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Zacks #1 Stocks on the Move 05/23/2013

Company Name Symbol %Change
ALLIANCE FIB AFOP
5.21%
CYNOSURE INC CYNO
4.42%
DAWSON GEOPH DWSN
4.33%
MARRIOTT VAC VAC
3.27%
BLOOMIN' BLMN
2.93%
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Day 2: Stocks Press Pause

Earnings were a notch better Tuesday morning, but not good enough to boost stocks after the long rally of the past month. After hours it was mostly somber reports until Apple took everyone's breath away with a 38% earnings beat. Shares rocketed 7%+ on the news (yet are still worth $600+ in my estimation).

Looking across the pond to Europe we see more scare tactics from the IMF to get the European debt crisis more clearly contained. Today's statement was that a true debt disaster in Europe would trim worldwide economic growth by a full 2%. The underlying message was "Non-European nations please send us money to build a bigger firewall around Europe or your economy will suffer!" Too early to say if that petition will pay off.

Today the Fed takes center stage. Some are saying that QE3 is on the way. I don't see how they can do that with GDP growth up in the 3% range. However, they may tip their hand that QE3 is at the ready if needed.

Will the good cheer from Apple's report spread to other stocks on Wednesday or will it be an isolated event leading to a 3rd day stuck on pause? We'll know the answer soon enough.

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Best,

Steve Reitmeister
Executive VP, Zacks Investment Research

 

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