[BRIEFING.COM] Stocks ended a choppy session of listless trading markedly lower as investors failed to build on the prior week’s gains. The major indices struggled to put together a sustainable advance for the entire session.

Last week, stocks advanced nearly 7%, but the advance came amid low trading volume. That had many wondering if participation would pick up and traders would show increased conviction now that the holidays have passed. Trading volume remained relatively low, however. Only 1.3 billion shares were traded on the NYSE.

Though participation wasn't what many expected, there were still plenty of headlines to trade around.

Pfizer (PFE 18.17, -0.10) made news when Financial Times reported the company is willing to acquire a large rival to improve its financial health. Pfizer indicated its goal is to increase revenue, which will come under pressure from generic drugs as Pfizer's patents expire. Despite the prospect of a mega-merger, the health care sector finished 0.9% lower. Health care is the second largest economic sector in the S&P 500.

The largest economic sector, technology, showed modest weakness. Apple (AAPL 94.58, +3.83) provided it leadership after chief executive, Steve Jobs, issued a statement that helped put to rest concerns regarding his health.

Financials traded as laggards for the entire session before finishing 2.5% lower. Citigroup (C 7.08, -0.02) and JPMorgan Chase (JPM 29.25, -2.10) had their estimates cut.

Energy (+1.4%) logged the best performance of the session, thanks to a 4.4% advance in crude oil futures. Oil closed near $48.40 per barrel. Crude was up 6.3% at its session high.

Retailers registered strong gains as well, though consumer spending remains challenged. Such challenges underpinned target reductions for Macy's (M 11.66, +0.68) and Target (TGT 36.14, +1.51). Meanwhile, shares of Best Buy (BBY 30.00, +0.98) and Amazon.com (AMZN 54.06, -0.30) were upgraded given their positioning in the current environment.

No doubt, though, conditions remain tough for automakers. Ford Motor Company (F 2.58, +0.12) and General Motors (GM 3.71, +0.06) reported December sales dropped 32.4% year-over-year and 31.4% year-over-year, respectively.  Ford’s results were in-line with the consensus forecast, yet GM’s weren’t as bad as feared.

Ford and GM have seen their troubles exacerbated by stiff overseas competition. Still, foreign automakers aren’t immune to the troubles of the global economy. Toyota Motor (TM 65.62, -0.75) posted a 36.7% year-over-year drop in December sales.

Consumer spending is of particular concern to economists since it accounts for nearly 70% of U.S. economic activity. Concerted efforts to stimulate spending are being taken as a result. That includes recent plans from the Federal Reserve to spur consumer lending, and now President-elect Obama is putting together $300 billion in tax cuts for individuals and businesses, according to The Wall Street Journal.

The tax cuts would likely come as part of a larger plan that would include improving infrastructure.

Total construction spending fell 0.6% in December, which isn’t as bad as the 1.4% drop that was widely expected. Still, larger drops in spending are likely for December and subsequent months.

Despite the weakness exhibited by U.S. stocks, the U.S. dollar showed strength.  The greenback was recently indicated 1.0% higher, but was up as much as 1.6% against a basket of major foreign currencies. That took the dollar index to its highest level in nearly three weeks, reflecting foreign interest in the U.S. currency, if not U.S. stocks.

[BRIEFING.COM] Stocks have pulled up a bit from their afternoon lows, but losses remain widespread.

Energy (+1.2%) is the only economic sector sporting a gain. Its advance comes after crude oil closed roughly 4.4% higher at $48.40 per barrel.  Crude rallied off of an early loss to trade just shy of $50 per barrel.

Natural gas was unable to lock in an advance of its own, however. It finished roughly 1.6% lower at $6.07 per contact. Natural gas put in highs of $6.14 per contract before pulling back.

Metals had a weak showing amid strength in the U.S. dollar. The dollar was up as much as 1.6% against a basket of major currencies, but was recently indicated 1.0% higher by the same measure.

