What’s Chipping Away At Technology ETFs?
By Tom Lydon on January 8, 2009 | More Posts By Tom Lydon | Author's WebsiteIntel Corp. (INTC), the world’s largest chipmaker, has lowered their fourth quarter outlook and dampened hopes within the technology sector and related exchange traded funds (ETFs).
The corporation said Wednesday that it would miss its revenue projection by about $500 million, a sign that PC makers and buyers are being more tightfisted than it seemed only two months ago, reports the Associated Press. The Santa Clara, CA-based company reports revenue is down 23% form one year ago.
This is the second revision that the company has made for their fourth-quarter earnings, indicating how deeply and sharply the economic slowdown has dug into the semiconductor industry.
- iShares Dow Jones US Technology (IYW): down 10.4% for three months; Microsoft (MSFT) 12.5%; IBM (IBM) 9.1%; Intel is 6.4%. IYW is 3.6% above 50-day, but will it stick in light of the recent news?
Other negative indicators within the technology industry include:
- Microsoft is rumored to be downscaling its workforce soon, reports Tom Magrino at GameSpot.
- Microsoft is also rumoed to be downsizing contract employees, and eliminate positions, as well.
- Internet browser business from Microsoft down 68% in December.
- IBM, the largest technology employer, might cut thousands of jobs this month, reports Katie Hoffman for Bloomberg.
- IBM may post a 1.6% drop in sales in the fourth quarter, according analysts.
Posted in Categories: Contributor, ETFs, External Research, Stocks, Technology, USA.
A Clear Picture On The US Debt Situation
Understanding Leveraged ETFs
Hitachi Expanding Hybrid Cap
Your Summer Housing Market Update
GBP/USD Breaks Trendline Support Giving A Potential Bearish Clue
Bay Street Stocks Rise Slightly, Finish Week Lower - Canadian Commentary - 1 day ago
Mining Stocks Lead TSX Mildly Higher - Canadian Commentary - 1 day ago
European Markets Fall On Weak Eurozone Retail Sales Data, Miners - European Commentary - 1 day ago
Turkey June Consumer Price Inflation Up, Producer Prices Drop - 1 day ago
Toronto Stocks Move Slightly Higher Amid Light Trading - Canadian Commentary - 1 day ago



