Monday, May 09, 2005

Tuesday Watch

Late-Night Headlines
Bloomberg:
- Global venture capital funds slowed investment into Chinese companies in the first quarter after the country's foreign exchange regulator issued rules that may hinder international share sales and capital raising by China businesses.
- Crude oil rose for a fifth day in NY on speculation that OPEC and other producers may be unable to meet peak global demand in the second half of the year.
- Texas Instruments outpaced Qualcomm in sales of chips that power the newest handsets, according to researcher Forward Concepts.

Wall Street Journal:
- Toyota Motor may build its seventh North American auto plant in southern Ontario.
- Hedge fund investment returns fell about 1.8% last month and are down 1.6% in 2005.
- Southwest Airlines is fighting to overturn a law that gives rival American Airlines an advantage.

Late Buy/Sell Recommendations
Goldman Sachs:
- Reiterated Outperform on GE, FSH and EBAY.
- Reiterated Underperform on MHX, HRB, HCC, PSA and IHR.

Banc of America:
- Upgraded NOV to Buy.

Night Trading
Asian Indices are -.25% to unch. on average.
S&P 500 indicated -.14%.
NASDAQ 100 indicated -.03%.

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
CSCO/.22
CETV/.20
DWA/.60
ENER/-.25
FOSL/.26
HANS/.60
MAY/.16

Splits
ADCT 1-for-7
UPL 2-for-1

Economic Releases
None of note

BOTTOM LINE: Asian indices are lower, spurred by losses in Chinese shares. I expect US equities to open modestly lower on higher energy prices and worries over slowing global growth. However, stocks may gain ground later in the day on short-covering ahead of Cisco's report and optimism over moderating energy prices ahead of Wednesday's energy inventory report. The Portfolio is 100% net long heading into tomorrow.

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