Stocks Made A Late Attempt To Snap Their Recent String Of Losses Notes Hiroyuka Maruyama, CEO At Oppenheimer Lloyd In Tokyo

Hiroyuka Maruyama, Global markets CEO at Oppenheimer Lloyd in Tokyo stated Tuesday, Stocks made a late attempt to snap their recent string of losses in the face of some dour employment data, but a late slide proved that sellers are still in control. End Quote

(1888PressRelease) July 07, 2010 - Hiroyuka Maruyama, Global markets CEO at Oppenheimer Lloyd in Tokyo added, "According to official statistics, nonfarm payrolls for June fell by 125,000, which is worse than the 100,000 decline that had been expected, on average, by a sample of economists polled by Briefing.com. Private payrolls for June increased by 83,000, which is an improvement from the 33,000 private payrolls that were added last month."

Hiroyuka Maruyama, Global markets CEO at Oppenheimer Lloyd in Tokyo continued, "The headline unemployment rate eased back to 9.5% from 9.7%, but that was largely due to a contraction in the labor force."

Factory orders for May were of secondary concern. They fell 1.4%, which is sharper than the 1.0% that had been widely anticipated.

The dour data dampened expectations for relief from the stock market's recent weakness and allowed sellers to stay in control for most of the session. Their efforts took stocks as much as 1% lower, but pressure faded into the close so that stocks actually worked their way into higher ground late in the session. However, the climb failed to hold, and stocks slipped to their ninth loss of the past 10 sessions.

Given that the stock market has dropped nearly 9% during the course of the past 10 sessions, many pundits believe things are oversold in the near term. Though that may be the case, market participants haven't seen adequate data in recent sessions to reassure them that the economic recovery hasn't downshifted.

Cyclical plays saw some of the sharpest selling. As such, consumer discretionary stocks sank 1.2%, financials fell 1.1%, and industrials dropped 1.0%.

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