Market Talk

Stocks end lower, but reclaim most of the ground lost after mid-morning word of a strong aftershock quake in Japan.

Quake headlines and tsunami warning send a chill through a market that’s grown rather blase lately toward various pockets of global upheaval (Mideast/North Africa; Japan disaster; Eurozone debt problems). Despite the bump in volatility, trading volume remains anemic.

Industrials, financials and utilities among the weakest sectors; energy stocks finish higher as Nymex crude tops $110.00/barrel, to its highest settle since Sept 2008. Gold settles at fresh Comex high of $1,458.50/oz; silver hits fresh 31-yr high.

DJIA slips 17.26 to 12409.49, and Nasdaq Comp edges 3.68 lower to 2796.14. S&P 500 falls 2.03 to 1333.51.

Latest aftershock doesn’t appear to have done too much additional damage, but rapid, sharp plummet on initial quake/tsunami warning headlines may’ve put some fear back into a market that’s had an impressive ability to shake off troubling news.

Abundant liquidity has nurtured the risk trade, building complacency amid a hazardous backdrop as everyone thinks they can get out before the stampede begins. After glimpsing that hair trigger this morning, looks as if some risk-takers may have seen enough.

There’s a certain symmetry in global markets this morning – best described as flat.

Little movement in Asian stocks overnight, European markets are just a shade lower, oil nearly unchanged, hovering near $109/barrel and US stock futures point toward a muted open.

ECB as expected hikes rates to 1.25% from 1%, though focus will be on Trichet’s comments during Q&A after 8:30 a.m. ET. Portugal bailout discussions/headlines may color the mood as well.

Weekly jobless claims due at 8:30 a.m.; Fed releases February consumer credit numbers at 3:00 p.m. Retailers report March chain-store sales throughout the morning.

S&P futures up 3.10, DJ futures up 24. Ten-year note yield up a bit at 3.57%.