The Nasdaq stumbled in the morning, dragged down by Hewlett-Packard, Dell, Tibco and Manugistics, while better same-store sales from Wal-Mart kept the Dow and S&P firm. Late in the session Oracle confirmed fourth-quarter earnings per share guidance, which sparked a late tech rally.
Patient Fedspeak from Greenspan Tuesday and the Bank of Japan's moves to recycle its dollars helped the front-end, with the two-year note and 30-year bond spread widening one basis point to +251 basis points. The September bond closed down about a half point at 100-27. Oil prices dipped and recovered after a large crude build reported on both API and DoE data, while gold tumbled $6 to $320.50/oz on profit-taking, with the two weighing on the CRB.
Dec euro$ followed the twists and turns on Wall Street, with CME dealers seeing little reason to sell below 97.11 after light profit-taking from 97.20. The ECB, MPC and Riksbank all make policy decisions Thursday, which could constrain activity Wednesday night.