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futures -23
it really is! hope you are feeling better!
Earnings Preview for the week of June 23 - 27 some of the bigger names include:
Monday:
After Hours - MU, SONC
Tuesday:
Pre Market - WAG, CCL
After Hours - APOG
Wednesday:
Pre Market - GIS, MON, BKS, APOL, OMN, LNN
After Hours - BBBY, MLHR, CWST
Thursday:
Pre Market - ACN, CAG, LEN, SJR, MKC, WOR, SCS, SCHN, WGO, MEI
After Hours - NKE, PRGS
Friday:
Pre Market - CMC, KBH, FINL AZZ
TRADER RADAR FOR WEEK OF 6/23 to 6/27 ECONOMIC and EARNINGS
Monday, June 23
US Economics (Time Zone: EST)
08:30 Chicago Fed Nat Activity Index, May, exp. 0.2, prior -0.32
09:45 Markit US Manufacturing PMI, June prelim., exp. 56.0, prior, 56.4
10:00 Existing Home Sales, May, exp. 4.74m, prior 4.65m
11:00 Fed to purchase $1.5b-$2b notes in 6-7 year range
11:30 Treasury to sell $25b 3-month bills and $23b 6-month bills
Global Economics (Time Zone: GMT)
01:35 JPY Manufacturing PMI (JUN P)
01:45 CNY HSBC Manufacturing PMI
07:00 EUR France Manufacturing & Services PMI (JUN P)
07:30 EUR Germany Manufacturing & Services PMI (JUN P)
08:00 EUR Euro-zone Manufacturing & Services PMI (JUN P)
Earnings
After:
Micron Technology (MU)
Tuesday, June 24
US Economics (Time Zone: EST)
09:00 FHFA House Price Index, Apr., exp. 0.6%, prior 0.7%
09:00 S&P/Case-Shiller 20 City Composite MoM, Apr., exp. 0.8%, prior 1.24%
09:00 S&P/CS YoY, Apr, exp 11.50%, prior 12.37%
10:00 Consumer Confidence Index, June, exp. 83.5, prior 83
10:00 New Home Sales, May, exp. 440k, prior 433k
10:00 Richmond Fed, Jun, exp 6, prior 7
11:00 Fed to purchase $850m-$1.1b bonds in 22-30 year range
11:30 Treasury to sell $25b 52-week bills, 4-week bills
1:00 Treasury to sell $30b 2-year notes
Fedspeak:
08:05 Plosser to speak in New York
18:30 Williams to speak in Stanford, CA
Global Economics (Time Zone: GMT)
08:00 EUR Germany IFO Business Climate (JUN)
08:00 EUR Germany IFO Current Assessment (JUN)
08:00 EUR Germany IFO Expectations (JUN)
Earnings
Before:
Walgreen (WAG)
Carnival (CCL)
Wednesday, June 25
US Economics (Time Zone: EST)
07:00 MBA Mortgage Apps
08:30 Durable Goods Orders, May, exp. -0.2%, prior 0.8%
08:30 Durable Goods ex-Transports, May, exp 0.3%, prior 0.1%
08:30 GDP Annualized, 1Q, exp. -1.8%, prior -1%
08:30 Personal Consumption, exp 2.5%, prior 3.1%
08:30 GDP Price Index, exp 1.3%, prior 1.3%
08:30 Core PCE QoQ, exp 1.2%, prior 1.2%
11:00 Fed to purchase $2.25b-$2.75b notes in 7-10 year range
11:30 Treasury to sell $13b 2-year floating-rate notes
13:00 Treasury to sell $35b 5-year notes
Global Economics (Time Zone: GMT)
No major reports
Earnings
Before:
General Mills (GIS)
Barnes & Noble (BKS)
Apollo Education (APO)
Monsanto (MON)
After:
Bed Bath & Beyond (BBBY)
Thursday, June 26
US Economics (Time Zone: EST)
08:30 Initial Jobless Claims, June 21, exp. 311k, prior 312k
08:30 Personal Income, May, exp. 0.4%, prior 0.3%
08:30 Personal Spending, May, exp 0.4%, prior -0.1%
08:30 PCE Deflator YoY, May, exp 1.8%, prior 1.6%
08:30 PCE Core YoY, May, exp 1.5%, prior 1.4%
11:00 Kansas City Fed Manufacturing Activity, June, exp. 9, prior 10
11:00 Fed to purchase $850m-$1.1b bonds in 22 to 30 year range
13:00 Treasury to sell $29b 7-year notes
Fedspeak:
08:30 Lacker speaks in Lynchburg, VA
13:05 Bullard speaks in New York
Global Economics (Time Zone: GMT)
12:30 CAD Average Weekly Earnings (APR)
16:00 EUR France Total Jobseekers (MAY)
22:45 NZD Trade Balance (MAY)
Earnings
Before:
Lennar (LEN)
ConAgra Foods (CAG)
After:
Nike (NKE)
Friday, June 27
US Economics (Time Zone: EST)
07:55 UofMich Consumer Sentiment, June F, exp. 82, prior 81.2
Global Economics (Time Zone: GMT)
JPY Jobless Rate (MAY)
JPY Household Spending (MAY)
JPY National CPI (MAY)
JPY Tokyo CPI (JUN)
JPY Retail Trade (MAY)
01:30 CNY Industrial Profits (MAY)
06:45 EUR France GDP (1Q F)
08:30 GBP Lloyds Business Barometer (JUN)
08:30 GBP Current Account (1Q)
08:30 GBP GDP (1Q F)
08:30 GBP Index of Services (APR)
08:30 GBP Total Business Investment (1Q F)
09:00 EUR Euro-zone Economic Confidence (JUN)
12:00 EUR Germany CPI (JUN P)
Earnings
No major reports
good morning
data:
FOMC Meeting Begins
ICSC-Goldman Store Sales
[Report][Bullet7:45 AM ET
Consumer Price Index
[Report][Star]8:30 AM ET
Housing Starts
[Report][Star]8:30 AM ET
Redbook
[Bullet8:55 AM ET
4-Week Bill Auction
[Bullet11:30 AM ET
frontrunning:
Obama to tout manufacturing gains, highlight economic progress (Reuters)
Iraq Gunmen Attack North of Baghdad as Obama Weighs Plan (BBG)
Chinese Regulators Block Shipping Alliance Abandoned Deal (WSJ)
Russian $8.2 Trillion Oil Trove Locked Without U.S. Tech (BBG)
Ukrainian forces, rebels clash near Russian border (Reuters)
M&A talk lifts stocks, Iraq tensions ease slightly (Reuters)
Wealthy Clintons Use Trusts to Limit Estate Tax They Back (BBG)
Argentina vows to service debt despite new legal blow (Reuters)
Allergan's Bitter Pill for Morgan Stanley (WSJ)
Islamists kill 50 in Kenya, some during World Cup screening (Reuters)
American Express Revs Up Pursuit of the Masses (WSJ)
GM's Investigator Said Clues in Flaw Reports Were Missed, But Few Are Easily Available (WSJ)
Iraqi Kurds plan to continue oil exports, reach budget allocation (Reuters)
GM safety crisis grows with recall of 3 million more cars for ignition issues (Reuters)
Hong Kong banks investigated by HKMA over money laundering breaches (SCMP)
Overnight Media Digest
WSJ
* German engineering giant Siemens AG and Japanese conglomerate Mitsubishi Heavy Industries Ltd launched a bid for Alstom SA's energy business, hoping to thwart General Electric Co's earlier $17 billion offer for the French industrial group with a pitch that is as much about politics as finance. (http://link.reuters.com/haq22w)
* General Motors on Monday pushed its repair-cost estimate for auto recalls this year to $2 billion as it disclosed plans to replace potentially faulty ignition keys on 3.37 million older model cars in North America. (http://link.reuters.com/jaq22w)
* An internal report on General Motors Co's blunders handling a deadly safety defect included a mistake of its own: It incorrectly said the service bulletins that auto makers send to dealers, which might have offered a clue to the problem, were readily available on a U.S. website. The service bulletins are issued by car companies to notify dealers of problems that have been reported by drivers, mechanics and others and to outline any necessary fixes. (http://link.reuters.com/maq22w)
* BP PLC won its first new energy contract from the Pentagon since U.S. government sanctions imposed after the Deepwater Horizon disaster were lifted, regaining a foothold in a market that is set to grow. The $43 million natural-gas deal was the company's first new Defense Department supply contract in almost 18 months. (http://link.reuters.com/naq22w)
* Allergan Inc, which is fending off a $53 billion takeover bid by Valeant Pharmaceuticals International Inc , released emails sent by senior Morgan Stanley bankers appearing to denigrate Valeant and its business strategy. (http://link.reuters.com/raq22w)
* Google Inc is facing fresh accusations of anticompetitive behavior in Europe over its Android operating system for mobile phones, even as the Web giant struggles to overcome separate concerns over its dominance of online search. (http://link.reuters.com/taq22w)
* In a security filing Monday, Alibaba included details investors had complained were missing in its initial documents in May. Chief among them: a sales breakdown for the e-commerce company's two main shopping sites; names of the 27 people who control nominations for a majority of the board and insight into the company's acquisition strategy. Alibaba also released updated financial figures that showed the company's margins were under pressure. (http://link.reuters.com/vaq22w)
* Royal Dutch Shell PLC is selling most of its shares in Woodside Petroleum Ltd for 6.1 billion Australian dollars ($5.73 billion), as the company continues to unload assets in the face of falling profit. (http://link.reuters.com/xaq22w)
FT
Germany is pressing for a vote on the European Commision President to override British objections as early as next week in a setback to British Prime Minister David Cameron's campaign to head off Jean-Claude Juncker's election to the EU's most high-profile job.
The Federal Reserve in the U.S. has discussed whether exit fees should be imposed on bond funds to avert a potential run by investors, underlining concern about the vulnerability of the $10 trillion corporate bond market.
EU finance ministers have been advised that Brussels is going beyond the law in its plan to exempt the UK's Vickers reforms from its EU-wide overhaul of "too big to fail" banks.
The International Monetary Fund has warned that the U.S. will have to keep interest rates low for longer than markets expect, in a downbeat assessment of the American economy.
General Electric is trying to win over the French authorities with fresh concessions to obtain approval for its $16.9bn bid for Alstom and head off a rival offer from Siemens and Mitsubishi Heavy Industries.
NYT
* The Supreme Court handed Argentina two major defeats on Monday in cases brought by bondholders who refused to accept reduced payments after the country's 2001 default. The developments are likely to add to the turmoil in Argentina's already unsettled bond market. (http://link.reuters.com/ceq22w)
* General Motors Co said on Monday that it would recall 3.36 million defective cars worldwide, another low point in the seemingly endless safety crisis that has engulfed the nation's largest automaker. (http://link.reuters.com/deq22w)
* In a broad legal rationale for collecting information from Internet use by its citizens, the British government has reportedly asserted the right to intercept communications that go through services like Facebook, Google and Twitter that are based in the United States or other foreign nations, even if they are between people in Britain. (http://link.reuters.com/heq22w)
* A new study claims a quarter of all public company deals may involve some kind of insider trading. The study by two professors at the Stern School of Business at New York University and McGill University, perhaps the most detailed and exhaustive of its kind, examined hundreds of transactions from 1996 through the end of 2012. (http://link.reuters.com/meq22w)
* Moelis & Co said on Monday that it has hired four executives from a rival boutique investment bank, Greenhill & Co Inc, to start up a group specializing in raising money for private equity firms. (http://link.reuters.com/neq22w)
Canada
THE GLOBE AND MAIL
* The leadership of Newfoundland and Labrador's governing Progressive Conservatives was thrown into a tailspin on Monday after the man who had a clear path to becoming the province's next premier suddenly dropped out of politics. Frank Coleman, 60, said he decided to leave public life because of a "significant and challenging family matter." (http://link.reuters.com/ket22w)
* Progressive Conservative MPPs said they did not receive advance notice of Tim Hudak's controversial pledge to axe 100,000 public-sector jobs, with some blaming his platform for getting the party thumped by the Liberals in last week's election. (http://link.reuters.com/pet22w)
Reports in the business section:
* The transformation of Air Canada's network is running into some unexpected turbulence because of the later-than-expected arrival of some of the airline's new Boeing 787 Dreamliners. The airline has delayed some new flights, put off Dreamliner service to Tel Aviv and been forced to lease planes from a European charter airline that offer fewer amenities. This has caused headaches for travelers and the airline as it fields customer criticism of Rouge, its new low-cost airline. (http://link.reuters.com/qet22w)
* The head of Canada Mortgage and Housing Corp is shifting the priority of the mortgage insurer to helping Canadians buy homes they need, not the bigger, pricier homes they might want. Chief executive Evan Siddall said in an exclusive interview that his first six months on the job have been focused on building an organization that will be more flexible and transparent, one that will do more to emphasize its social housing role and less to subsidize the banks. And one that will only help Canadians purchase homes they need. (http://link.reuters.com/set22w)
* Enbridge Inc is expecting a green light on Tuesday from the Harper government on its proposed Northern Gateway pipeline, but will still have to clear a series of hurdles, including signing up committed shippers for the project, if it gets the go-ahead from Ottawa. (http://link.reuters.com/vet22w)
* Kinross Gold Corp has been working feverishly to ensure that its prized Russian mines do not become a casualty of the diplomatic spat between Russia and the West. (http://link.reuters.com/but22w)
NATIONAL POST
* Noting Iran's rising "anti-Canada rhetoric," intelligence officials have been monitoring the Islamic republic as a potential terrorist threat to the Ottawa area, newly declassified documents show. While the diplomatic falling out between Ottawa and Tehran is well-known, the intelligence reports are the first indication the Canadian government is tracking the possibility it could lead to terrorism in the capital. (http://link.reuters.com/fut22w)
* British Columbia's unionized teachers are preparing to erect picket lines, with little reason to expect a deal on wages with the government to avert a full-scale strike. Talks were at a standstill on the eve of job action that will shut a half million students and more than 40,000 teachers out of school weeks ahead of the scheduled summer break. (http://link.reuters.com/sut22w)
FINANCIAL POST
* The Canadian Real Estate Association said on Monday home sales jumped 5.9 percent in May from April - the largest monthly increase in more than four years. Sales jumped in 80 percent of the markets surveyed by the group. (http://link.reuters.com/nut22w)
* Buoyed by the unexpected success of crude by rail, companies are beginning to consider transporting natural gas as remote drilling frontiers emerge beyond the reach of pipelines, executives said. (http://link.reuters.com/qut22w)
Hong Kong
-- The Hong Kong Monetary Authority is investigating several financial institutions, including at least one bank, for possible criminal breaches of the city's anti-money laundering laws. (link.reuters.com/kyp22w)
-- An undercover investigation by state media Xinhua has found that many industries bribe officials to obtain quality-control certification. The practice of certifying a company's products as meeting quality standards had been compromised by industries resorting to bribery. (link.reuters.com/pyp22w)
-- Tung Chee-hwa, the first chief executive of Hong Kong, will join the board of e-commerce giant Alibaba Group (IPO-ALIB.N) as an independent director soon after its initial public offering in New York, according to the company's updated U.S. regulatory filing. (link.reuters.com/qyp22w)
THE STANDARD
-- Judicial independence will not be compromised if judges are required to be patriotic, the Law Society chairman claimed amid debates over Beijing's white paper on Hong Kong. The white paper does not affect the current status of Hong Kong and is based on the Basic Law, Ambrose Lam San-keung said. (link.reuters.com/ryp22w)
-- Macau has reduced to five days, from seven, the permitted stay for Chinese passport holders who transit in the enclave effective from July 1. The move is aimed at deterring some mainlanders from deliberately breaching the existing entry requirements of transiting in Macau for seven days without actually travelling elsewhere. (link.reuters.com/syp22w)
-- Hong Kong-based internet finance firm Welab has altogether raised HK$180 million ($23.22 million) from investors including TOM Group and Sequoia Capital. Welab launched Welend, which is the first local peer-to-peer lending platform for lenders and borrowers, last June. (link.reuters.com/typ22w)
HONG KONG ECONOMIC JOURNAL
-- The construction cost of the third runway at the Hong Kong airport is set to be inflated due to delays in the project, with the overall cost expected to increase by 50 percent to HK$200 billion ($25.80 billion) from an initial estimate of HK$136.2 billion, according to industry sources.
