Good morning. Happy Thursday.
Feeding off the US market, the Asian/Pacific market closed up across the board. Australia, China, Japan, New Zealand, and Seoul gained more than 1%, but there were no 2% winners.
The European markets are currently up across the board. Belgium is up 2.1%; France, Germany, Norway, Spain, Stockholm, Switzerland and London are up more than 1%.
Futures here in the States suggest a mixed open. 60 minutes before the open, Nas 100 futures are up 1.0 to trade at 1182.50 and SPX futures are down 7.50 to trade at 829.25.
From barchart.com ->> Global equity markets today are finding support on speculation that government measures will help revive the global economy. HSBC, Europe’s largest bank, and Societe Generale, France’s third-largest lender, are both up over 5% while Deutsche Bank, Germany’s biggest bank by assets, is higher by over 6%. Bank stocks are receiving a boost today from comments made by President Obama’s nominee Treasury Secretary, Timothy Geithner, that his office will have an expanded role in stabilizing banks on a “very dramatic scale.” Also supporting bank stocks today is the report from the German newspaper Handelsblatt, that the German government is working on a new rescue plan for its country’s lenders. European stock gains were limited after Nokia Oyi, the world’s largest mobile phone maker, reported weaker-than-expected Q4 earnings and said industry sales will fall 10% in 2009 while Fiat, Italy’s biggest carmaker, slumped 13% after it cut its earnings forecast for this year and said it won’t pay a dividend to common shareholders. Asian stocks received a boost today after the Bank of Japan said it may purchase corporate bonds to prevent a credit shortage as the BOJ joins the Fed and the BOE in implementing additional measures to assist credit-starved banks and companies. In additional signs that the global economic slowdown is deepening however, China reported its Q4 GDP at 6.8%, the slowest pace of growth in seven years, while South Korean Q4 GDP contracted -5.6%, a larger-than-expected decline and the biggest contraction in South Korean growth since the Asian financial crisis a decade ago.
Sony (SNE) projected it would report its first annual net loss in 14 years Thursday, and Chief Executive Howard Stringer vowed to turn around the company with pay cuts, job reductions and trendier gadgets.
JPMorgan Chase (JPM) rallied over 4% in after-hours trading yesterday after CEO Jamie Dimon reportedly bought 500,000 JPMorgan shares for $11.5 million on Jan 16
Managed-care provider UnitedHealth Group Inc. (UNH) said Thursday its fourth-quarter profit fell 40 percent compared with last year, as it settled a lawsuit and dealt with rising expenses.
Lockheed Martin (LMT) says its fourth-quarter earnings rose 3 percent to top Wall Street expectations, but the defense contractor has lowered its 2009 profit outlook on an expected spike in pension costs.
Nokia Corp. (NOK), the world’s top mobile phone maker, said Thursday its profits fell 69 percent in the fourth quarter as the world economic downturn slowed handset sales.
Apple Inc. (AAPL) posted a 2 percent bump in earnings to beat Wall Street’s expectations, sending shares up $7.87, or 9.5 percent, to $90.70 Wednesday in extended trading after the report was released.
Southwest Airlines (LUV) says it lost money in the fourth quarter as its fuel-hedging strategy lost punch.
Williams-Sonoma Inc. (WSM) is cutting 1,400 jobs.
Italian auto maker Fiat on Thursday reported a 69.8 percent drop in fourth quarter profit on a slump in demand for its cars from the economic slowdown in its key western European and south American markets.
Indian oil and petrochemical company Reliance Industries Ltd. said net profit for the October-December quarter fell 9.8 percent to 35 billion rupees (US$778 million) amid volatility in the global oil market.
Baxter International Inc. (BAX) said Thursday its profit grew 19 percent in the fourth quarter on stronger results from its bioscience business.
Intel Corp. (INTC) plans to cut up to 6,000 manufacturing jobs as the company struggles with souring personal computer demand that has left its factories operating at less than their full capacity.
Crown Castle International Corp. (CCI) said Thursday it plans to sell $600 million worth of senior notes in a public offering.
LG Electronics Inc. , a major manufacturer of mobile phones and flat screen televisions, swung to its first net loss in seven quarters, hit by falling prices for TVs and a hefty price-fixing fine slapped on its affiliate LG Display.
