Tuesday, August 21, 2007

Wednesday Watch

Late-Night Headlines
- Google Inc.(GOOG) will show advertising clips on YouTube to capitalize on the surging popularity of online video.
China, the world’s second-biggest energy user, increase imports of liquefied natural gas more than 500% last month.
- Yahoo Japan Corp., operator of the nation’s most visited Web site, headed for its biggest gain in four months on the Tokyo exchange after Goldman Sachs Group Inc.(GS) raised the stock’s rating, citing advertisement earnings.
- Ahmadinejad Fails Tehran Youth, ‘Impatient’ for Jobs, Own Homes.

Wall Street Journal:
The online brokerage industry, which underwent a wave of consolidation after the bursting of the dot-com bubble, may be headed for another shakeout, with giants TD Ameritrade Holding Corp.(AMTD) and E*Trade Financial Corp.(ETFC) holding merger discussions.
- Insurance stocks have been hit hard by the mortgage-market tumult, and that has created opportunities for investors willing to overlook some dings and scratches in companies that should generate healthy profits over the long term.
Sohu.com(SOHU) won the exclusive right to run advertisements by Olympic sponsors that use the games’ official logo of a running man.
- As the subprime mortgage crisis ripples through the broader housing market, the Bush administration is eyeing an often overlooked federal mortgage insurer to help low- and middle-income homeowners avoid foreclosure.
- Lawyers Gear Up Grand New Fees. Hourly Rates Increasingly Hit $1,000, Breaching a Level Once Seen as Taboo.

- People too quick on the draw may have shot themselves in the foot by selling when the stock market looked like it was in a free fall.
- Robotics startups make mark in medicine.

- Strong sales of robots to the US military propelled iRobot(IRBT) in the first half of the year, but the company is counting on sales of home robots to lead its way in the second half.
- Board-Sport Retailer Catches a Wave While Competitors Wipe Out.

- Gasoline demand growth in slowing, not long after prices hit a record $3.23 a gallon, but it may be too early to call it a trend.
- Hudson City Bancorp(HCBK) is the biggest winner in the S&P 500 the last month, up 21% and it’s a mortgage bank.
- 20 timeless money rules.
- 15 companies that will change the world.

USA Today:
- More states harness power of renewable energy.
- Gallup: Approval rating for Congress matches lowest ever recorded.

Financial Times:
- Apple Inc.(AAPL) has succeeded in committing European mobile phone operators that want exclusively to sell its new iPhone to share parts of their revenues with the technology group.

- Experts are reassuring investors that US money market mutual funds, which have gathered about $165 billion in new assets over an eight-week period, are safe from the subprime mortgage problems that have caused steep losses at several hedge funds.
- Apartment landlord Archstone-Smith(ASN) said on Tuesday it shareholders approved a roughly $15.3 billion takeover offer from an entity controlled by Tishman Speyer fund and Lehman Brothers(LEH).
- Nymex Holdings(NMX) said on Tuesday it has held preliminary discussions about a potential merger, but there is no guarantee of a deal.
- GM(GM) sees steady growth in emerging markets revenue.

Chosun Ilboi:
- CJ Corp. plans to acquire a US food companhy, citing Kim Jin Soo, CEO of South Korea’s largest grocer.

China Business News:
- China’s currency regulator may add Shanghai to a pilot program that allows Chinese citizens to buy Hong Kong-traded stocks directly.

Late Buy/Sell Recommendations
- Reiterated Buy on (WLP), target $98.
- Reiterated Buy on (BJ), target $43.
- Reiterated Buy on (GPN), target $51.
- Reiterated By on (SPLS), target $31.

Raymond James:
- Raised (DRI) to Strong Buy, target $48.50.

Night Trading
Asian Indices are unch. to +1.25% on average.
S&P 500 futures +.18%.
NASDAQ 100 futures unch.

Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Pre-market Stock Quote/Chart
Before the Bell CNBC Video(bottom right)
Global Commentary
WSJ Intl Markets Performance
Commodity Movers
Top 25 Stories

Top 20 Business Stories
Today in IBD
In Play
Bond Ticker
Economic Preview/Calendar
Daily Stock Events
Macro Calls
Rasmussen Business/Economy Polling
CNBC Guest Schedule

Earnings of Note
Company/EPS Estimate
- (ANF)/.84
- (BCSI)/.34
- (CHRS)/.12
- (DBD)/.36
- (EV)/.42
- (FL)/-.18
- (GYMB)/.15
- (HOTT)/-.03
- (INTU)/-.05
- (JDSU)/.05
- (LTD)/.20
- (MW)/.94
- (PVH)/.62
- (RGS)/.57
- (ROST)/.37
- (SFL)/.33
- (SNPS)/.31
- (TLB)/-.26
- (TECD)/.30
- (TOL)/.02
- (TWB)/.15
- (VRGY)/.49
- (WCI)/-.99
- (ZUMZ)/.08

Upcoming Splits
- (TXT) 2-for-1

Economic Releases
10:30 am EST

- Bloomberg consensus estimates call for a weekly crude oil drawdown of -2,750,000 barrels versus a -5,167,000 barrel decline the prior week. Gasoline supplies are expected to fall -800,000 barrels versus a -1,057,000 barrel decline the prior week. Distillate supplies are estimated to rise by 850,000 barrels versus a 153,000 barrel increase the prior week. Finally, refinery utilization is expected to rise .28% versus a .58% increase the prior week.

Other Potential Market Movers
- The EnerCom Oil & Gas Conference, (DE) Analyst Meeting and weekly MBA Mortgage Applications report could also impact trading today.

BOTTOM LINE: Asian indices are higher, boosted by technology stocks in the region. I expect US equities to open mixed and to rally into the afternoon, finishing modestly higher. The Portfolio is 100% net long heading into the day.

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