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From Briefing.com: 4:15 pm : The stock market rallied steadily throughout the trading day despite starting the session on a lower note. Small caps led the way with the Russell 2000 climbing 1.3% while the S&P 500 advanced 0.6%.

The benchmark index was down as much as 0.6% at the start of the session after overnight weakness in the futures market set the stage for a lower open. The losses in futures coincided with a wave of yen strength that once again stoked fears about potential forced unwinds of the yen-based carry trade. Adding to the early weakness was a disappointing retail sales report for January.

Even though stocks opened lower, the S&P 500 found support at its 50-day moving average in the 1810 area. The index also drew strength from the retreat in the yen as the dollar/yen pair climbed off its low just under the 101.75 level.

Strikingly, the rally in equities continued even as the dollar/yen pair spent the afternoon in a narrow range while Treasuries never surrendered their morning gains. In fact, the 10-yr note extended its morning advance, sending its yield lower by six basis points to 2.73%.

It should be noted that the advance in equities took place amid below average volume, which could have exacerbated movements in some prices. Only 627 million shares changed hands at the NYSE floor versus a 200-day average of 717 million.

All ten sectors posted gains with materials (+1.0%) and utilities (+1.2%) ending in the lead. The rate-sensitive utilities sector benefited from the retreat in yields while materials drew strength from steelmakers and miners. The Market Vectors Steel ETF (SLX 47.05, +0.44) gained 0.9% while Market Vectors Gold Miners ETF (GDX 25.87, +1.10) jumped 4.4%. On a related note, gold futures rose 0.4% to $1300.40/ozt, ending above the $1300.00 mark for the first time since early November.

Elsewhere, the largest S&P 500 sector, technology (+0.9%) shook off the disappointing guidance provided by Cisco Systems (CSCO 22.27, -0.58), and rallied on the back of chipmakers. NVIDIA (NVDA 17.36, +0.53) gained 3.2% in reaction to its above-consensus results while the broader PHLX Semiconductor Index settled higher by 1.2%.

Other heavily-weighted groups were mixed with respect to the broader market. Health care (+0.8%) outperformed while consumer discretionary (+0.4%), energy (+0.4%), financials (+0.4%), and industrials (+0.2%) lagged.

Looking back at the economic data:

Retail sales fell 0.4% in January after declining a downwardly revised 0.1% (from +0.2%) in December. The Briefing.com consensus expected no growth in January. The report was discouraging and many are going to point to extreme winter weather conditions as the primary cause for the larger-than-expected decline. That scenario holds some truth as sectors that are normally affected by weather conditions such as motor vehicle sales (-2.1%) and restaurants (-0.6%) saw significant pullbacks. However, spending in general was weaker across the board. That could signal that the spending out of savings that occurred in December was a one-time event related to the holidays and not the start of a new trend.
The weekly initial claims level increased to 339,000 from an unrevised 331,000 while the Briefing.com consensus expected an increase to 335,000. The claims data have shown some choppiness, likely the result of volatility from the extreme winter weather conditions. In general, claims have not deviated from its 330,000 - 340,000 trend. These levels normally support payroll growth in the neighborhood of 185,000 - 200,000 jobs per months.
Business inventories increased 0.5% in December after increasing 0.4% in November while the Briefing.com consensus expected an increase of 0.4%.Total inventories consist of manufacturers, merchant wholesalers, and retails. Both manufacturers (0.5%) and wholesaler (0.3%) inventories were announced prior to the total inventory release. The only unknown was retailer inventories, which increased 0.6% in December after increasing 0.8% in November.

Tomorrow, January export prices ex-agriculture and import prices ex-oil will be released at 8:30 ET while Industrial Production and Capacity Utilization for January will be announced at 9:15 ET. The day's data will be topped off by a 9:55 ET release of the preliminary Michigan Consumer Sentiment survey for February.

