Deflation

Daily Market Commentary for December 3, 2008 from Millennium-Traders.Com

President Federal Reserve Bank of Richmond, Jeffrey M. Lacker: deflation risk 'quite minor now'. (read more)

Economic data released today:

Automatic Data Processing / Macroeconomic Advisers (ADP) Employment Report:
ADP sees November U.S. Private Sector Jobs fell by 250,000.

Productivity and Costs:
U.S. 3Q Non-Farm Productivity Revised to an increase by 1.3 percentage from an increase by 1.1 percent; U.S. 3Q Non-Farm Productivity Consensus or an increase by 1.0 percent; U.S. 3Q Unit Labor Costs revised to an increase by 2.8% from an increase by 3.6 percent; U.S. 3Q Unit Labor Costs Consensus increased by 3.1 percent.

Institute for Supply Management (ISM) Non-Manufacturing Survey:
U.S. ISM November Non-Manufacturing Composite Index came in at 37.3 versus October reading of 44.4; U.S. ISM November Non-Manufacturing Business Index came in at 33.0 versus October reading of 44.2; U.S. ISM November Non-Manufacturing Prices Index came in at 36.6 versus October reading of 53.4; U.S. ISM November Non-Manufacturing Employment Index came in at 31.3 versus October reading of 41.5; U.S. ISM November Non-Manufacturing New Orders Index came in at 35.4 versus October reading of 44.0; U.S. ISM November Non-Manufacturing Composite Index expected to come in at 42.0.

Energy Information Administration (EIA) Petroleum Status Report:
U.S. Crude Oil Stockpiles fell 0.456 Million Barrels at 320.372 Million Barrels; U.S. Gasoline Stockpiles fell 1.534 Million Barrels at 198.942 Million Barrels; U.S. Distillate Stockpiles fell 1.721 Million Barrels at 124.973 Million Barrels; U.S. Refineries ran at 84.3 percent versus 86.2 percent week ago; U.S. Crude Oil Stockpiles fell 456,000 Barrels in the week compared to expectations of an increase by 1.4 Million Barrels; U.S. Gasoline Stockpiles fell 1.5 Million Barrels in the week compared to expectations of an increase by 700,000 Barrels; U.S. Distillate Stockpiles fell by 1.7 Million Barrels in the week compared to expectations of unchanged; U.S. Refineries ran at 84.3 percent compared to expectations of an increase by 0.2 percent at 86.4 percent.

Fed Beige Book:
Economic activity weaker across all districts; most districts reported weak housing markets; housing market activity low but stable; commercial real estate markets declined; lending contracted, standards tightened; labor markets are weakening; mining, energy production softening; price pressures easing; manufacturing declined in most districts; consumer spending weakening; retail sales down; vehicle sales down significantly.

At the NYSE closing bell on the New York Stock Exchange, here is how the major world indices and major U.S. stock indices ended the trading session on the world markets as well as the emerging markets including the stock market closing bell price:
DOW (Dow Jones Industrial Average) triple digit gain of 172.60 points to end the trading session at 8,591.69
NYSE (New York Stock Exchange) gain of 96.60 points to end the trading session at 5,405.55
National Association of Securities Dealers Automated Quotations (NASDAQ) gain of 42.58 points to end the trading session at 1,492.38
S&P 500 (SPX) gain of 21.93 points to end the trading session at 870.71
FTSE All-World Index data excluding U.S. (AW01UK) gain of 1.91 points to end the trading session at 138.72
FTSE RAFI 1000 triple digit gain of 102.42 points to end the trading session at 3,354.87
BEL 20 (BEL20) gain of 33.83 points to end the trading session at 1,848.01
CAC 40 (CAC40) gain of 13.75 points to end the trading session at 3,166.65
FTSE100 (UKX100) gain of 47.10 points to end the trading session at 4,169.96
NIKKEI 225 (NIK/O) triple digit gain of 140.41 points to end the trading session at 8,004.10

New York Stock Exchange (NYSE) stock market indicators for the trading session today:
Advanced stock prices 2,055, declined stock prices 1,123; unchanged stock prices 71; stock prices hitting new highs 10 and stock prices hitting new lows 59. NYSE quotes for volatile stocks and market trends, as well as stock quotes, stock prices and stock symbols of Day Trading Stock Picks on the New York Stock Exchange stock market for Day Trading online and active Day Trading for those who are or would like to be Day Trading for a living: Freeport-McMoran Copper & Gold (NYSE: FCX) stock price shed 3.77 points on the trading session, high on the trading session $18.87, low on the trading session $17.01 with a closing stock price at $18.05; ConocoPhillips Incorporated (NYSE: COP) stock price gained 0.24 points on the trading session, high on the trading session $50.10, low on the trading session $46.75 with a closing stock price at $49.76; Flowers Foods Incorporated (NYSE: FLO) stock price gained 0.90 points on the trading session, high on the trading session $24.84, low on the trading session $23.00 with a closing stock price at $24.22.

National Association of Securities Dealers Automated Quotations (NASDAQ) stock market indicators for the trading session today:
Advanced stock prices 1,716; declined stock prices 1,126; unchanged stock prices 153; stock prices hitting new highs 8 and stock prices hitting new lows 100. NASDAQ quotes, volatile stocks and market trends, as well as stock quotes, stock prices and stock symbols of Day Trading Stock Picks on the NASDAQ stock market for Day Trading online and active Day Trading for those who are or would like to be Day Trading for a living: Research In Motion Limited (NasdaqGS: RIMM) stock price gained 1.53 points on the trading session, high on the trading session $39.86, low on the trading session $35.09 with a closing stock price at $38.85; InterDigital Incorporated (NasdaqGS: IDCC) stock price shed 1.08 points on the trading session, high on the trading session $25.37, low on the trading session $23.02 with a closing stock price at $24.22; Bed Bath & Beyond Incorporated (NasdaqGS: BBBY) stock price gained 1.68 points on the trading session, high on the trading session $22.57, low on the trading session $18.60 with a closing stock price at $21.35; Baidu.com Incorporated (NasdaqGS: BIDU) stock price shed 4.90 points on the trading session, high on the trading session $121.69, low on the trading session $107.10 with a closing stock price at $113.67.

Market trends on the American Stock Exchange (AMEX) and stock market indicators for the trading session today:
Advanced stock prices 294; declined stock prices 335; unchanged stock prices 65; stock prices hitting new highs 4and stock prices hitting new lows 20.

Chicago Board of Trade Futures Market activity for the day, at time of this posting for December 2008 Contracts:
E-mini S&P 500 (ES): End of trading session price 867.00; Change for the trading session 18.00
E-mini NASDAQ-100 (NQ): End of trading session price 1,157.75; Change for the trading session 24.75
E-mini DOW $5 (YM): End of trading session price 8,571; Change for the trading session 139
E-mini S&P MidCap 400 (MF): End of trading session price 490.20; Change for the trading session 9.90
E-mini S&P Small Cap 600 (HS): End of trading session price 244.20; Change for the trading session 6.90

World Currencies for the Forex Market, for Forex Trading by active Forex Traders, at time of this posting:
Euro 0.7869 to U.S. Dollars 1.2708
Japanese Yen 93.40 to U.S. Dollars 0.0107
British Pound 0.6772 to U.S. Dollars 1.4767
Canadian Dollar 1.2539 to U.S. Dollars 0.7975
Swiss Franc 1.210 to U.S. Dollars 0.8264

COMMODITY MARKETS:

Energy Sector - Nymex:
Light Crude (January 09) shed $0.17 on the trading session for a closing price of $46.79 per barrel ($US per barrel)
Heating Oil (January 09) no change on the trading session for a closing price of $1.59 a gallon ($US per gallon)
Natural Gas (January 09) shed $0.08 on the trading session for a closing price of $6.35 per million BTU ($US per mmbtu.)
Unleaded Gas (December 08) shed $0.01 on the trading session for a closing price of $1.05 a gallon ($US per gallon)

Metals Markets - Comex:
Gold (February 09) shed $12.80 on the trading session for a closing price of $770.50 ($US per Troy ounce)
Silver (March 09) shed $0.03 on the trading session for a closing price of $9.59 ($US per Troy ounce)
Platinum (January 09) shed $2.20 on the trading session for a closing price of $805.10 ($US per Troy ounce)
Copper (March 09) shed $0.05 on the trading session for a closing price of $1.55 ($US per pound)

Livestock and Meat Markets - Chicago Mercantile Exchange (cents per lb.):
Lean Hogs (October 09) shed 1.10 on the trading session for a closing price of 64.38
Pork Bellies (February 09) shed 0.13 on the trading session for a closing price of 92.00
Live Cattle (February 09) shed 0.88 on the trading session for a closing price of 84.08
Feeder Cattle (January 09) shed 0.65 on the trading session for a closing price of 88.35

Other Commodities - Chicago Board of Trade (cents per bushel):
Corn (March 09) no change on the trading session for a closing price of 348.00
Soybeans (January 09) gained 3.00 on the trading session for a closing price of 830.50

BOND MARKET:
2 year Bond closing price 100 22/32, no change, Yield 0.88, Yield change -0.01
5 year Bond closing price of 101 27/32, +4/32, Yield 1.61, Yield change -0.02
10 year Bond closing price 109 12/32, + 1/32, Yield 2.67, Yield change 0.00
30 year Bond closing price 125 6/32, -6/32, Yield 3.17, Yield change +0.01

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