The S&P 500 fell by less than a point and the Dow was lower by 0.29%. The market sold off slightly in the final few hours on some concerns over tensions in Egypt and the release of the Fed’s Basel decision. Some viewed the news as being more neutral from financials than a positive catalyst.
Regional banks, telecom, and steel outperformed today while airlines, homebuilders, and managed care underperformed. Regional banks were the winners in the financial sector. The large money center banks were quiet. The Basel III data was viewed as a positive for the regional banks as it will reduce capital requirements.
Commodities were mixed. Precious metals and copper traded lower while grains, crude, and natural gas moved higher.
Apple was the leader in technology for the second straight day. The stock held technical support yesterday and received an analyst upgrade also. Today, there was follow through as the stock traded higher by better than 1%.
Industrials lagged on the day. One analyst made tepid comments on General Electric and the stock sold off by more than 1%. Other multi-line industrials sold off in sympathy.
Energy traded with the tape with crude higher by 1.5% and natural gas moving higher by 2.25%. Refiners were an area of weakness as several analysts made negative comments regarding spreads in the industry.
Source: PFS Group
