Stocks rose sharply for a second day after reports cast a better-than-expected light on the U.S. economy and optimism increased that Europe would recapitalize its banks. ADP reported U.S. companies added 91,000 jobs (vs. 45,000 estimated) in September, with the rise following a revised 89,000 gain the month before. The number of planned job cuts doubled in September to 115,730 from August’s 51,114, according to Challenger, Gray & Christmas, the highest number of since April 2009. Tech stocks rose broadly, with Apple, Cisco, Hewlett-Packard and Research In Motion among the winners. H-P rose 3.7%, but the co. was hit with a J.P. Morgan note resuming coverage with an underweight rating. RIM soared more than 12% on yet more buyout talk, this time involving Vodafone. Yahoo rose 10% after a report by Reuters that Microsoft was considering another bid for the Internet giant. Apple rebounded after dropping Tuesday, as investors signaled disappointment after the co. unveiled its newest generation of the iPhone but failed to live up to the hype over expectations of a radically changed iPhone 5. Implied volatility inched lower on moderate volumes.
Thursday, October 6, 2011
Rose sharply on better-than-expected economic news
Stocks rose sharply for a second day after reports cast a better-than-expected light on the U.S. economy and optimism increased that Europe would recapitalize its banks. ADP reported U.S. companies added 91,000 jobs (vs. 45,000 estimated) in September, with the rise following a revised 89,000 gain the month before. The number of planned job cuts doubled in September to 115,730 from August’s 51,114, according to Challenger, Gray & Christmas, the highest number of since April 2009. Tech stocks rose broadly, with Apple, Cisco, Hewlett-Packard and Research In Motion among the winners. H-P rose 3.7%, but the co. was hit with a J.P. Morgan note resuming coverage with an underweight rating. RIM soared more than 12% on yet more buyout talk, this time involving Vodafone. Yahoo rose 10% after a report by Reuters that Microsoft was considering another bid for the Internet giant. Apple rebounded after dropping Tuesday, as investors signaled disappointment after the co. unveiled its newest generation of the iPhone but failed to live up to the hype over expectations of a radically changed iPhone 5. Implied volatility inched lower on moderate volumes.
