Market Wrap: Dow Snaps Streak; Initial Claims See Downside; JPMorgan Dips on 'Sloppy' Risk Management

Market wrap-up for May10th

End of the Day: Dow Jones up 20.0 tp 12,855.04; Nasdaq down 1.1 to 2,933.64; S&P 500 up 3.4 to 1,357.99

The following is a brief summary of events moving markets today:

• Back on track following the holiday break: Americans filing for jobless benefits fell to a one-month low, suggesting the recent rise in claims may have been partly attributed to a late Easter rather than slowdown in the jobs recovery.
  
  According to data from the Labor Department out Thursday morning, initial claims fell 1,000 to 367,000 last week, versus the economist estimate of 368,000. The number is at its lowest point since the end of March.
  
  For more color, click here.
  
  
• Dow ekes out a 'W': Despite its best efforts toward the end of the session, the Dow Jones cut its losing streak by closing up 0.2 percent on the session, or about 20 points. Though Cisco's (Nasdaq: CSCO) earnings sent a warning to the tech sector, positive sentiment out of Greece with respect to formation of a amicable government as well as a drop in initial claims offered a buffer.
  
  
• Dimon, master of risk management: After the market closed, JPMorgan (NYSE: JPM) held a conference call to discuss mark-to-market losses stemming from, in CEO Jaime Dimon's words, "sloppy, risky trades."
  
  Since March 31, 2012, the company said its CIO has had significant mark-to-market losses in its synthetic credit portfolio. JPMorgan said the portfolio has proven to be "riskier, more volatile and less effective as an economic hedge than the Firm previously believed."
  
  To read more, check out the JPMorgan news stream here.
  
  
• Burn, baby, burn!: Arena Pharmaceuticals (Nasdaq: ARNA) and Eisai Inc. reported that the US FDA Endocrinologic and Metabolic Drugs Advisory Committee voted 18 to 4, with one abstention, that the available data demonstrate that the potential benefits of lorcaserin outweigh the potential risks when used long-term in a population of overweight and obese individuals. Lorcaserin is an investigational drug candidate intended for weight management, including weight loss and maintenance of weight loss, in patients who are obese (BMI greater than or equal to 30) or patients who are overweight (BMI greater than or equal to 27) and have at least one weight-related co-morbid condition.
  
  Data showed 38 percent of patients saw a weight loss of 5 percent of more versus 16 percent of patients on a placebo.
  
  
• Wal-who?: Express Scripts (Nasdaq: ESRX) reported first-quarter 2012 EPS of $0.73 on revs of $12.1 billion, mixed to views calling for EPS of $0.77 and revs of $11.48 billion.
  
  Express Scripts said it plans to retain about 97 percent of clients in 2012 following the recent closure of the Medco Health acquisition. In addition, the Company expects 95 percent of its prescription volume to move forward without Walgreen (NYSE: WAG).

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