Stocks on the move Real-time Equity news
U.S. stock market report
1740 ET
26Jan2009 US corporate earnings diary for Jan. 27
Companies expected to report earnings on Tuesday include blue-chip DuPont , telecom services company Verizon Communications, basic materials bellwether United States Steel Corp and Internet services company Yahoo Inc. For a complete list, see
Reuters Messaging: rodrigo.campos.reuters.com@reuters.net
1615 ET
26Jan2009 U.S. stocks rise as data, M&A offset Caterpillar
U.S. stocks rose in choppy trade on Monday, lifted by a surprising gain in existing home sales and optimism over a $68 billion takeover in the drug industry, which offset a grim warning about the year ahead from Caterpillar and worries over the financial sector's health.
The Dow Jones industrial average rose 38.47 points, or 0.48 percent, to 8,116.03. The Standard & Poor's 500 Index gained 4.62 points, or 0.56 percent, to 836.57. The Nasdaq Composite Index added 12.17 points, or 0.82 percent, to 1,489.46.
Reuters Messaging: rodrigo.campos.reuters.com@reuters.net
1536 ET 26Jan2009-It's always scary near the bottom -
analyst
From the market peak in 1981 till the bottom in August 1982 the Wall Street Journal's U.S. print edition ran 37 headlines discussing fear, noted Fred Frankael, chairman of investment policy at Beacon Trust Company in New Jersey.
From the market peak in October 2007 till this Friday the publication ran 104 headlines discussing fear in the U.S print edition, he said in a note.
'The 2009 headlines may continue for a while and really put a scare into us as we push the greed/fear pendulum to the absolute extreme end of fear,' said Frankael, who is also former managing director of global research for Lehman Brothers. 'It's always scary near the bottom.'
Reuters Messaging: ellis.mnyandu.reuters.com@reuters.net
1456 ET 26Jan2009
Goldman prefer to stay long volatility into earnings season
Goldman Sachs strategists said they prefer to remain long volatility moving into earnings season in a note to clients. Earlier this month, they recommended buying S&P 500 out-of-the- money Feb 09 830 put strikes and buying a February futures contract on the CBOE volatility index, the 30-day risk forecast, vs. selling a June VIX futures contract. Both trades are up modestly. 'Risks remain for long vol positions. If the equity market has already priced earnings and trades positive on (fiscal) stimulus then implieds could drop quickly,' they said. While they still would continue to hold both positions, they said their conviction level on the put trade is now much higher than the VIX trade. 'Any shift in sentiment or decline in realized volatility could pull the VIX (and VIX futures) down even if the S&P 500 grinds slowly lower,' they said.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1449 ET 26Jan2009
Dudack: Real estate prices going back to normal
Dudack Research Group on Monday said that based on a fall in December home prices, which were down 4.3 percent in the month, its home price to income ratio fell to 6.83, its lowest level since April 2001, a rate it said 'was good news for homeowners.'
The ratio suggests 'that residential real estate prices are moving back to normal relationships to income. The risk to the housing market in 2009 is the weakness in the job market,' it wrote.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1442 ET 26Jan2009
Thain: BofA knew about Merrill's loses, bonuses
John Thain, the former chief executive of Merrill Lynch, on Monday said that Bank of America knew about Merrill's losses and bonuses before it purchased the company this past year.
According to a memo to Merrill employees, Thain plans to reimburse Bank of America for $1.2 million spent to renovate his office.
Reuters Messaging: ryan.vlastelica.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.
U.S. stock market report
1740 ET
26Jan2009 US corporate earnings diary for Jan. 27
Companies expected to report earnings on Tuesday include blue-chip DuPont , telecom services company Verizon Communications, basic materials bellwether United States Steel Corp and Internet services company Yahoo Inc. For a complete list, see
Reuters Messaging: rodrigo.campos.reuters.com@reuters.net
1615 ET
26Jan2009 U.S. stocks rise as data, M&A offset Caterpillar
U.S. stocks rose in choppy trade on Monday, lifted by a surprising gain in existing home sales and optimism over a $68 billion takeover in the drug industry, which offset a grim warning about the year ahead from Caterpillar and worries over the financial sector's health.
The Dow Jones industrial average rose 38.47 points, or 0.48 percent, to 8,116.03. The Standard & Poor's 500 Index gained 4.62 points, or 0.56 percent, to 836.57. The Nasdaq Composite Index added 12.17 points, or 0.82 percent, to 1,489.46.
Reuters Messaging: rodrigo.campos.reuters.com@reuters.net
1536 ET 26Jan2009-It's always scary near the bottom -
analyst
From the market peak in 1981 till the bottom in August 1982 the Wall Street Journal's U.S. print edition ran 37 headlines discussing fear, noted Fred Frankael, chairman of investment policy at Beacon Trust Company in New Jersey.
From the market peak in October 2007 till this Friday the publication ran 104 headlines discussing fear in the U.S print edition, he said in a note.
'The 2009 headlines may continue for a while and really put a scare into us as we push the greed/fear pendulum to the absolute extreme end of fear,' said Frankael, who is also former managing director of global research for Lehman Brothers. 'It's always scary near the bottom.'
Reuters Messaging: ellis.mnyandu.reuters.com@reuters.net
1456 ET 26Jan2009
Goldman prefer to stay long volatility into earnings season
Goldman Sachs strategists said they prefer to remain long volatility moving into earnings season in a note to clients. Earlier this month, they recommended buying S&P 500 out-of-the- money Feb 09 830 put strikes and buying a February futures contract on the CBOE volatility index, the 30-day risk forecast, vs. selling a June VIX futures contract. Both trades are up modestly. 'Risks remain for long vol positions. If the equity market has already priced earnings and trades positive on (fiscal) stimulus then implieds could drop quickly,' they said. While they still would continue to hold both positions, they said their conviction level on the put trade is now much higher than the VIX trade. 'Any shift in sentiment or decline in realized volatility could pull the VIX (and VIX futures) down even if the S&P 500 grinds slowly lower,' they said.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1449 ET 26Jan2009
Dudack: Real estate prices going back to normal
Dudack Research Group on Monday said that based on a fall in December home prices, which were down 4.3 percent in the month, its home price to income ratio fell to 6.83, its lowest level since April 2001, a rate it said 'was good news for homeowners.'
The ratio suggests 'that residential real estate prices are moving back to normal relationships to income. The risk to the housing market in 2009 is the weakness in the job market,' it wrote.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1442 ET 26Jan2009
Thain: BofA knew about Merrill's loses, bonuses
John Thain, the former chief executive of Merrill Lynch, on Monday said that Bank of America knew about Merrill's losses and bonuses before it purchased the company this past year.
According to a memo to Merrill employees, Thain plans to reimburse Bank of America for $1.2 million spent to renovate his office.
Reuters Messaging: ryan.vlastelica.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.