-- Newspapers publication and printing service firm Next Media Ltd posted a profit of HK$240 million ($30.96 million) for the year ended March 2014, against HK$968 million loss in the previous year.
HONG KONG ECONOMIC TIMES
-- Knitted fabric and yarn producer Texwinca Holdings Ltd said its net profit for the year ended March amounted to HK$668 million, down 9 percent from a profit of HK$734 million in the previous year.
Britain
The Telegraph
CHANGES TO VISA REGIME FOR CHINESE VISITORS 'LACK SUBSTANCE
(http://link.reuters.com/rup22w)
Home Secretary Theresa May has extended a pilot scheme that allows Chinese tour operators to use the European Schengen form to also apply for UK visas but her announcement failed to spark enthusiasm from business leaders
MYSALE IPO CHAOS AFTER LISTING PRICE COCK-UP
(http://link.reuters.com/sup22w)
MySale, the Australian fashion website backed by Sir Philip Green, has slumped on its stock market debut with traders blaming a listing price mistake.
The Guardian
POUND HITS FIVE-YEAR HIGH AGAINST DOLLAR AND EURO
(http://link.reuters.com/tup22w)
The pound climbed to a near five-year high against the dollar as markets reacted to the prospect of an interest rate hike before Christmas.
EUROZONE INFLATION DROPS TO FIVE-YEAR LOW OF 0.5 PCT
(http://link.reuters.com/vup22w)
Official data for the Eurozone -the 18-member currency zone - showed prices rose by just 0.5 percent, supporting concerns that consumers remain wary of spending while the economy appears weak.
The Times
BANK SETS COURSE FOR EARLY INTEREST RATE RISE
(http://link.reuters.com/cyp22w)
An early rise in interest rates has been all but confirmed after the most doveish of the Bank of England's nine policymakers revealed yesterday that he expects to vote for an increase by May.
GAS PRICES SOAR AS RUSSIA-UKRAINE DISPUTE THREATENS SUPPLIES
(http://link.reuters.com/dyp22w)
The prospect of an imminent cut in British household energy bills has been scuppered after Russia cut off gas supplies to Ukraine, triggering fears of a European energy crisis.
The Independent
LONG YEARS OF OIL PRICE STABILITY ARE AT RISK, BP'S TOP ECONOMIST WARNS
(http://link.reuters.com/fyp22w)
Escalating violence in Iraq threatens to unleash an oil price spike that would put an end to the greatest period of price stability for nearly half a century, BP's chief economist has warned.
Fly On The Wall 7:00 AM Market Snapshot
ECONOMIC REPORTS
Domestic economic reports scheduled today include:
Consumer Price Index for May at 8:30--consensus up 0.2% for the month
Housing starts for May at 8:30--consensus down 3.9% to 1.03M rate
Housing permits for May at 8:30--consensus down 0.9% to 1.05M rate
ANALYST RESEARCH
Upgrades
Apollo Investment (AINV) upgraded to Outperform from Market Perform at Keefe Bruyette
Armstrong World (AWI) upgraded to Conviction Buy from Buy at Goldman
DSW (DSW) upgraded to Buy from Neutral at Goldman
Exelon (EXC) upgraded to Buy from Hold at Jefferies
Expedia (EXPE) upgraded to Positive from Neutral at Susquehanna
Lazard (LAZ) upgraded to Buy from Neutral at UBS
Medtronic (MDT) upgraded to Outperform from Neutral at Credit Suisse
Medtronic (MDT) upgraded to Outperform from Sector Perform at RBC Capital
Medtronic (MDT) upgraded to Overweight from Equal Weight at Morgan Stanley
PSEG (PEG) upgraded to Buy from Hold at Jefferies
Southwest (LUV) upgraded to Buy from Hold at Stifel
Whiting USA Trust (WHZ) upgraded to Neutral from Underperform at RW Baird
Downgrades
Banco Bilbao (BBVA) downgraded to Equal Weight from Overweight at Barclays
Booz Allen (BAH) downgraded to Underperform from Neutral at BofA/Merrill
CRH Plc. (CRH) downgraded to Neutral from Outperform at Exane BNP Paribas
Domino's Pizza (DPZ) downgraded to Underperform from Neutral at BofA/Merrill
Moelis (MC) downgraded to Neutral from Buy at UBS
Ply Gem (PGEM) downgraded to Sell from Neutral at Goldman
Triumph Group (TGI) downgraded to Underperform from Neutral at BofA/Merrill
West Corp. (WSTC) downgraded to Equal Weight from Overweight at Morgan Stanley
Initiations
Absolute Software (ALSWF) initiated with an Outperform at Imperial Capital
Agile Therapeutics (AGRX) initiated with a Buy at Cantor
Agile Therapeutics (AGRX) initiated with an Outperform at RBC Capital
athenahealth (ATHN) initiated with a Buy at Stifel
Aviv REIT (AVIV) initiated with a Neutral at Citigroup
Cobalt (CIE) initiated with a Buy at Brean Capital
DaVita (DVA) initiated with a Neutral at Susquehanna
Dorian LPG (LPG) initiated with an Overweight at JPMorgan
eHealth (EHTH) initiated with a Hold at Stifel
Healthstream (HSTM) initiated with a Hold at Stifel
Heritage Insurance (HRTG) initiated with a Buy at Citigroup
Heritage Insurance (HRTG) initiated with an Outperform at JMP Securities
Medidata Solutions (MDSO) initiated with a Buy at Stifel
NOW Inc. (DNOW) initiated with an Equal Weight at Barclays
Orbitz (OWW) initiated with a Buy at UBS
Parsely Energy (PE) initiated with a Neutral at Goldman
Parsely Energy (PE) initiated with a Neutral at JPMorgan
Parsely Energy (PE) initiated with an Outperform at Wells Fargo
Tetraphase (TTPH) initiated with an Outperform at RW Baird
TherapeuticsMD (TXMD) initiated with an Outperform at JMP Securities
COMPANY NEWS
Shell (RDS.A) said it would reduce its interest in Woodside Petroleum (WOPEY) by 156.5M shares, representing a total estimated value to Shell of around $5B on an after-tax basis
Kindred Healthcare (KND) said it would commence a $14.50 tender offer for Gentiva Health (GTIV); Gentiva urged shareholders to take no action in response to Kindred offer
GM (GM) said it would rework, replace keys on 3.16M U.S. cars, sees charge up to $700M
BlackBerry (BBRY) announced the availability of BBM Protected, a secure messaging app
NY Governor Cuomo signed a bill on pact between automobile dealers and Tesla (TSLA), under which the company will be allowed to keep five currently licensed retail locations
Bob Evans (BOBE) said it would postpone Q4 earnings for material weaknesses
EARNINGS
Companies that beat consensus earnings expectations last night and today include:
Amira Nature Foods (ANFI), Korn/Ferry (KFY)
Steel Dynamics (STLD) sees Q2 EPS 28c-32c, consensus 32c
Straight Path (STRP) reports Q3 EPS 1c vs. (8c) a year ago
Virco (VIRC) reports Q1 EPS (26c), one estimate (27c)
Newell Rubbermaid (NWL) reaffirms outlook for FY14
Kindred Healthcare (KND) reaffirms FY14 EPS view $1.05-$1.25 , consensus $1.16
Amira Nature Foods (ANFI) sees 2015 revenue, adjusted EBITDA up over 20%
Korn/Ferry (KFY) sees Q1 adjusted EPS 37c-43c, consensus 40c
NEWSPAPERS/WEBSITES
BP (BP) to sign $20B long-term LNG contract with China, WSJ reports
Google (GOOG) faces new antitrust accusations in Europe, WSJ reports
Softbank (SFTBF) CEO hopes for more T-Mobile (TMUS) talks after opposition, Reuters says
FireEye (FEYE) under review by Finra ahead of $1B Mandiant acquisition, WSJ reports
Telefonica (TEF) expected to secure EU approval for EUR8.6B E-Plus (KKPNY) bid, Guardian says
Apple (AAPL) prevails in patent suit brought by Golden Bridge, Bloomberg reports
Tesla's (TSLA) Model X on track for production in 2015, TechCrunch reports
Apple (AAPL) to settle civil antitrust suit over e-book pricing, Re/code reports
SYNDICATE
Kindred Healthcare (KND) announces 9M share equity offering
Kona Grill (KONA) files to sell 2M shares of common stock
Marin Software (MRIN) files to sell 1.72M shares for holders
Microvision (MVIS) enters $4.5M at-the-market equity offing with Meyers Associates
NRG Yield (NYLD) files to sell $565M of Class A common stock
QIWI (QIWI) 7.973M share Secondary priced at $40.00
Revance Therapeutics (RVNC) announces proposal to sell 3M shares
Williams (WMB) files to sell $3B of common stock
Average:
0
Your rating: None
Pre Market Movers
Top Gaining Stocks
Price %Change
GWPH GW Pharmaceutical... 84.00 8.74%
EW Edwards Lifescien... 82.85 5.62%
REDF Rediff.com India ... 3.79 4.70%
JDST Direxion Daily Jr... 17.98 4.60%
YGE Yingli Green Ener... 3.68 4.55%
ADUS Addus Homecare Co... 23.00 4.36%
SOL Renesola Ltd. Ads... 2.76 3.37%
DSW Dsw A 28.26 3.21%
NUAN Nuance Communicat... 19.35 3.14%
EXPR Express 16.95 3.04%
OREX Orexigen Therapeu... 6.48 3.02%
MDT Medtronic Inc. 61.28 2.08%
MY China Ming Yang W... 3.63 1.97%
SSLT Sesa Sterlite Lim... 19.52 1.93%
EXPE Expedia Inc 76.00 1.90%
MU Micron Technology... 32.45 1.69%
CIE Cobalt Internatio... 18.99 1.66%
ENTA Enanta Pharmaceut... 41.95 1.57%
COV Covidien 88.03 1.48%
YY YY Inc. 71.10 1.47%
Top Losing Stocks
Price %Change
CALL magicjack Vocalte... 13.71 -5.97%
JNUG Direxion Daily Jr... 20.87 -5.82%
NRO Neuberger Berman ... 4.66 -5.09%
NQP Nuveen Pennsylvan... 13.14 -4.64%
SHLO Shiloh Industries... 18.18 -4.62%
ITM Market Vectors In... 22.12 -4.20%
NUGT Direxion Daily Go... 33.82 -3.51%
IAG Iamgold Corp. 3.82 -3.29%
SHPG Shire Plc (jersey... 185.22 -3.08%
YPF Ypf S.a. Ads 28.25 -2.59%
BLUE bluebird bio Inc.... 33.63 -2.41%
ABGB Abengoa S.a. Adr ... 27.33 -2.39%
BT BT Group Plc Ads ... 64.36 -2.37%
SGEN Seattle Genetics ... 39.60 -2.10%
DJP Barclays ipath DJ... 38.65 -2.08%
MORL Ubs AG 22.28 -1.98%
ACHN Achillion Pharmac... 7.67 -1.92%
STO Statoil Asa Ads 31.28 -1.79%
QIWI Qiwi plc 40.95 -1.61%
YONG Yongye Internatio... 6.85 -1.44%
Read more at http://thestockmarketwatch.com/markets/pre-market/#bjUBGzKbgdIuqbah.99
Futures +18
horse lessons this morning
good morning
2 at 6.37 only activity on those
$OPEN $PCLN $INTC $YELP $EXPR $TWTC $FNSR $OMED On The Fly: Closing Wrap: Full Story http://bit.ly/1pUxwnA
Trading Radar: Iraq News, Fed Meeting Speculation To Dominate the Week $FDX $ORCL $ADBE $DRI $KR http://shar.es/PyLq4 via @minyanville
TRADER RADAR FOR WEEK OF 6/16 to 6/20 ECONOMIC and EARNINGS
Monday, June 16
US Economics (Time Zone: EST)
08:30 Empire Manufacturing, June, exp. 15, prior 19.01
09:00 Net Long-Term TIC Flows, Apr., exp. $30b, prior $4b
09:15 Industrial Production m/m, May, exp. 0.5%, prior -0.6%
09:15 Capacity Utilization, exp 78.9%, prior 78.6%
10:00 NAHB Housing Market Index, June, exp. 47, prior 45
11:00 Fed to purchase $2.25b-$3b notes in 4-5 year range
11:30 Treasury to sell $25b 3-month bills and $23b 6-month bills
Global Economics (Time Zone: GMT)
09:00 EUR Euro-Zone CPI (MAY final)
Earnings
No major reports scheduled
Tuesday, June 17
US Economics (Time Zone: EST)
Fed two-day FOMC meeting opens
08:30 Consumer Price Index YoY, May, exp. 2.0%, prior 2.0%
08:30 CPI Ex Food & Energy YoY, exp 1.8%, prior 1.8%
08:30 Housing Starts, May, exp. 1.040m, prior 1.072m
08:30 Building Permits, exp 1.050m, prior 1.080m
11:00 Fed to purchase $850m-$1.1b bonds in 22-30 year range
Global Economics (Time Zone: GMT)
08:30 GBP CPI & Retail Price Index (MAY)
09:00 EUR Euro-Zone ZEW Survey (JUN)
Earnings
After
Bob Evans Farms (BOBE)
Adobe Systems (ADBE)
Wednesday, June 18
US Economics (Time Zone: EST)
07:00 MBA Mortgage Applications
08:30 Current Account Balance, 1Q, exp. -$96.6b, prior -$81.1b
2:00 FOMC Rate Decision
2:30 Yellen to hold news conference
Global Economics (Time Zone: GMT)
NZD Current Account Balance (1Q)
JPY Trade Balance (MAY)
AUD Conference Board Leading Index (APR)
08:30 GBP Bank of England Minutes
09:00 EUR Euro-Zone Construction Output (APR)
Earnings
Before:
Fedex (FDX)
Thursday, June 19
US Economics (Time Zone: EST)
08:30 Initial Jobless Claims, June 14, exp. 314k, prior 317k
08:30 Continuing Claims, exp 2600k, prior 2614k
10:00 Philadelphia Fed, June, exp. 14, prior 15.4
10:00 Leading Index, May, exp 0.6%, prior 0.4%
11:00 Fed to purchase $2.25b-$2.75b notes in 7 to 10 year range
13:00 Treasury to sell $7b 30-year TIPS in reopening
Global Economics (Time Zone: GMT)
NZD GDP (1Q)
04:30 JPY All Industry Activity Index (APR)
05:00 JPY Leading Index (APR F)
07:30 CHF Swiss National Bank Rate Decision (JUN)
08:30 GBP Retail Sales (MAY)
Earnings
After:
Oracle (ORCL)
Smith & Wesson (SWHC)
Kroger (KR)
Rite Aid (RAD)
Friday, June 20
US Economics (Time Zone: EST)
No major reports scheduled
Global Economics (Time Zone: GMT)
01:00 NZD ANZ Consumer Confidence (JUN)
12:30 CAD Retail Sales (APR)
12:30 CAD CPI (MAY)
14:00 EUR Euro-Zone Consumer Confidence (JUN)
Earnings
Before
CarMax (KMX)
Darden Restaurants (DRI)
Read more: http://www.minyanville.com/business-news/markets/articles/bank-of-england-iraq-oil-production/6/13/2014/id/55297#ixzz34YH0PS71
I see I'm not missing much from ihub....
hi stuffie!....just not getting up in time for market open...
been here a bit, but not really....
all is ok....
seems I have less time since the girls are older now....
and then when they get a bit older I will have more time because they will not want to hang out with me!!!!
I need to review your board....
catch up on market stuff...
I hope all is well with you!
double date! even better....!
a book....now that's a thought....I usually catch up on all the books by James Patterson, John Grisham during the summer....not sure if I will be able to this summer!
kids are bigger and have me running!!!
edit: tmi for a public board!
how fun!!!.....that sounds like a great time...
hotel + going out + concert....really neat!
can't wait for Vegas myself....
Girls got out this week....been out doing things w/them....now some of their friends are still here from spending the night....
they are on my computers.....snagged a laptop and I'm at the dining table....
omg...
takes me a bit to get use to the new routine with them.....
frontrunning:
Inside the White House's decision to free Bergdahl (Reuters)
Dimon’s Raise Haunts BNP Paribas as U.S. Weighs $10 Billion Fine (BBG)
Jobs Are on the Line as Banks' Revenue Slides (WSJ)
Wall Street Adjusts to the New Trading Normal (WSJ)
Nothing like objective, intense probes: GM recall probe to clear senior execs, finds no concerted coverup (Reuters)
ECB ready to cut rates and push banks into lending to boost euro zone economy (Reuters)
China Should Resist Further Stimulus, IMF Says (BBG)
Carney Finds Ally in Draghi as Key Rate Kept at 0.5% (BBG)
Assad wins Syria election with 88.7 percent of votes (Reuters)
Florida facing threat from two mosquito-borne diseases (Reuters)
As IPO nears, Alibaba prepares employees for $40 billion windfall (Reuters)
Overnight Media Digest
WSJ
* Slammed by declining revenue, the trading businesses inside the biggest global investment banks are expected to suffer job losses that could run into the thousands by the end of the year. The culprit: a persistent gap between revenue and employment. (http://r.reuters.com/suh89v)
* An internal probe of General Motors Co's delay in recalling cars with defective ignition switches linked to at least 13 deaths is expected to conclude there was no concerted coverup and clear senior management of blame. (http://r.reuters.com/qah89v)
* The prospect of massive penalties for allegedly violating U.S. sanctions has sparked a debate within BNP Paribas SA's executive suites over whether top officials, including the French bank's chairman, should resign. (http://r.reuters.com/keg89v)
* Sprint Corp and T-Mobile US Inc have agreed on the broad outlines of a merger valuing T-Mobile at around $32 billion, as recent regulatory developments convinced executives at both telecommunications companies that they have an opening to get a deal approved. (http://r.reuters.com/vuh89v)
* A planned $50 billion merger between cement giants Holcim Ltd of Switzerland and Lafarge SA of France still faces significant hurdles in Europe as the companies seek to reshape an industry that is already under investigation on several fronts by European Union antitrust authorities. (http://r.reuters.com/nuh89v)
* China's powerful state-run television broadcaster criticized Microsoft Corp's Windows 8 operating system in a national news show on Wednesday, adding to the software maker's challenges in a traditionally tough market. In its widely watched noon news broadcast, China Central Television aired a segment that questioned the operating system's security. (http://r.reuters.com/muh89v)
NYT
* T-Mobile and Sprint have agreed on the terms of a merger deal worth $32 billion. Under the terms of the agreement, which are still preliminary, Sprint would acquire T-Mobile for about $40 a share in cash and stock, a 17 percent premium to Wednesday's price. (http://r.reuters.com/zeh89v)
* H Lee Scott, who was Walmart's chief executive when widespread bribery charges surfaced against Walmart de México, will retire from the board this month. Come July, almost all top executives who held critical positions when corruption scandals engulfed the company's international division will no longer be with the company - but no departure has been cited by Walmart as a way to clean house after those scandals. (http://r.reuters.com/guh89v)
* A federal appeals court on Wednesday overturned Judge Jed Rakoff's decision in 2011 to reject an S.E.C. settlement deal with Citigroup, undercutting the judge's concerns that the bank got off with little more than a slap on the wrist. (http://r.reuters.com/juh89v)
* Yuri Victor, a designer and developer at Vox Media, who was streaming a television show on Netflix noticed an on-screen message from the company blaming Verizon for congestion that was slowing the stream. The message read "The Verizon network is crowded right now. Adjusting video for smoother playback." Netflix said on Wednesday that the message was simply a way the company is testing for notifying its customers about how their viewing experience is affected by their Internet service provider's network. To Verizon, the whole thing is little more than "a P.R. stunt," a company blog post said. (http://r.reuters.com/quh89v)
* General Motors on Thursday will release the results of its three-month internal investigation into the events leading up to this year's recall of 2.6 million small cars with defective ignition switches. (http://r.reuters.com/ruh89v)
Canada
THE GLOBE AND MAIL
* Heavily armed Royal Canadian Mounted Police officers searched through the night for a gunman suspected of killing three mounted police personnel and wounding two others in Moncton, New Brunswick, as police asked residents in a large section of the city to stay indoors. (http://r.reuters.com/nyj89v)
* Toronto Mayor Rob Ford breached public trust when he and his brother, Councillor Doug Ford, helped a prominent printing firm lobby city staff for contracts without disclosing that the Ford family label company was also trying to do business with the printing firm, said Mr. Ford's two main rivals in the municipal election. (http://r.reuters.com/hak89v)
Reports in the business section:
* May appears to have been a relatively strong month for Canadian housing sales, based on preliminary data released by local real estate boards. Many banks had mortgage promotions during the month in an effort to lure home buyers off the sidelines as unusually frigid weather kept activity down in the early months of the year. (http://r.reuters.com/syj89v)
NATIONAL POST
* The family of a pregnant American woman, who went missing in Afghanistan in late 2012 with her Canadian husband, received two videos last year in which the couple asked the U.S. government to help free them from Taliban captors, The Associated Press has learned. (http://r.reuters.com/vyj89v)
* Salman Ashrafi, a suicide bomber who attacked an Iraqi army base last November, was a Calgary business analyst and had disappeared after his wife divorced him, friends said on Wednesday amid rising concerns about the flow of Canadians to overseas terror groups. (http://r.reuters.com/wyj89v)
FINANCIAL POST
* Torontonians who can barely wrap their minds around a housing market where $1 million is the average price for a detached home might want to take notice of a new fast-approaching benchmark. Data released by the Toronto Real Estate Board on Wednesday shows there were 461 detached home sales for more than $2-million through its Multiple listing Service system in the first five months of the year. (http://r.reuters.com/zyj89v)
* Maple Leaf Foods Inc Chief Executive Michael McCain put takeover speculation to rest on Wednesday as industry watchers eye the U.S. bidding war currently under way for Hillshire Brands Co. (http://r.reuters.com/bak89v)
China
CHINA SECURITIES JOURNAL
- China's western Gansu province is set to be the pilot testing ground for the "one belt, one road" programme, a national strategy aiming to improve integration among the countries along the traditional silk road, sources told the paper.
- China will prioritise safety and environmental protection, as well as energy security, in the development of its petrochemical industries, the central government said at a conference on Wednesday.
CHINA BUSINESS NEWS
- China's property market has not reached a turning point and so far no local government has cancelled the property-purchasing limitation policy, a senior economist at China's housing authority said in a press conference on Wednesday.
CHINA DAILY
- Only three out of 27 cities in China met air quality standards last year, according to a government report on the country's environment. China suffers high levels of air, water and soil pollution, which has become a focus for Xi Jinping's government.
- More than 1,800 people in China have signed an online petition to U.S. fast-food chain McDonald's Corp, asking the firm to boost store security after a woman was beaten to death at an outlet in eastern China last week.
SHANGHAI DAILY
- Overall spending in China's entertainment and media sector is set to hit $214 billion in 2018, growing at close to 11 percent each year, according to a report from PricewaterhouseCoopers (PwC).
PEOPLE'S DAILY
- The economic and social development of Xinjiang, China's restive western province, should focus on improving the living standards and promoting the national identity of the region's people, the paper, which acts as a party mouthpiece, said in an editorial.
