Indices trade mixed ahead of rate decision

Discussion in 'Trading' started by TradeTheNews, Mar 21, 2007.

  1. TradeTheNews

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    US Mid-Morning Recap
    by TradeTheNews Staff

    - US equity markets opened flat to higher this morning after a mixed reaction to some key earnings reports. The NASDAQ found early strength as traders bid up shares of ORCL +3.5% and ADBE 4% post earnings, while the Dow Jones Transportation Average –0.35% has been held back by disappointing guidance from FedEx –1.7%. Other stocks seeing volatility following earnings reports include: CHAP +2% SMRT +8% CTAS –9% DRI –3% FSII –15% Morgan Stanley set an early positive tone for financials as it trades up more than 4% post earnings while lender FMT as added 12% after announcing the sale of some $4B in sub-prime loans. US Treasury futures opened marginally lower but the selling in European and US Government bonds accelerated following a budget speech by the UK’s Brown and funding announcements from the DMO. US 10-year 4.573%; 10-year Gilt 4.838%; 10-year Bund 3.926% The Dollar is holding a little bit higher against the Pound, Euro and Yen. May crude is fractionally higher to $59.45 after weekly inventory data disclosed a larger than expected build in crude inventories that was offset by a bigger than expected draw down in gasoline.