Market Overview

Europe Worries, Intel Guidance Weigh on Stocks; Dow Off 162


The stock market fell on Monday in the wake of continuing fears over the European sovereign debt crisis. Also weighing on investor sentiment was an announcement from leading chip-maker Intel (NASDAQ: INTC) that it was lowering its fourth quarter revenue guidance.

The Dow spent most of Monday's trading session down more than 200 points, but a late day rally limited the damage to 162 points with the Dow breaking back above 12,000 to close at 12,021. The widely watched blue-chip index traded in a range between 11,940 and 12,181.

The SPDR S&P 500 ETF (NYSE: SPY) lost 1.42% to $124.24. Volume was below average with around 206 million SPY shares trading hands compared to a 3-month daily average of 262 million.

The PowerShares QQQ Trust ETF (NASDAQ: QQQ), which tracks the performance of the Nasdaq 100, fell 1.12% to $56.38. Volume was also light in the Q's with just 54 million shares trading hands compared to a 3-month daily average of 71 million.

Crude oil followed stocks lower on the session. At last check, NYMEX crude futures had lost 1.39% to $98.03 while ICE Brent contracts were down 1.22% to $107.30. The United States Oil Fund ETF (NYSE: USO) shed 1.61% to $37.88 on the New York Stocks Exchange.

Gold also had a bad day. COMEX gold futures were trading down 2.69% to $1,670.70 at last check. The SPDR Gold Trust ETF lost 2.66% to $161.97 while COMEX silver futures registered a decline of 2.68% and were last trading at $31.39.

Treasuries were in demand on the day as investors moved out of riskier assets. The iShares Barclays 20+ Year Treasury Bond ETF (NYSE: TLT) added 1.10% to $118.01. The yield on the 10-Year Note fell 4.7 basis points to 2.01%.

The U.S. Dollar rallied sharply amid the risk off atmosphere. The PowerShares DB US Dollar Index Bullish ETF (NYSE: UUP), which tracks the performance of the greenback versus a basket of foreign currencies, jumped 1.04% to $22.35. The closely watched EUR/USD pair was last trading at $1.3187, a decline of 1.18%.

Posted-In: Bonds Broad U.S. Equity ETFs Futures Commodities Currency ETFs Forex Intraday Update Markets


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