CC Media Holdings Inc. (CCO), parent of Clear Channel Communications Inc. and Clear Channel Outdoor Holdings Inc., said it has eliminated about 1,850 full-time jobs, or 9 percent of its total work force, in an effort to cut costs.
Burlington North Santa Fe (BNI) reported fourth-quarter profit of $615 million, or $1.79 a share, up from $517 million, or $1.46 a share, in the year-earlier period.
CNH Global NV (CNH), construction-equipment producer, reported that fourth-quarter net income was flat with the year earlier on 9% lower revenue.
EBay (EBAY) reported fourth-quarter earnings fell to $367 million, or 29 cents a share, from $531 million, or 39 cents a share, in the year-earlier quarter.
Interwoven (IWOV), producer of Web-content-management solutions, agreed to be acquired for $16.20 a share, or $775 million, by Autonomy Corp, a UK software company.
Phillips-Van Heusen (PVH) has eliminated about 250, or 10%, of its salaried positions and about 150 hourly manufacturing jobs as it restructures.
Potash (POT) fourth-quarter net income jumped to $788 million, or $2.56 a share, from $376.8 million, or $1.16 a share, in the year-earlier period. Analysts had been expecting $2.54.
Sanmina-SCI (SANM) swung to a first-quarter net loss of $25.3 million, or 5 cents a share, from net income of $7.9 million, or 1 cent a share, in the year-earlier quarter.
Seagate Technology (STX) eported a fiscal second-quarter loss of $496 million, or $1.02 a share, compared with profit of $403 million, or 73 cents a share, for the year-earlier period.
SLM (SLM) reported fourth-quarter core earnings of $65 million, or 8 cents a share, down from $117 million, or 19 cents a share, in the year-earlier quarter.
SunTrust Banks (STI) the $189.3-billion-asset Atlanta banking firm, swung to a fourth-quarter loss from a year-earlier profit, as loan charge-offs increased and it added to reserves.
Washington Mutual Inc. has filed notice that it plans to sell its limited partnership interests and capital commitments in three venture capital funds.
Health insurer Molina Healthcare Inc. (MOH) sharply narrowed its 2008 profit forecast on Thursday, but the new guidance is closer to Wall Street’s average estimate.
Monro Muffler Brake Inc. (MNRO), which provides car repair and tire services, said Thursday its fiscal third-quarter profit rose 5.2 percent, citing an increase in sales driven by higher demand for vehicle maintenance and repairs.
Gold is down 0.75% and Silver is flat.
Crude Oil is up 25 cents to trade at 43.80.
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| UPGRADES |
HCBK, BT, DTSI, FII, AAP, M, LOW, BBY, HSY, NEU, ERIC |
| DOWNGRADES | WTI, GDP, QSII, DOX, ECLP, LOGI, HMA, WYE, FCX, PETM, K, FULT, EE, CERN, APD |
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| EARNINGS | |
| before the open | FLWS, AOS, AMFI, ABC, ABI, ACAT, AUO, AVT, AVX, BK, BAX, BBT, BDX, EAT, CCMP, CRA, CIT, CMCO, CMA, CY, DLX, DDE, DVD, EXC, FITB, FCF, F, BEN, GMT, HUB.B, HBAN, IMN, IGT, ISCA, ESI, JNS, KEI, KELYA, KMT, KEY, NITE, KLIC, LMT, LYTS, MTB, MMR, MDP, VIVO, MV, MNRO, MOG.A, NCC, NOK, NOC, ORI, PTEC, POT, SHW, LUV, STI, TSM, TCB, TDY, UNP, UB, UNH, LCC, UST, WRLD, ZOLL |
| during trading | HTLD |
| after the close | AMD, AAPL, EPAY, CNI, COF, CYN, COBZ, ED, CNXT, CVTI, CBST, DGII, ESIO, ELX, EZPW, FII, GOOG, IBKR, ISRG, JJSF, KNX, WFR, MSCC, MSFT, NTCT, OPWV, PKI, QTM, SCSC, SBCF, SYNA, SNV, TNL, TPX, TER, TGI, VARI, WERN |
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ECONOMIC RELEASES
8:30 Housing Starts
8:30 Jobless Claims
8:30 Building Permits
11:00 3-Month Bill Announcement
11:00 6-Month Bill Annoucement
11:00 2-Yr Note Annoucement
11:00 5-Yr Note Annoucement
11:00 20-Yr TIPS Announcement
16:30 Money Supply
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