Tuesday, June 16, 2009

6/16 A.M. XOM Exxon must pay $507.5 million fine

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 Monday at 8612.13 down 187.13 or 2.13%

The current divisor for the Dow found at today's page C4 of The Wall St. Jrnl is
.132319125 unchanged.

Monay's Dow numerator is 1,139.53 down 24.78 from Friday's Dow numerator which was 1,164.31. 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 decrease of 24.78 in the Dow numerator by the divisor you get 187.13, the decrease in Monday's Dow.

The average closing price of Monday's Dow Jones is $37.98 down .83 from Friday's average closing price of $38.81. The median closing price of Monday's Dow Jones is $35.06 down .07 from Friday's median closing price of $35.13.

The highest closing price Monday again was IBM at $107.62 down .59 from Friday's close $108.11 and the lowest closing price today again was AA Alcoa at $11.21 down .78 from Friday's close of $11.99.

The lowest volume Monday was the same as Friday's - MMM $59.31 -1.69 2.77% at 4,088,846 shares and the highest volume was BAC Bank of America BAC $13.33 down .39 at 339,749,007 shares.

If Monday morning before the market opened you had purchased $100 of each of the Dow 30shares (assuming you could buy fractional shares and assuming no transaction costs) and sold at the close you would have lost $2,490 ($116,430 - $116,430).

A read of today's Tuesday 6/16/09 print editions of: Wall Street Journal, New York Times, USA Today, Investor's Business Daily, Financial Times and Atlanta Journal Constitution yielded the following stories about Dow Jones 30 component companies:

At page A8 of today's AJC it is reported that XOM Exxon Mobil Corp. has been ordered to pay $507.5 million in punitive damages to Alaska natives, fishermen, business owners and others harmed by the massive 1989 Exxon Valdex tanker spill, the worst oil spill in U.S. history.

At pB3 of today's WSJ is a story about how BA Boeing and Airbus are taking a break from competing for new jetliner contracts to focus on saving the orders already on their books that are threatened by the economic crsis. Also at pB7 of todays NYTimes there is an article entitled "Boeing Exec. Sees Airline Traffic Recovery in 2010" where such remarks were made by Scott Carson chief of BA's commercial jet division at the opening day of the Paris Air Show. He said that the economy has bottomed.

Also at pB3 of today's WSJ it is reported that GE General Eelctric Co. said its GE Capital division will make no-interest loans to hospitals and health-care providers that purchase GE's health-care information technology. The loans will total $100 million and will be part of a program GE calls Stimulus Simplicity.

At pB5 of WSJ MSFT's Microsoft's Zune is mentioned in an article about Virgin Media introducing an unlimited music-dowload service that will be comprable to Zune. MSFT is also the topic of a story at New York Times today p.B# about ho after a year long investigation MSFT has filed its first lawsuit over click fraud, where people manipulate clicks on a web advertisement.

At pC1 of WSJ a story on the Dow says the Dow has returned to a loss for '09 and says the decline was led by sectors that have had recents gains such as industrials, energy and other commodities and notes that AA Alcoa fell 6.5% Alcoa is considering selling one of its units according to an article in IBD at pA2 which notes AA Alcoa is expected to post its 3rd consecutive quarterly loss next month and it has already sold a wire harness and electricl distribution division.

JNJ Johnson & Johnson is mentioned in a story on WSJ pC1 about reverse converts: bonds that morph into securities when the underlying share price plunges. JNJ has issued such bonds with an 11% coupon. JNJ is also mentioned in a story at WSJ D7 that says FDA said kids shouldn't stop taking ADHD drugs just because of some reported deaths from such drugs. JNJ produces Concerta. A similar article is in todays Investor's Business Daily at pA2.

HD Home Depot is mentioned at WSJ pC10 as their stock rallying trading at 17 times expected '09 earnings even though same-store sales have declined for nearly three years as the housing slump and recession have kept shoppers away.

JPM JpMorgan is hring because they are currently advertising on WallStJobs.com according to an article about recent signs of hiring in the financial sector at WSJ D1. BAC Bank of America is mentioned as saying they plan to eliminate up to 35,000 through 2011 to avoid redunancies with Merrill Lynch.

USA Today at p2B says AT&T T may not be ready to meet the new demand for the new iPhone 3Gs that come out on Friday. The new 3G model has improved battery life, a video camera and voice-activated calling.

USAT at p4B said WMT Wal-Mart fell $1.38 yesterday to $48.46 after an analyst at Goldman Sach's downgraded them to "neutral" from "buy." and that MMM was down as was CAT to $36.12. Investor's Business Daily at pA2 says that gains seen slowing at WMT and cites the same Goldman Sach's report as saying that few near-term ctalysts could boost WMT's stock.

Symb/Last/Change/% Change/Vol./Market
T $24.63 -0.38 1.52% 31,402,340 NYSE
AA $11.21 -0.78 6.51% 36,287,125 NYSE
AXP $25.23 +0.07 0.28% 18,984,592 NYSE
BAC $13.33 -0.39 2.84% 342,714,738 NYSE
BA $49.52 -1.92 3.73% 6,219,924 NYSE

CAT $36.12 -1.61 4.27% 10,314,791 NYSE
CVX $71.08 -1.59 2.19% 13,064,355 NYSE
CSCO $19.36 -0.55 2.76% 47,067,727 NASDAQ-GS
KO $48.11 -0.78 1.6% 8,565,206 NYSE
DIS $24.25 -0.81 3.23% 7,530,400 NYSE
DD $25.79 -1.21 4.48% 9,945,972 NYSE
XOM $72.81 -0.97 1.31% 27,376,789 NYSE
GE $13.15 -0.36 2.66% 74,434,857 NYSE
HPQ $37.08 -0.68 1.8% 12,741,569 NYSE
HD $23.85 -0.30 1.24% 13,725,286 NYSE
INTC $15.98 -0.33 2.02% 59,513,264 NASDAQ-GS
IBM $107.62 -0.59 0.55% 8,376,117 NYSE
JPM $34 -1.13 3.22% 54,932,853 NYSE
JNJ $54.75 -1.31 2.34% 14,440,899 NYSE
KFT $25.26 -0.68 2.62% 9,698,871 NYSE
MCD $57.78 -0.58 0.99% 7,361,767 NYSE
MRK $24.96 -1.12 4.29% 26,732,939 NYSE
MSFT $23.42+0.09 0.39% 67,860,040 NASDAQ-GS
PFE $14.13 -0.63 4.27% 58,332,782 NYSE
PG $51.33 -1.22 2.32% 11,817,598 NYSE
MMM $59.31 -1.69 2.77% 4,092,791 NYSE
TRV $42.56 -0.64 1.48% 4,603,781 NYSE
UTX $54.72 -1.12 2.01% 5,604,247 NYSE
VZ $29.73 -0.19 0.64% 13,941,030 NYSE
WMT $48.46 -1.38 2.77% 24,310,915 NYSE