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Morning Rage 9.26.2012

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Dow futures are down twenty-two, S&P futures down three and a quarter, and Nasdaq futures are down nine and a quarter. Crude, metal and grain futures are all down as well. Crude futures are down a buck-seventeen, gold is down five and a half and silver is down twenty-two cents.

Yesterday was a bearish day in most sectors with most major tech and financial stocks down for the day. Google (GOOG) started the day off well, moved up to a new high, but lost all of its gains for the day and ended slightly lower. Apple (AAPL) continues to lose ground from its strong couple of weeks in early September as negative news continues to come out against the iPhone. I guess five million units sold is negative news for the iPhone 5. Delays for new units may be a problem as the riots at Foxxcon, where the iPhone and iPad are made, are investigated further.

I saw a couple of inside buys in oil companies last night in my own research which is leading me to considering a bullish trade in oil or at least keeping an eye on the price to see if it jumps upward at all in the near future.

New home sales report comes out today at 10:00am EST. Analysts expect a positive growth of 10,000 newly constructed homes with a committed sale, a gain of about 2.5%.

Alex Kalish has a master’s in economics from Suffolk U.

Look for the associate option pick of the day competition on the blog.

Email me if you would like a free trial into the KOTM Trading Room: alexk@keeneonthemarket.com

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Morning Rage 9.25.2012

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The tech industry was hit hard yesterday as most of the major players ended down except for Google ($GOOG). Google reach a new all -ime high yesterday of 750.04 and traded in a $20 range. Google ended yesterday up about $15 and continued to surge up another $3.25 after hours making another new all-time high of 752.63.  Other tech stocks didn’t perform as well, Microsoft ($MSFT), Apple ($AAPL), Intel ($INTC), and HP ($HPQ) were all down more than one percent. Apple fans may have to wait for iPhone 5 resupplies around the world because the new front glass component production cannot keep up with demand for the phone.

On the topic of tech stocks, Red Hat ($RHT) released its Q2 earnings, which missed analysts projections causing the stock to tumble an extra $1.74, or 3%, on top of its $0.10 drop yesterday. Red Hat’s earnings projections were lower than Q1 but were still missed by a penny. The fine print reads that the penny lost was due to one-time closing costs.

Two housing reports will be released today, the S&P Case-Shiller HPI and the FHFA House Price Index. The Case-Shiller report tracks housing price changes throughout 20 major US cities and the FHFA report uses data from mortgages to track pricing. With housing news consistently positive in the past few weeks, I would expect more of the same today.

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Morning Rage 9.24.2012

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Indices, metals, energy, and grains futures are all posting losses in premarket trading.

As of 6:30 am, Dow futures are down 55.00 points to 13,445.00, S&P futures down 6.00 to 1,446.00, and Nasdaq futures down 9.50 to 2,843.00. Gold futures are down 18.70 to 1759.30, silver futures are down less than a point to 33.72 and crude futures down a points and a quarter to 91.64.

The two Nasdaq powerhouses, Apple (AAPL| 700.09) and Google (GOOG| 733.99), are both down in premarket trading, -4.84 and -3.49 respectively. After the stocks chased each other to the $700 price point and above, investors might be weary of buying in at such a high price. I would expect a slowing of growth as they both continue to gain value from now till the end of the year, even after news of record iPhone 5 sales. AAPL is sitting around its all-time high, while GOOG remains about 10-15 points out of range of its own all-time high.

Lennar Corp (LEN), a stock the KOTM team has been expecting to bounce up after earnings this morning, reported 0$.40 earnings per share, a growth of 263.3% year-over-year. Analysts expectations were beat by $0.12 and $50 million in revenues. The stock is up $1.18 or 4.84% in premarket trading. LEN moved through its 52-week high on friday making the new high point $37.88.

If you are interested in learnings how KOTM picks trades like the one above, click below for free access into the trading room.

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Alex Kalish has a master’s degree in economics from Suffolk U.

Questions, comments and suggestions welcome: alexk@keeneonthemarket.com

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Market Recap 9.21.2012

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Apple will close at around $700.00.  The iPhone 5 will be released today after much anticipation. The phone will feature a larger screen, a faster processor, and will also be the thinnest and lightest iPhone Apple has ever produced. The phone will also run Apple’s new iOS 6 which includes Apple’s new maps app. Early reviews of the app have found some glaring errors and inaccuracies.  Despite less than perfected additions to the new iOS 6 it appears that this will be the most successful iPhone of all time. Customers have been lined up outside of Apple’s 5th Avenue store since as early as last Friday.

Google closed up on the day rallying $5.90 (+0.81%) ending at $733.99. The stock hit a new 52 week high today and is now within shouting distance of its all time high.

Numbers and Earnings Next Week:
Monday- Chicago Fed national activity index, Lennar Earnings
Tuesday- S&P Home price index, consumer confidence, FHFA home price index
Wednesday- New home sales, oil inventories.
Thursday- GDP, jobless claims, pending home sales, Earnings from Financial, Nike, Accenture, RIM, Micron.
Friday- Chicago PMI, consumer sentiment. Earnings from Walgreens

James Ramelli B.S. in Finance from UIUC. Email: james@keeneonthemarket.com Follow: @Jim_KOTM

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Morning Rage 9.21.2012

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Dow futures are up 42.00 points to 13,557, S&P futures are up 3.50 point to 1,457.25 and the Nasdaq futures are up 7.25 to 2,860.50. Metals futures and crude are all up. Gold is up 5.30 points to 1775.50, silver slightly up four cents, and Platinum up almost ten points to 1633.60.

The Apple iPhone 5 will be released around the world today. The iPhone 5 made record sales in Asia, and some are worried that Apple will not be able to meet demand. Some Japanese carriers have already run out of phones. Best Buy has announced that the iPhone 4 will be free with a 2-year activation. The phones maps application is lacking and iPhone 4 and 4S users are upset about the update that took Googlemaps away.

Apple, Inc. (AAPL) was down $3.40 yesterday at the close but surged overnight with news of the phone selling out everywhere, up $4.95 and moving quickly in premarket trading.

With no real economic news tomorrow and options expiring today, the bulls should continue to own the day.

Alex Kalish has a master’s degree in economics from Suffolk U.