Western Digital (WDC) NewsBite - WDC Rises As Inflation Fears are Eased

Posted on Wednesday, May 14, 2008 10:13 AM

Western Digital (WDC) opened at $31.39. So far today the stock has hit a low of $31.36 and a high of $32.41. WDC is now trading at $32.41, up 1.16 (3.71%). After hitting a one-year low of $17.31 last May, the stock hit a one-year high of $34.80 in February. WDC shares are trading higher this morning with the rest of the market after the Labor Department reported that consumer prices rose only 0.2 percent last month, compared to a 0.3 percent increase in March, easing some of the market's concerns over inflation. Technical indicators for WDC are bearish and improving slightly, while S&P gives the stock a neutral 3 Stars (out of 5) Hold rating. If you’re looking for a hedged play on this stock, consider an October bull-put credit spread below the $22.50 range. WDC hasn't been below 22.50 since January, and could lose up to 30.5% before this trade loses money. [LHF- Seven Summits Strategic Investments NewsBite]