Stocks opened the day higher but as the closing bell sounded the Dow was down 11 points 25,536 on lighter trading volume. IBD still has markets in rally mode while BTS continues to hunker down and is keeping funds in US Treasury bonds. This signals that opinions regarding market dynamics are mixed with some bullish and others bearish.
The Random Lengths Framing lumber index shot higher after Canadian lumber company West Fraser announced it was going to permanently close its Chasm Lumber mill and eliminate a shift at its 100 Mile House mill. Lumber prices responded to the news by moving up from $326 to $345 per thousand board feet. Last year at this time the index was near an all-time high with a reading of $554 but recently hit a low of $319.
Technology stocks got an early boost after Boise, ID based chip maker Micron Technology reported much better than expected earnings. While revenue was down 39% from a year ago both top and bottom line results were much better than the gurus had expected. President and CEO Sanjay Mehrotra said the company is seeing signs of demand improvement and Micro continues to buy back stock and lower its capex budget a bit. The positive results announced in the call cheered the spirits of investors who sent shares of Micron and other chip stocks higher.