. It will offer 7.15M shares at $12-$14 each & the stock will trade on the NYSE under the ticker YELP. At the midpoint of the price range, this offering would value YELP at about $778M, or 9.3 times last year’s sales (a new metric used when old ones don't look pretty). That compares with 5.2X for Google (GOOG) & 3.8X for Yahoo (YHOO) which are listed as competitors. About 66M unique visitors looked at Yelp on a monthly average basis in Q4. YELP has 25M total reviews of local businesses such as dentists, mechanics & salons. The success of this IPO will give an idea of fast the speculative juices are running. Already, they seem to be in high gear.
Yelp to Raise as Much as $100 Million in IPO Amid Internet Stock Demand
Markets continue to twiddle their thumbs, but on balance the buyers are wining out. Dow needs less than 100 to go over 13K. But it has been hovering on this plateau for a couple of weeks. The MLP story is something else. Low yields elsewhere are driving demand for these yield securities even though higher prices have brought the yield on the index below 6%. Chances are the European leaders will approve some kind of bailout package over the long weekend. Then we'll find out what kind of reception the US markets give this Scotch-Tape approach to solve complex, fundamental problems. I'm worried about the damage that higher gas prices will do the recovery which is still fragile.
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