(As of 7:20 am pacific)
Markets are mixed this morning as volume picks up after traders
return to their desks from Veteran’s Day holiday. With no major economic reports due out today,
the headlines are still being dominated by fiscal cliff fears. Positive earnings from several retailers have
helped buoy stocks this morning. Dick’s
Sporting Goods, TJ Maxx and Michael Kors all beat earnings and raised their
full year guidance. Home Depot reported
positive earnings causing shares to rise 3.7% while Microsoft shares slid 4%
after the company announced that the Windows chief is stepping down from the
company immediately. Euro-zone leaders,
after approving the next round of aid for Greece last week, are now struggling
to agree to the terms of release of the funding causing an unnecessary
delay. Euro-zone debt woes are now
leaking in to countries like Germany and France and threatening another
recession that could be devastating to the global economy. Gold is down 0.5% and oil is down 0.6%
slipping to $84.99/barrel as the IEA cut its demand outlook for the 4th
quarter. The dollar is rising and
interest rates continue to fall with the 10 yr. treasury back down to
1.58%. Volatility has been cooling since
the open.
