Market Analysis

Bonds and stocks opened relatively flat but bonds are improved in mid morning trading and stocks moved down.  Stocks are coming off of their morning lows but the Dow is still down approx 100 points at the 11,770 level.

In economic news, ADP reported that 114,000 private sector jobs were created in July which was better than analyst estimates of 100,000.  The ADP data is being discounted due to how far it was off from the Labor Dept's figures last month when ADP reported 157,000 private sector job gains and the Labor Dept reported 57,000 private sector job gains.  Separately, job placement firm Challenger, Gray & Christmas reported planned job cuts were at a 16 month high in July increasing from 41,432 in June to 66,414.  The July Institute of Supply Management's Service Sector Index came in at 52.7 vs expectations for 53.7.  June Factory Orders came in down .8% vs expectations for a 1% decline.