Bloomberg:
- Half of Japanese companies in China said in a survey that illegal copies of their products were exported in the two years ending in 2004, a preliminary report by Japan’s Ministry of Economy, Trade and Industry showed.
- Hedge funds that invest in convertible bonds posted their worst performance ever during the first five months of this year.
- Target raised its forecast for June same-store-sales.
- Loews Cineplex Entertainment, the world’s third-largest movie chain, said it will merge with AMC Entertainment to create a company that will have 450 theaters and 5,900 screens.
- Gains in global oil supplies will outpace increases in demand over the next five years, Cambridge Energy Research Associates said in a report that counters arguments that have pushed prices to an all-time high.
- Bill Gross, manager of the world’s biggest bond fund, said the Fed may reduce its interest-rate target early next year.
- US 10-year Treasury notes rose the most in two weeks, following gains in European bonds, after Sweden’s central bank cut its benchmark lending rate more than economists forecast.
Wall Street Journal:
- US anesthesiologists have boosted patient safety in a bid to reduce risk and lower the medical-malpractice insurance premiums they pay.
- Every French government since the 1970s has made the battle against unemployment a priority, with uniformly poor results, according to Eric Chaney, the chief European economist at Morgan Stanley. Chaney also said to boost employment and to preserve France’s social model simultaneously is doomed to failure.
- US independent gas-station owners are using futures contracts to stabilize prices they pay and increase profit.
- The US Federal Aviation Administration is stepping up training and boosted technology at airports to better track ground airplane movement and avoid accidents.
- GM will cut the price for slower-selling 2006-season models such as the Buick Rainier, the Buick Rendezvous and the Chevrolet Impala LS by as much as $1,500.
- A possible bid by CNOOC Ltd., China’s largest offshore oil and gas producer, for Unocal Corp., the eighth-biggest US oil company, won’t threaten US national security, China’s Foreign Ministry said.
NY Times:
- The Writers Guild of America is trying to unionize about 1,200 reality tv show writers, editors and producers.
- A black market in stolen credit card accounts and other information is growing on the Internet as companies such as CardSystems Solutions report that their databases have been breached.
USA Today:
- The percentage of Americans who fear a terrorist attack in the US in the near future is the lowest since October 2001.
Financial Times:
- Continental Air, Northwest Air, and UAL’s United Air are among US carriers that have given up their recent attempts to raise prices for last-minute corporate travelers.
Tuesday, June 21, 2005
Tuesday Watch
Late-Night Headlines
Bloomberg:
- The euro may weaken for a second day in Asia on speculation the European Central Bank will reduce interest rates from a six-decade low.
- SpiceJet Ltd., the newest of a half dozen low-fare carriers that started flying in India, said it plans to double the purchase of Boeing's aircraft to meet greater-than-expected travel demand.
- CNOOC Ltd., China's largest offshore oil and gas producer, may bid about $20 billion in cash for Unocal Corp., the eighth-biggest US oil company, trumping an offer from Chevron.
- Crude oil is falling from a record in NY on speculation OPEC will raise its output quota for a sixth time in a year to bolster global stockpiles and stem price gains.
Wall Street Journal:
- Qingdao Haier Ltd, a Chinese appliance maker, and private equity companies Blackstone Group and Bain Capital are preparing a $16/share bid for Maytag.
- European manufacturers continue to be hurt by the strength of the euro, despite the currency's 9.2% drop against the dollar since the middle of March.
La Tribune:
- French Finance Minister Thierry Breton may today cut his forecast for domestic growth in 2005 to between 1.5% and 2%, from a previous range of 2% to 2.5%.
China Daily:
- China may impose controls on investments in the production of some petrochemical products to prevent oversupply in the domestic market.
Late Buy/Sell Recommendations
Goldman Sachs:
- Reiterated Outperform on GE, BHI, SII, SLB, RIG and DO.
- Reiterated Underperform on VTS.
Night Trading
Asian Indices are -.25% to +.25% on average.
S&P 500 indicated +.02%.
NASDAQ 100 indicated unch.
Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Before the Bell CNBC Video(bottom right)
Global Commentary
Asian Indices
European Indices
Top 20 Business Stories
In Play
Bond Ticker
Daily Stock Events
Macro Calls
Rasmussen Consumer/Investor Daily Indices
CNBC Guest Schedule
Earnings of Note
Company/EPS Estimate
CMC/1.25
JBL/.33
LEN/1.28
Upcoming Splits
None of note
Economic Releases
None of note
Bloomberg:
- The euro may weaken for a second day in Asia on speculation the European Central Bank will reduce interest rates from a six-decade low.
- SpiceJet Ltd., the newest of a half dozen low-fare carriers that started flying in India, said it plans to double the purchase of Boeing's aircraft to meet greater-than-expected travel demand.
- CNOOC Ltd., China's largest offshore oil and gas producer, may bid about $20 billion in cash for Unocal Corp., the eighth-biggest US oil company, trumping an offer from Chevron.
- Crude oil is falling from a record in NY on speculation OPEC will raise its output quota for a sixth time in a year to bolster global stockpiles and stem price gains.
Wall Street Journal:
- Qingdao Haier Ltd, a Chinese appliance maker, and private equity companies Blackstone Group and Bain Capital are preparing a $16/share bid for Maytag.
- European manufacturers continue to be hurt by the strength of the euro, despite the currency's 9.2% drop against the dollar since the middle of March.
La Tribune:
- French Finance Minister Thierry Breton may today cut his forecast for domestic growth in 2005 to between 1.5% and 2%, from a previous range of 2% to 2.5%.
China Daily:
- China may impose controls on investments in the production of some petrochemical products to prevent oversupply in the domestic market.
Late Buy/Sell Recommendations
Goldman Sachs:
- Reiterated Outperform on GE, BHI, SII, SLB, RIG and DO.
- Reiterated Underperform on VTS.
Night Trading
Asian Indices are -.25% to +.25% on average.
S&P 500 indicated +.02%.
NASDAQ 100 indicated unch.
Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Before the Bell CNBC Video(bottom right)
Global Commentary
Asian Indices
European Indices
Top 20 Business Stories
In Play
Bond Ticker
Daily Stock Events
Macro Calls
Rasmussen Consumer/Investor Daily Indices
CNBC Guest Schedule
Earnings of Note
Company/EPS Estimate
CMC/1.25
JBL/.33
LEN/1.28
Upcoming Splits
None of note
Economic Releases
None of note
BOTTOM LINE: Asian indices are mostly lower on declines in consumer shares in the region. I expect US equities to open modestly higher on lower energy prices. The Portfolio is 75% net long heading into the day.
Monday, June 20, 2005
Stocks Close Modestly Lower on Light Volume
Indices
S&P 500 1,216.10 -.07%
DJIA 10,609.11 -.13%
NASDAQ 2,088.13 -.09%
Russell 2000 641.84 -.36%
DJ Wilshire 5000 12,059.05 -.07%
S&P Barra Growth 582.61 -.10%
S&P Barra Value 629.19 -.05%
Morgan Stanley Consumer 584.52 -.03%
Morgan Stanley Cyclical 740.83 -.40%
Morgan Stanley Technology 482.92 +.19%
Transports 3,572.05 -.55%
Utilities 378.76 +.28%
Put/Call .96 -6.80%
NYSE Arms .83 +5.79%
Volatility(VIX) 11.47 -.09%
ISE Sentiment 145.00 +35.51%
US Dollar 88.44 +.89%
CRB 313.76 +.89%
Futures Spot Prices
Crude Oil 59.10 +1.08%
Unleaded Gasoline 164.10 -.37%
Natural Gas 7.59 -1.24%
Heating Oil 166.00 +.50%
Gold 439.50 -.11%
Base Metals 127.34 +.09%
Copper 158.60 -1.12%
10-year US Treasury Yield 4.10% +.95%
Leading Sectors
Broadcasting +1.32%
Airlines +1.22%
Biotech +.66%
Lagging Sectors
Gold & Silver -1.64%
Homebuilders -1.69%
Steel -2.83%
Evening Review
Detailed Market Summary
Market Gauges
Daily ETF Performance
Style Performance
Market Wrap CNBC Video(bottom right)
S&P 500 Gallery View
Economic Calendar
Timely Economic Charts
GuruFocus.com
PM Market Call
After-hours Movers
Real-time/After-hours Stock Quote
In Play
Afternoon Recommendations
Goldman Sachs:
- Reiterated Outperform on LAZ.
- Reiterated Underperform on BA.
