Market Review By TraderXP: 

Group of Apple Inc (AAPL) most bullish fans on Wall Street are becoming more bearish because of concerns that iPhone holiday sales were weak, and that the company needs a new breakthrough product to fend off competitors Google Inc and the company Samsung Electronics Co
"Apple feels the heat," said Michael Obuchowski, a portfolio manager at North Shore Asset Management LLC, which owns Apple, shares. "There is a lot of pressure on Apple, to bring a new magical device on the market, and that has not happened in a while." He said the latest iPhone and IPad are mini incremental improvements on previous devices.
Apple, based in Cupertino, California, rose 1.8 percent to $ 518.83 yesterday's close in New York. Even with the decline in September shares gained 28 percent this year.

Market News

Optimism about the "cliff" improving market, financial lead
S & P 500 finished at its highest level in nearly two months on Monday amid growing hopes that talks about the "financial cliff" had made progress and that a deal could be reached in a few days.
After weeks of stalemate, U.S. President Barack Obama and Republican House Speaker John Boehner met at the White House on Monday, raising hopes that Washington will be able to decapitate the steep tax increases and spending cuts that threaten the economy.
All S & P 500 10 sectors were higher, led by financial and other growth-oriented sectors. S & P Financial rose 2.1 percent, while Bank of America shares jumped 4 percent to $ 11. In a research note Monday, Meredith Whitney Advisory Group switched to a positive stance on the financial and upgraded Bank America, Citigroup and Discover Financial shares.
S & P index of consumer distretionary, to 1.8 percent, was the second best performing sector. Investors worried about the U.S. economy could slip into recession if the tax and spending changes implemented.
Boehner was close to Obama's position by offering to extend lower tax rates for everyone who earns LessThan $ 1 million. However, his position remains far from President Obama.
"Conquers all, right now is the financial negotiations rock. Seems to progress. I think it is to get to the nitty gritty," said Alan Lancz, president of Alan B. Lancz & Associates, Inc in Toledo, Ohio. "The rate right now is that something will come to the end of this week."
Index Dow Jones Industrial Average rose 100.38 points, or 0.76 percent, to 13,235.39. 500 Index Standard & Poor was up 16.78 points, or 1.19 percent, to 1,430.36, its highest closing level since Oct. 22. The Nasdaq Composite Index rose 39.27 points, or 1.32 percent, to 3,010.60.
The benefits that have come to light than usual volume, ended a two-day losing streak on the S & P 500. The index also had its best daily gain per cent from November 23. Volume was about 6.2 billion shares traded on the New York Stock Exchange, Nasdaq and NYSE MKT, compared with the year to date average daily volume of close to 6.4 billion dollars.
In the financial sector, American International Group Inc. shares rose 3 percent to $ 34.95 on plans to sell as much as $ 6.5billion of AIA Group Ltd. Advancing stocks also included those in the housing sector, which grew by 4.5 percent.
"People are looking for sectors to play, and I think that the Bank of America broke out some old price levels, and it's got everything that is happening in the sector," said Rick Meckler, president of investment firm LibertyView Capital Management in Jersey City, New Jersey.
Citigroup shares rose 4.1 percent to $ 39.15 while shares of Discover Financial rose 1.6 percent at $ 40.18.
Clearwire Corp has agreed to sell the rest of Sprint Nextel Corp for slightly sweetened $ 2.2 billion offer in just a few days after the minority shareholders criticized the previous offer as too low. Clearwire fell by 13.6 percent to $ 2.91, while Sprint rose 0.2 percent to $ 5.56.
Apple Inc shares rose after recentlosses, rising by 1.8 percent to $ 518.83, although the two companies have reduced their stock pricetargets on Monday.
Technology giant said it sold more than 2 million of its new iPhone 5 smartphone in China within three days after its launch there on Friday, but the numbers do not alleviate concerns about the tough competition. Apple, the stock fell more than 25 percent in about three months.
Compuware Corp rose 12.9 percent to $ 10.76 after the hedge fund Elliott Management offered to buy the provider of software for business for $ 2.3 billion, S & P Capital IQ has raised the target price and moved it to " hold "to" strong sell.
Advanced outnumbered decliners on theNYSE about 2 to 1, and on the Nasdaq by nearly 9 to 4. Reuters.com

Currencies

JPY edges lower, hovers near 20-month low against the dollar
Yen edged lower and closer to the 20-month low against the U.S. dollar on Tuesday, chased the expectation that the new Japanese government will push the Bank of Japan to moredrastic monetary stimulus.
Yen skidded to its lowest level in more than a year and a half on Monday after Japan's conservative Liberal Democratic Party (LDP), which seeks to aggressive monetary easing, won a landslide election.
While the yen may find support in the short term, if the position of the square begins, traders and analysts said the downward trend the yen is likely to remain in place.
"There is a good chance that the weakness of the yen may persist, especially heading into the end of the first quarter (2013)," said Sim Moh Siong, FX strategist in Singapore.
The Coordinating Center will be the upcoming change of leadership the Bank of Japan and the implications for monetary policy, he said.
"It's more of an expectation that the conservative nature of the Bank of Japan may change," he added.
Next Prime Minister Shinzo Abewants someone more in tune with its expansionist mindset to replace Bank of Japan Governor Masaaki Shirakawa, when his term expires in April. In addition, reports twodeputy governor opened in March.
Abe is set to form his cabinet on December 26.
The dollar rose 0.2 percent to 84.07 yen, approaching a high of about 84.50 yen, which was hit on Monday, the strong level of the dollar against the yen since April 2011.
The dollar retreated on Monday after hitting that 20-month high against the yen, but the reverse has been relatively small.
"Corrective falling dollar / yen after the election was small, and it is creeping up, because the tendency of weakening the yen is still intact," said Yuji Saito, director of the foreign exchange department in Tokyo at Credit Agricole Corporate and Investment Bank.
Yen tumbled on Monday after the LDP rose to return to power in elections Sunday. LDP and its ally, the New Komeito Party, provided two-thirds majority to abolish the upper house of parliament, which means that the new government has a greater chance of depression, although its policy.
Decision on the rate of the Bank of Japan
Market participants said the dollar could come under pressure and the yen may crop up in the short term, especially after the Bank of Japan interest rate decision due on Thursday after a two-day meeting of the policy.
"It is likely that they will not help enough to meet the market, and we should see a little bounce on that," said Gareth Berry, G10 FX strategist at UBS in Singapore.
"The actual obstacle to the impressive market is now quite high," Berry said, referring to the fact, as the dollar fell against the yen immediately after the Bank of Japan expanded its asset buying scheme to 11 trillion yen to 30 October.
Most analysts expect the central bank to ease policy further this week, and sources familiar with thinkinghave Bank of Japan said that the most likely option for the central bank to increase its asset-purchase and lending programs, currently at 91 trillion yen, more at 5 to 10 trillion yen.
Saito at Credit Agricole said profit before the end of year holidays are likely to weigh on the dollar after the Bank of Japan meeting ended, adding that the dollar could then drop to 1-2 yen.
The euro rose 0.1 percent to $ 1.3172, hovering near the $ 1.3191 touched in the previous session, its highest level in more than seven months, according to Reuters data.
Euro was supported by improved risk appetite on hopes of progress in the U.S. budget impasse. U.S. President Barack Obama and top Republican John Boehner met at the White House on Monday to discuss how to avoid tax increases and spending cuts that economists fear could push the economy into recession.
The euro exchange rate basically ignored the comments on Monday from European Central Bank President Mario Draghi, who reiterated concerns about the slow economic growth in Europe.
"It seems that politicians are still worried about the economic prospects of the euro zone, the euro / dollar continues tohold sustained by the rally in stocks and the Fed's balance sheet expansion," said BK Asset Management managing director Kathy Lien in a research note.
At its policy last week, the U.S. Federal Reserve announced a new round of monetary stimulus steps. Reuters.com