Stocks jumped around on either side of unchanged throughout the day and ended up settling down for the most part. The Nasdaq did manage to gain 2 points on the session, driven by strength in major technology names, but the Dow lost almost 51 points, and the S&P 500 fell by 6 points, or .42%.
The technology sector was actually the only major sector higher on the day, while financials were the worst performers. Apple Inc. (NASDAQ:AAPL) continued higher by 1.57% as more speculation about the new line of iPods fueled the stock. SanDisk Corporation (NASDAQ:SNDK) also rose by 2.09% on the day as investors cheered new product releases from the company. Novell Inc (NASDAQ:NOVL) shares surged higher by almost 8% after the company reported impressive earnings fueled by strong demand for Linux products.
The financial sector was once again the leader on the downside today as it has been so often lately. Citigroup Inc (NYSE:C) fell by 1.53% on the day, and Wachovia Corporation (NYSE:WB) shares dropped 1.15% as major bank stocks declined across the board. Investment banking firms shares were lower across the board today as well as analysts continued to cut their earnings estimates and price targets for these stocks. Goldman Sachs Group Inc (NYSE:GS) dropped by 1.35%, Morgan Stanley (NYSE:MS) fell 1.72%, and Jefferies Group Inc (NYSE:JEF) dropped 2.07%.
Several retailers were hit hard today after earnings misses from some specialty women's apparel retailers. Coldwater Creek Inc. (NASDAQ:CWTR) plunged 25.9% after its profit fell and the company offered up a dismal forecast for the 3rd quarter. Chicos FAS Inc (NYSE:CHS), another women's apparel store, saw its earnings fall as well and the stock shed 11.41%. Ann Taylor Stores (NYSE:ANN) fell by 3.38% today, likely because ANN has a large exposure to women's
apparel as well.
More broadly focused retailers didn't fare a lot better today after Sears Holdings Corporation (NYSE:SHLD) issued a dismal earnings report. SHLD shares fell by 2.6% on the day after profits fell 40% from the same quarter a year ago. Macy's Inc. (NYSE:M) shares fell by 2.59%, and Dillard's Inc (NYSE:DDS) dropped 4.83% on the day.
Traders seemed to be unable to establish even an intra-day trend today, as stocks fluctuated almost the entire day. The GDP report this morning was quite strong, but was also largely overlooked since it is a backwards looking indicator. The market is looking for indicators of how the economy is faring now, with all of the credit market problems.
Tommorrow's main course is the extremely important speech from Fed chairman Ben Bernanke. Bernanke is scheduled to speak tommorrow at an economic symposium in Jackson Hole, Wyoming. The markets will move on every word from the chairman tommorrow, and with low volume expected volatility is likely to be high going into the holiday weekend.
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