SHARES STRONGLY UP/DOWN this week 12/12/05 (Master RSI)

Wall Street - U.S. stocks post early gains; Honeywell up on outlook - UPDATE 2

NEW YORK (AFX) - U.S. stocks gained ground in early trading Wednesday, with
Honeywell International surging on an upbeat profit outlook, in a market that
continues to mull the outlook for interest rates after the Federal Reserve
hinted an end to its rate-hike cycle may be in sight.
The Dow Jones Industrial Average rose 37 points at 10,860.
The Nasdaq Composite Index rose 3 points to 2,268 while the S&P 500 Index
was up nearly 4 points at 1,271.
The reverberations of the Fed's shift in its outlook on interest rates
continued to be felt across the financial markets.
The Federal Open Market Committee, the central bank's interest-rate setting
body, voted unanimously Tuesday to raise its key Fed funds rate by a quarter
percentage point to 4.25% on Tuesday.
In its accompanying statement, the committee removed language that judged
interest rates to be "accommodative," or in other words, adding to growth.
Instead, it said it simply stated that "some further measured policy firming is
likely.'
The dollar was sharply lower against its major counterparts on a possible
end to the rate-hike cycle. Rising rates typically raised the attractiveness of
dollar-denominated assets.
The euro surged 0.7% to $1.2018. Against the Japanese yen, the greenback
tumbled 1.9% to 117.74.
Gold futures also pulled back smartly as the Fed's new stance suggested it
is less worried about inflation than it has been of late. The central bank,
however, in its revised statement, said high energy prices and possible
increases in resource utilization could add to inflation pressures going
forward. At last check, gold for February delivery was down $9.50 at $514.60 an
ounce. ...........