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From Briefing.com: 4:36 pm Alcoa beats by $0.04, misses on revs; lowers FY16 aluminum demand growth to +5% from +6%; spin off on track for 2H (AA) :

Reports Q1 (Mar) adj. earnings of $0.07 per share, $0.04 better than the Capital IQ Consensus of $0.03; revenues fell 15.0% year/year to $4.95 bln vs the $5.15 bln Capital IQ Consensus, including a 5.7% revenue increase related to acquisitions and organic growth, more than offset by a 20.7% revenue decline primarily from continued low alumina and aluminum prices, foreign exchange impacts and divested, curtailed or closed operations Arconic Segments (Value-Add) Overview Revenue of $3.3 billion, down 2.2% year-over-year, reflects: o 6.7% revenue increase predominantly related to acquisitions, offset by 8.3% revenue decline from metal and foreign exchange impacts and 0.6% revenue decline from divested or closed operations After-tax operating income of $269 million, up 8% year-over-year, adjusted EBITDA of $537 million, up 7% year-over-year, and record adjusted EBITDA margin of 16.4%. New Alcoa Segments (Upstream) Overview

Third-party revenue of $1.7 billion, down 32.2% year-over-year, reflects: 4.5% revenue increase from organic growth more than offset by 26.1% revenue decline due to lower pricing and foreign exchange impacts and 10.6% revenue decline predominantly related to curtailed or closed operationsTotal revenue of $2.1 billion, after-tax operating income of $22 million, and adjusted EBITDA of $185 million

Profitable Alumina and Primary Metals segments despite 19% price decline in the Alumina Price Index, and flat aluminum pricing, sequentially; year-over-year declines of 40 and 26%, respectively
In 2016, Alcoa projects an ~1.1 million metric ton global aluminum deficit as 5% global aluminum demand growth (revised from 6%) outweighs 2% global aluminum supply growth (revised from 3%). In addition, the Company projects a global alumina deficit of 1.4 million metric tons.Aerospace +6-8% from +8-9% (market transition); Alcoa projects solid growth in all its other end markets.Value add segments separation on track for 2H.

4:18 pm Juniper Networks follow-up: Lowers guidance due to weaker Enterprise market and timing of certain orders from U.S. and EMEA Tier 1 Telecoms (JNPR) :

Co issues downside guidance for Q1 (Mar), sees EPS of $0.35-0.37 vs. $0.44 Capital IQ Consensus Estimate, down from prior guidance of $0.42-0.46; sees Q1 (Mar) revs of $1.090-1.100 bln vs. $1.18 bln Capital IQ Consensus Estimate, down from prior guidance of $1.15-1.19 bln. Lowered guidance is due primarily to weaker than anticipated demand from Enterprise and timing of deployments of certain U.S. and EMEA Tier 1 Telecoms. "Although we expect results to be lower than our initial guidance for the first quarter, we remain constructive on fiscal 2016 and expect growth from new products to contribute to our topline, coupled with our ongoing focus on cost discipline to drive non-GAAP operating margin expansion for the full year," stated Rami Rahim, chief executive officer of Juniper Networks.


Broader market trading closed Monday with modest losses as all three major US indices lost steam in the final moments of trading. Action was modestly lower as the action was led to the downside by the tech-heavy Nasdaq Composite which lost 17.29 points (-0.36%) to 4833.40. The S&P 500 was down 5.61 points (-0.27%) as the bell rang to end 2041.99. The Dow Jones Industrial Average posted the most tepid decline, losing only 20.55 points (-0.12%) to end 17556.41.

Up until the final moments, the positive bias today was preempted by developments out of Europe where plans progressed on a proposed state bad-bank fund in Italy. The fund is designed to limit a possible contagion effect from bad loans made by Italian banks. The development helped lift futures as investors shrugged off a cooler than expected reading of China's March PMI. Action was helped higher by advances in crude oil futures, leadership from the Financial and Material sectors.

Technology (XLK 43.77, -0.12 -0.27%) finished near flat lines, but managed slight losses as component Seagate Tech (STX 34.97, +1.74 +5.24%) outperformed as the stock was initiated with a Market Perform at Cowen ahead of the bell this morning and was the subject of a positive Barron's article from the weekend. Other sectors ended the beginning of the week XLB +0.45%, XLF +0.41%, XLI +0.04%, XLY -0.37%, XLE -0.42%, XLU -0.43%, IYZ -0.52%, XLP -0.71%, XLV -0.76% as the heavily weighted Financials sector helped outperform while Healthcare was the worse performer.

In the S&P 500 Information Technology (727.82, -1.38 -0.19%) sector, trading also lost momentum as the session wound up, ending just below flat lines. Components TSS +1.22%, NTAP +1.20%, YHOO +1.14%, FLIR +1.03%, QCOM +0.87% were among the best performers in the sector today, while names like ADS -3.98%, QRVO -2.54%, AKAM -2.52%, MU -2.52%, EA -1.68%, SWKS -1.67%, FB -1.48% lagged. Other names in the space which finished higher included ***.

