Mar 26, 2010

Daily Markets - Financial News And Opinions

Daily Markets - Financial News And Opinions

Bond Market Verdict: U.S. Treasuries Riskier Than Toilet Paper!

Posted: 26 Mar 2010 05:40 PM PDT

I have a lot of respect for Warren Buffett. As Nilus has noted before, he’s one of the world’s best long-term investors. He has a knack for buying low and selling high. And his Berkshire Hathaway (BRK-A) holding company has been a great multi-year performer for investors.

It has amassed stakes in everything from the Geico insurance firm to the manufactured home company Clayton Homes to the Dairy Queen restaurant chain.

But Buffett can’t levy taxes on Americans. He can’t wage war in far … [visit site to read more]


Titanium Metals Corporation (NYSE:TIE) – “On Fire” With Boeing Announcement

Posted: 26 Mar 2010 05:02 PM PDT

Titanium Metals Corporation (NYSE:TIE) is a Dallas-based titanium producer with facilities in the US and Europe. Recent reports have shown its shares being widely accumulated on heavy volume.
What's motivating the activity? For the inside scoop, we check in for analysis from Chris Mayer, editor of Agora Financial's Capital & Crisis newsletter:
"Titanium Metals (NYSE:TIE) has been on fire. The stock was up about 15% this week, and is now up about 90% since last August, a time when … [visit site to read more]

Not Necessarily The Greatest Fools

Posted: 26 Mar 2010 04:04 PM PDT

As someone who has been studying markets for more than two decades and who has a natural predilection for betting against the crowd, I have some sympathy for the popular view that share prices don’t hit their peak until the individual investor is “all in.”
That said, the assumption that this is a necessary prerequisite for a contrarian reversal of fortunes probably owes much to the fact that we have lived through one of the greatest long-term bull markets of all time.
During that span, the … [visit site to read more]

Cartoon: I’ll Have The Grilled Investor, Blood Rare…

Posted: 26 Mar 2010 04:01 PM PDT

Source: Jeff Danziger, GoComics, March 25, … [visit site to read more]

Western Union Prices Notes

Posted: 26 Mar 2010 03:50 PM PDT

Money transfer company Western Union Inc. (NYSE:WU) yesterday announced the pricing of its new issue of notes due 2020. The exchange price has been set at $1,070.10 for each $1,000 principal amount of old notes tendered.

Western Union, which announced the new issue of notes earlier during the month, is doing so to exchange $500 million of aggregate principal notes outstanding due 2011. The new notes will carry an interest rate of 5.253%, with expiration due in Apr 2020.

The exchange offer, which … [visit site to read more]

Gen’l Dynamics Wins $21.8M Deal

Posted: 26 Mar 2010 03:37 PM PDT

General Dynamics Information Technology, a business unit of General Dynamics (NYSE:GD), has been awarded a five-year, $21.8 million contract to provide support to the new U.S. Navy Air and Missile Defense Command (NAMDC) at Naval Support Facility Dahlgren in Dahlgren, Virginia.

Under the contract, General Dynamics will provide its expertise to support fleet unit readiness assessments, training, resource and requirements planning, systems engineering and science and technology … [visit site to read more]

Dow Going “Green” With Styrofoam

Posted: 26 Mar 2010 03:24 PM PDT

Dow Chemical (NYSE:DOW) has concluded its two-year project to transform its line of energy-saving insulation and air sealing products to a more sustainable manufacturing technology in North America. The company expects the new technology to reduce its greenhouse gas emissions resulting from the production of STYROFOAM™ brand insulation at all of its converted production facilities in that region.

Dow stated that its iconic Blue™ STYROFOAM™ insulation helps conserve energy and reduce carbon … [visit site to read more]

BIIB’s Tysabri In Head-to-Head

Posted: 26 Mar 2010 03:09 PM PDT

Biogen Idec (NASDAQ:BIIB) and Elan Corporation, plc (NYSE:ELN) recently announced that they have started enrolling patients for a phase IIIb head-to-head study between Tysabri and Teva Pharmaceuticals' (NASDAQ:TEVA) Copaxone and Merck Serono/Pfizer's (NYSE:PFE) Rebif.

The randomized, rater-blinded, active-controlled study (SURPASS) will evaluate the efficacy of Biogen/Elan's Tysabri in patients with relapsing remitting multiple sclerosis (RRMS) who switch to the drug from other treatments like Copaxone … [visit site to read more]

Obama Really Is Going To Pay Her Mortgage

Posted: 26 Mar 2010 03:01 PM PDT

My blood is boiling. Why?