Nasdaq Composite +1.5% YTD
S&P 500 -1.0% YTD
Russell 2000 -1.3% YTD
Dow Jones Industrial Average -3.3% YTD

DJ30 +63.65 NASDAQ +39.38 SP500 +10.57 NASDAQ Adv/Vol/Dec 1884/2.10 bln/708 NYSE Adv/Vol/Dec 2243/626.6 mln/774 3:30 pm :

Precious metals trended higher today, gaining support on a weaker dollar index following retail sales and initial claims data released this morning. Retail sales fell 0.4% in January after declining a downwardly revised 0.1% (from +0.2%) in December (Briefing.com consensus expected no growth). The weekly initial claims level increased to 339,000 from an unrevised 331,000 (Briefing.com consensus called for an increase to 335,000). Apr gold gained for a fifth consecutive session, rising above the $1300 per ounce level for the first time since November. It lifted from its session low of $1291.80 per ounce and eventually settled with a 0.4% gain at $1300.40 per ounce.
Mar silver came off its session low of $20.20 per ounce set in early morning pit trade. It broke into positive territory in late morning action and settled at $20.39 per ounce, or 0.3% higher.
Mar crude oil lifted from its session low of $99.84 per barrel set at pit trade open and advanced to a session high of $100.66 per barrel. However, it slipped back into the red as it headed into the close and settled 0.1% lower at $100.28 per barrel.
Mar natural gas rose for a third consecutive session as it gained support from better-than-anticipated inventory data. Inventories for the week ending Feb 7 declined by 237 bcf, while expectations called for a draw of 228-233 bcf. The energy component trended higher after lifting from a session low of $4.92 per MMBtu set in early morning action and settled with a 7.9% gain at $5.21 per MMBtu, or just below its session high of $5.24 per MMBtu.

4:09PM Agilent beats by $0.01, reports revs in-line; guides Q2 EPS below consensus, revs below consensus; guides FY14 EPS below consensus, revs in-line (A) 60.08 +0.19 : Reports Q1 (Jan) earnings of $0.67 per share, $0.01 better than the Capital IQ Consensus Estimate of $0.66; revenues fell 0.1% year/year to $1.68 bln vs the $1.69 bln consensus. Co issues downside guidance for Q2, sees EPS of $0.71-0.73, excluding non-recurring items, vs. $0.81 Capital IQ Consensus Estimate; sees Q2 revs of $1.72-1.74 bln vs. $1.77 bln Capital IQ Consensus Estimate. Co issues mixed guidance for FY14, sees EPS of $2.96-3.16, excluding non-recurring items, vs. $3.19 Capital IQ Consensus Estimate; sees FY14 revs of $6.90-7.10 bln vs. $7.04 bln Capital IQ Consensus Estimate.

4:09PM SunPower announces a three-year agreement to offer high efficiency SunPower solar power systems at Meritage Homes communities nationwide (SPWR) 33.19 +1.57 : Co inks 3-year agreement to offer high efficiency SunPower solar power systems at Meritage Homes (MTH) communities nationwide. The two companies have teamed to provide leading comprehensive energy efficiency and solar power solutions to thousands of Meritage Homes homebuyers throughout the U.S. "By partnering with SunPower, the industry's most experienced provider of solar technology to new home communities, Meritage Homes provides customers the most reliable and efficient solar technology available, enabling customers to create value the moment they take ownership of their new home."

4:07PM Cray beats by $0.17, beats on revs; guides FY14 revs in-line (CRAY) : Reports Q4 (Dec) earnings of $1.48 per share, $0.17 better than the Capital IQ Consensus Estimate of $1.31; revenues rose 62.8% year/year to $307.4 mln vs the $300.77 mln consensus. Co issues in-line guidance for FY14, sees FY14 revs "in the range of $600 mln" vs. $595.40 mln Capital IQ Consensus Estimate.