Afternoon/Evening Headlines
Bloomberg:
- Qualcomm is being investigated by the US International Trade Commission over an accusation that the company illegally imported mobile-phone chips at the center of a patent dispute with Broadcom.
- John Rigas, the 80-year-old founder of Adelphia Communications, was sentenced to 15 years in prison for looting the cable-tv company and lying about its finances.
- The euro fell the most this month against the dollar after European Union leaders failed to agree on the group’s seven-year budget, adding to concern economic integration will slow.
- Electronic Data Systems said it is in talks to sell its AT Kearney consulting division to an undisclosed “third party.”
- Carlyle Group and Extell Development agreed to buy three apartment buildings and a tract of land on Manhattan’s Upper West Side from a group of Hong Kong investors and Donald Trump for $1.76 billion.
SportsBusiness Journal:
- Sprint Corp. is close to signing a five-year, $200 million deal to sponsor the NFL and broadcast game clips and audio via wireless devices.
S&P 500 1,216.10 -.07%
DJIA 10,609.11 -.13%
NASDAQ 2,088.13 -.09%
Russell 2000 641.84 -.36%
DJ Wilshire 5000 12,059.05 -.07%
S&P Barra Growth 582.61 -.10%
S&P Barra Value 629.19 -.05%
Morgan Stanley Consumer 584.52 -.03%
Morgan Stanley Cyclical 740.83 -.40%
Morgan Stanley Technology 482.92 +.19%
Transports 3,572.05 -.55%
Utilities 378.76 +.28%
Put/Call .96 -6.80%
NYSE Arms .83 +5.79%
Volatility(VIX) 11.47 -.09%
ISE Sentiment 145.00 +35.51%
US Dollar 88.44 +.89%
CRB 313.76 +.89%
Futures Spot Prices
Crude Oil 59.10 +1.08%
Unleaded Gasoline 164.10 -.37%
Natural Gas 7.59 -1.24%
Heating Oil 166.00 +.50%
Gold 439.50 -.11%
Base Metals 127.34 +.09%
Copper 158.60 -1.12%
10-year US Treasury Yield 4.10% +.95%
Leading Sectors
Broadcasting +1.32%
Airlines +1.22%
Biotech +.66%
Lagging Sectors
Gold & Silver -1.64%
Homebuilders -1.69%
Steel -2.83%
Evening Review
Detailed Market Summary
Market Gauges
Daily ETF Performance
Style Performance
Market Wrap CNBC Video(bottom right)
S&P 500 Gallery View
Economic Calendar
Timely Economic Charts
GuruFocus.com
PM Market Call
After-hours Movers
Real-time/After-hours Stock Quote
In Play
Afternoon Recommendations
Goldman Sachs:
- Reiterated Outperform on LAZ.
- Reiterated Underperform on BA.
Afternoon/Evening Headlines
Bloomberg:
- Qualcomm is being investigated by the US International Trade Commission over an accusation that the company illegally imported mobile-phone chips at the center of a patent dispute with Broadcom.
- John Rigas, the 80-year-old founder of Adelphia Communications, was sentenced to 15 years in prison for looting the cable-tv company and lying about its finances.
- The euro fell the most this month against the dollar after European Union leaders failed to agree on the group’s seven-year budget, adding to concern economic integration will slow.
- Electronic Data Systems said it is in talks to sell its AT Kearney consulting division to an undisclosed “third party.”
- Carlyle Group and Extell Development agreed to buy three apartment buildings and a tract of land on Manhattan’s Upper West Side from a group of Hong Kong investors and Donald Trump for $1.76 billion.
SportsBusiness Journal:
- Sprint Corp. is close to signing a five-year, $200 million deal to sponsor the NFL and broadcast game clips and audio via wireless devices.
BOTTOM LINE: The Portfolio finished slightly lower on losses in my Homebuilding and Software longs. I did not trade in the afternoon, thus leaving the Portfolio 75% net long. The tone of the market was slightly negative today as the advance/decline finished lower, sector performance was mixed and volume was light. Measures of investor anxiety were mostly lower into the close. Overall, today’s market action was neutral. The 15-point reversal today in shares of Google (GOOG) is very bullish considering the mostly negative weekend news on the stock. I expect shares to test $300 again over the coming weeks. Google is still my largest long position.
Subscribe to:
Posts (Atom)