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U.S. stock market report 1728 ET 29Oct2009 Volatility index drops sharply, intraday swings return
The CBOE Volatility Index, Wall Street's favorite barometer of investor sentiment, stood at 24.76, down 11.29 percent, its biggest daily percentage slide in eight months.
The VIX is a 30-day risk forecast priced off of S&P 500 index and often moves opposite to the S&P benchmark.
Today's GDP data drove a steamroller over this week's gains in the VIX as option premiums came down significantly. U.S. stocks rallied, bolstered by GDP data showing the U.S. economy returned to growth in the third quarter and fueling hopes of a sustained rebound in corporate profits. Intraday swings have made a return, prompting investors to be more cautious and have driven up put and call option premiums over the past four sessions, said Andrew Wilkinson, market analyst at Interactive Brokers Group. 'We are in a period of great uncertainty as to how the market will finish in 2009,' said Joe Kinahan, chief derivatives strategist at TD Ameritrade.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1715 ET 29Oct2009-AFTER THE BELL
McAfee shares fall
Shares of McAfee fell 4.5 percent after the close on Thursday as it posted results.
Shares were down at $41.80 after closing at $43.75.
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Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1702 ET 29Oct2009 ANALYSIS-Fourth
quarter US profits estimates on the rise
A year that started in gloom and doom could end in cheers for U.S. corporate profits and leave the stock market positioned for a strong start to 2010.
Analysts have been forecasting a big jump in fourth-quarter earnings compared with a year earlier, when the entire Standard & Poor's 500 index ended in a per-share loss.
For more please double click
Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1651 ET 29Oct2009-US STOCKS
Wall St scores best day since July on GDP data
U.S. stocks logged their best one-day percentage gain in three months on Thursday as investors saw data showing the U.S. economy returned to growth in the third quarter as brightening the outlook for profits.
Equity gains were widespread, with big manufacturers, technology, financials, energy and the materials sectors all benefiting. Both the S&P 500 and the Nasdaq halted a four-day rout.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1449 ET 29Oct2009 Sun Micro gets call spread ahead of EU decision
One trader in Sun MicroSystems initiated a bullish call spread ahead of an expected EU decision regarding Oracle's bid for JAVA. The investor bought 30,000 calls at the Jan 2010 $7.50 strike for $1.30 and spread that against the sale for the same amount of calls at the higher Jan $9 strike for 25 cents, said Interactive Brokers Group analyst Caitlin Duffy. If shares rise at or above $9 by January expiration, the investor would pocket 45 cents per contract for total profits of $1.35 million, she said. The European Union told Oracle Corp last week that it has failed to ease competition concerns over its $7 billion acquisition. JAVA shares rose 2 cents to $8.20 after ranging between $9 and $9.20 since April when the deal was announced, said optionMonster analyst Chris McKhann on the Web site. 'This trader clearly sees this deal getting done at that $9 level that had been priced in before last week,' he said. The spread could either be a roll down in strikes or a straight purchase, said WhatsTrading.com strategist Frederic Ruffy.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1435 ET 29Oct2009
U.S. stocks extend gains; S&P 500 up 2 pct
U.S. stocks extended gains in late afternoon trading on Thursday, with the S&P 500 rising more than 2 percent on economic optimism spurred by strong U.S. gross domestic product data.
Gains were led by financials and materials stocks, with the S&P Financials index up 3.8 percent and S&P materials index also up 3.2 percent. Among top gains in banks, JPMorgan Chase was up 3.3 percent at $44.10 and Bank of America also gained 4.6 percent to $15.70.
The Dow Jones industrial average was up 179.79 points, or 1.84 percent, at 9,942.48. The Standard & Poor's 500 Index rose 21.46 points, or 2.06 percent, to 1,064.09. The Nasdaq Composite Index gained 37.39 points, or 1.82 percent, to 2,097.00.
Reuters Messaging: angela.moon.reuters.com@reuters.net
1419 ET 29Oct2009-Analysts cut K
SEA after dividend cut; shares tank
Shares of K-SEA Transportation Partners LP plunged on Thursday after at least three brokerages including Citigroup, Raymond Jones and Wells Fargo Securities downgraded the company to their lowest ratings.
K-SEA posted weak first-quarter results a day earlier, cutting its distribution to 45 cents per unit. The company also said it will not be in compliance with some of its financial covenants at the end of the second or third quarter. For details, see
The stock was down 23.2 percent at $10.75 in late afternoon trading.