For 2014, while a wide range of results remains possible, the Company anticipates revenue to be in the range of $600 million for the year. Revenue is expected to ramp quarterly during 2014, with about $50 million for the first quarter and roughly 50% of the year weighted to the fourth quarter. Non-GAAP gross margin for 2014 is anticipated to be in the mid-30% range. Total non-GAAP operating expenses for the year are anticipated to be about $175 million. Based on this outlook, the Company expects to be profitable on both a GAAP and non-GAAP basis for 2014

Large Cap Gainers


TWC (144.54 +6.82%): Co confirmed merger with Comcast (CMCSA) in a stock-for-stock transaction amounting to ~ $45.2 bln in equity value; each TWC will be exchanged for 2.875 shares of CMCSA, with a value to TWC shareholders of ~ $158.82 per share based on the last closing price of CMCSA shares; Moody's changed debt review to a review to an upgrade review (currently Baa2) from a downgrade review.
ABX (19.73 +4.02%): Missed on EPS by $0.04, beat on revs; sees FY14 production down 12.8% at midpoint with higher costs.
CBS (64.19 +3.78%): Beat on EPS by $0.02, beat on revs; announced plans for a $1.5 bln accelerated share repurchase; tgt raised to $74 from $67 at FBR Capital; RBC raised its CBS tgt to $69 from $68; remained firm's Top Pick. Large Cap Losers
WFM (51.67 -6.83%): Missed on EPS by $0.02, missed on revs; lowered FY14 EPS below consensus, lowered top end of FY14 revs below consensus; Q1 comps +5.4%; tgt lowered to $60 from $70 at Deutsche Bank; tgt lowered to $57 from $61 at JP Morgan; tgt lowered to $62 from $66 at UBS.
CHTR (129.31 -6%): Trading lower following TWC / CMCSA merger news; CRT cautious on CHTR following CMCSA's bid for TWC.
NTAP (40.86 -4.06%): Beat on EPS by $0.04, missed on revs; guided Q4 EPS in-line, revs below consensus.
Mid Cap Gainers
GNRC (56.2 +12.65%): Beat on EPS by $0.25, beat on revs; guided FY14 revs above consensus.
CTRP (46.88 +12.37%): Beat on EPS by $0.05, beat on revs; guided Q1 revs in-line; upgraded to Overweight from Equal-Weight at Morgan Stanley.
AFSI (34.72 +12%): Beat on the bottom line excluding items, missed on revs; reaffirmed 2014-2016 outlook targets.
Mid Cap Losers
URS (43.37 -12.14%): Sees FY13 revs of ~$11 bln vs $11.15 bln consensus; sees FY13 EPS of $4.16-4.26 vs $4.15 estimate; expects FY14 consolidated revs between $10.8-11.2 bln vs $11.39 bln consensus, FY14 cash EPS between $4.13-4.43, on a fully diluted basis, vs $4.38 consensus.
CAB (62.66 -10.24%): Missed on EPS by $0.09, missed on revs; guided Q1 EPS below consensus; guided FY14 EPS below consensus.
KGC (5.01 -6.44%): Missed on EPS by $0.05, beat on revs.
11:01AM Microsoft and Voxx Electronics sign patent agreement for Anrdoid devices (MSFT) 37.80 +0.33 : Co and Voxx Electronics Corp. (formerly Audiovox Electronics Corp.) announced on Thursday a worldwide patent licensing agreement providing Voxx Electronics with broad coverage under Microsoft's patent portfolio for devices running the Android OS, including rear-seat entertainment devices, tablets and other consumer devices. While the contents of the agreement are confidential, the parties indicate that Microsoft will receive royalties from Voxx Electronics under the agreement.

STMicroelectronics (STM) released its Teseo II single-chip satellite-tracking IC to the European Space Agency and the European Commission Joint Research Center for testing for eCall approval.

9:10AM BlackBerry announced that a new version of BBM will be available later today for Android, iPhone and BlackBerry customers (BBRY) 9.68 : Android and iPhone customers will now be able to make free voice calls to BBM contacts over a Wi-Fi or data connection with BBM Voice(i), as well as access BBM Channels.