The pullback in the dollar didn't keep gold from ending 2.5% lower at $857.80 per ounce. Still, gold finished off its lows of $843.50 per ounce. Silver ended 1.9% lower at $11.27 per ounce.

Weakness in metals hasn't undercut the CRB commodity index, which was recently indicated 1.5% higher.

[BRIEFING.COM] The major indices continue to trend downward as market participants head into the final hour of the session. 

Losses remain most severe in the Dow. Almost two-thirds of its components are showing losses.

Its relative weakness stems from industry stalwarts like General Electric (GE 16.64, -0.43) and AT&T (T 28.15, -1.28).

[BRIEFING.COM] After climbing to a gain of 0.5% the stock market has retreated back into the red. Action has been choppy since midmorning.

Oil has successfully held on to its gains this session. Oil recently climbed to a session high of $49.28 per barrel, but has since pared its gains to trade 5.3% higher at $48.80 per barrel.

Gains in crude continue to fuel the energy sector.  Energy is 1.7% higher, off its session high when it traded with a 2.9% advance.

Though the overall picture for stocks is a bit mixed this session, Treasuries are strongly out of favor, especially at the long end of the yield curve.  The 30-year Bond is down 74 ticks.  That has pushed its yield to 3.01%.

[BRIEFING.COM] The major indices have climbed to their best levels of the session. The Dow, however, has yet to make its way into the green.

General Motors (GM 3.85, +0.20) announced its December U.S. sales were down 31.4% year-over-year, which isn't as bad as the 41% drop that many were expecting. Total deliveries were up more than 43% month-over-month.

GM reported its market share remained just above 22% for the year, even though annual deliveries were down 23% year-over-year.

Automakers are trading 4.4% higher.

[BRIEFING.COM] Ford Motor Company (F 2.57, +0.11) reported its December auto sales were down 32.4% year-over-year, which is in-line with the consensus forecast. Although sales continue to slump, Ford estimated its market share increased 70 basis points to 14.6% from one year ago. This is the first time since 2001 Ford's fourth quarter market share was up from the prior year.

Despite the progress in building market share, Ford stated during its conference call that the first several months of 2009 are likely to be similar to the end of 2008, and little improvement is expected to be seen in the financial and economic environment.

General Motors (GM 3.81, +0.16) has yet to announce its December sales results, but the company's stock is sharing in the strength recently exhibited by Ford.

[BRIEFING.COM] Action remains listless as stocks trade in mixed fashion. Half of the sectors in the S&P 500 are trading higher.

Energy is the session’s strongest performer. It recently traded with a 1.8% gain, helped by a 2.5% advance in oil prices. Crude oil futures were recently indicated at $47.50 per barrel.

At the other end of the spectrum, telecom is trading with considerable weakness. The sector is down 4.6% as investors shun industry heavyweights AT&T (T 28.21, -1.21) and Verizon (VZ 32.11, -2.53).

Health care stocks (-1.2%) are also trading with weakness, despite the prospect of a mega-merger within the sector. Pfizer (PFE 18.29, +0.02) made headlines after the company shared with Financial Times that it is willing to acquire a large rival to improve its financial health. Pfizer faces increased competition from generic drug makers as its patents expire.

The largest economic sector in the S&P 500, technology, is trading modestly lower after shaking off early weakness. Apple (AAPL 95.12, +4.37) is providing leadership after its chief executive, Steve Jobs, issued a statement to help allay concern regarding his health. Many investors have fretted over what Apple’s future may hold without its chief steward.

Analysts have been busy revising their estimates for many key industry players amid the current economic environment.

Financial outfits Citigroup (C 7.42, +0.28) and JPMorgan Chase (JPM 30.13, -1.22) both had their estimates cut by analysts at Deutsche Bank. Financial stocks are trading 0.9% lower.

