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
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Comerica 'Best Positioned' for Rate Rise: Financial Winner

NEW YORK ( TheStreet) -- Comerica (CMA - Get Report) was the winner among major U.S. banks on Friday, with shares rising 2% to close at $42.57.

The broad indices ended lower, even though good economic news continued to flow.

The Census Bureau said housing starts during July rose significantly to an annual rate of 896,000 from an upwardly revised 846,000 in June. Building permits increased to an annualized pace of 943,000 in July from an upwardly revised 918,000 in June.

Some homebuilder stocks were strong on the news, with PulteGroup (PHM - Get Report) rising over 2% to close at $16.28, while Lennar (LEN - Get Report) was up 2% to close at $33.77.

The Department of Labor reported that non-farm business productivity in the U.S. rose by an annualized rate of 0.9% during the second quarter, after slipping by 1.7% the previous quarter. The agency said the productivity recovery during the second quarter reflected annualized "increases of 2.6 percent in output and 1.7 percent in hours worked."

The productivity figures followed Thursday's report from the Labor Department that first-time unemployment claims for the week ended Aug. 10 declined to 320,000 from 335,000 the previous week, and had dropped to their lowest level since late 2007.

Retail stocks continued to hold the market back. Nordstrom (JWN - Get Report) was down 5% to close at $56.43, after the retailer late on Thursday lowered its full-year earnings and revenue guidance.

Investors also continue to worry about an expected reduction in bond buying by Federal Reserve, which has been expanding its balance sheet through net monthly purchases of $40 billion in long-term agency mortgage-backed securities and $45 billion in long-term U.S. Treasury bonds since last September.

In the firm's morning note, Deutsche Bank's research team said "Interest rates are going to continue to trend higher because the economy, in particular the labor market, is improving -- at least relative to what was the case when the Fed embarked on QE3 last September."

The market yield on 10-year U.S. Treasury Bonds was up six basis points Friday afternoon to 2.83%. The 10-year yield has risen from 1.70% at the end of April, as investors have anticipated a tapering of Fed bond purchases.

1 of 3

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
CMA $45.78 0.00%
JWN $80.43 0.00%
LEN $50.21 0.00%
PHM $22.56 0.00%
AAPL $128.46 0.00%

Markets

DOW 18,132.70 -81.72 -0.45%
S&P 500 2,104.50 -6.24 -0.30%
NASDAQ 4,963.5270 -24.3630 -0.49%

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