Britain
The Telegraph
MONITISE APPOINTS JOINT CHIEF EXECUTIVE TO DELIVER AMBITIOUS EXPANSION PLAN
Monitise, the AIM-listed payments technology company, has taken the unusual step of appointing a co-chief executive as it attempts to deliver on ambitious expansion targets. (http://link.reuters.com/jug89v)
The Guardian
MANAGEMENT CHANGES AT AILING MORRISONS COULD SEE 2,000 JOBS AXED
Morrisons is set to reveal a management restructuring in its stores within weeks that could lead to as many as 2,000 job losses. The move, resulting from trials of three possible slimmed-down management structures in around seven of its new stores, is likely to affect managers overseeing product categories such as fresh food or non-food across the chain's 500 stores, according to industry insiders. (http://link.reuters.com/bug89v)
DESMOND TUTU TELLS G4S TO STOP SUPPLYING TO ISRAEL PRISONS
South African retired archbishop and Nobel peace laureate Desmond Tutu will lead protesters on Thursday campaigning against British security firm G4S's role in maintaining prisons and detention centres in the West Bank and Israel. (http://link.reuters.com/qug89v)
TESCO SUFFERS WORST SALES FOR DECADES
The pressure has increased on Tesco Chief Executive Philip Clarke after he revealed the supermarket's worst sales performance in decades, despite spending over 1 billion pounds ($1.68 billion) on store revamps and price cuts in a fightback against discounters such as Aldi and Lidl. (http://link.reuters.com/hug89v)
The Times
PENNON DISAPPOINTS ON FUTURE OF DIVIDENDS
Investors punished Pennon yesterday after the FTSE-250 group gave little clarity on what its dividends will look like over the next five years and how strong the recovery will be in its waste business, Viridor. (http://link.reuters.com/kug89v)
LET'S KEEP BRITAIN MOTORING, SAY BUSINESS CHIEFS
Business called on the government to make good on its promise to make Britain the best place to start, build and run a company after the Queen set out the parliamentary agenda for the last time before the general election. (http://link.reuters.com/mug89v)
The Independent
BANKS MAY HAVE COST PPI VICTIMS AN EXTRA 1 BLN STG IN PENALTIES
Major banks and credit card companies may have cost victims of the payment protection insurance scandal an extra 1 billion pounds by refusing to refund charges and penalties triggered by the premiums paid for the mis-sold policies, according to a BBC investigation. (http://link.reuters.com/nug89v)
HOW PRIVATE FIRMS MAKE QUICK KILLING FROM PFI
Private contractors have pocketed hundreds of millions of pounds of profits in the past four years by exploiting deals that were controversially awarded to them by the last Labour government. (http://link.reuters.com/pug89v)
Fly On The Wall 7:00 AM Market Snapshot
ECONOMIC REPORTS
Domestic economic reports scheduled today include:
Chain store sales
Challenger job-cut report @ 7:30am
Jobless claims @ 8:30am -- consensus 310,000
EIA Nautral Gas Report @ 10:30am
Fed Balance Sheet & Money Supply @ 4:30pm
ANALYST RESEARCH
Upgrades
Abraxas Petroleum (AXAS) upgraded to Buy from Neutral at SunTrust
Bankrate (RATE) upgraded to Outperform from Sector Perform at RBC Capital
Broadcom (BRCM) upgraded to Equalweight from Underweight at Barclays
Clovis (CLVS) upgraded to Buy from Hold at Stifel
Discovery (DISCA) upgraded to Overweight from Neutral at Atlantic Equities
lululemon (LULU) upgraded to Neutral from Underperform at Sterne Agee
Microsoft (MSFT) upgraded to Outperform from Market Perform at FBR Capital
National Bank of Greece (NBG) upgraded to Buy from Hold at Deutsche Bank
Verint Systems (VRNT) upgraded to Outperform from Neutral at Credit Suisse
Downgrades
BHP Billiton (BHP) downgraded to Sector Perform from Outperform at RBC Capital
Coca-Cola Femsa (KOF) downgraded to Neutral from Buy at Goldman
Life Time Fitness (LTM) downgraded to Neutral from Overweight at Piper Jaffray
Protective Life (PL) downgraded to Equalweight from Overweight at Barclays
Initiations
Cardtronics (CATM) initiated with an Outperform at Wells Fargo
Endocyte (ECYT) initiated with a Neutral at Citigroup
Gap (GPS) initiated with a Neutral at Wedbush
National Oilwell (NOV) reinstated with an Outperform at Credit Suisse
Neogen (NEOG) initiated with a Market Perform at William Blair
Whirlpool (WHR) initiated with a Buy at Sterne Agee
Whole Foods (WFM) initiated with an Outperform at Imperial Capital
COMPANY NEWS
Halozyme Therapeutics (HALO) said the FDA removed the clinical hold on patient enrollment and dosing of PEGPH20 in the ongoing Phase 2 trial
Abraxas Petroleum (AXAS) raised its FY14 production guidance to 5,500-5,700 Boepd
Costco (COST) reported May SSS up 6%
Verizon (VZ) struck back at Netflix (NFLX) for 'PR stunt'
PVH Corp (PVH) lowered FY14 EPS view to $7.30-$7.40 from $7.40-$7.50 on revenue of $8.5B and forecast Q2 EPS $1.40-$1.45 on revenue of $2B
Verint Systems (VRNT) reported better than expected Q1 results and raised FY15 guidance
EARNINGS
Companies that beat consensus earnings expectations last night and today include:
Joy Global (JOY), Verint Systems (VRNT), Five Below (FIVE), RealD (RLD)
Companies that missed consensus earnings expectations include:
Greif (GEF), K2M Group (KTWO), PVH Corp. (PVH), Bazaarvoice (BV)
Companies that matched consensus earnings expectations include:
Vince Holding (VNCE)
NEWSPAPERS/WEBSITES
General Motors (GM) recall probe to clear senior executives, WSJ reports
Sprint (S) agrees to purchase T-Mobile (TMUS) for about $40 per share, Reuters says
Amazon (AMZN) said to plan smartphone to compete with Apple (AAPL), Bloomberg reports
Twitter (TWTR) weighed bid for Pandora (P), Spotify, FT says
Vevo (VIVHY, GOOG, SNE) could be worth close to $1B, Business Insider reports (AMZN, YHOO, LMCA, DWA)
Microsoft's (MSFT) Window mobile devices to sell below $200 this year, WSJ reports
Pandora (P) still looks pricey, Barron's says
SYNDICATE
Novavax (NVAX) files to sell $100M of common stock
Spirit AeroSystems (SPR) 8.17M share Spot Secondary priced at $32.45
TC PipeLines (TCP) files to sell $200M of common units representing limited partners
Trina Solar (TSL)files to sell 8.8M American Depositary Shares
Average:
5
Your rating: None Average: 5 (1 vote)
DJIA +91
good afternoon
that will be fun!
last day of school!!!! time for summer vacation!!!
frontrunning:
At least 74 dead in crashes similar to those GM linked to faulty switches (Reuters)
Obama Calls for $1 Billion Europe Security Fund; Will Increase U.S. Military Presence in Eastern Europe (WSJ)
Euro Inflation Slowing More Than Forecast Pressures ECB (BBG)
China accelerates as euro zone stumbles (Reuters)
Russia says Ukraine situation worsening, submits U.N. resolution (Reuters)
Secondary Sales Squeeze Investors (WSJ)
Barclays Said to Start Cutting Jobs in Investment Banking Unit (Bloomberg)
Backlash Grows on Release of Sgt. Bowe Bergdahl in Taliban Prisoner Swap (WSJ)
For fallen soldiers' families, Bergdahl release stirs resentment (Reuters)
PIMCO's Gross stares at record outflow (Reuters)
China Builds Sulawesi Smelters as Ore Ban Cuts Jobs (BBG)
Toilet Shortage Fuels India Rape as Women Are Prey (BBG)
Bank of America Says Mistake Inflated Reported Size of Dark Pool (BBG)
Six shot at Chicago laundry facility (Reuters)
Norway Oil Riches at Stake as Political Brinkmanship Rules (BBG)
Ex-Bankers Upgrade the Good Life as Violin Pools Beckon (BBG)
Overnight Media Digest
WSJ
* The Phoenix VA Health Care System, at the heart of the crisis at the Department of Veterans Affairs, is among a number of VA hospitals that show significantly higher rates of mortality and dangerous infections than the agency's top-tier hospitals, internal records show. (http://r.reuters.com/xus79v)
* Two years after three major book publishers settled a major civil antitrust lawsuit with the federal government, the Justice Department has gone back to the publishers asking about any recent pricing discussions they may have had with others in the industry, say people familiar with the situation. (http://r.reuters.com/mes79v)
* New federal caps on carbon emissions unveiled by the Environmental Protection Agency on Monday would force sweeping changes in the U.S. electric system but wouldn't deliver the knockout blow to coal that mining companies and some power producers had feared. The proposed regulations give both states and utilities credit for reductions they already have made, including moving from coal to more natural gas and deploying renewable energy. (http://r.reuters.com/cus79v)
* Pilgrim's Pride Corp raised its offer for Hillshire Brands Co by more than $1 billion, according to people familiar with the matter. The new offer from Pilgrim's, a unit of Brazilian meat giant JBS SA, values the Chicago-based meats and desserts company at $55 a share, or more than $6.7 billion. (http://r.reuters.com/mur79v)
* United States Steel Corp said it would temporarily close plants in Texas and Pennsylvania and blamed illegally-priced imports, raising the volume on trade disputes with China and South Korea. The steel-maker's decision to close its plants will affect 260 workers. (http://r.reuters.com/fus79v)
* A dozen companies including Google Inc, J. Crew Group Inc, and Deere & Co acknowledged they or their suppliers may have obtained metals from mines in a region known to use mining to fund armed militias, according to filings with the Securities and Exchange Commission. (http://r.reuters.com/jus79v)
* The Pentagon on Monday awarded Lockheed Martin Corp a $915 million contract for the first phase of its Space Fence, a radar system that would track more of the fast-growing field of debris in space that threatens satellites and manned spacecraft. (http://r.reuters.com/pus79v)
* Live Nation Entertainment Inc's Ticketmaster agreed to a tentative settlement in a 2003 class action lawsuit that, if approved, would offer to issue roughly $400 million in credit to 50 million ticket buyers. (http://r.reuters.com/rus79v)
* Activist investor William Ackman and Valeant Pharmaceuticals International Inc shifted their strategy yet again as they looked to pressure Allergan Inc on Monday to succumb to a $52.7 billion takeover. Ackman will now seek a more definitive vote to throw out a majority of Allergan's board. (http://r.reuters.com/zus79v)
* The U.S. Supreme Court on Monday declined to make it easier to hold companies liable for encouraging others to commit patent infringement. The ruling, which came in patent litigation between Internet services companies Akamai Technologies Inc and Limelight Networks Inc restored prior legal rules that were loosened when a U.S. appeals court sided with Akamai in 2012. (http://r.reuters.com/cys79v)
* Patients with the skin cancer melanoma, who received drugs from Bristol-Myers Squibb Co and Merck & Co Inc , have survived longer than other cancer patients. Doctors say the outcomes were impressive because until recently, most patients with advanced melanoma could be expected to live for less than a year. (http://r.reuters.com/fys79v)
* The Federal Reserve is hiring Thomas Sullivan, who served as Connecticut Insurance Commissioner during the financial crisis, to lead its oversight of big insurance firms. Sullivan will lead oversight of some of the nation's largest insurers and represent the Fed in global discussions about rules for the industry. (http://r.reuters.com/gys79v)
FT
U.S. private equity firm KKR & Co LP has shuttered its $510 million equities hedge fund a mere three years after roping in a group of former Goldman Sachs proprietary traders to run it.
European private equity firms Montagu and Astorg are to buy back French diagnostics company Sebia four years after selling it to private equity group Cinven, highlighting a scarcity of buyout opportunities in Europe.
British interdealer broker Tullett Prebon is in advanced talks to appoint a successor to Chief Executive Terry Smith. Former Nomura and Lehman Brothers executive John Phizackerley is the leading contender, two sources said.
Bank of America Merrill Lynch has poached UK banking industry veteran Tim Waddell from rival UBS to be its new vice-chairman of global corporate and investment banking for Europe, the Middle East and Africa.
Global security company G4S is under further pressure after a British government-funded watchdog agreed to investigate its activities in Israel and the occupied Palestinian territories.
NYT
* Enormous amounts of capital investment - up to $2.5 trillion a year - will be needed to supply the world's energy needs through 2035, according to a report released Monday by the International Energy Agency, the intergovernmental organization based in Paris. And even that amount of investment would not eliminate many of the issues the industry faces. (http://r.reuters.com/ves79v)
* Facing the prospect of a guilty plea in the United States, the giant French bank BNP Paribas SA, which is suspected of doing business with Sudan and other countries blacklisted by the United States, has enlisted the support of a powerful ally: its own government, including top regulators and even the French president. (http://r.reuters.com/ces79v)
* From the moment it was announced, the $53 billion joint bid for Allergan, the maker of Botox, made by Valeant Pharmaceuticals and the hedge fund manager William Ackman, was highly unconventional. In the last week, the joint bid has evolved from an already unusual deal into one of the most confounding takeover attempts in recent memory. (http://r.reuters.com/ses79v)
* Pilgrim's Pride has raised its takeover bid for Hillshire Brands to $55 a share, people briefed on the matter said, turning up the heat in a battle over the maker of Jimmy Dean Sausages and Ball Park hot dogs. (http://r.reuters.com/kes79v)
* The Subway restaurant chain is taking a foot-long approach to original online video programming, sponsoring a second web series and considering a renewal for its first entry into the growing field. Subway is to announce on Tuesday that it will sponsor an original scripted web comedy series called "Summer With Cimorelli," featuring six singing sisters whose pop music has become popular through YouTube. (http://r.reuters.com/wes79v)
* Authorities in China have made Google Inc's services largely inaccessible in recent days, a move most likely related to the government's broad efforts to stifle discussion of the 25th anniversary of the crackdown on pro-democracy demonstrators in Tiananmen Square on June 3 and 4, 1989. In addition to Google's search engines being blocked, the company's products, including Gmail, Calendar and Translate, have been affected. (http://r.reuters.com/sus79v)
* The Seattle city council went where no big-city lawmakers have gone before on Monday, raising the local minimum wage to $15 an hour, more than double the federal minimum, and pushing Seattle to the forefront of urban efforts to address income inequality.(http://r.reuters.com/nus79v)
Canada
THE GLOBE AND MAIL
* The union representing Ontario's provincial police has released two ads targeting Progressive Conservative Leader Tim Hudak, a first in its 60-year history. The 15-second TV ads feature a voice-over saying Hudak will tear up the union's contracts, which would lead to "labor strife and extensive litigation." (http://r.reuters.com/wyt79v)
* Canadian Prime Minister Stephen Harper will leave for Europe this week to discuss the fate of Ukraine. However, he will be dogged by questions over why Ottawa has failed to finalize a multibillion-dollar free-trade agreement Canada and the European Union announced more than seven months ago. (http://r.reuters.com/bav79v)
Reports in the business section:
* Sotheby's International Realty Canada is planning to double its presence in Calgary, a testament to the growing number of luxury properties that are selling in the city. Sotheby's opened its first office in Calgary less than two years ago, with about 20 real estate agents. It now wants to grow its team to close to 60 people. (http://r.reuters.com/cav79v)
NATIONAL POST
* Cities across Canada have launched an effort to preserve door-to-door mail delivery, even as the first cuts loom this fall. Canada Post announced last December that it would phase out door-to-door delivery, bringing in annual savings of $500 million. Since then, over 70 municipalities have joined together in opposing the measure. (http://r.reuters.com/vav79v)
* Canadian Prime Minister Stephen Harper ignored the federal government selection committee's nominee Lisa Campbell and chose Daniel Therrien as the next privacy commissioner. National Democratic Party leader Tom Mulcair has sent a letter to the government warning that Therrien will face conflicts since he helped establish controversial information-sharing arrangements with the United States that the previous privacy commissioner criticized. (http://r.reuters.com/bev79v)
FINANCIAL POST
* Canada and Mexico are working together to boost oil and gas production. A high-level delegation from Mexico was in Calgary on Monday to invite Canadian companies to take advantage of its sweeping energy reforms. (http://r.reuters.com/gev79v)
* Sentry Investments Inc has launched a proxy fight to overhaul Timmins Gold Corp's board, a relatively unique situation that experts believe could become more common in the future. Sentry said it is calling for change after Vancouver-based Timmins ignored shareholder requests to allow potential acquirers to conduct due diligence. (http://r.reuters.com/pev79v)
China
SHANGHAI SECURITIES
- The government's decision last Friday to lower the reserve requirement for more banks to shore up China's economic growth does not mean it was easing monetary policy, economists say.
