Oil was down last week, and we had some decent economic numbers on Friday, so the questions on everyone's mind is what groups might be overbought/oversold to play for a short-term bounce.  The chief groups are energy and financials.

1)  Are oil and energy cheap enough to play for a bounce?

2)  There are already signs that the more vulnerable financials are undperforming the perceived stronger ones--so for example Lehman and Merrill were down about 10 percent last week, but Goldman Sachs was down only 2 percent.  Will that continue?

Elsewhere:

1) Tyson missed, as continuing operations actually experienced a loss of $0.01 vs. expectations of a gain of $0.12.  Although beef and pork operations were fair, chicken operations suffered a loss because higher costs did not offset price increases.

2) Verizon beat on the bottom line.  The company said they added 1.5 m net customer additions, the highest net ads in the industry, on record low churn, though FiOS TV adds were light.

3) Kraft beat estimates on top and bottom line, largely on higher pricing. Organic net revenues were up 6.9 percent, mostly due to higher pricing.  Volume was down 1 percent.  They raised their full year guidance by a couple of pennies.

4) Clorox added to the Americas Sell List at Goldman Sachs on concerns about commodity inflation in fiscal 2009, and concern over sales growth with data showing weakness in core categories like trash bags and bleach.  Down 3 percent pre-open.

Questions?  Comments?