US stocks finished near their worst levels of the session, and closed lower for a fourth consecutive day. Today's sell off pushed all three of the major averages to their lowest levels since March 23. Selling was paced by a 1.1% drop in both the S&P and Nasdaq while the Dow outperformed, slipping 0.5%.
*Financials continue to underperform the broader market* as today's 2.0% slide pushed the S&P 500 Financial Index to its lowest level since early December. Citigroup (C 38.07, -1.78) was the biggest decliner amongst heavyweights, losing 4.5%. As a whole the financial group as seen under *US leading bank index (KBW Bank Index) again slumped -2,034%*. (see Chart 1) On the other hand, the global coal industry as represented by *NASDAQ OMX Global Coal Index (^QCOL) only dropped -0,85%* after counting declining US coal companies last night. (see Chart 2). NASDAQ OMX Global Coal Index* *does not only represent US Dow Jones-listed coal producers (^DJUSCL), but also include greater playing field of international coal producers from 10 different countries, and consists of 29 companies. Indonesia play of coal producer and related services companies under ASEAN inflation strategy is still intact as Morgan Stanley and Goldman Sachs confirmed, with priority of 'undervalued stocks'. Chart 1: (US Banking Index) [image: KBW Bank Index (June 6).png] Chart 2: (NASDAQ OMX Global Coal Index, June 6)* * [image: Nasdaq OMX Global Coal (June 6).png] '+' On Thu, Jun 2, 2011 at 5:54 AM, positif01 <[email protected]> wrote: > The major market averages finished near their worst levels of the session, > with all three losing close to 2.3%. > > *Financial shares lagged the broader market, and were the worst performing > sector* within the S&P 500. As a whole the group *lost 3.5%*, *with US > leading bank index (KBW Bank Index) slumped -4,11%*. (see attached chart > below) > > This is quite contrast to the coal industry, where *NASDAQ OMX Global Coal > Index (^QCOL)*, which does not only represent US coal companies (^DJUSCL), > but also international companies from 10 different countries, and consists > of 29 worldwide coal producer companies, *only dropped -0,62%* after > counting declining US coal companies this morning. (see attached chart > below) > > What will possibly happen in Indonesia when market opens Friday? Well, the > most likely you do is to pray even though it will not help you at all. And, > then you will soon realize what we have reminded over the time the meaning > of "overvalued" or "expensive" with your "everybody favorite stock pool". > The other news that may add up to the panic is that your Central Bank > Governor, Darmin Nasution, has made a very honest admission on what foreign > investors has long reminded what your government should do, and they did not > do it when everything was still beautifully colorful. All that said, it is > at the end what Morgan Stanley said as we released last week, and no body > published because it is a hard evidence to accept. It is not the growth, it > is the inflation! > > And, now, no one will sorry. > > [image: US-KBW Bank Index (01june2011).png] > > [image: NASDAQ Global Coal (01june2011).png] > > [image: NASDAQ Global Coal constituents (31may2011).png] > > '+' >
<<Nasdaq OMX Global Coal (June 6).png>>
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