9:05AM LDK Solar Enters into Further Forbearance Arrangement with Noteholders (LDK) 1.11 : Co announced that it has entered into a new 14-day forbearance arrangement with holders of a majority in aggregate principal amount of its US$-Settled 10% Senior Notes due 2014. The new forbearance arrangement, which expires on Feb 27, 2014, relates to the interest payment due under the Notes on Aug 28, 2013. That interest payment is still unpaid. It is LDK Solar's intention to find a consensual solution to its obligations under the Notes as soon as possible and LDK Solar remains hopeful that it will be able to achieve that goal. As reported previously, LDK Solar has engaged Jefferies LLC as a financial advisor for strategic advice in connection with the Notes and LDK Solar's other offshore obligations.

NetApp (NTAP) reported third quarter adjusted earnings of $0.75 per share, which is higher than expected, while revenues fell 1.2% year/year to $1.61 billion which is slightly below estimates. The company issued guidance for the fourth quarter with adjusted EPS of $0.77-0.82 which is line with estimates with revenues of $1.62-1.72 billion which is below estimates."We are pleased with our strong operational execution again this quarter...With our strategy of delivering best-of-breed cloud-integrated and flash-accelerated solutions and our unique ability to manage data seamlessly across on- and off-premise environments, we are well positioned to create ongoing opportunity in the evolving IT landscape."
Cisco Systems (CSCO) reported second quarter earnings of $0.47 per share, excluding non-recurring items, which is higher than expected, while revenues fell 7.8% year/year to $11.15 billion which is higher than expected. Cisco is also announcing that earlier today its Board of Directors declared a quarterly dividend of $0.19 per common share, a two-cent increase over the previous quarter's dividend, to be paid on April 23, 2014 to all shareholders of record as of the close of business on April 3, 2014. Future dividends will be subject to Board approval. The company guided Q3 revs down 6-8% which is line with estimates.
Angie's List (ANGI) reported fourth quarter earnings of $0.05 per share, which is worse than expected, while revenues rose 48.9% year/year to $68.8 million which is higher than expected. Marketing expense increased 30 percent, or $2.7 million, compared to the prior year period. General and Administrative expense in the fourth quarter of 2013 includes a $4.0 million accrual for the pending settlement of certain litigation. The company issued guidance for the first quarter with revenues of i$71.5-72.5 million which is worse than expected. The company also sees first quarter marketing expense of $22.5 million to $23.5 million.
Applied Materials (AMAT) reported first quarter earnings of $0.23 per share, which is higher than expected, while revenues rose 39.2% year/year to $2.19 billion which is higher than expected. The company issued first quarter guidance with EPS of $0.25-0.29 and revenues of +3-10% to approximately $2.26-2.41 billion which are both in line with estimates. "In our first fiscal quarter, Applied Materials delivered earnings near the high end of our guidance range, while demonstrating momentum in revenue, orders and market share...This performance reflects healthy investment by our semiconductor and display customers and major technology trends that are playing to our strengths in precision materials engineering." Guidance Details: Applied's second quarter non-GAAP adjusted diluted EPS outlook excludes known charges related to completed acquisitions and integration costs of 3 cents. The company's second quarter business outlook does not exclude other non-GAAP adjustments that may arise subsequent to this release.

Zillow (Z) reported fourth quarter earnings of $0.19 per share, excluding non-recurring items, which is higher than expected, while revenues rose 69.2% year/year to $58.03 million which is slightly below estimates. Average monthly unique users during the fourth quarter of 2013 were 54.4 million, up 57% year-over-year. Visits to Zillow via a mobile device nearly doubled year-over-year in the fourth quarter of 2013. Premier Agent subscribers increased by 3,565 in the fourth quarter of 2013, and totaled 48,314 on December 31, 2013, up 64% year-over-year. Average monthly revenue per subscriber in the fourth quarter of 2013 was $271, which was an increase compared to $267 in the same period last year. The company sees first quarter revs of $62-63 million and fiscal year 2014 revenues of $288-294 million which is above estimates.