The assault on the principles of free market capitalism is escalating with news that banks are poised to start reducing principal balances on certain mortgages.

I empathize with those who are strapped, but I have never felt more strongly on a topic than this principal reduction. Despite any and all bulls*%# put forth by those in Washington, the principal reduction program is an enormous escalation of the violation of moral hazard which our country sadly … [visit site to read more]

El Paso Buys Assets, Issues Notes

Posted: 26 Mar 2010 02:50 PM PDT

El Paso Pipeline Partners L.P. (NYSE:EPB) has agreed to buy interests in two energy companies for $810 million. Separately, the company announced the commencement of a $425 million debt offering, which is due in 2020.

Acquisition

The Partnership will acquire 51% interest in both Southern LNG Company L.L.C. and El Paso Elba Express Company L.L.C. from general partner, El Paso Corporation (NYSE:EP).

Southern LNG owns the Elba Island liquefied natural gas (LNG) terminal near Savannah, Georgia, which … [visit site to read more]

Earnings Preview: Lawson Software

Posted: 26 Mar 2010 02:30 PM PDT

Lawson Software, Inc. (NASDAQ:LWSN) is scheduled to report fiscal 2010 third quarter results on April 7, 2010.

Lawson provides enterprise resource planning (ERP) software solutions and professional services to mid-market enterprises in the health care, retail, public and services industries. The company derives its revenue from software license fees, customer support and maintenance fees and consulting fees.

Management expects revenues between $174 million and $178 million in the third quarter of … [visit site to read more]

American Physicians Downgraded

Posted: 26 Mar 2010 02:15 PM PDT

We have downgraded our recommendation on American Physicians Service Group Inc. (NASDAQ:AMPH) to Neutral.

The company reported fourth quarter operating earnings of 96 cents per share, significantly ahead of the Zacks Consensus Estimate of 73 cents. Results reflected a favorable claims environment, strong policyholder retention and better-than-expected figures from the Financial Service segment.

American Physicians continues to achieve excellent policyholder retention, approximately 90% in 2009, … [visit site to read more]

US Health Care Reform: Supply, Demand, Price Effects And Shortages

Posted: 26 Mar 2010 02:01 PM PDT

Earlier I wrote about the effects of pre-existing condition reform on insurance companies and health care providers. In this post I want to talk more broadly about demand for health care services, supply, the price of health care procedures, and shortages.

The health care reform proposal will increase demand for medical services, not much surprise there.  Because anyone can buy insurance without limitations on pre-existing conditions, people who will need extensive service have access … [visit site to read more]

Citi Commits To HAMP For 2nd Liens

Posted: 26 Mar 2010 02:00 PM PDT

Yesterday, Citigroup Inc. (NYSE:C) announced its commitment to participate in the second-lien program of the U.S. government's Home Affordable Mortgage Program (HAMP).

Besides Citi, Bank of America Corp. (NYSE:BAC), Wells Fargo & Co. (NYSE:WFC) and JPMorgan Chase & Co. (NYSE:JPM) are also participating in the program.

The program is aimed at providing greater affordability to homeowners by modifying their payments on second mortgages and is part of the President Obama's loan modification … [visit site to read more]

Housing Market Recovery: On The Same Schedule As Godot

Posted: 26 Mar 2010 02:00 PM PDT

Not much action in the markets yesterday. The Dow lost 5. Gold gained 4.
So far the markets have not seemed to notice, but there are not one…but two bulls in this china shop.
First, the US government is going broke.
Second, we're at the beginning of a Great Correction.
As to the second item, here's this update from Bloomberg:
Sales of new homes in the US unexpectedly fell in February to a record low as blizzards, unemployment and foreclosures depressed the market.
Purchases decreased 2.2% … [visit site to read more]

Daily ETF Roundup: UNG Continues Slide, FXI Jumps

Posted: 26 Mar 2010 01:49 PM PDT

A week that saw many equity benchmarks hit 18-month highs closed on a relatively quiet note, as investors became less worried about Greece's financial woes and shrugged off a downward revision to fourth quarter GDP growth. Elsewhere, the South Korea ETF closed lower after an explosion an a navy vessel near the North Korean maritime border sparked concerns of escalating tensions.
The ETFdb 60 Index, a benchmark measuring the performance of asset classes available through exchange-traded … [visit site to read more]

Video: NYSE Closing Bell Market Monitor: ABK, RSH

Posted: 26 Mar 2010 01:48 PM PDT

The latest in news, commentary, and information on what’s moving the US equities markets. Watch this broadcast LIVE at 4:00 pm EST daily @ “http://www.nyx.com/marketmonitor” … [visit site to read more]

Synnex Beats Zacks Ests

Posted: 26 Mar 2010 01:45 PM PDT

Synnex Corp. (NYSE:SNX) posted fiscal 2010 first-quarter results after the closing bell yesterday. The company reported net income of $34.7 million, compared to $18.9 million in the year-ago quarter. Earnings from continuing operations came in at 66 cents, which topped the Zacks Consensus Estimate by 4 cents, or nearly 6.4%.

Synnex is a business process services company, serving resellers and original equipment manufacturers (OEMs) worldwide. The company operates in two segments, distribution … [visit site to read more]

Ambac Unit Faces Downgrades

Posted: 26 Mar 2010 01:34 PM PDT

Yesterday, the rating agency Standard & Poor’s slashed the rating of Ambac Assurance ("AAC”), a unit of Ambac Financial Group (NYSE:ABK), to "R” from "CC.” This move was fueled by the announcement of the Officer of Commissioner of Insurance (OCI) regarding the rehabilitation of AAC liabilities.

The OCI yesterday ordered AAC to create a segregated fund, which would contain $35 billion of the company's liabilities on policies related to residential mortgage-backed securities and $29 … [visit site to read more]

Duke Realty Offers Senior Notes

Posted: 26 Mar 2010 01:06 PM PDT

Duke Realty Corp. (NYSE:DRE), a real estate investment trust (REIT) engaged in owning, managing and developing industrial, health care and office properties across the U.S., recently announced an offering of $250 million aggregate principal amount of 6.75% senior unsecured notes due Mar 15, 2020. 

The net proceeds from the offering would be primarily used to reduce debt and for general corporate purposes. Duke Realty has priced the notes at 99.98% of the face amount to yield 6.8%. Earlier, … [visit site to read more]

SEC’s Derivatives Review Stings Actively Managed ETFs

Posted: 26 Mar 2010 01:01 PM PDT

On March 25th, the SEC announced in this release that it is going to defer granting exemptive relief to certain funds and ETFs which invest significantly in derivatives, while it conducts a review of the usage of these instruments in mutual funds and ETFs. Filing for exemptive relief under the Investment Company Act is one of the most important and initial steps in bringing actively-managed ETFs to market. The release specifically mentions that certain requests from actively-managed ETF … [visit site to read more]

Embracing Volatility… How To Use The Put-Sell Strategy To Grab Stock Discounts And Cash

Posted: 26 Mar 2010 12:54 PM PDT

Friday, March 26, 2010: Issue #1225
When I was a floor trader on the NYMEX in the 1990s, a "big" day occurred when oil futures moved by $0.50 intraday. And it would take all day for that to happen.
Today's fluctuations make those days look like bingo night at the church hall.
It's not uncommon to see the price of oil move $2 in mere seconds. And intraday moves can easily span $3 to $4.
The question is: Why such a dramatic change between then and now?
I chalk much of it up to the new … [visit site to read more]

Keryx’s Loss Wider Than Expected

Posted: 26 Mar 2010 12:51 PM PDT

Keryx Biopharmaceuticals Inc.'s (NASDAQ:KERX) fourth quarter net loss per share came in at 8 cents, wider than the Zacks Consensus Estimate of a loss of 6 cents. While fourth quarter net loss per share remained unchanged from the year ago period due to an increase in the number of shares, total net loss increased to $4.7 million during the reported quarter, compared to $3.8 million in the year-ago quarter. 

The company recorded no revenue in the reported quarter. The wider loss in the … [visit site to read more]

Video: Testing Begins As Netflix Prepares Streaming Technolgy For The Nintendo Wii

Posted: 26 Mar 2010 12:40 PM PDT

Netflix announced that it has officially shipped instant-streaming discs to some members for testing as it prepares to launch streaming media via the Nintendo Wii. … [visit site to read more]

Brinker Lifts Outlook

Posted: 26 Mar 2010 12:36 PM PDT

Brinker International, Inc. (NYSE:EAT), one of the leading casual dining restaurant companies, recently lifted its fiscal 2010 outlook based on improvement expected in comparable-store sales. 