Reuters Messaging: angela.moon.reuters.com@reuters.net
Keywords: MARKETS STOCKSNEWS
COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Real-time Equity news
U.S. stock market report 1728 ET 29Oct2009 Volatility index drops sharply, intraday swings return
The CBOE Volatility Index, Wall Street's favorite barometer of investor sentiment, stood at 24.76, down 11.29 percent, its biggest daily percentage slide in eight months.
The VIX is a 30-day risk forecast priced off of S&P 500 index and often moves opposite to the S&P benchmark.
Today's GDP data drove a steamroller over this week's gains in the VIX as option premiums came down significantly. U.S. stocks rallied, bolstered by GDP data showing the U.S. economy returned to growth in the third quarter and fueling hopes of a sustained rebound in corporate profits. Intraday swings have made a return, prompting investors to be more cautious and have driven up put and call option premiums over the past four sessions, said Andrew Wilkinson, market analyst at Interactive Brokers Group. 'We are in a period of great uncertainty as to how the market will finish in 2009,' said Joe Kinahan, chief derivatives strategist at TD Ameritrade.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1715 ET 29Oct2009-AFTER THE BELL
McAfee shares fall
Shares of McAfee fell 4.5 percent after the close on Thursday as it posted results.
Shares were down at $41.80 after closing at $43.75.
For more please double click
Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1702 ET 29Oct2009 ANALYSIS-Fourth
quarter US profits estimates on the rise
A year that started in gloom and doom could end in cheers for U.S. corporate profits and leave the stock market positioned for a strong start to 2010.
Analysts have been forecasting a big jump in fourth-quarter earnings compared with a year earlier, when the entire Standard & Poor's 500 index ended in a per-share loss.
For more please double click
Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1651 ET 29Oct2009-US STOCKS
Wall St scores best day since July on GDP data
U.S. stocks logged their best one-day percentage gain in three months on Thursday as investors saw data showing the U.S. economy returned to growth in the third quarter as brightening the outlook for profits.
Equity gains were widespread, with big manufacturers, technology, financials, energy and the materials sectors all benefiting. Both the S&P 500 and the Nasdaq halted a four-day rout.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1449 ET 29Oct2009 Sun Micro gets call spread ahead of EU decision
One trader in Sun MicroSystems initiated a bullish call spread ahead of an expected EU decision regarding Oracle's bid for JAVA. The investor bought 30,000 calls at the Jan 2010 $7.50 strike for $1.30 and spread that against the sale for the same amount of calls at the higher Jan $9 strike for 25 cents, said Interactive Brokers Group analyst Caitlin Duffy. If shares rise at or above $9 by January expiration, the investor would pocket 45 cents per contract for total profits of $1.35 million, she said. The European Union told Oracle Corp last week that it has failed to ease competition concerns over its $7 billion acquisition. JAVA shares rose 2 cents to $8.20 after ranging between $9 and $9.20 since April when the deal was announced, said optionMonster analyst Chris McKhann on the Web site. 'This trader clearly sees this deal getting done at that $9 level that had been priced in before last week,' he said. The spread could either be a roll down in strikes or a straight purchase, said WhatsTrading.com strategist Frederic Ruffy.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1435 ET 29Oct2009
U.S. stocks extend gains; S&P 500 up 2 pct
U.S. stocks extended gains in late afternoon trading on Thursday, with the S&P 500 rising more than 2 percent on economic optimism spurred by strong U.S. gross domestic product data.
Gains were led by financials and materials stocks, with the S&P Financials index up 3.8 percent and S&P materials index also up 3.2 percent. Among top gains in banks, JPMorgan Chase was up 3.3 percent at $44.10 and Bank of America also gained 4.6 percent to $15.70.
The Dow Jones industrial average was up 179.79 points, or 1.84 percent, at 9,942.48. The Standard & Poor's 500 Index rose 21.46 points, or 2.06 percent, to 1,064.09. The Nasdaq Composite Index gained 37.39 points, or 1.82 percent, to 2,097.00.
Reuters Messaging: angela.moon.reuters.com@reuters.net
1419 ET 29Oct2009-Analysts cut K
SEA after dividend cut; shares tank
Shares of K-SEA Transportation Partners LP plunged on Thursday after at least three brokerages including Citigroup, Raymond Jones and Wells Fargo Securities downgraded the company to their lowest ratings.
K-SEA posted weak first-quarter results a day earlier, cutting its distribution to 45 cents per unit. The company also said it will not be in compliance with some of its financial covenants at the end of the second or third quarter. For details, see
The stock was down 23.2 percent at $10.75 in late afternoon trading.
Reuters Messaging: angela.moon.reuters.com@reuters.net
Keywords: MARKETS STOCKSNEWS
COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.