Over the last week, both major financials and techs sold off substantially, another sign that one major sector is doing nothing to offset the other. Taken in tandem with GE’s (NYSE: GE) bad news it raises the question of whether there is any place for the market may strengthen.
During the last five trading days Citigroup NYSE: C) fell 3%, Bank of America (NYSE: BAC) was off 6.3%, Wells Fargo (NYSE: WFC) dropped 9.6%, and JP Morgan (NYSE: JPM) sold off 6.7%. Lehman (NYSE: LEH), which was supposed to strengthen after raising new capital, fell off 9.5%.
In the tech arena, Intel (NASDAQ: INTC) sold off 2.9%, Cisco (NASDAQ: CSCO) fell 4.1%, Microsoft (NASDAQ: MSFT) was down 3%. Oracle (NASDAQ: ORCL) dropped 2.5%, and Dell (NASDAQ: DELL) ran off 5.3%. Smartphone competitors Apple (NASDAQ: AAPL) and RIM (NASDAQ: RIMM) both dropped with the iPhone maker down 3.9% and the Blackberry firm fell 3.6%.
Douglas A. McIntyre