Stocks on the move Real-Time Equity news
U.S. stock market report
1731 ET 25Feb2009-Fear gauge down as S&P 500 support holds -----------------------------------------------------------------------------
The CBOE Volatility Index, the implied volatility measure of the S&P 500, was off 1.80 percent to 44.67. The VIX moved lower for the second straight session, breaking below the 21-day and 50-day moving averages, toward the two-month supporting trend line, said Scott Fullman, direcetor of derivative investment strategy at WJB Capital Group. The index, which measures implied volatility/risk premium, is heading back toward the lower end of the recent short-term trading range. 'Technical oscillators are negative and the short-term directional momentum indicators are nearing a negative signal,' he said. The fact that the S&P support level held just below 750/760, has limited some of the upside in spot VIX. Thus, the 38-52 range appears fitting with price action. Actual volatility levels remain in the high thirties; and this also adds a 'floor' of sorts to the VIX, said Larry McMillan, president of McMillan Analysis Corp in a note.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1555 ET 25Feb2009-Gov't attempts to stop consolidation will spur volatility -----------------------------------------------------------------------------
Stocks will remain volatile because government programs attempts to stymie the natural consolidation pressures that always follow a bubble, wrote Rich Bernstein, chief investment strategist for Bank of America-Merrill Lynch.
'The history of bubbles shows quite definitively that consolidation is inevitable across a broad range of industries, Bernstein wrote in a note on Wednesday.
'Financial markets are unlikely to respond positively until programs are put in place that attempt to manage that inevitable process rather than attempt to stop it.'
Reuters Messaging: deepa.seetharaman.reuters.com@reuters.net
1444 ET 25Feb2009-Feb same-store sales to fall 1.5 pct-Thomson Reuters data -----------------------------------------------------------------------------
February retail same-store sales are expected to fall 1.5 percent, according to Thomson Reuters data. In February 2008, comparable sales rose 2.2 percent.
Only one sector is expected to post growth in the month, the discount group, which is expected to see same-store sales rise 1 percent. However, the positive growth in the sector is due to Wal-Mart Stores, the country's largest retailer. When Wal-Mart's results are excluded, the discount sector is expected to see comparable sales drop 2.2 percent. Total same-store sales for February are expected to tumble 6.5 percent when Wal-Mart is excluded.
Among the other sectors, apparel retailers are expected to see same-store sales fall 10 percent while teen and child apparel retailers post a decline of 9.4 percent in comparable sales.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1425 ET 25Feb2009-Apple says Jobs remains involved in co decisions -----------------------------------------------------------------------------
Executives at Apple Inc on Wednesday said that Steve Jobs, its chief executive officer, remained deeply involved in company decisions, despite relinquishing control over daily operations.
Jobs announced in January that he would be taking a temporary leave of absence because of health reasons.
'Nothing has changed' since that announcement, said Arthur Levinson, the co-lead director of the company, shares of which rose 1.6 percent to $91.68 on Wednesday.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1420 ET 25Feb2009-Markets pare losses as crude oil surges -----------------------------------------------------------------------------
Major U.S. indexes trimmed their losses on Wednesday, as energy stocks rallied off a surge in crude oil.
The gain in crude oil prices came after a report from the Energy Information Agency showed a sharp drop in gasoline inventories and an increase in demand for the fuel. April crude futures rose 5.5 percent to $42.10 per barrel.
The Dow Jones industrial average fell 1.5 percent to 7,232.58 while the S&P 500 lost 1.7 percent to 760.25 and the Nasdaq was off 1.7 percent to 1,417.97.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1410 ET 25Feb2009-Omnicare calls become popular ahead of earns -----------------------------------------------------------------------------
Shares of Omnicare Inc fell 4.33 percent to $27.15, ahead of its quarterly earnings report due on Thursday. But in the options tied to Omnicare, which sells pharmaceuticals to nursing homes, traders appear to have a contrarian view as the March calls traded higher. The buying was focused on the March $30 calls, which traded more than 5,000 contracts this morning mostly for $1.05 a contract, according to optionmonster's proprietary computer model, which tracks unusual options activity. The shares have been on a roller-coaster ride since its highs over $32 in September to lows under $20 in October, but the stock has been solid recently as the company declared a quarterly cash dividend earlier this month, said optionmonster founder Pete Najarian in comments on the Web site.
