The markets saw a third day of selling today. While some may attribute it to the lower retail sales numbers, foreign interest rate worries or North Korean missile tests, I think it just may be the summer trading session. The market has been shooting up like crazy recently and it is time it takes a breather. Summer time has also been a historical rough time for the market as it makes very little in gains. Last summer is a good example of this. Just because the Dow dropped in the beginning of June last year doesn't mean it has to drop in the beginning of June this year; but it is food for thought.
The NYSE had volume of 2.5 billion shares with a paltry 279 shares advancing while 3058 declined for a loss of 174.07 points to close at 9,720.94. On the NASDAQ, 1.4 billion shares traded, 669 advanced and 2,372 declined for a loss of 45.8 to 2,541.38.
Netflix (NASDAQ: NFLX) rose $1.33 (6%) to $23.93. PAN AMERICAN SILVER CORP (NASDAQ: PAAS) fell $1.65 (-6%) to $26.75. Arkansas Best Corporation (NASDAQ: ABFS) fell $2.37 (-6%) to $39.24. MasterCard Incorporated (NYSE: MA) fell $7.61 (-5%) to $139.41. Shuffle Master (NASDAQ: SHFL) fell $2.10 (-11%) to $17.51.
With the bearish activity over the last couple of sessions put have been much more active. In options there were 7.5 million puts and 6.7 million calls traded for a put/call open interest ratio of 1.12. QualComm (NASDAQ: QCOM) saw heavy volume on the June 45 calls (AAOFI) with over 57,000 options trading after lawsuit issues. Yahoo (NASDAQ: YHOO) saw heavy volume on the January 08 40 calls (VYHAH) with over 57,000 options trading and the January 09 30 calls (YHQAF) moved 56,000 options trading. Apple (NASDAQ: AAPL) saw heavy volume on the June 130 (APVFF) with over 54,100 options trading.
Kevin Kersten is an Options Analyst with InvestorsObserver.com. Disclosure note: Mr. Kersten owns and or controls a diversified portfolios of long and short positions that may include holdings in companies he writes about.
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Reader Comments (Page 1 of 1)
6-08-2007 @ 8:48AM
Rudi Scholtz said...
Thanks for a great blog, do you ever look at the South African market??
http://bluvestments.blogspot.com/