US Stock Market Wrap (Nov. 21, 2006)

DJIA    12,321.11; Up 4.57 (0.04%)
NASDAQ    2,454.84; Up 2.12 (0.09%)
S&P500    1,402.81; Up 2.31 (0.16%)
10YR-Bond    4.5780%; Down 0.017%
NYSE Volume    2,530,518,000
NASD Volume    1,644,503,000

The White House even lowered its forecasts on the economy due to the housing slump.  It forecast GDP will run 3.1% for the year, but will also be lower in 2007 and 2008 based on a slower housing market.

The talk of the day was Google (GOOG) as it finally crossed over the $500.00 mark and closed up at $509.65.  Jim Cramer on CNBC’s STOP TRADING segment said that it has to go over $500 before it can go to $600.00, and he even gave GOOG an unofficial target price that he said he wouldn’t sign his name to of $750.00 per share.

Apple (AAPL) also hit another high closing up 2.5% at $88.60 as the market believes its iPhone is now imminent.

AerCap Holdings (AER) closed at $23.02 after its 26.1M share IPO priced at $23.00.

Spirit Aerosystems (SPR) rose to $29.00 after its 52M share IPO priced at $26.00.

Infosys Technologies (INFY) closed down 3.3% at $53.44 after its 30 million share secondary priced at $53.50 per share.

Lazard (LAZ) fell 4% to $43.96after it snuck in a share sale from insiders for 12 Million shares of common stock.

Boeing (BA) rose another 2% to $91.04 after it won a $5.5 Billion order for 25 jets from Korean Air, giving a further jab to Airbus.  If you have ever been a passenger on an Airbus plane you won’t be shocked, besides that the Airbus 380 that seats a million people is quite ugly and reminscient of a retarded one-eyed dolphin.

Deere (DE) rose 6.5% to $95.27 after it beat earnings with $1.20 EPS vs $0.95e, despite soem guidance questions.

GameStop (GME) rose 3.6% to $53.00 after it met earnings estimates and gave guidance that was potentially light.  Upbeat and positive management on the conference call signalled that Wii and PS3 shortages were something they couldn’t control, but Xbox 360 sales were running well above normal.

Nordstrom (JWN) rose over 4% to $49.62 after it post earnings at $0.52 EPS vs $0.51e.

The NYSE (NYX) rose 9% to $104.60 as the company has telegraphed a formal structure with Euronext.

NASDAQ (NDAQ) rose another 1.6% to $38.32 after it looks more probable that it will its fight to acquire the London Stock Exchange.

Medtronic (MDT) rose 9% to $53.55 after beating earnings with $0.59 EPS vs $0.56e; raised to Buy at ThinkEquity, raised to Overweight at JPMorgan.

Northwest Airlines (NWACQ) rose 20% to $2.66 after Continental (CAL) said it would be open to mergers as Northwest is deemed as a veto threat if they are not taken care of first because of codeshares and because of cross ownership and licensings.  Continental (CAL) rose 4% to $44.38 on the news.

Pacific Ethanol (PEIX) traded up 5.7% to $18.50 after posting $0.07 EPS vs -$0.02e.

Tech Data (TECD) rose 4% to $41.67 after posting $0.33 EPS vs $0.25e and after it raised revenue guidance.

Trident (TRID) rose 5.7% to $22.01 after its CEO stepped down after improper options dating.

Wildan Group (WLDN) closed at $10.56 after its 2.9M share IPO priced at $10.00.

Time Warner (TWX) rose to another new 4-year high closing up 0.5% at $20.68.

Dow Chemical (DOW) fell 2.3% to $40.08 after the DJIA component was cut to Sell at Merrill Lynch.

Select Hotel names did very well today after Jefferies started at least 3 of these witha Buy rating: Starwood (HOT) rose 4% to $65.61; Hilton (HLT) 3.5% to $32.87.

Juniper Networks (JNPR) rose 4.5% to $21.42, back to its highest levels since its woes started in Januray, after its rating was raised to Overweight at JPMorgan.

Jon C. Ogg
November 21, 2006