CLOSING BELL

 Dow 10038.38  -20.26, Nasdaq 2147.87  -3.00, S&P 1068.13  -2.39 

Continued speculation about loan guarantees for Greece and Fed Chairman Bernanke's hint at a rate hike kept the dollar in focus this session. Its gain took stocks lower on low volume.  The lower volume today indicates traders are unsure of the near term direction of the market.

The Dollar Index spent the entire day in positive territory as news stories circulated with conflicting reports about whether Germany will lead a bailout for Greece and other European countries. The dollar’s strength grew as Fed Chairman Bernanke's made remarks about how the Fed may opt to raise the discount rate.  The dollar had been up as much as +0.7% against competing currencies, but ended the day with a +0.4% gain.

Financials provided some support to the market today.  The sector outperformed for the entire day.  It finished with a +0.8% gain. It was the only major sector to finish in higher ground. The strength in the financial sector was broad based with multiline insurers +2.2%, diversified banks +1.5%, and diversified financial services stocks +1.2%.

Treasuries failed to find support as the benchmark 10-year Note fell 11 ticks. Its yield pushed above 3.7% at its session low. Disappointing results for an auction of 10-year Notes were the primary cause.

Tomorrow traders will again focus on the dollar and any news about a bailout for Greece.

Advancing Sectors: Financials +0.8%

Declining Sectors: Materials -0.7%, Utilities -0.6%, Health Care -0.6%, Energy -0.5%, Consumer Discretionary -0.5%, Telecom -0.4%, Tech -0.3%, Industrials -0.3%, Consumer Staples -0.2%