Friday, June 12, 2009

6/12/09 Dow Closes at 8799.26 up 28.34 up 32%

The following is brought to you by Intellivest Securities Research, Inc. The following is not intended as advertising by a broker-dealer and is not a research report.

The Dow closed today, June 12, 2009 at 8799.26, up $28.34 up 0.32%.
The current divisor for the Dow found at today's page C4 of The Wall St. Jrnl is

Today's Dow numerator is 1,164.31 up 3.75 from yesterday's Dow numerator which was 1,160.56. This is the sum of all 30 closing prices. A short cut to the Dow numerator is to multiply the closing Dow by the Divisor.

Now, if you divide the increase of 3.75 in the Dow numerator by the divisor you get $28.34, the increase in today's Dow.

The average closing price of today's Dow Jones is $38.81 up .12 from yesterday's average closing price of $38.69. The median closing price of today's Dow Jones is $35.13 up .19 from yesterday's median closing price of $34.94.

The highest closing price today again is IBM at $108.31 up from yesterday's close $109.40 up $1.05 and the lowest closing price today again is AA Alcoa at $11.99 down .23 from yesterday's close of $12.22.

The lowest volume is the same as yesterday's - MMM $61.40 at 3,187,622 shares and the highest volume was BAC Bank of America BAC $13.72 +0.75 5.78 at 445378,383 shares.

If this morning before the market opened you had purchased $100 of each of the Dow 30 shares (assuming you could buy fractional shares and assuming no transaction costs) and sold at the close you would have made $374 ($116,430 - $116,056)

Symb/Last/Change/% Change/Vol./Market

T $25.01 +0.22 0.89% 26,264,067 NYSE
AA $11.99 -0.23 1.88% 35,588,780 NYSE
AXP $25.16 -0.47 1.83% 14,659,068 NYSE
BAC $13.72 +0.75 5.78% 445,367,383 NYSE
BA $51.44 +0.78 1.54% 5,402,148 NYSE
CAT $37.73 +0.12 0.32% 8,479,430 NYSE
CVX $72.67 +0.77 1.07% 13,788,365 NYSE
CSCO $19.91 -0.19 0.95% 41,226,136 NASDAQ-GS
KO $48.89 +0.31 0.64% 8,569,874 NYSE
DIS $25.06 -0.17 0.67% 7,254,404 NYSE
DD $27 0.11 -0.41% 7,003,720 NYSE
XOM $73.78 -0.27 0.36% 21,435,516 NYSE
GE $13.51 +0.05 0.37% 57,213,172 NYSE
HPQ $37.76 +0.53 1.42% 13,410,607 NYSE
HD $24.15 -0.08 0.33% 18,192,099 NYSE
INTC $16.31 -0.04 0.24% 47,462,832 NASDAQ-GS
IBM $108.21 -1.19 1.09% 7,182,053 NYSE
JPM $35.13 +0.19 0.54% 41,038,497 NYSE
JNJ $56.06 +0.01 0.02% 11,814,290 NYSE
KFT $25.94 -0.01 0.04% 6,535,240 NYSE
MCD $58.36 +0.69 1.2% 7,010,187 NYSE
MRK $26.08 -0.11 0.42% 29,666,004 NYSE
MSFT $23.33 +0.50 2.19% 50,732,617 NASDAQ-GS
PFE $14.76 +0.13 0.89% 74,038,589 NYSE
PG $52.55 +0.54 1.04% 10,294,179 NYSE
MMM $61 +0.42 0.69% 3,187,622 NYSE
TRV $43.2 -0.37 0.85% 3,599,448 NYSE
UTX $55.84 +0.29 0.52% 3,568,905 NYSE
VZ $29.92 +0.17 0.57% 22,846,961 NYSE
WMT $49.84 +0.52 1.05% 15,284,555 NYSE

A read of today's 6/12/09 print editions of: Wall Street Journal, New York Times, USA Today, Investor's Business Daily, Financial Times and Atlanta Journal Constitution yields the following stories about Dow Jones 30 component companies:

The biggest story was that Bank of America BAC's CEO Ken Lewis got grilled by Congress yesterday and admitted that he was pressured by Fed. Res. Bernanke, former Treas. Sec'y Paulson and Chief Economic Advisor to Obama, Lawrence Summers, to keep quiet to BAC's shareholders about Merrill Lynch's losses. This story ran today at P.1 (related story at p.17) of Fin. Times; p. C1 of WSJrn; p. B1 of NYT; p. A14 of AJC; p. B7 USA Today; p. A1 of Investors Bus. Daily. Also a separate story appears at WSJ p. C1 about how the Obama team is being drawn into the mess because of pressuring by Obama insiders.

BAC is also in the news because of its ownership interest in BlackRock which announced yesterday it had agreed to buy Barclays Global Investors from the British banking giant Barclays for $13.5 billion. This story is at p. B3 of NYT; p. 17 of Fin. Times; p. C1 of WSJ; and p. 1B USA Today. WSJ at p. C1 mentioned BAC led the Dow up yesterday with a rise of 8.3% in its stock price. A related story at FT p. 17 said BlackRock's purchase of Barclays Global Investors will unleash a raft of similar deals. Also at p. 22 of WSJ, it says BAC's stock was upgraded by analysts at Keefe, Bruyette & Woods to outperform and Morgan Stanley raised their EPS estimates for BAC.

XOM Exxon-Mobil was in the news because of its switch decision to now join TransCanada to build a 1,700 mile natural gas pipeline from Alaska that would begin operations in 2018 and have a daily capacity of six billion cubic feet of natural gas. This story ran at p. B7 of NYTimes; p. B1 of WSJ & AJC p. A14. P. B9 also mentions XOM's and Chevron's CVX stock prices moving higher yesterday because of rising oil prices. A similar story is at p. B8 at "Market Gauges" saying XOM was a top five performer over the last year in the energy sector being down only -16.4 in its stock price.

MSFT Microsoft made news because it said Thursday it will ship its Windows 7 operating software in Europe without its Internet Explorer Web browser to appease Economic Union Commission regulators. This is at p. 13 of Fin. Times that also says the EU regulators are considering forcing MSFT to have prompts for users of their operating systems to be able to use competitors' browser. Also at B7 of FT there is a story that says MSFT's rivals are looking for a free ride. IBD's story on MSFT is at p. A2, USA runs it at p. B1 and WSJ's story about MSFT shipping Windows Operating system without Internet Explorer in Europe is at p. B7. Also, MSFT was mentioned at IBD p. A4 as possibly losing its security chief, Scott Charney, to Obama as Obama's cybercrime czar although Charney is quoted as saying he's not interested.

BA Boeing lowered its 20 forecast for the commercial airplane market citing the recession, declining air traffic and fuel prices. Last year Boeing said it expected a market for 29,400 aircraft over the next 20 years valued at $3.2 trillion but now they say there will be only 29,000 planes. This story ran at WSJ B1; USA Today p. 5B; and AJC p. A12. USA Today's Markets column at p. 5B said BA fell 1.64 to 50.66 as a result of this forecast revision.

KO Coke is mentioned at p. A2 as causing the shares of Plexus to rise as a result of their partnership with KO to produce a fountain dispenser that could serve 100 different beverages. Also WSJ at p. B8 said Venezuela is banning Coke Zero claiming health hazards.