1801 ET 24Nov2009-US equities short interest rises in early Nov
Short interest on the New York Stock Exchange and Nasdaq edged higher in early November, data from the exchanges showed on Tuesday, signaling that some investors are betting the equity run-up might hit some turbulence as 2009 winds down.
While this year may go down as one of the worst for short-sellers -- investors who seek to profit by betting stocks will fall -- the growing unease about the pace of the economic recovery may provide some solace.
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Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1519 ET 24Nov2009-Tech sector poised for more gains
T.Rowe Price
Technology shares should have another stellar run heading into 2010 as the economic recovery takes hold, boosting both revenue and profits, says Kennard Allen, lead portfolio manager for T.RowePrice's Science & Technology Strategy.
'Technology fundamentals have been better than expected in 2009 and the outlook has improved,' he told a briefing on the 2010 investment and economic outlook in New York.
He said dollar weakness would be a major tailwind for tech revenue growth, and strong balance sheets added to the sector's appeal, along with a push for innovation. Even so, investors would still have to be prudent about their allocations, Allen added. 'Good stock picking will be even more important in 2010. You don't want to be caught on the wrong side of the volatility.'
His holdings feature: Microsoft, Accenture, Nintendo , International Business Machines Corp and McAfee.
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1441 ET 24Nov2009 Option players shop for eBay call options
A number of players are shopping for eBay Inc bullish options as the shares of the global e-commerce and payments company were steady and traded up to $23.51 in afternoon trade. About 33,000 call options changed hands in eBay, more than double their average daily call volume and five times the number of puts, according to Trade Alert.
The January 2010 $29 call strike is leading the charge with 11,450 contracts earlier traded and 93 percent of the volume hitting ask-side, said WhatsTrading.com option strategist Frederic Ruffy. ISEE data on the International Securities Exchange indicate that 11,000 calls or 89 percent of eBay call volume on the options exchange, were opening customer buyers.
The stock's average implied volatility eased to 31.75 percent and is falling to new 52-week lows, he added. There was no apparent catalyst to explain the heightened call activity.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1433 ET 24Nov2009-Equity valuations are 'reasonable' -
T.RowePrice
Although the benchmark S&P 500 has jumped more than 60 percent since hitting a 12-year closing low in early March, stocks remain reasonably priced relative to 12-month forward earnings, a leading money manager said on Tuesday.
'To us valuations look reasonable. P/E levels are below the median and the mean,' John Linehan, co-director of U.S. equities at T.RowePrice told a briefing on the 2010 investment and economic outlook in New York.
According to his analysis, in the period between Jan. 1, 1988 through Oct
31, 2009, the S&P 500 had a long-term mean P/E of 18.47, while its long
term median P/E was 16.34. Currently, the index is trading at a forward P/E multiple of 15.31.
Reuters Messaging rm://ellis.mnyandu.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.
Short interest on the New York Stock Exchange and Nasdaq edged higher in early November, data from the exchanges showed on Tuesday, signaling that some investors are betting the equity run-up might hit some turbulence as 2009 winds down.
While this year may go down as one of the worst for short-sellers -- investors who seek to profit by betting stocks will fall -- the growing unease about the pace of the economic recovery may provide some solace.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1519 ET 24Nov2009-Tech sector poised for more gains
T.Rowe Price
Technology shares should have another stellar run heading into 2010 as the economic recovery takes hold, boosting both revenue and profits, says Kennard Allen, lead portfolio manager for T.RowePrice's Science & Technology Strategy.
'Technology fundamentals have been better than expected in 2009 and the outlook has improved,' he told a briefing on the 2010 investment and economic outlook in New York.
He said dollar weakness would be a major tailwind for tech revenue growth, and strong balance sheets added to the sector's appeal, along with a push for innovation. Even so, investors would still have to be prudent about their allocations, Allen added. 'Good stock picking will be even more important in 2010. You don't want to be caught on the wrong side of the volatility.'
His holdings feature: Microsoft, Accenture, Nintendo , International Business Machines Corp and McAfee.
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1441 ET 24Nov2009 Option players shop for eBay call options
A number of players are shopping for eBay Inc bullish options as the shares of the global e-commerce and payments company were steady and traded up to $23.51 in afternoon trade. About 33,000 call options changed hands in eBay, more than double their average daily call volume and five times the number of puts, according to Trade Alert.
The January 2010 $29 call strike is leading the charge with 11,450 contracts earlier traded and 93 percent of the volume hitting ask-side, said WhatsTrading.com option strategist Frederic Ruffy. ISEE data on the International Securities Exchange indicate that 11,000 calls or 89 percent of eBay call volume on the options exchange, were opening customer buyers.
The stock's average implied volatility eased to 31.75 percent and is falling to new 52-week lows, he added. There was no apparent catalyst to explain the heightened call activity.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1433 ET 24Nov2009-Equity valuations are 'reasonable' -
T.RowePrice
Although the benchmark S&P 500 has jumped more than 60 percent since hitting a 12-year closing low in early March, stocks remain reasonably priced relative to 12-month forward earnings, a leading money manager said on Tuesday.
'To us valuations look reasonable. P/E levels are below the median and the mean,' John Linehan, co-director of U.S. equities at T.RowePrice told a briefing on the 2010 investment and economic outlook in New York.
According to his analysis, in the period between Jan. 1, 1988 through Oct
31, 2009, the S&P 500 had a long-term mean P/E of 18.47, while its long
term median P/E was 16.34. Currently, the index is trading at a forward P/E multiple of 15.31.
Reuters Messaging rm://ellis.mnyandu.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.