- China's economy growth will not rebound sharply even though it posted over the weekend that its official Purchasing Managers' Index rose to 50.8 in May from April's 50.4, better than the market had expected, analysts say.
CHINA SECURITIES JOURNAL
- The Shanghai Stock Exchange adjusted the components of its main blue-chip stock index, the SSE180, to include 18 new firms, such as the newly listed Shaanxi Coal Industry Co Ltd .
- With another 20 firms publishing their draft share issue prospectuses on the China Securities Regulatory Commission website over the weekend, the total number of companies that have published such prospectuses as part of their initial public offering process has reached 430.
CHINA DAILY
- The persistent existence and rampancy of cult activities in China reveals failures in education and administration, an editorial by this official newspaper said after the murder of a woman at a fastfood restaurant in China last week sparked a national outcry as it was revealed she was beaten to death for refusing to give her telephone number to members of a banned religious group.
SECURITIES TIMES
- China Vanke Co Ltd said a Shenzhen-based financial firm representing 1,320 of Vanke's employees has bought Vanke shares worth a combined 723 million yuan ($116 million) over the past three trading days.
PEOPLE'S DAILY
- Asia must guard against Cold War-like solutions that result in division, and those countries hoping to use military alliances to strike balance should abandon Cold War thinking, a commentary by this ruling Communist Party of China's newspaper said after China, Japan and the United States exchanged harsh words at an Asian Security meeting in Singapore over the weekend.
Britain
* Enormous amounts of capital investment - up to $2.5 trillion a year - will be needed to supply the world's energy needs through 2035, according to a report released Monday by the International Energy Agency, the intergovernmental organization based in Paris. And even that amount of investment would not eliminate many of the issues the industry faces. (http://r.reuters.com/ves79v)
* Facing the prospect of a guilty plea in the United States, the giant French bank BNP Paribas SA, which is suspected of doing business with Sudan and other countries blacklisted by the United States, has enlisted the support of a powerful ally: its own government, including top regulators and even the French president. (http://r.reuters.com/ces79v)
* From the moment it was announced, the $53 billion joint bid for Allergan, the maker of Botox, made by Valeant Pharmaceuticals and the hedge fund manager William Ackman, was highly unconventional. In the last week, the joint bid has evolved from an already unusual deal into one of the most confounding takeover attempts in recent memory. (http://r.reuters.com/ses79v)
* Pilgrim's Pride has raised its takeover bid for Hillshire Brands to $55 a share, people briefed on the matter said, turning up the heat in a battle over the maker of Jimmy Dean Sausages and Ball Park hot dogs. (http://r.reuters.com/kes79v)
* The Subway restaurant chain is taking a foot-long approach to original online video programming, sponsoring a second web series and considering a renewal for its first entry into the growing field. Subway is to announce on Tuesday that it will sponsor an original scripted web comedy series called "Summer With Cimorelli," featuring six singing sisters whose pop music has become popular through YouTube. (http://r.reuters.com/wes79v)
* Authorities in China have made Google Inc's services largely inaccessible in recent days, a move most likely related to the government's broad efforts to stifle discussion of the 25th anniversary of the crackdown on pro-democracy demonstrators in Tiananmen Square on June 3 and 4, 1989. In addition to Google's search engines being blocked, the company's products, including Gmail, Calendar and Translate, have been affected. (http://r.reuters.com/sus79v)
* The Seattle city council went where no big-city lawmakers have gone before on Monday, raising the local minimum wage to $15 an hour, more than double the federal minimum, and pushing Seattle to the forefront of urban efforts to address income inequality.(http://r.reuters.com/nus79v)
Fly On The Wall 7:00 AM Market Snapshot
ECONOMIC REPORTS
Domestic economic reports scheduled today include:
Factory orders for April at 10:00--consensus up 0.5%
ANALYST RESEARCH
Upgrades
BRF S.A. (BRFS) upgraded to Buy from Neutral at Goldman
China Mobile (CHL) upgraded to Buy from Neutral at Nomura
Devon Energy (DVN) upgraded to Outperform from Market Perform at Wells Fargo
East West Bancorp (EWBC) upgraded to Overweight from Equalweight at Barclays
LIN Media (LIN) upgraded to Overweight from Equal Weight at Evercore
Synovus (SNV) upgraded to Outperform from Market Perform at Keefe Bruyette
Downgrades
Allergan (AGN) downgraded to Neutral from Outperform at Credit Suisse
Broadcom (BRCM) downgraded to Hold from Buy at Stifel
Centene (CNC) downgraded to Sell from Neutral at Citigroup
Clovis (CLVS) downgraded to Neutral from Buy at Citigroup
Danone (DANOY) downgraded to Sell from Neutral at Goldman
Heineken (HEINY) downgraded to Sell from Neutral at Goldman
TPG Specialty Lending (TSLX) downgraded to Market Perform at Wells Fargo
Initiations
Alcentra Capital (ABDC) initiated with a Market Perform at Keefe Bruyette
Alcentra Capital (ABDC) initiated with a Neutral at RW Baird
Alcentra Capital (ABDC) initiated with an Outperform at Oppenheimer
Applied Materials (AMAT) initiated with a Buy at Jefferies
Devon Energy (DVN) initiated with an Accumulate at KLR Group
Emerge Energy (EMES) initiated with a Buy at Wunderlich
Kroger (KR) initiated with an Outperform at Oppenheimer
Lam Research (LRCX) initiated with a Buy at Jefferies
Lazard (LAZ) initiated with an Outperform at Bernstein
MeadWestvaco (MWV) initiated with a Buy at KeyBanc
Medley Capital (MCC) initiated with a Buy at MLV & Co.
Multimedia Games (MGAM) initiated with a Buy at Stifel
ONE Gas (OGS) initiated with an Underperform at BofA/Merrill
PBF Logistics (PBFX) initiated with a Buy at Citigroup
PBF Logistics (PBFX) initiated with a Buy at UBS
PBF Logistics (PBFX) initiated with an Outperform at Credit Suisse
PBF Logistics (PBFX) initiated with an Overweight at Barclays
RAIT Financial (RAS) initiated with a Buy at MLV & Co.
SuperValu (SVU) initiated with an Outperform at Oppenheimer
COMPANY NEWS
Pilgrim's Pride (PPC) confirmed revised proposal to acquire Hillshire (HSH) at $55 per share
Hillshire Brands (HSH) board authorized discussions with Pilgrim's Pride (PPC), Tyson Foods (TSN), says does not have right to terminate Pinnacle Foods (PF) merger on the basis of either of these proposals
IBM (IBM) disclosed conclusion of SEC investigation regarding cloud revenue, says SEC does not intend to recommend any enforcement action against company
Lockheed Martin (LMT) was awarded a $914.7M Space Fence contract
NPS Pharmaceuticals (NPSP) disclosed in a filing that it has not had any communication with Shire (SHPG) concerning a purported acquisition offer
EARNINGS
Companies that beat consensus earnings expectations last night and today include:
Guidewire (GWRE)
Companies that missed consensus earnings expectations include:
Quiksilver (ZQK)
Companies that matched consensus earnings expectations include:
Krispy Kreme (KKD)
NEWSPAPERS/WEBSITES
Analysis says 74 deaths like those GM (GM) linked to switches, Reuters reports
Goldman (GS) planning to increase the size of its commercial bank and wealth management division, FT reports
Barclays (BCS) said to begin reducing 100 jobs in Asia-Pacific, Bloomberg reports
Humana (HUM) claims Medtronic (MDT) conspired with physicians, WSJ reports
France to stand by BNP (BNPQY) against possible U.S. fine, Reuters says
Marathon Oil (MRO) could jump 20% after unloading Norway assets, Barron's says
SYNDICATE
1347 Property Insurance (PIH) files to sell 2.5M shares of common stock
Berry Plastics (BERY) files to sell 10M shares of common stock for holders
CoStar Group (CSGP) files to sell 2M shares of common stock
CommScope (COMM) files to sell 15M shares of common stock for holders
Nielsen (NLSN) files to sell 20M shares of common stock for holders
Oxygen Biotherapeutics (OXBT) files to sell 5.29M shares for holders
Profire Energy (PFIE) files to sell $17.42M of common stock
Wesco Aircraft (WAIR) files to sell 6M shares of common stock for Carlyle
Average:
0
Your rating: None
Pre Market Movers
Top Gaining Stocks
Price %Change
RNA Prosensa Holding ... 12.25 15.68%
CSUN China Sunergy Co.... 3.65 13.71%
SPEX Spherix Incorpora... 2.03 12.15%
BSAC Banco Santander C... 27.75 10.16%
ONNN ON Semiconductor ... 9.53 10.05%
IDCC Interdigital Inc.... 41.00 9.60%
HSH Hillshire Brands ... 57.95 8.18%
DAL Delta Air Lines 42.72 4.78%
LOGI Logitech Internat... 13.34 3.33%
GWRE Guidewire Softwar... 38.10 3.22%
CISG Cninsure Inc. 7.81 2.90%
TMV Direxion Daily 20... 50.37 2.09%
NBG National Bank of ... 3.65 1.96%
HLF Herbalife 66.00 1.87%
CSRE Csr Plc (cambridg... 40.56 1.83%
TZA Direxion Daily Sm... 17.00 1.74%
VPCO Vapor Corp 5.59 1.63%
RAD Rite Aid 8.43 1.57%
PE Parsley Energy In... 24.70 1.56%
BX Blackstone Group ... 31.69 1.54%
Top Losing Stocks
Price %Change
ZQK Quiksilver Inc. 3.73 -35.58%
KKD Krispy Kreme Doug... 16.70 -12.11%
FOXA 21st Century Fox... 32.78 -7.77%
AAN Aarons Inc. 31.00 -5.94%
AEIS Advanced Energy I... 18.00 -5.26%
VNQ Vanguard Reit Etf... 71.17 -5.01%
MPEL Melco Crown Enter... 34.00 -4.49%
BAGL Einstein Noah Res... 14.75 -4.03%
CLVS Clovis Oncology I... 46.01 -3.64%
GOOD Gladstone Commerc... 16.93 -3.42%
VTNR Vertex Energy Inc... 10.23 -3.03%
YGE Yingli Green Ener... 3.06 -2.55%
CQP Cheniere Energy P... 33.15 -2.50%
NQ NQ Mobile 7.50 -2.47%
DG Dollar General 52.97 -2.45%
WYNN Wynn Resorts Ltd ... 213.01 -2.30%
LVS Las Vegas Sands 75.77 -2.14%
ABGB Abengoa S.a. Adr ... 23.61 -1.99%
BBL Bhp Billiton Plc ... 62.11 -1.94%
RDY Dr. Reddys Labora... 40.00 -1.91%
Read more at http://thestockmarketwatch.com/markets/pre-market/#CFMjTtVuOZjLHbq4.99
data:
Motor Vehicle Sales[Report][djStar]
ICSC-Goldman Store Sales
[Report][Bullet7:45 AM ET
Gallup US ECI
[Bullet8:30 AM ET
Redbook
[Bullet8:55 AM ET
Factory Orders
[Report][djStar]10:00 AM ET
4-Week Bill Auction
[Bullet11:30 AM ET
Esther George Speaks
1:50 PM ET
Futures -36
good morning
Unstoppable $100 Trillion Bond Market Renders Models Useless (BBG)
Afghan president fumes at prisoner deal made behind his back (Reuters)
Spain to Unveil $8.6 Billion Stimulus Package (AP)
Obama to Urge European Allies to Stay Tough on Russia (WSJ)
How fracking helps America beat German industry (Reuters)
Frenchman 'admits' Brussels shooting in video (AFP)
Heloc Payment Jump to Take Bite Out of Consumer Spending (WSJ)
Obama Said to Propose Deep Cuts to Power-Plant Emissions (BBG)
Lehman Lesson Lost as Bank Lobby Gains Clout (BBG)
WSJ reports that WSJ reporting on Icahn insider trading probe may have killed it (WSJ)
U.S. would face hurdles bringing case against Icahn, Mickelson (Reuters)
For World Cup, Betting Flows Through Banker-Turned-Bookie (BBG)
KKR liquidates former Goldman Sachs traders-run hedge fund (Reuters)
McDonald's murder in China sparks outrage (Reuters)
Investors Rewarded for Trek Into Little Known Markets (WSJ)
Thai oil tanker recovered, cargo taken by hijackers (Reuters)
Google Invests in Satellites to Spread Internet Access (WSJ)
U.K. Mortgage Approvals Drop as Housing Boom Cools (BBG)
Overnight Media Digest
WSJ
* The Environmental Protection Agency will propose a draft rule on Monday seeking a 30 percent reduction in carbon dioxide emissions by 2030 from existing power plants based on emission levels from 2005, according to two people who have been briefed on the rule. (http://r.reuters.com/vem79v)
* News of the insider-trading probe of investor Carl Icahn, golfer Phil Mickelson and sports bettor William "Billy" Walters has derailed government efforts to secretly deploy wiretaps, which have been key components of many successful insider-trading cases. Criminal and civil investigators are examining whether Icahn tipped Walters about his plans relating to stocks of several companies, including Clorox Co, according to people briefed on the probe. (http://r.reuters.com/wem79v)
* Hillshire Brands Co Chief Executive Sean Connolly is weighing escalating bids from two of the world's biggest meat companies Tyson Foods Inc and Pilgrim's Pride Corp , a unit of Brazilian meat giant JBS SA. Tyson's $6.1 billion offer - topping Pilgrim's offer of $5.5 billion - values the Chicago-based company at 35 percent above its share price before the bids. (http://r.reuters.com/num79v)
* On Friday Time Inc will become a stand-alone public company as its spinoff from Time Warner Inc is completed. It is going out on its own at a brutal time for print media, as advertisers have shifted spending to online media. Time Inc's ad revenue fell 6 percent between 2011 and 2013, while circulation revenue fell 11 percent, bringing total revenue down 8.8 percent to $3.35 billion. (http://r.reuters.com/qum79v)
* Google Inc plans to spend more than $1 billion on a fleet of satellites to extend Internet access to unwired regions of the globe, people familiar with the project said. Details remain in flux, but the project will start with 180 small, high-capacity satellites orbiting the earth at lower altitudes than traditional satellites. (http://r.reuters.com/sum79v)
* Apple will announce iBeacon plans, its latest product to carry the 'i' prefix, at the Worldwide Developers Conference in San Francisco. Apple's iBeacon allows apps to locate a user within a few inches, so that a phone can direct a driver to the nearest open spot in a parking garage or the shortest hot-dog line in a crowded stadium. (http://r.reuters.com/vum79v)
* Online music-streaming companies like Sweden's Spotify AB and France's Deezer Inc said in interviews they remain committed to investing for growth instead of pursuing immediate profits, an indication they have no plans to change course after Apple's blockbuster acquisition of Beats. (http://r.reuters.com/wum79v)
* Forstmann Little & Co sold 24 Hour Fitness Worldwide Inc on Friday to a group of investors, the last step in the more than two-year process of winding down the pioneering buyout firm. A small group of Forstmann Little employees and a Washington, DC, lawyer have been selling the firm's holdings since the November 2011 death of co-founder Theodore Forstmann. (http://r.reuters.com/xum79v)
* The Federal Trade Commission on Friday granted antitrust clearance to the planned tie-up of suit sellers Men's Wearhouse Inc and Jos. A. Bank Clothiers Inc, saying the deal is unlikely to harm consumers. (http://r.reuters.com/bym79v)
* The U.S. has grown more attractive as a destination for foreign investment, while Russia and some other emerging markets have faded, according to a survey by A.T. Kearney, a Chicago-based management-consulting firm. (http://r.reuters.com/cym79v)
* The debate over who deserves to profit from work that originated at a law firm that collapsed comes to a head on Wednesday when New York's highest court will hear arguments in cases stemming from the bankruptcies of Coudert Brothers LLP, which went under in 2005, and Thelen LLP, which closed in 2008. (http://r.reuters.com/hym79v)
FT
GlaxoSmithKline Plc has agreed a deal worth more than $350 million with UK biotech company Adaptimmune to develop cancer drugs.
