Equities
Asian markets ended mostly lower after investors got their first
chance to react to Friday's turmoil in Egypt. The Nikkei fell 1.2% to
10238, the Hang Seng dropped .7%, and the Kospi slumped 1.8%. China's
Shanghai Composite escaped the downdraft, rising 1.4%.
European markets ended slightly lower, with the FTSE slipping .3% and
the DAX down .4%. Oil and gas shares rallied as Brent crude crossed
the $100 mark.
Following Friday's steep decline, US markets rose on Monday. The Dow
ticked up 68 points to 11892, and the S&P 500 rallied .8%.
Dow Rises as Market Calms
Borders shares sank 14% on news that it may file for Chapter 11 bankruptcy protection.
Treasuries and Commodities
Treasuries declined as the market rose. 10-year notes ended down
14/32 to yield 3.37%, and 30-year notes declined 24/32 to yield 4.57%.
Energy commodities continued to rise as the situation in Egypt
remains uncertain. Crude oil rose 2.56 to 91.90, and Brent crude broke
past 100. Gasoline futures rose 1% and natural gas rallied 2.4%.
Metals ended mixed, as gold slipped 9.10 to 1331.60, while copper rallied 1.7% to 4.448.
Currencies
The dollar was mostly lower against major currencies. The Pound
rallied 1% to 1.6018, followed by the Euro which rose .6% to 1.3691.
The Canadian dollar was flat at 1.0012 and the Swiss Franc slipped .2%
to .9441.
Economic Outlook
Chicago PMI rose more than expected, and personal spending rose .7%, more than the .5% expected by analysts.
Tuesday's reports include Auto Sales, ISM Manufacturing Index, and Construction Spending.
Earnings are scheduled for BP, Pfizer, Broadcom and Electronic Arts.