Airlines, Brokerages Finally Buck Downard Trend
A few sectors were able to buck the downward trend on Friday, most notably airlines and brokerages, although few others were spared selling.
US Airways (U) was up 2.3% to $4.55. Continental (CAL) rose 5% to $14.66, and Delta Air Lines (DAL) gained 3% to $22.47. UAL (UAL), the holding company for United Airlines, traded fell 0.6% to $17.13, and Southwest (LUV) rose 6% to $13.60.
But the news wasn't all good. Northwest (NWAC) was falling 5% to $10.45 following news that the carrier would cut 10,000 jobs, or 25% of its workforce, and reduce service by 20%. AMR (AMR), the parent of American Airlines and TWA, was down 3% to $17.90. The company, which earlier this week set plans to cut jobs, detailed that among those let go would be 386 pilots from American Airlines and 120 from TWA. The entire sector has been pounded this week as concerns mount about cash burn rates and evaporating demand.
Technology stocks, which have generally sold off this week, were still reeling. Computer maker Dell (DELL) dropped 4.8% to $16.63, while Oracle (ORCL) shed 5.8% to $10.76. Sun Microsystems (SUNW) was down 6% to $7.96, and Cisco (CSCO) sank 6.1% to $12.09.Microsoft (MSFT) slipped 2%, and JDS Uniphase (JDSU), fell 6.3%. Intel (INTC) was off 6.6%, while Texas Instruments (TXN) gained 1.3%.
BrokeragesBrokerage stocks were mostly up Friday after a brutal week. Morgan Stanley (MWD) rose 6.5% to $40.08, and Merrill Lynch (MER) was up 4.5% to $37.65. Lehman Brothers (LEH) gained 1.8%, and Goldman Sachs (GS) rose 3%. Charles Schwab (SCH) gained 6.3% to $9.50.
EnergyEnergy companies were mixed, with most hovering around the flatline. However, Royal Dutch Petroleum (RD) was off 1.8% to $44, while Halliburton (HAL) gained 4.7% to $22.58.
Basic MaterialsBasic materials stocks were generally off between 1% and 2%, but chemical company Hercules (HPC) shed 5.6% to $6.95, and Allegheny Technologies (ATI) lost 9% to $13.20. Steelmaker Nucor (NUE) was up 3% to $35.54.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV