U.S. Market Averages

In the morning trading markets are trading lower. After five days of trading higher and broader averages trading near 4-year highs, investors are in the mood to take profit this morning.

Oil prices jumped higher on the worries of steady demand at this price level and hurricane forecast. The U.S. weather service is predicting 11 to 14 more tropical storms by the end of November. Oil refiners such as Valero and Tesoro are trading higher.

July retail sales show a mixed sales growth for various companies. While July is a month of inventory liquidation and least important month for retailers, large department and teenage retailers still managed to eke out gains.

The hot weather skewed the purchased to air-conditioners and refrigerators. Auto sales were driven by significant discounts but apparel sales suffered due to weather conditions.


Abercrombie & Fitch – 33% and 22%

Ross Stores – 17% and 7%

Family Dollar – 5.7% and (1.7%)

Payless ShoeSource – (3.5%) and (2.4%)

Guess? Inc – 16.6% and 5.6%

DSW Inc – 17.8% and 3.3%

Ann Taylor – 7.5% and 3.5%

Nordstorm – 5.4% and 3.6%

Chico’s - 33.5% and 14%

WalMart – 10.7% and 4.4%

Mothers Work – (4.3%) and (2.6%)

Target – 11.9% and 5.5%

Gap Inc. – Zero and (4.5%)

Economic News

In the week ending July 30, the advance figure for seasonally adjusted initial claims was 312,000, a decrease of 1,000 from the previous week's revised figure of 313,000. The 4-week moving average was 316,750, a decrease of 2,250 from the previous week's revised average of 319,000.