AFTERNOON LULL

Markets are back near the flat line with NDX/TECH out performing while large cap value is lagging.

Strong sectors include semis, defense, tech, biotech, internets and real estate while banks, airlines, utils and oil service lag.

Market internals near the flat line on the NAZ/NYSE while the OEX shows about 30 winners and the NDX with about 60 winners.

WINNERS- TLAB CELG XMSR BRCM SIRI ESRX RIMM CSCO BAX INTC DELL HAL MMM RTN HD XOM VIP EXM LAYN MTL WFR DRYS;

LOSERS- WBD ACH GSOL MW BTJ GME EDU SNP WMS WNR GM WMT EXC MS ALL MER SB TWX WFMI SHLD BBBY MRVL LRCX;

VIX/VXO both up about 4%;

Looking for higher prices into the afternoon and probably next week as I suspect tech and the NDX will continue to drag the rest of the market along with it.