The owners of German firm Rocket Internet aim to list the venture capital company behind online brands such as retailer Zalando for a market valuation of up to 5 billion euros ($6.82 billion), and have hired banks Berenberg, Morgan Stanley and JPMorgan to review a potential listing on the Frankfurt exchange.
The world's largest hotel operator Hilton Worldwide is aiming to launch upscale boutique hotels in the United States and Europe in an attempt to beat competition, and is expected to make an announcement on Monday.
An investment of 750 million pounds ($1.26 billion) in the upgrade of its Plant Oxford has led to the BMW Group's Mini building unit to have most advanced car production techniques with robotic workers.
Lastminute.com's Brent Hoberman is to return to the stock market after a nine-year absence with the flotation of Made.com. Hoberman, the chairman of the online furniture retailer, has hired a trio of banks to bring it to the public market.
NYT
* Voices inside and outside Scotland warn of the implications of independence, even as its supporters say Scotland would be better off by itself. (http://r.reuters.com/bum79v)
* The Obama administration on Monday will announce one of the strongest actions ever taken by the United States government to fight climate change, a proposed Environmental Protection Agency regulation to cut carbon pollution from the nation's power plants 30 percent from 2005 levels by 2030. The regulation takes aim at the largest source of carbon pollution in the United States, the nation's more than 600 coal-fired power plants. (http://r.reuters.com/mum79v)
* The revelation that Carl Icahn has become a focus of an insider trading investigation into trades made by the golfer Phil Mickelson and a prominent Las Vegas gambler threatens to leave a mark on a record that Icahn has called "unblemished" and his rivals have called enviable. (http://r.reuters.com/pum79v)
* As the first chief executive of a major publishing house to negotiate new terms with Amazon.com Inc since the Justice Department sued five publishers in 2012 for conspiring to raise e-book prices, Michael Pietsch, chief executive of the Hachette Book Group, finds himself fighting not just for the future of Hachette, but for that of every publisher that works with Amazon. (http://r.reuters.com/dum79v)
* "Fireman Sam," a cartoon aimed at preschoolers, has long been a hit overseas. Now Mattel Inc and Amazon.com Inc are teaming up to sell the yellow-hatted hero to American children - a potentially controversial experiment that, if successful, could create a new model for marrying television shows with related merchandise. (http://r.reuters.com/zem79v)
* Lewis Katz, an owner of The Philadelphia Inquirer, died along with six other people when a private jet erupted into a ball of fire as it took off outside Boston. (http://r.reuters.com/dym79v)
* Along with operating system updates for mobile and desktop machines, Apple Inc plans to introduce a new health-tracking app at its annual developers' conference on Monday, according to a person briefed on the product. The app for mobile devices will track statistics for health or fitness, like a user's footsteps, heart rate and sleep activity. The health app will most likely be able to connect with a smart watch that Apple is widely expected to release this year. (http://r.reuters.com/gum79v)
* After more than five months of negotiations, Etihad Airways of Abu Dhabi confirmed on Sunday that it was nearing an agreement that could lead to a sizable investment in Alitalia . In a joint statement, the airlines said Etihad would formally submit a letter to Alitalia's board in the coming days detailing the conditions of a nonbinding offer for a stake of up to 49 percent of the money-losing Italian airline. (http://r.reuters.com/kum79v)
Canada
THE GLOBE AND MAIL
* Quebec Finance Minister Carlos Leitao will unveil on Wednesday what he calls a "transition budget" that will provide a foretaste of the nasty medicine the province needs to swallow to balance its books by 2015-16. (http://r.reuters.com/jyn79v)
* Thousands of commuters in the Greater Toronto Area can breathe a huge sigh of relief. A strike that threatened to shut down GO Transit bus service has been averted after a tentative contract agreement was reached between Metrolinx and Amalgamated Transit Union Local 1587. (http://r.reuters.com/myn79v)
Reports in the business section:
* Pay for Canada's top executives is on the rise as companies put years of economic downturn firmly behind them. Canadian chief executives saw their total compensation climb by 11 percent in 2013, which marks the fourth straight year of pay gains after a decrease and plateau in 2008 and 2009. (http://r.reuters.com/ryn79v)
NATIONAL POST
* The sparring between Ontario's three main political camps continued on Sunday, with the Liberals accusing Tim Hudak of adopting the policies of "right-wing extremists" and the Progressive Conservatives demanding Kathleen Wynne "come clean" on the MaRS controversy. The Progressive Conservative party urged Liberal leader Wynne to release all the documents relating to the apparent bailout of the MaRS innovation and research complex in Toronto. (http://r.reuters.com/syn79v)
* One week before the Boko Haram terrorist kidnapping in which nearly 300 students were taken from a girls school in northern Nigeria, a similar incident across the border in Cameroon saw an elderly Canadian missionary nun taken hostage with two Italian priests. News broke on Sunday that Sister Gilberte Bussiere, 74, has been freed after nearly two month's captivity along with Father Gianantonio Allegri and Father Giampaolo Marta, both of Vicenza in the northeast of Italy. (http://r.reuters.com/vyn79v)
FINANCIAL POST
* Whether it's an iPhone or an Android, smartphones are ubiquitous these days and basic cellphones with just texting and calling capabilities are a dying breed. However, there is still demand for basic cell phones with simple voice calls in emerging markets and among frugal consumers in developed markets such as Canada that have little or no need for data on their cellphones. (http://r.reuters.com/wyn79v)
* The mood of small business operators in Canada has taken a decidedly positive turn. In fact, their optimism is at the highest point in more than two years - and just shy of levels consistent with steady economic growth, according to the most recent survey. (http://r.reuters.com/zyn79v)
Britain
The Telegraph
SEARCH FOR SHALE GAS HEADS EAST AS IGAS PLANS FRACKING IN EAST MIDLANDS
(http://link.reuters.com/gam79v)
Andrew Austin, IGas Energy Plc chief executive, told the Telegraph it was preparing to submit planning applications to drill and frack to test the flow of gas at two new locations, one either side of the Pennines.
LDC ENTERS INTO EXCLUSIVE TALKS FOR MINI AUTODATA
(http://link.reuters.com/jam79v)
The private equity arm of Lloyds Banking Group has entered into exclusive talks to acquire car data firm Clifford Thames in a deal that could value the business at up to 50 million pounds.
The Guardian
UK EMPLOYERS EXPECT TO HIRE '18 PCT MORE GRADUATES IN 2014'
(http://link.reuters.com/kam79v)
Employers expect to hire 18 percent more graduates in 2014, up from the modest improvement of 4.3 percent in 2013 - with the finance sector planning to be the most aggressive recruiter as it increases intake by 42 percent.
ENERGY UK: TIME TO RETHINK 'GREEN' POWER POLICIES IN BRUSSELS
(http://link.reuters.com/mam79v)
Energy UK will on Monday use electoral successes made by Eurosceptics to call for a rethink on "green" power policies in Brussels. The lobby group headed by former Conservative MP Angela Knight says it is time to move away from "an emotion driven and expensive agenda."
The Times
SHIRE SECURES $5 BLN FUNDING FOR US BID
(http://link.reuters.com/kuk79v)
Shire has lined up a $5 billion credit facility from banks led by Citigroup to finance a takeover offer for NPS Pharmaceuticals, an American developer of a new drug for sufferers of a debilitating bowel condition.
BAE SAYS SCOTTISH INDEPENDENCE WILL "DAMAGE STABILITY"
(http://link.reuters.com/bam79v)
The boss of Britain's biggest defence group BAE Systems Plc has become the latest business figure to speak out against Scottish independence after declaring that a "yes" vote would damage the "certainty and stability" necessary for investment.
Sky News
WORKPLACE PENSIONS SHAKE-UP 'COULD BOOST FUNDS'
(http://link.reuters.com/dam79v)
Radical changes to workplace pensions are set to be unveiled in the Queen's Speech this week, with supporters claiming the shake-up could boost retirement incomes by thousands of pounds.
GOVT ACCUSED OF 'HYPING UP' FRACKING HOPES
(http://link.reuters.com/fam79v)
Shadow energy and climate change secretary Caroline Flint told Sky's Murnaghan programme gas was an "important part of our energy mix" but "more stringent benchmark testing" a year before drilling starts was needed.