Other notable news items among sector components:

SanDisk (SNDK 76.79, +0.27 +0.35%) introduced an upgraded all-flash storage platform with the introduction of the InfiniFlash IF150 system, the latest addition to its InfiniFlash family, which is transforming data centers around the world.

Elsewhere in the tech space:

Twitter (TWTR 16.50, -0.15 -0.87%) acquired employee and manager feedback tool provider Peer.

TerraForm Power (TERP 9.50, -0.09 -0.94%) disclosed a lawsuit filed against it by D.E. Shaw Composite Holdings, L.L.C. and Madison Dearborn Capital Partners.

Ingram Micro (IM 35.12, +0.08 +0.23%) expanded its distribution agreement with Dropbox to channel partners across Europe, Australia and New Zealand with plans to extend the offering into additional markets soon.

United Micro (UMC 2.00, -0.02 -0.74%) issued guidance for Q1 revenues which was slightly better than expected.

Cadence Design (CDNS 23.23, -0.18 -0.77%) to acquire Rocketick Technologies. Financial terms of the deal were not disclosed.

Black Box (BBOX 13.40, +0.10 +0.75%) acquired technology and development team from privately-held Cloudium Systems. Financial terms of the deal were not disclosed.

InterXion (INXN 33.74, +0.08 +0.24%) announced its intent to offer 150 million of 6.00% Senior Secured Notes due 2020.

Net 1 UEPS Techs (UEPS 11.68, +2.73 +30.50%) received a $107 million equity investment at a 20.6% premium per share to close on April 8.

Mobile TeleSystems (MBT 8.98, +0.42 +4.91%) announced a new dividend policy targeting the payout of RUB 25.0 - 26.0 per share.

Rovi (ROVI 17.48, -0.02 -0.11%) appointed Ted Schremp as Chief Marketing Officer.

SuperCom (SPCB 3.59, -0.22 -5.77%) displayed relative weakness after reporting worse than expected Q4 EPS and revenues.

Analyst actions:

GOOG was upgraded to Buy from Hold at Pivotal Research,
TSS was upgraded to Outperform from Mkt Perform at Keefe Bruyette;
QLIK was downgraded to Neutral from Buy at Citigroup and to Hold from Buy at Deutsche Bank,
FLTX was downgraded to Neutral from Outperform at Macquarie,
AFOP was downgraded to Hold from Buy at Needham,
YRD was downgraded to Neutral from Buy at Nomura,
GTOMY was downgraded to Underperform from Neutral at Credit Suisse;
WDC and STX were initiated with Market Performs at Cowen,
NXPI was initiated with a Buy at Nomura,
DWRE was initiated with a Sector Weight at Pacific Crest,
MSTR was initiated with a Buy at Citigroup

4:10 pm : The stock market began the week on a lower note as the major averages sunk into negative territory in a final-hour sell off. Today's action featured an uptick in crude oil, positive sentiment from overseas, and the underperformance of the heavily-weighted health care (-0.7%) space. Today also marks the beginning of the first quarter earnings reporting period with Alcoa (AA 9.74, +0.37) kicking things off after the close. The Nasdaq Composite (-0.4%) ended its day behind the S&P 500 (-0.3%) and the Dow Jones Industrial Average (-0.1%).

The equity market gapped up to begin its day as more news regarding Italy's planned bad-bank fund boosted investor sentiment. The fund is aimed at limiting a possible contagion effect from bad loans originated by Italian banks and is expected to improve balance sheets of those banks. Separately, an extended rally in crude oil added support to the opening move higher.

However, the major averages pulled back from their opening highs as health care (-0.7%) slipped beneath its flat line and the remaining gainers pared earlier gains. Additionally, despite an uptick in WTI crude, the commodity-sensitive energy space (-0.1%) was unable to end above its flat line.

By the end of the day, eight sectors were in the red with health care (-0.7%), consumer staples (-0.7%), and telecom services (-0.6%) rounding out the leaderboard. Conversely, materials (+0.5%), and financials (+0.3%) finished with the only gains.

In the economically-sensitive financial sector (+0.3%), money center banks outperformed ahead of key earnings reports from JPMorgan Chase (JPM 58.20, +0.46), Bank of America (BAC 12.97, +0.09), and Citigroup (C 41.12., +0.65). The three are scheduled to report earnings on Wednesday, Thursday, and Friday, respectively. Separately, Goldman Sachs (GS 152.20, +1.92) gained 1.3% after the Attorney General of New York announced a $5 billion settlement with the company for deceptive practices leading up to the financial crisis.

The energy sector (-0.4%) ended its day on a lower note as WTI crude gained 1.8% ($40.47/bbl). In the space, Baker Hughes (BHI 41.74, -1.37) ended its day lower by 3.2% after Barron's issued cautious commentary on the company. Conversely, Chesapeake Energy (CHK 4.50, +0.74) gained 19.7% after having its borrowing base reaffirmed at $4 billion. The company also increased collateral under its loan amendment.

