This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Market Preview: A Glimmer of Hope

NEW YORK ( TheStreet) -- It might be cynical to call Monday's market action a fool's rally but even if the so-called special purpose vehicle for Europe that's been mentioned does surface, it's debatable if that's really enough to put the region on firm footing.

After last week's decimation in the major U.S. equity indices, a bounce off oversold near-term conditions was expected, and short-covering and window-dressing ahead of the quarter's end were also likely factors in the surge.

So while the 2%-plus bounce to start the week is nice, investors will be looking for concrete progress on Greece before pushing stocks much higher. Right now the headlines are little more than a glimmer of hope.

A clear sign could show up on Tuesday as the Greek parliament is set to vote on a property tax resolution that's required for the struggling country to receive its next installment of funds. Passage is by no means a sure thing, and the political ramifications for Greece could be wide-ranging if it fails as this would indicate a rift in the ruling Socialist party that bodes poorly for similar votes in the coming weeks.

One anomaly of Monday's rally was the lack of participation by Apple (AAPL - Get Report), which was dogged by an analyst report that said it's cut orders to suppliers of parts for its iPad tablets. The stock dipped as low as $391.30 -- a decline of nearly 3% -- before climbing back to close down just 0.3% at $403.17.

The company didn't comment on the news, and other analysts actually had positive things to say on Monday, including Canaccord Genuity, which reiterated a buy rating on the stock with a 12-month price target of $545, saying recent channel checks had found Apple stores in Asia were full of customers. The firm's description of the opening of a new location in Shanghai -- Apple's largest store in Asia -- was fairly breathless.

"The impressive four-story store is located at the head of the very popular Nanjing shopping district in Shanghai, and the large space was able to handle the thousands of people shopping for Apple products," Canaccord said. "Apple's popularity in China continues to grow, and we anticipate continued strong sales for Apple as it grows its APAC region market share." Expect a few of Apple's many bulls to weigh in tomorrow on the iPad issue.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
WAG $81.65 2.05%
AM $24.31 0.00%
ACN $93.94 0.00%
AAPL $123.25 0.00%
KEYW $7.73 0.00%

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs