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Market Update

3:30PM: Indices are off their highs, but holding on to the bulk of today's 
gains with the session nearing its end... The resilience of the tech 
stocks, and the strong showing from the cyclical shares, have been the 
highlights to this point... Within the tech sector, the 
semiconductor-related stocks have been among the best performers... At the 
moment, the SOX Index is up 3.5% and is just shy of its 50-day simple 
moving average at 608... The latter has proven to be a pivotal barrier over 
the last several months...
Penetration on a closing basis bolsters the outlook for follow through 
buying interest... As a reminder, Novellus Systems (NVLS +2.00) will be 
providing its mid-quarter update after the close... NYSE Adv/Dec 1963/1084, 
Nasdaq Adv/Dec 2354/1420


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In Play�
 
3:53PM Sector Watch : Wave of profit taking seen in late trade in both 
semiconductor (SOX) and biotech (BTK) sectors. SOX failed to hold above 50 
day simple ma after minor penetration and BTK fell just shy of 200 day 
simple ma before faltering. Thus far damage has remained limited in scope. 
Fiber optic also losing ground after less impressive rally today and appear 
more vulnerable on a short term basis. 
3:31PM Earnings Calendar : Scheduled to report earnings after the close 
today are: FCEL, FNSR and ULCM. The only company expected to release 
earnings prior to the open tomorrow is PNY. 

3:12PM Stock Splits : Both BJS and DGX previously announced 2-for-1 stock 
splits and will begin trading on a split adjusted basis tomorrow.
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