Barring the volatile food and energy components... : LUSENET : TB2K spinoff uncensored : One Thread


Thursday April 13, 8:58 am Eastern Time

Wall Street seen opening up, PPI helps

By Ian Simpson

NEW YORK, April 13 (Reuters) - U.S. stocks were seen opening higher on Wednesday amid stable core inflation, upbeat earnings and bargain-hunting in the Nasdaq's bear market.

The Labour Department reported the March Producer Price Index inflation rose 1 percent. Barring the volatile food and energy components, the gauge rose 0.1 percent.

Economists polled by Reuters had expected a rise of 0.5 percent in the overall rate and a 0.1 hike in the core rate.

Analysts said the wholesale inflation number left unchanged Wall Street's view that the Federal Reserve would raise interest rates a quarter percentage point next month.

``I would be concentrating on the core rate, which came in in line with estimates,'' said Barry Hyman, market strategist for Ehrenkrantz, King Nussbaum Inc.

``The market needs a boost. This could help the market on the opening.''

The Standard & Poor's 500 futures index for June was up eight points at 1484.7.

Analysts said the focus would remain on pummeled computer, Internet and telecommunications issues.

The technology-laden Nasdaq composite index (^IXIC - news) fell 286.27 points, or 7.06 percent, to 3,769.63 on Wednesday, and is down 25.3 percent from its record high on March 10.

A 20 percent fall from a peak is considered a bear market.

The Dow Jones industrial average (^DJI - news) closed off 161.95 points, or 1.43 percent, at 11,125.13.

Technology issues could get a lift from computer chip maker Advanced Micro Devices Inc. (NYSE:AMD - news). The company reported first-quarter earnings that blew past Wall Street's recently raised estimates.

In pre-opening trade, AMD shares were up at 76 on the Instinet electronic broker system from a 63-1/4 Wednesday close.

General Motors Corp. (NYSE:GM - news) reported first-quarter profits of $1.78 billion, racing past analysts' forecasts, thanks to record U.S. sales of cars and light trucks.

The U.S. Treasury 30-year bond was off 21/32 and was yielding 5.86 percent.

-- Flash (
Flash@flash.hq), April 13, 2000


Sorry about the fumbled link screwing up the text.

I wonder what the numbers would be like WITH the "volatile food and energy sectors." I guess the guys that write these things don't have to buy food and energy for themselves and their families!

Typical KlintonSpeak.

-- Flash (flash@flash.hq), April 13, 2000.

We have developed a new index with which to determine inflation or lack therof.

We call this new index the paperclip price index. Looking at the chart one can clearly see the price of paperclips per 1,000 lot has remained a flat line over the last 20 years.

Next chart please.

Now this chart represents data gathered by the cenus report on the averge useage of paperclips by the American people. As you can clearly see there is a dramatic rise in the useage of paperclips while the price has shown no movement.

bodda boom bodda bing no inflation.

This of course doesn't take into account the lifespan of paperclips.

Or paperclips that have been bent, lost, swept, filed, or inserted into the body then discarded.

-- Johnny (, April 13, 2000.

After Wednesday's and Thursday's marked perfromance, it's beginning to look like someone else isn't buying the Klintoon Admin's spin either.

-- Flash (flash@flash.hq), April 13, 2000.

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