The operator of Chili’s Grill & Bar and Maggiano’s Little Italy restaurants now expects fiscal 2010 earnings before special items in the range of $1.40 to $1.44 per share, up from the previous guidance range of $1.15 to $1.30. Brinker now expects comparable-store sales for fiscal 2010 to fall … [visit site to read more]

Chermany Vs. Gremerica

Posted: 26 Mar 2010 12:30 PM PDT

Bummer! You work hard. You save your money. You make a product and sell it at a profit. Everybody's happy. And then, your customers, the silly spendthrifts, go broke. And what do you know? Everybody points his finger and blames you!
"World leaders are choosing recession," charges The Financial Times. The "world leaders" the FT is talking about are Premier Wen Jiabao of China and Germany's Finance Minister, Wolfgang Schauble.
The FT says they should loosen up; have some fun. China … [visit site to read more]

Video: Crude Slides On Stronger Dollar

Posted: 26 Mar 2010 12:29 PM PDT

Front month crude prices were on the downside this session as the greenback gained some ground in the money markets. … [visit site to read more]

CBG To Consolidate Operations

Posted: 26 Mar 2010 12:21 PM PDT

CB Richard Ellis Group Inc. (NYSE:CBG), the world's largest commercial real estate firm, has decided to consolidate its operations in Uptown Dallas and bring its development and acquisitions divisions under a single roof. 

The company is currently in the final stages of negotiation to lease about 90,000 square feet of space at 2100 McKinney, a 375,000 square feet office building on McKinney Avenue in Dallas. With the lease, the property would have 75% occupancy. 

According to … [visit site to read more]

Corcept Posts Narrower Loss

Posted: 26 Mar 2010 12:06 PM PDT

Corcept Therapeutics Inc.'s (NASDAQ:CORT) fiscal 2009 fourth-quarter net loss per share came in at 9 cents, narrower than the Zacks Consensus Estimate for a 11-cents loss. The year-ago loss was 13 cents. The year-over-year decline in loss for the reported quarter was attributable to lower operating costs. 

Quarterly Results 

The company recorded no revenue for the reported quarter as against $143,000 in the year-ago quarter. Collaboration revenue accounts for the entire revenues for … [visit site to read more]

Animated Rats Serve Up Safer Menu Items

Posted: 26 Mar 2010 12:05 PM PDT

You would think that rats are health risk, and certainly they are…
Yet, even a meal from Disney's recent animated movie-star rat seems safer — from both a medical and financial perspective — than the Obama administration's latest … [visit site to read more]

South Korea ETF (EWY) Sinks Along With Naval Ship

Posted: 26 Mar 2010 11:50 AM PDT

Drama on the high seas sent the iShares MSCI South Korea Index Fund (EWY) tumbling on Friday, as reports of an explosion on a South Korean naval ship sparked concerns over a clash with North Korea. The blast occurred near a disputed maritime border between North and South Korea, causing the South Korean vessl to sink and prompting efforts to rescue more than 100 sailors aboard. 
It also prompted TV stations to speculate that the ship was hit by a torpedo, although South Korean officials … [visit site to read more]

Who Will Prop Up Housing Next?

Posted: 26 Mar 2010 11:44 AM PDT

For weeks, the question has lingered: Now that the Fed is following through on its promise to stop buying up shaky mortgage-backed securities, what will the powers that be do to prop up the housing market next?
This morning, we have our answer, direct from the White House. And rest assured, you're on the hook for some of it. The details in a moment… First, let's step back and take stock of the government's efforts to date.
A report just out from the Office of the Comptroller of the … [visit site to read more]

SP500 & Dow Intraday Charts & Futures Prices At Their Best

Posted: 26 Mar 2010 11:33 AM PDT

March 26, 2010
The market gapped higher this morning after yesterdays heavy selling. At this time the market (metals and indexes) are trading at resistance on light volume. This tells me people are a little spooked from yesterday and just do not want to buy at these lofty prices.
.
Stock Market Training Education
I am trying to provide you with more insight and trading tips/education because I know many of you enjoy it. So here is something some of you may find interesting…
Over the years I … [visit site to read more]

The Clueless Equity “Crowd”

Posted: 26 Mar 2010 11:28 AM PDT

Some might view this as further evidence that the equity “crowd” is clueless when it comes to assessing big picture … [visit site to read more]

Earnings Preview: Next Week: Jobs, Jobs, Jobs

Posted: 25 Mar 2010 10:00 PM PDT

Earnings Preview 3/26/10

Earnings Season is winding down, but that does not mean it is over. Actually, it is about to start up again.

Next week will bring 79 earnings reports, including 2 members of the S&P 500. We define the first quarter as any fiscal period ending in February, March or April, and 30 of the firms reporting, will actually be reporting first quarter earnings. Some of the higher-profile firms to report will be Research In Motion (NASDAQ:RIMM), Micron Technology (NYSE:MU), … [visit site to read more]
posted by

No comments:

Post a Comment

Subscribe to: Post Comments (Atom)