Biotechnology underperformed in the health care space (-0.7%), evidenced by the 1.7% decline in the iShares Nasdaq Biotechnology ETF (IBB 272.70, -4.65). The space pulled back along with Regeneron Pharmaceuticals (REGN 396.14, -8.80) and Valeant Pharmaceuticals (VRX 31.35, -2.32) as the two names ended with respective losses of 2.2% and 6.9%.

The U.S. Dollar Index (93.98, -0.25) ended its day lower, but managed to tick off its worst level of the day. The dollar lost 0.2% against the yen and finished at 107.91. Meanwhile, the euro/dollar pair finished at 1.1408 (+0.1%).

The Treasury complex ended its day on a flat note with the yield on the 10-yr note finishing at 1.72%.

Today's participation was above the recent average as more than 888 million shares changed hands on the NYSE floor.

There was no economic data of note released today.

Tomorrow's economic data will include Import and Export Prices for March and the Treasury Budget for March, which will be released at 8:30 ET and 14:00 ET, respectively. DJ30 -20.55 NASDAQ -17.29 SP500 -5.61 NASDAQ Adv/Vol/Dec 1400/1.413 bln/1438 NYSE Adv/Vol/Dec 1798/888.6 mln/1226

3:30 pm :

The dollar index edged higher in the afternoon, but did not appear to put pressure on commodities in afternoon pit trading
Commodities, as measured by the Bloomberg Commodity Index, are currently up +0.3% at 79.28
Crude oil finds support near $40/barrel in afternoon trading and edges higher, closing near its high of the day to extend Friday's notable gains even further
May crude oil futures rose $0.72 (+1.8%) to $40.47/barrel
The Doha meeting between OPEC & non-OPEC members is scheduled to take place April 17 and is regarded as a near-term catalyst to move oil prices
Weekly EIA crude oil inventory data is scheduled to be released this Wednesday at 10:30 am ET
Last week's inventory showed a surprise draw of -4.937 mln barrels, compared to expectations for a build of +3.1 mln barrels
Natural gas traded sideways in the afternoon, consolidating lower and adding more losses on to Friday's decline
May Natural Gas closed $0.08 lower (-4.0%) at $1.91/MMBtu
Weekly EIA natural gas inventory data will be released this Thursday at 10:30 am ET
Last week's data showed a build of +12 bcf, compared to expectations for a build of around +7 bcf
In precious metals, gold dropped briefly in the afternoon before rallying and closing near the high of the day
June gold futures ended today's session up $14.00 (+1.1%) to $1258.10/oz
Silver traded sidways in the afternoon after its morning rally, ending higher for the day
May silver futures closed today's session $0.59 higher (+3.8%) at $15.98/oz
Base metal copper ends unchanged
May copper futures closed flat at $2.09/lb




12:22 pm Verizon provides update on union strike 'threat' (VZ) :

"We do not take strike threats lightly," said Bob Mudge, president of Verizon's wireline network operations. "For more than a year, we've been preparing in the event union leaders order our employees to walk off the job. If a strike takes place, whether it's one day, two weeks or longer, we are ready."

Highlights of the wireline proposal include:

A 6.5% wage increase over the term of the contract Access to quality and affordable healthcare benefits Competitive retirement benefits including a 401k with a company matchVerizon approached these negotiations with a goal of preserving good jobs while also making critical changes needed to legacy contracts. Verizon's 36,000 employees covered under these contracts currently have a wage and benefit package that averages more than $130,000 a year. Over 99 percent of these employees support the wireline business which in 2015, contributed about 29 percent of Verizon's revenue but less than 7 percent of the Company's operating income. As it has in the past, union leadership has resisted making changes. Verizon's unions in the East have struck in two out of the past four bargaining cycles (most recently in 2011), meaning the leadership of these unions took the workers out on strike 50% of the time. "A strike in this case is not going to change the issues on the table that need to be addressed," said Reed. "Union leaders need to take an honest look at what Verizon is proposing."

12:07 pm Ingram Micro expands distribution agreement with Dropbox to Europe, Australia, & New Zealand, plans to extend into additional markets soon (IM) : The co has extended the reach & availability of Dropbox to the Ingram Micro Cloud Marketplace in the U.S., Canada, and Netherlands, with Australia and New Zealand coming this month. Channel partners in these regions can now purchase, provision, configure, and manage Dropbox through a single automated portal.

9:02 am Cadence Design to acquire Rocketick Technologies, terms undisclosed (CDNS) :

Rocketick Technologies is an Israel-based provider of multi-core parallel simulation.

The acquisition is expected to close in the second quarter of fiscal 2016, and is not expected to have a material impact on Cadence's fiscal 2016 results of operations. Terms of the transaction were not disclosed. Rocketick is backed by investments from Intel Capital and other strategic and financial investors

3:37 am United Micro sees Q1 revs above consensus (UMC) :

Co issues upside guidance for Q1 (Mar), sees Q1 (Mar) revs of NT$34.4 bln vs. NT$33.84 bln Capital IQ Consensus Estimate.This represents a decline of 8.6%March revs were NT$12.9 bln, an increased of 1.6%