CBOE Holdings Gets A Win, Dendreon Dancing

July 7, 2010, 4:11 am

The bulls used a lot of energy yesterday but have still managed to push the market higher after a couple of decent economic reports. The gains have been limited to the upside, and as we go to press, the bulls seem to be getting tired.

Earlier this morning, the government reported initial jobless claims fell to 454,000 last week to their lowest levels since early May. It was better than the 465,000 forecast by Wall Street and comes after a string of disappointing jobs reports.

Retail stocks are mixed after reporting decent June sales numbers. The International Council of Shopping Centers’ index of June retail sales rose 3%, but was at the low end of forecasts that ranged from 3%-4%. Many of the retailers discounting heavily in order to bring customers in and luxury items aren’t moving. Not a good sign.

As a result, the Dow is up 51 points to 10,069 while the S&P 500 is up 3 points to 1,063. The Nasdaq is struggling to stay in the green but is up by a point to 2,160.

In breaking news…The Chicago Board Options Exchange (CBOE) won a huge high-stakes legal battle to maintain its exclusive rights to trade index-based options contracts. CBOE Holdings (CBOE, $29.34, up $0.11), a recent IPO, touched a new low of $28.45 before rebounding on the good news.

Dendreon (DNDN, $29.98, up $0.89) continues to work its way higher after touching a low of $25.78 yesterday. We mentioned shares were coming under pressure and that a dip to $25 was in the cards. Little did we know it would bounce hard off these levels which represented strong support. Shares will likely stay volatile and we have the stock on our Watch List.

We will be back in the morning with another update. Subscribers, check for the updates in the Members Area.

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