Target (TGT 36.10, +1.47) and Macy's (M 11.19, +0.21) had their outlook reduced by Barclays.  Best Buy (BBY 30.06, +1.04) was raised to Buy from Neutral by analysts at Goldman Sachs.  Amazon.com (AMZN 53.94, -0.42) was upgraded to Overweight from Neutral at JPMorgan.

Retailers (+0.9%), as a whole, are actually trading with a gain. The industry has come under intense pressure in recent months as investors assess reduced consumer spending.

The reduced spending has come amid stiff headwinds, which has President-Elect Obama and congressional officials putting together $300 billion in tax cuts to help stimulate economic activity. The Wall Street Journal reported this morning that such a plan could include cuts for individuals and businesses.

[BRIEFING.COM] Sellers continue to keep the stock market in check as the major indices struggle to put together a sustainable advance.

The S&P 500 just poked its head back into positive ground, but sellers sent it quickly back into the red.

Much of the session's action is without concerted leadership.

Though energy is trading with an impressive 2.0% gain, more than any other sector, it has been unable to pull the other sectors higher.  Only half the sectors are showing gains.

[BRIEFING.COM] Shares of Pfizer (PFE 18.29, +0.02) have overcome early weakness to post a slight gain. The stock has caught attention from investors this morning after the company's chief executive, Jeff Kindler, stated in an interview with Financial Times that his company is willing to acquire a large rival to improve its financial health.

Kindler indicated the real goal is to grow revenues.

Pfizer's revenues are expected to come under pressure as many of its marquee drugs lose their patent protection in coming years. That would make the company more vulnerable to competition from generic drug makers.

The Financial Times article pointed out that investors have argued Pfizer could strengthen its expansion into biological medicines by purchasing Amgen (AMGN 59.30, +0.31). Amgen currently sports a market capitalization of nearly $63 billion.

Health care stocks (-0.8%) continue to trade with weakness, despite the prospect of merger activity within the sector. 

[BRIEFING.COM] The stock market has receded deeper into negative territory. Still, it is well off its low, when it traded with a 1.3% loss.

Utilities are holding up relatively well. The sector is up 0.5% with modest help from PG&E (PCG 38.91, +0.10). PG&E had its target raised by analysts at Barclays. 

Other defensive-oriented sectors aren't faring quite as well. Consumer staples are down 0.4%, while health care is down 0.9%. Telecom is having the worst showing this session; it is down 4.4%. Particular weakness is being seen in AT&T (T 28.18, -1.24).

[BRIEFING.COM] The S&P 500 recently broke into positive ground, but has since slipped back into the red. The Nasdaq and Dow have yet to post an advance.

Energy is the biggest gainer this morning. The sector is up 2% at the moment. Energy was up as much as 2.6% after being down as much as 0.6% earlier.

Energy's advance continues to be helped along by integrated players like Exxon Mobil (XOM 81.98, +0.34) and ConocoPhillips (COP 55.60, +0.74).  Their gains have come in the wake of rising oil prices, which were recently indicated 2.3% higher at $47.40 per barrel.  Oil is now nearly 32% off its multiyear low of $32.40 per barrel.

[BRIEFING.COM] The major indices continue to trade with widespread losses.  Stocks are off their lows, however.

Retailers (-0.1%), as an industry group, are lower.  Still, individual retailers are trading in mixed fashion after analysts revised their estimates for select companies.  Target (TGT 35.14, +0.51) and Macy's (M 10.95, -0.03) had their outlook reduced by Barclays.  Amazon.com (AMZN 54.00, -0.36) was actually upgraded to Overweight from Neutral at JPMorgan.

Many analysts have been reconsidering the fundamental strengths of retailers as consumers face challenging headwinds, such as rising unemployment.  Official December unemployement data will be announced Friday.

[BRIEFING.COM] The U.S. dollar index is trading with considerable strength, currently up 1.1%. It was up as much as 1.6% earlier.

Gains in the dollar are pushing gold and silver markedly lower.