Fly On The Wall 7:00 AM Market Snapshot
ECONOMIC REPORTS
Domestic economic reports scheduled today include:
ISM manufacturing index for May at 10:00--consensus 55.5
Construction spending for April at 10:00--consensus up 0.7% for the month
ANALYST RESEARCH
Upgrades
Advantage Oil & Gas (AAV) upgraded to Outperform from Sector Perform at RBC Capital
Alcoa (AA) upgraded to Neutral from Underperform at BofA/Merrill
Century Aluminum (CENX) upgraded to Neutral from Underperform at BofA/Merrill
Consolidated Water (CWCO) upgraded to Buy from Hold at Brean Capital
Diamondback Energy (FANG) upgraded to Buy from Neutral at SunTrust
Magnum Hunter (MHR) upgraded to Buy from Hold at Stifel
Microsemi (MSCC) upgraded to Buy from Neutral at Goldman
NorthWestern (NWE) upgraded to Buy from Hold at KeyBanc
Synovus (SNV) upgraded to Outperform from Market Perform at Raymond James
TripAdvisor (TRIP) upgraded to Outperform from Sector Perform at Pacific Crest
Downgrades
BNP Paribas (BNPQY) downgraded to Neutral from Conviction Buy at Goldman
Big Lots (BIG) downgraded to Equalweight from Overweight at Barclays
Express Scripts (ESRX) downgraded to Market Perform from Outperform at Cowen
Infineon (IFNNY) downgraded to Neutral from Buy at Citigroup
Microchip Technology (MCHP) downgraded to Neutral from Buy at Goldman
Quiksilver (ZQK) downgraded to Neutral from Buy at B. Riley
STMicroelectronics (STM) downgraded to Sell from Neutral at Citigroup
Sprague Resources (SRLP) downgraded to Neutral from Overweight at JPMorgan
Theravance (THRX) downgraded to Neutral from Outperform at RW Baird
Universal Electronics (UEIC) downgraded to Neutral from Buy at B. Riley
Volvo (VOLVY) downgraded to Sell from Neutral at Goldman
Xilinx (XLNX) downgraded to Neutral from Buy at Goldman
Zillow (Z) downgraded to Sector Perform from Outperform at Pacific Crest
Zillow (Z) downgraded to Sector Perform from Outperform at RBC Capital
Initiations
Akorn (AKRX) initiated with a Neutral at Goldman
American Realty (ARCP) initiated with a Buy at BofA/Merrill
Ashford Hospitality Prime (AHP) initiated with a Buy at BofA/Merrill
Brookdale Senior Living (BKD) initiated with a Buy at Jefferies
Dorian LPG (LPG) initiated with a Buy at UBS
GasLog Partners (GLOP) initiated with a Buy at Citigroup
GasLog Partners (GLOP) initiated with a Buy at UBS
GasLog (GLOG) reinstated with a Buy at Citigroup
K2M Group (KTWO) initiated with an Outperform at Wells Fargo
K2M Group (KTWO) initiated with an Overweight at Barclays
K2M Group (KTWO) initiated with an Overweight at Piper Jaffray
NOW Inc. (DNOW) initiated with a Neutral at RW Baird
Orbitz (OWW) initiated with a Hold at Deutsche Bank
Pacira Pharmaceuticals (PCRX) initiated with a Buy at Goldman
Physicians Realty Trust (DOC) initiated with a Buy at BofA/Merrill
SCYNEXIS (SCYX) initiated with an Outperform at JMP Securities
Starz (STRZA) initiated with a Neutral at Goldman
Theravance Biopharma (TBPH) initiated with a Neutral at RW Baird
COMPANY NEWS
Marathon Oil (MRO) said it will sell its Norway business to Det norske oljeselskap ASA for $2.7B
Ventas (VTR) to acquire American Realty Capital (HCT) for $2.6B in stock and cash
Biota Pharmaceuticals (BOTA) said it will reduce workforce by two-thirds in restructuring plan
Roche (RHHBY) acquires Genia Technologies for $125M in cash
Novartis (NVS) appointed Merck's (MRK) Bruno Strigini as president of Novartis oncology
EARNINGS
MasTec (MTZ) lowers Q2 EPS view to 40c from prior view 53c, consensus 52c
Bridgepoint (BPI) sees Q1 EPS (11c)-(9c) and Q1 revenue $155.0M-$159.0M. On May 12, the company previously reported Q1 EPS of (10c) and Q1 revenue of $160.5M
Bridgepoint (BPI) restates FY13 earnings results
Actuant (ATU) will not provide guidance with Q3 earnings report
NEWSPAPERS/WEBSITES
Dai-ichi Life said to be in talks to buy Protective Life (PL) for $4.87B, WSJ reports
Shire (SHPG) secures $5B credit facility for NPS Pharma (NPSP) bid, Times of London says
Regulators probe trading of Carl Icahn, Billy Walters, Phil Mickelson, WSJ says
Lawyers say U.S. up against obstacles bringing case against Icahn (IEP), Reuters reports (CLX, DF)
Icahn calls insider trading report 'irresponsible,' Bloomberg says
ARM Holdings (ARMH) looking to get into wearables market, WSJ reports
Boeing (BA) sees 777 sales to remain strong, WSJ reports
Intel (INTC) TV creator, Erik Huggers, departs Verizon (VZ), Reuters reports
BARRON’S
Frontrunning:
Cliffs Natural's (CLF) fight with Casablanca won't help stock rebound, Barron's says
Dick's Sporting (DKS) recent insider buys appear bullish, Barron's reports
Gannett (GCI) could be worth $34, Barron's says
AmTrust Financial (AFSI) shares could be vulnerable, Barron's says
RLJ Lodging Trust (RLJ), Alexandria Real Estate Equities (ARE), American Tower (AMT), and EPR Properties (EPR) have growth potential, Barron's reports
Apple (AAPL), Oracle's (ORCL) free cash flow could be driving shares higher, Barron's says
SYNDICATE
Neonode (NEON) files to sell 5M shares of common stock
Tiptree Financial (TIPT) files to sell 31.5M shares of Class A common stock for holders
Average:
0
Your rating: None
Pre Market Movers
Top Gaining Stocks
Price %Change
NPSP Nps Pharmaceutica... 37.00 18.86%
CYTR Cytrx Corporation... 4.80 14.83%
CONN Conn\'s Inc. 53.00 13.64%
BRCM Broadcom Corp. 35.80 12.33%
HCT American Realty C... 11.15 12.06%
OIS Oil States Intern... 67.90 10.48%
ARIA Ariad Pharmaceuti... 7.11 10.06%
PCYC Pharmacyclics Inc... 97.00 9.20%
PL Protective Life C... 57.08 9.14%
OMER Omeros Corporatio... 12.60 7.78%
CANF Can-fite Biopharm... 4.25 6.78%
AHL Aspen Insurance H... 48.95 6.53%
ANR Alpha Natural Res... 3.60 6.51%
CRM Salesforce.com In... 55.76 5.95%
AAV Advantage Oil & G... 6.25 3.99%
GDP Goodrich Petroleu... 30.00 3.45%
TTM Tata Motors Ltd. ... 38.25 2.71%
HDB Hdfc Bank Ltd. Ad... 46.16 2.51%
NQ NQ Mobile 7.78 2.50%
EPI Wisdomtree India ... 22.01 2.47%
Top Losing Stocks
Price %Change
CYTK Cytokinetics Inco... 4.22 -15.43%
MTZ Mastec Inc. 32.00 -11.11%
MDCO Medicines Company... 26.06 -6.59%
AFSI Amtrust Financial... 40.21 -5.83%
PBYI Puma Biotechnolog... 72.30 -5.40%
CLVS Clovis Oncology I... 48.52 -5.25%
NEON Neonode Inc. 3.40 -3.68%
PANW Palo Alto Network... 73.18 -2.31%
NOK Nokia Corp. Ads 7.96 -2.09%
MHG Marine Harvest As... 11.90 -2.02%
LIVE Livedeal Inc. 4.58 -1.93%
BLRX Biolinerx Ltd. 2.04 -1.92%
SBUX Starbucks Corp. 72.01 -1.68%
LEJU Leju Holdings Ltd... 11.50 -1.63%
SNN Smith & Nephew Pl... 86.39 -1.57%
YNDX Yandex N.v. 30.65 -1.57%
BIG Big Lots Inc. 41.85 -1.39%
AIXG Aixtron SE 14.49 -1.36%
ESRX Express Scripts H... 70.50 -1.36%
KFX Kofax Ltd 8.09 -1.34%
Read more at http://thestockmarketwatch.com/markets/pre-market/#dYbx8LEjEkVVrspF.99
data:
Charles Evans Speaks
4:00 AM ET
Gallup US Consumer Spending Measure
[Bullet8:30 AM ET
PMI Manufacturing Index
[Report][djStar]9:45 AM ET
ISM Mfg Index
[Report][Star]10:00 AM ET
Construction Spending
[Report][djStar]10:00 AM ET
4-Week Bill Announcement
[Bullet11:00 AM ET
3-Month Bill Auction
[Bullet11:30 AM ET
6-Month Bill Auction
[Bullet11:30 AM ET
Earnings Preview for the week of June 2 - 6 some of the bigger names include:
Monday:
Pre Market - CONN, CVGW
After Hours - ZQK, KKD, GWRE, CMCM
Tuesday:
Pre Market - DG, GIII, AMWD, MEAS
After Hours - ABM, ASNA, MFRM, FCEL, AMBA, RENT, DATE
Wednesday:
Pre Market - LDSO, BF.B, HOV, IXYS, CYBX
After Hours - PVH, GEF, FIVE, BV, RLD
Thursday:
Pre Market - NAV, SJM, UTIW, JOY, CIEN, TITN, MIXT, BRLI, NX, VRA, VNCE
After Hours - THO, MTN, PAY, COO, DMND, ALOG, CMTL, ZOES, SEAC, RALY
TRADER RADAR EARNINGS AND ECONOMIC INFO FOR THE WEEK OF 6/2 TO 6/6
Monday, June 2
US Economics (Time Zone: EDT)
09:45 Markit US Manufacturing PMI, May final, exp. 56.2, prior 56.2
10:00 ISM Manufacturing, May, exp. 55.5, prior 54.9
10:00 ISM Prices Paid, May, exp. 56.9, prior 56.5
10:00 Construction Spending, Apr., exp. 0.7%, prior 0.2%
11:30 Treasury selling $25b 3-month and $23b 6-month bills
Fedspeak
03:00am Evans to speak in Istanbul
Global Economics (Time Zone: GMT)
01:30 JPY Manufacturing PMI (MAY F)
07:45 EUR Italy Manufacturing PMI (MAY F)
07:45 EUR France Manufacturing PMI (MAY F)
07:45 EUR Germany Manufacturing PMI (MAY F)
07:45 EUR Euro-zone Manufacturing PMI (MAY F)
08:30 GBP Manufacturing PMI (MAY)
08:30 GBP Mortagage Approvals (APR)
08:30 GBP Net Consumer Credit (APR)
12:00 EUR Germany CPI (MAY P)
13:00 Canada Manufacturing PMI (MAY)
Earnings
Before:
Conn's (CONN)
After:
Quiksilver (ZQK)
Tuesday, June 3
US Economics (Time Zone: EDT)
09:45 ISM New York, May, prior 50.6%
10:00 Factory Orders, April, exp. 0.5%, prior 1.1%
10:00 IBD/TIPP Economic Optimism, June, exp. 46.5%, prior 45.8%
11:30 Treasury selling 4-week bills and 14-day cash management bills
5:00 Domestic Vehicle Sales, May, exp. $12.65m, prior $12.65m
5:00 Total Vehicle Sales, May, exp. $16.1m, prior $15.98m
Fedspeak
8:10pm George to speak in Breckenridge, CO
Global Economics (Time Zone: GMT)
01:00 China Non-manufacturing PMI (MAY)
01:30 Australia Retail Sales (APR)
01:45 China HSBC Manufacturing PMI (MAY F)
04:30 Australia Reserve Bank Rate Decision
08:00 EUR Italy Unemployment Rate (APR P)
09:00 EUR Eurozone CPI (May)
09:00 EUR Eurozone Unemployment Rate (APR)
Earnings
After:
Fuelcell Energy (FUEL)
Dollar General (DG)
Wednesday, June 4
US Economics (Time Zone: EDT)
07:00 MBA Mortgage Applications, May 30, prior -1.2%
08:15 ADP Employment Change, May, exp. 215k, prior 220k
08:30 Trade Balance, Apr. exp. -$40.6b, prior -$40.4b
08:30 Annual benchmark revisions to trade data
08:30 Nonfarm Productivity, 1Q final, exp. -2.6%, prior -1.7%
08:30 Unit Labor Costs, 1Q final, exp 4.8%, prior 4.2%
09:45 Markit US Services PMI, May final, prior 58.6
09:45 Markit US Composite PMI, May final, prior 58.6
10:00 ISM Non-Manufacturing, May, exp. 55.5, prior 55.2
2:00pm Fed issues Beige Book
Global Economics (Time Zone: GMT)
01:30 Australia GDP (1Q)
01:35 Japan Services PMI (MAY)
07:45 EUR Italy Services PMI (MAY)
07:50 EUR France Services PMI (MAY F)
07:55 EUR Germany Services PMI (MAY F)
08:00 EUR Eurozone Services PMI (MAY F)
08:30 GBP Services PMI (MAY)
09:00 EUR Eurozone GDP (1Q P)
09:00 EUR Eurozone PPI (APR)
14:00 Canada Bank Rate Decision
Earnings
After:
PVH Corp (PVH)
Thursday, June 5
US Economics (Time Zone: EDT)
07:30 Challenger Job cuts y/y, May, prior 5.7%
07:30 RBC Consumer Outlook Index, June, prior 50.1
08:30 Initial Jobless Claims, May 31, exp. 313k, prior 300k
08:30 Continuing Claims, May 24, prior 2.631m
12:00 Household Change in Net Worth, 1Q, prior $2.95t
Fedspeak
1:30pm Kocherlakota to speak in Boston
Global Economics (Time Zone: GMT)
01:30 Australia Trade Balance (APR)
01:45 China HSBC Services PMI (MAY)
06:00 EUR Germany Factory Orders (APR)
07:30 EUR Germany Construction PMI (MAY)
09:00 EUR Eurozone Retail Sales (APR)
11:00 Bank of England Rate Decision
11:45 EUR ECB Rate Decision
14:00 Canada Ivey PMI (MAY)
Earnings
Before:
Joy Global (JOY)
Ciena (CIEN)
After:
Vail Resorts (MTN)
Verifone Systems (PAY)
Friday, June 6
US Economics (Time Zone: EST)
08:30 Change in Nonfarm Payrolls, May, exp. 219k, prior 288k
08:30 Change in Private Payrolls, May, exp. 215k, prior 273k
08:30 Change in Manufacturing Payrolls, May, exp. 10k, prior 12k
08:30 Unemployment Rate, May, exp. 6.4%, prior 6.3%
08:30 Average Hourly Earnings, May, exp. 0.2% m/m, prior 0.0%, exp. 2% y/y, prior 1.9%
08:30 Average Weekly Hours All Employees, May, exp 34.5, prior 34.5
08:30 Underemployment Rate, May, prior 12.3%
3:00 Consumer Credit, Apr., exp. $16b, prior $17.529b
Global Economics (Time Zone: GMT)
05:00 Japan Leading Index (APR P)
06:00 EUR Germany Industrial Production (APR)
06:00 EUR Germany Trade Balance (APR)
07:15 CHF CPI (MAY)
08:30 GBP Trade Balance (APR)
12:30 Canada Employment Change (MAY)
Earnings
No major reports
Futures +16
good morning
Frontrunning:
Ukraine Rebels Outfox Army to Dent Poroshenko Troop Goal (BBG)
Russia Withdraws Most of Forces From Ukraine Border: U.S. (BBG)
Super-Size Me! China’s ’Mini’ Stimulus Starts Expanding (BBG)
Option B: The blueprint for Thailand's coup (Reuters)
Big investors replace banks in $4.2tn repo market (FT)
Draghi Shields Catalan Independence Bid From Market (BBG)
U.S. companies seek cyber experts for top jobs, board seats (Reuters)
Parsley CEO Emerges as One of Youngest U.S. Billionaires (BBG)
SpaceX unveils sleek spaceship to fly U.S. astronauts (Reuters)
U.K. House Prices Rise as Consumer Optimism Improves (BBG)
Aging Swiss Face Pension Funding Dilemma on Immigration (BBG)
Siemens to Remove 11,600 Positions as Company Cuts Costs (BBG)
Overnight Media Digest
WSJ
* Tyson Foods Inc unleashed a $6.1 billion bid for Hillshire Brands Co, the maker of Jimmy Dean sausage and Ball Park hot dogs, setting up a heavyweight battle with Brazilian rival JBS SA for one of the juiciest remaining assets in the meat industry. (http://r.reuters.com/vyc79v)
* Former Microsoft Corp chief Steve Ballmer is first in line to buy the L.A. Clippers with a $2 billion bid for the team, according to people familiar with the process, an offer that would triple the record for an NBA franchise. (http://r.reuters.com/xyc79v)
* KPMG LLP is going long on the market for hedge-fund services. The New York accounting firm on Thursday agreed to buy Rothstein Kass, a New Jersey firm that caters to hedge funds and other alternative investment firms. Buying Rothstein Kass would make KPMG the largest auditor of hedge funds based on client numbers. (http://r.reuters.com/bad79v)
* Ford Motor Co on Thursday added to the year's massive surge in auto-safety recalls, calling back 1.38 million vehicles in North America for repairs, some of which it previously had ruled out requiring a change. (http://r.reuters.com/fad79v)
* Twitter Inc's senior vice president of engineering, Christopher Fry, is stepping down effective Thursday. Fry will keep an advisory role at Twitter, the company said in a filing with the Securities and Exchange Commission. No reason was given for the move. (http://r.reuters.com/gad79v)
* The U.S. has added about 650,000 factory jobs since their numbers rebounded after the recession, putting manufacturing workers at 12.1 million and reversing a long decline in such jobs. But uneven growth has created regional disparities in the nation's overall economic recovery. (http://r.reuters.com/had79v)
FT
Google bowed to European Court of Justice's decision on the "right to be forgotten", and said the ruling risked damaging the next generation of internet start-ups and empowered repressive governments looking to restrict online communication.