Reuters Messaging: doris.frankel.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
1731 ET 25Feb2009-Fear gauge down as S&P 500 support holds -----------------------------------------------------------------------------
The CBOE Volatility Index, the implied volatility measure of the S&P 500, was off 1.80 percent to 44.67. The VIX moved lower for the second straight session, breaking below the 21-day and 50-day moving averages, toward the two-month supporting trend line, said Scott Fullman, direcetor of derivative investment strategy at WJB Capital Group. The index, which measures implied volatility/risk premium, is heading back toward the lower end of the recent short-term trading range. 'Technical oscillators are negative and the short-term directional momentum indicators are nearing a negative signal,' he said. The fact that the S&P support level held just below 750/760, has limited some of the upside in spot VIX. Thus, the 38-52 range appears fitting with price action. Actual volatility levels remain in the high thirties; and this also adds a 'floor' of sorts to the VIX, said Larry McMillan, president of McMillan Analysis Corp in a note.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1555 ET 25Feb2009-Gov't attempts to stop consolidation will spur volatility -----------------------------------------------------------------------------
Stocks will remain volatile because government programs attempts to stymie the natural consolidation pressures that always follow a bubble, wrote Rich Bernstein, chief investment strategist for Bank of America-Merrill Lynch.
'The history of bubbles shows quite definitively that consolidation is inevitable across a broad range of industries, Bernstein wrote in a note on Wednesday.
'Financial markets are unlikely to respond positively until programs are put in place that attempt to manage that inevitable process rather than attempt to stop it.'
Reuters Messaging: deepa.seetharaman.reuters.com@reuters.net
1444 ET 25Feb2009-Feb same-store sales to fall 1.5 pct-Thomson Reuters data -----------------------------------------------------------------------------
February retail same-store sales are expected to fall 1.5 percent, according to Thomson Reuters data. In February 2008, comparable sales rose 2.2 percent.
Only one sector is expected to post growth in the month, the discount group, which is expected to see same-store sales rise 1 percent. However, the positive growth in the sector is due to Wal-Mart Stores, the country's largest retailer. When Wal-Mart's results are excluded, the discount sector is expected to see comparable sales drop 2.2 percent. Total same-store sales for February are expected to tumble 6.5 percent when Wal-Mart is excluded.
Among the other sectors, apparel retailers are expected to see same-store sales fall 10 percent while teen and child apparel retailers post a decline of 9.4 percent in comparable sales.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1425 ET 25Feb2009-Apple says Jobs remains involved in co decisions -----------------------------------------------------------------------------
Executives at Apple Inc on Wednesday said that Steve Jobs, its chief executive officer, remained deeply involved in company decisions, despite relinquishing control over daily operations.
Jobs announced in January that he would be taking a temporary leave of absence because of health reasons.
'Nothing has changed' since that announcement, said Arthur Levinson, the co-lead director of the company, shares of which rose 1.6 percent to $91.68 on Wednesday.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1420 ET 25Feb2009-Markets pare losses as crude oil surges -----------------------------------------------------------------------------
Major U.S. indexes trimmed their losses on Wednesday, as energy stocks rallied off a surge in crude oil.
The gain in crude oil prices came after a report from the Energy Information Agency showed a sharp drop in gasoline inventories and an increase in demand for the fuel. April crude futures rose 5.5 percent to $42.10 per barrel.
The Dow Jones industrial average fell 1.5 percent to 7,232.58 while the S&P 500 lost 1.7 percent to 760.25 and the Nasdaq was off 1.7 percent to 1,417.97.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1410 ET 25Feb2009-Omnicare calls become popular ahead of earns -----------------------------------------------------------------------------
Shares of Omnicare Inc fell 4.33 percent to $27.15, ahead of its quarterly earnings report due on Thursday. But in the options tied to Omnicare, which sells pharmaceuticals to nursing homes, traders appear to have a contrarian view as the March calls traded higher. The buying was focused on the March $30 calls, which traded more than 5,000 contracts this morning mostly for $1.05 a contract, according to optionmonster's proprietary computer model, which tracks unusual options activity. The shares have been on a roller-coaster ride since its highs over $32 in September to lows under $20 in October, but the stock has been solid recently as the company declared a quarterly cash dividend earlier this month, said optionmonster founder Pete Najarian in comments on the Web site.
Reuters Messaging: doris.frankel.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.