Gold was recently indicated at $849.00 per ounce, which is down 3.5%. Silver, meanwhile, recently traded hands at $10.80 per ounce, down roughly 6.0% this session. Both metals are trading a bit off their lows.

Crude oil is showing resilience against the dollar, however. Crude was recently indicated roughly 2.4% higher at $47.50 per barrel. Crude's early gains come on top of the prior week's near-20% gain.

Natural gas is trading a bit above the unchanged mark near $5.98 per contract.

The gains in crude and natural gas have helped the energy sector outperform the broader market in the early going. The energy sector is currently up 0.6% with help from integrated oil players (+1.6%).

Still, weakness in other commodities has the CRB commodity index trading 0.7% lower. That has weighed on the materials sector, which is off by 1.8%. Weakness is most pronounced in Newmont Mining (NEM 38.55, -1.78) and Monsanto (MON 73.10, -0.62).

Trading up: MFLX +24.4%, AHD +17.7%, SBLK +11.2%, SLT +11.2%, DDR +9.5%, OCNF +8.9%, DRYS +8.7%, BKS +8.6%, ARTC +8%, TER +7.9%, PVX +7%... Trading down: CNMD -25.4%, DGII -17.8%, RCRC -16.8%, DHX -16.7%, SKS -15.6%, GSIC -14.6%, SNV -10.5%, LIHR -10.2%, ICE -8%, ALGT -7.7%, UCBH -7.2%, GEOY -7%, GBCI -6.7%.

[BRIEFING.COM] Stocks open the session with broad-based weakness; eight of the 10 major economic sectors are trading lower. 

Some of the most pronounced losses are coming from the financial sector, which is down 2.5% in early action. 

By volume, Bank of America (BAC 14.14, -0.19), Citigroup (C 7.12, -0.02), and JPMorgan Chase (JPM 29.94, -1.41) are some of the most active names within the financial sector.  Shares of C and JPM both had their estimates cut by analysts at Deutsche Bank.

Separately, the New York Federal Reserve announced it has begun buying fixed-rate mortgage-backed securities, as it previously announced it would.

[BRIEFING.COM] The stock market opened 2009 with strong gains, breaking above key resistance levels despite a lack of news or data to guide trading.

Stocks encountered a bit of selling pressure in the first few minutes of action, but spent the rest of the session trending higher. Each of the major indices finished near session highs.

The gains, like in recent sessions, were broad-based and without concerted leadership, which signals many investors may be ready to scoop up bargains after a dreary 2008.

However, this week’s near-7% advance came amid very low trading volume. Only twice in the past seven sessions has trading volume on the NYSE exceeded 1 billion shares. Such low trading volume suggests a lack of conviction in the broader market.

Nonetheless, more than 90% of stocks in the S&P 500 closed with gains.

Financials lagged for the entire session, but still gained 1.5%.

Wells Fargo (WFC 29.29, -0.19) and Bank of America (BAC 14.33, +0.25) reversed early losses to help pull the sector higher. The firms announced they completed their acquisitions of Wachovia Bank and Merrill Lynch, respectively.

In other corporate news, media companies Viacom (VIA 21.15, +1.03) and Time Warner Cable (TWC 22.21, +0.76) reached a new programming agreement, though specifics have yet to be announced. 

Energy stocks sported some of the biggest gains, closing 4.3% higher after oil prices reversed early losses. Oil futures were down as much as 8%, but closed 3.5% higher near $46.20 per barrel. The gains come on top of the prior session’s 14% advance. Crude gained more than 20% this week.

The rebound in oil prices follows weeks of weakness stemming from concerns regarding economic headwinds.

Such economic weakness was reflected in the worst ISM manufacturing reading since June 1980. The December reading came in at 32.4%. A number below 50% indicates a contraction.

A weak reading was expected, though, so investors were able to look past the dismal reading and send the major indices to their best levels in over a month.

The major indices did encounter some resistance late in the session, but the Dow was still able to close above 9,000, while the Nasdaq finished above 1,630, and the S&P 500 finished above 930.