Britain's Office for National Statistics report said that sales of illegal drugs and sexual services add around 10 billion pounds ($16.7 billion) to Britain's economic activity each year, making up just under 1 percent of total economic output.
Mediobanca has appointed former Barclays Capital executive Francesco Canzonieri as the Italian investment bank looks to reposition itself in Europe.
John Mack, a former chief executive and chairman of Morgan Stanley, has decided to leave the board of Russia's top oil producer, Rosneft, the Kremlin-controlled company said on Thursday.
The Italian government said it planned to seek 1.2 billion euros ($1.63 billion) in damages from two of the world's biggest drug companies - Novartis AG and Roche Holdings - following a ruling by the country's antitrust authority that their policies had been detrimental to Italy's national health service.
NYT
* As one of the most moribund housing markets in Europe, Spain has become a magnet for global bargain hunters. Real estate prices are down as much as 50 percent from their peak during a housing bubble, and investors from Asia to the United States and Britain are flocking to Spain to try to catch the uptick. (http://r.reuters.com/zuc79v)
* A recent court ruling in Europe has accelerated requests that Internet search companies expunge individuals' data. Once a contested item is online, however, the genie will not easily go back in the bottle. (http://r.reuters.com/cyc79v)
* Two health care advocacy groups filed a complaint against CoventryOne, Cigna Corp, Humana Inc and Preferred Medical Plan for what they said was discrimination against people with H.I.V. or AIDS by requiring them to pay high out-of-pocket costs for drugs to treat H.I.V., including generic medications, in Florida.(http://r.reuters.com/dyc79v)
* The United States economy contracted at an annual rate of 1 percent earlier this year, the first quarterly decline in three years. (http://r.reuters.com/kyc79v)
* Kevin Reilly is stepping down as head of entertainment programming at Fox network after three consecutive years of steep declines in ratings for "American Idol", a show crucial to the network's profits. (http://r.reuters.com/jyc79v)
* Some colleges are offering a real-world experience of philanthropy by requiring students to investigate nonprofit organizations and give them a portion of grant money. (http://r.reuters.com/myc79v)
Canada
THE GLOBE AND MAIL
* Canadian Prime Minister Stephen Harper told The Globe and Mail in an interview that family planning is an essential part of Canada's efforts to improve maternal and child health, but abortion remains too divisive to be included in that package. (http://r.reuters.com/pef79v)
* Alberta's Education Minister Jeff Johnson is looking to address "shortcomings" in the teacher disciplinary process after he overturned suspensions by the union and instead banned four teachers - including two in cases involving sexual misconduct - from ever working in the classroom again. (http://r.reuters.com/sef79v)
Reports in the business section:
* The Joslyn oil sands mine has been shelved indefinitely, a result of rising industry costs that made the C$11 billion project financially untenable. French energy powerhouse Total SA , along with its partners in the Joslyn north oil sands project, unanimously decided to put the project on hold because of rising cost pressures across the entire energy industry, said Andre Goffart, the head of Total's Canadian division. (http://r.reuters.com/zef79v)
NATIONAL POST
* The C$3.5 billion in new funding for child and maternal health promised by Canadian Prime Minister Stephen Harper Thursday will pay for several life-saving measures, including vaccines, training midwives, vitamin A supplements - and birth certificates. (http://r.reuters.com/duf79v)
* The Speaker of the House of Commons Andrew Scheer says neither he nor his office was consulted about whether the New Democratic Party could use taxpayer funds to pay staff to work in "satellite" offices outside Ottawa. (http://r.reuters.com/juf79v)
FINANCIAL POST
* Decision day is approaching for one of the most important moves of Canadian Prime Minister Stephen Harper's political career - whether to approve the Northern Gateway pipeline - and there is no easy way forward. (http://r.reuters.com/quf79v)
* Despite years of public outrage over lavish executive compensation and regulatory measures to curb it, the pace of CEO pay continues to skyrocket to record highs, especially in the United States. In Canada, CEO pay is an equally a divisive issue although on paper the numbers seem less eye-popping. (http://r.reuters.com/suf79v)
China
CHINA SECURITIES JOURNAL
- State Grid Corp of China, the country's largest power distributor, said it would allow non-state capital for the construction of power distribution network and charging infrastructure for electric cars, the third state-owned monopoly in the energy sector to introduce private capital following PetroChina Co Ltd and China Petroleum & Chemical Corp.
SECURITIES TIMES
- The General Armament Department of the People's Liberation Army said it supports the participation of private companies in research, production and maintenance of the army's armament. It will provide preferential policies for private companies such as simplifying the censorship process and establishing online purchase platforms, sources told the paper.
- The Shanghai Stock Exchange has submitted a plan for launching non-ferrous metal futures options to the regulator and trading could start as early as this year, its Vice-President, Ye Chun, said at the Shanghai Derivatives Market Forum on Thursday.
PEOPLE'S DAILY
- Party cadre in Xinjiang should focus their work on creating a strong identity of the motherland and Chinese culture to maintain long-term social stability in the province, the paper which acts as a party mouthpiece, said in an editorial.
Britain
The Telegraph
DRUGS AND PROSTITUTION ADD 10 BLN STG A YEAR TO UK ECONOMY
(http://link.reuters.com/jac79v)
Prostitution and illegal drugs are contributing around 10 billion pounds a year to the British economy, according to data by the Office for National Statistics.
RUDDERLESS CENTRICA NEEDS TO CHANGE TACK, LEADING ANALYST WARNS
(http://link.reuters.com/kac79v)
A "rudderless" Centrica should overhaul its strategy and stop trying to be "a poor man's BG Group", a leading analyst warned on Thursday after the energy giant confirmed that British Gas boss Chris Weston had resigned.
The Guardian
BANK OF ENGLAND DIRECTOR DEFENDS QE AND LOW INTEREST RATES
(http://link.reuters.com/mac79v)
Britain would be a significantly poorer country without deep cuts in interest rates and the Bank of England's emergency injection of 375 billion pounds into the economy through its controversial quantitative easing programme, Andrew Haldane, Bank of England's executive director for financial stability, has said.
FOOTBALL WORLD CUP TEAM WORKS ON KEEPING BRITAIN'S KETTLES BOILING
(http://link.reuters.com/nac79v)
Managers at the National Grid are trying to assess what extra power might be needed to cope with a surge in electricity demand as kettles are brewed and lights turned on during England's opening and late-night game against Italy.
The Times
BUSINESS LENDING SLUMPS DESPITE PRESSURE BY BANK
(http://link.reuters.com/pac79v)
Corporate lending by Britain's biggest banks collapsed this year, dealing a crushing blow to policymakers' recent efforts to improve the supply of credit for businesses. Loans made through the Bank of England's Funding for Lending Scheme fell by £2.7 billion in the three months to April.
TUNGSTEN FINALLY SEALS 30-MLN-STG BANK TAKEOVER
(http://link.reuters.com/qac79v)
Edi Truell, the founder and chief executive of Tungsten Corp , announced he had at last succeeded in buying First International Bank of Israel, more than seven months after announcing plans for the deal.
Sky News
EX-RBS CHIEF HOURICAN EYES LONDON BANK FLOAT
(http://link.reuters.com/rac79v)
A London share listing for Bank of Cyprus is one of a range of options that will be considered by John Hourican, the former boss of Royal Bank of Scotland's investment banking arm, who took over as its chief executive last October.
TESCO SIGNS DEAL FOR CHINA JOINT VENTURE
(http://link.reuters.com/sac79v)
Britain's biggest supermarket chain Tesco Plc has signed a partnership deal to form China's biggest food retailer. The joint venture will see Tesco combine its 131 outlets with China Resources Enterprise's Vanguard business that already has 2,986 stores
Fly On The Wall 7:00 AM Market Snapshot
ECONOMIC REPORTS
Domestic economic reports scheduled today include:
Personal income for April at 8:30--consensus up 0.3% for the month
Personal spending for April at 8:30--consensus up 0.2% for the month
Chicago PMI for May at 9:45--consensus 61.0
University of Michigan consumer confidence for May at 9:55--consensus 82.5
ANALYST RESEARCH
Upgrades
AmSurg (AMSG) upgraded to Strong Buy from Market Perform at Raymond James
Avery Dennison (AVY) upgraded to Overweight from Neutral at JPMorgan
Bank of Nova Scotia (BNS) upgraded to Outperformer from Sector Performer at CIBC
Exelon (EXC) upgraded to Hold from Underperform at Jefferies
LifePoint Hospitals (LPNT) upgraded to Buy from Neutral at Mizuho
Mattress Firm (MFRM) upgraded to Buy from Neutral at Longbow
Telephone and Data (TDS) upgraded to Equal Weight from Underweight at Morgan Stanley
Downgrades
Alaska Air (ALK) downgraded to Hold from Buy at Stifel
Gruma (GMK) downgraded to Hold from Buy at Deutsche Bank
Infoblox (BLOX) downgraded to Hold from Buy at Deutsche Bank
Infoblox (BLOX) downgraded to Market Perform from Outperform at William Blair
Infoblox (BLOX) downgraded to Neutral from Buy at Goldman
Infoblox (BLOX) downgraded to Sector Perform from Outperform at Pacific Crest
OmniVision (OVTI) downgraded to Underperform from Market Perform at Raymond James
ReneSola (SOL) downgraded to Neutral from Buy at Roth Capital
Royal Bank of Canada (RY) downgraded to Sector Performer from Outperformer at CIBC
Initiations
Array BioPharma (ARRY) initiated with a Buy at Cantor
AtriCure (ATRC) initiated with a Buy at Stifel
BB&T (BBT) initiated with a Neutral at Sterne Agee
Comerica (CMA) initiated with a Buy at Sterne Agee
Eaton Vance (EV) initiated with an Equal Weight at Evercore
Fifth Third Bancorp (FITB) initiated with a Buy at Sterne Agee
KEYW (KEYW) initiated with a Buy at Drexel Hamilton
KeyCorp (KEY) initiated with a Neutral at Sterne Agee
M&T Bank (MTB) initiated with a Neutral at Sterne Agee
Matrix Service (MTRX) initiated with a Buy at Stifel
PNC Financial (PNC) initiated with a Buy at Sterne Agee
Preferred Apartment (APTS) initiated with a Buy at MLV & Co.
SunTrust (STI) initiated with a Buy at Sterne Agee
U.S. Bancorp (USB) initiated with a Neutral at Sterne Agee
ViaSat (VSAT) initiated with a Hold at Drexel Hamilton
Waddell & Reed (WDR) initiated with an Equal Weight at Evercore
Zions Bancorp (ZION) initiated with a Neutral at Sterne Agee
COMPANY NEWS
Microsoft (MSFT) and salesforce.com (CRM) announced a strategic partnership to create new solutions that connect salesforce.com's customer relationship management apps and platform to Microsoft Office and Windows so customers can be more productive
Mosaic (MOS) said CEO Prokopanko to take anticipated medical leave, named CFO Stranghoener as interim CEO
OmniVision (OVTI) reported better than expected Q4 resulst and guided Q1 above expectations
Infoblox (BLOX) guided below analyst estimates for Q4 and announcedthat CEO Robert Thomas will step down
Retrophin (RTRX) announced a U.S. license agreement with Mission Pharmacal for Thiola and raised its FY14, FY15 revenue views
Express (EXPR) said it will close 50 stores over the next 36 months
EARNINGS
Companies that beat consensus earnings expectations last night and today include:
Big Lots (BIG), OmniVision (OVTI), Avago (AVGO), Nimble Storage (NMBL), Guess (GES), Infoblox (BLOX), Lionsgate (LGF), Splunk (SPLK), Veeva (VEEV), Pacific Sunwear (PSUN)
Companies that missed consensus earnings expectations include:
QAD Inc reports Q1 EPS (1c), Annie's (BNNY), Exa Corp. (EXA), Esterline (ESL), Express (EXPR)
Companies that matched consensus earnings expectations include:
Bona Film (BONA), Violin Memory (VMEM)
NEWSPAPERS/WEBSITES
Microsoft (MSFT) could launch smartwatch as early as this summer, Forbes reports
Amazon Prime (AMZN) to launch music streaming service, Buzzfeed reports
DOJ seeks to fine BNP Paribas (BNPQY) over $10B for sanctions violations, WSJ says
Wells Fargo (WFC) settles securities lending suit by paying $62.5M, Reuters reports
Google (GOOG) to bow to EU's privacy ruling, FT reports
Boeing (BA) expects defense sales to stay flat for next five years, WSJ reports
Netflix (NFLX) says 'few people' using Facebook (FB) auto-sharing feature, Re/code reports
Zoetis (ZTS) could climb 25%, Barron's says
SYNDICATE
ARAMARK (ARMK) 20M share Secondary priced at $25.50
Caesarstone (CSTE) 5.5M share Secondary priced at $45.50
Cancer Genetics (CGIX) files $100M mixed securities shelf
Crossroads Systems (CRDS) files to sell 2.98M shares of common stock for holders
Glori Energy (GLRI) files to sell 27.24M shares of common stock for holders
Glu Mobile (GLUU) files to sell common stock
Hyatt Hotels (H) files to sell 15.14M shares of Class A common stock for holders
RSP Permian (RSPP) files to sell 8M shares of common stock for holders
Average:
0