Stocks on the move Real-time Equity news
U.S. stock market report
1730 ET 16Jul2009
US earnings diary for July 17
The day's earnings calendar includes quarterly results from General Electric, Citigroup, Bank of America, Marshall & Isley and First Horizon.
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Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1725 ET 16Jul2009
US economic diary for July 17
The day's economic agenda includes data on housing starts for June.
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Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1633 ET 16July 2009 GE option players brace for volatility
On the eve of earnings, General Electric shares rose 16 cents to $12.40. In GE options, about 139,000 contracts traded with puts outpacing calls by a factor of 1.17, according to Trade Alert. The most actively traded are 61,532 contracts in the July $13 call strike, 60,856 lots in the July $12 put strike and 40,186 contracts in the July $12 call strike. 'Right now, the options market is pricing just under an 8 percent move in GE shares in either direction based on July option pricing, said Joe Kinahan, chief derivatives strategist at thinkorswim group. There has been rampant speculative trade on both sides and the focus is in the July contracts with one day of life left before they expire on Friday after the close, he added. Traders have been bracing for volatility ahead and after earnings by using a combination known as a straddle in which they bought July $12 puts and calls this morning bracing for share swing of as much as 6 percent above or below $12, said Andrew Wilkinson, market analyst at Interactive Brokers Group.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1612 ET 16Jul2009
IBM shares up, Google falls after bell
Shares of International Business Machines rose 3 percent after the closing bell on Thursday after it reported results.
Shares were up at $114 after closing on the New York Stock Exchange at $110.64.
Google Inc shares fell 1.5 percent to $436 in extended trade on Thursday after the internet search company reported second-quarter results.
1451 ET 16July2009 IBM option volume pops up before earnings
A total of about 95,000 option contracts traded in IBM in late afternoon trade as traders jockeyed for positions ahead of the company's quarterly results after the close. IBM shares rose 2.48 percent to $109.88. The volume was three times the norm and dominated by roughly 57,000 call options, according to Trade Alert. Buyers of the July $105 put options and July $110 calls are leading the flow in what appears to be a play on a significant post earnings move in either direction, said WhatsTrading.com option strategist Frederic Ruffy. The interest in IBM's front-month July options, which settle this weekend, has driven up the stock's option implied volatility, a key driver of an options price. Implied volatility stood at 28 percent, up from about 26 percent late on Wednesday.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1429 ET 16July2009
Stec shares advance after signing deal
Flash memory storage products maker Stec Inc inked a $120 million deal with one of its largest enterprise storage customers to supply solid-state drives in the second half of 2009, sending its shares up 16 percent to an all-time high.
Stec did not name the customer, but said it now expects revenue from the sale of ZeusIOPS solid state drives to exceed $220 million in 2009. Overall revenue for the company in 2008 was $227 million.
For details, see
Shares soared 16 percent to $31.95.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1421 ET 16July2009 Goldman recommends sell IBM covered calls
Sell October covered calls in International Business Machines ahead of earnings, said Goldman Sachs derivative strategists in a note issued on Wednesday. The results are due after the close. 'Further upside may be limited due to strong outperformance and as investors shift from defensive into higher-leverage stocks with IT spending improving,' the note said. With shares at $103.25, investors can sell October $110 calls to collect $2.85 premium and retain upside 10 percent from current levels. Investors can consider using the premium to fund upside in names with higher operating leverage that may have greater potential upside such as Dell, they said. Investors who sell covered calls commit to sell shares should they reach the $110 strike at expiration. They estimate IBM options imply a plus/minus 4 percent move on earnings vs. a medium move of 3 percent over the past eight quarters.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1413 ET 16jULY2009-Individual stock bets to drive market -
Jefferies
According to Jefferies Equity Strategy analysts the high correlation between commodities and equities has abated somewhat in recent sessions, making it likely that the stock market will be supported more by individual stocks than by sectoral plays in the near term.
'Largely as a result of a renewed senses of enthusiasm surrounding earnings announcements, realized correction of equities in general decreased,' Jefferies said in a note.
'On a forward looking basis...the market has begun to bet heavily that the merits of individual stocks will begin to drive the market. This is a near-term market stabilizing development in our view.'
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.
U.S. stock market report
1730 ET 16Jul2009
US earnings diary for July 17
The day's earnings calendar includes quarterly results from General Electric, Citigroup, Bank of America, Marshall & Isley and First Horizon.
For more please double click
Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1725 ET 16Jul2009
US economic diary for July 17
The day's economic agenda includes data on housing starts for June.
For more please double click
Reuters Messaging rm://caroline.valetkevitch.reuters.com@reuters.net
1633 ET 16July 2009 GE option players brace for volatility
On the eve of earnings, General Electric shares rose 16 cents to $12.40. In GE options, about 139,000 contracts traded with puts outpacing calls by a factor of 1.17, according to Trade Alert. The most actively traded are 61,532 contracts in the July $13 call strike, 60,856 lots in the July $12 put strike and 40,186 contracts in the July $12 call strike. 'Right now, the options market is pricing just under an 8 percent move in GE shares in either direction based on July option pricing, said Joe Kinahan, chief derivatives strategist at thinkorswim group. There has been rampant speculative trade on both sides and the focus is in the July contracts with one day of life left before they expire on Friday after the close, he added. Traders have been bracing for volatility ahead and after earnings by using a combination known as a straddle in which they bought July $12 puts and calls this morning bracing for share swing of as much as 6 percent above or below $12, said Andrew Wilkinson, market analyst at Interactive Brokers Group.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1612 ET 16Jul2009
IBM shares up, Google falls after bell
Shares of International Business Machines rose 3 percent after the closing bell on Thursday after it reported results.
Shares were up at $114 after closing on the New York Stock Exchange at $110.64.
Google Inc shares fell 1.5 percent to $436 in extended trade on Thursday after the internet search company reported second-quarter results.
1451 ET 16July2009 IBM option volume pops up before earnings
A total of about 95,000 option contracts traded in IBM in late afternoon trade as traders jockeyed for positions ahead of the company's quarterly results after the close. IBM shares rose 2.48 percent to $109.88. The volume was three times the norm and dominated by roughly 57,000 call options, according to Trade Alert. Buyers of the July $105 put options and July $110 calls are leading the flow in what appears to be a play on a significant post earnings move in either direction, said WhatsTrading.com option strategist Frederic Ruffy. The interest in IBM's front-month July options, which settle this weekend, has driven up the stock's option implied volatility, a key driver of an options price. Implied volatility stood at 28 percent, up from about 26 percent late on Wednesday.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1429 ET 16July2009
Stec shares advance after signing deal
Flash memory storage products maker Stec Inc inked a $120 million deal with one of its largest enterprise storage customers to supply solid-state drives in the second half of 2009, sending its shares up 16 percent to an all-time high.
Stec did not name the customer, but said it now expects revenue from the sale of ZeusIOPS solid state drives to exceed $220 million in 2009. Overall revenue for the company in 2008 was $227 million.
For details, see
Shares soared 16 percent to $31.95.
Reuters Messaging: ryan.vlastelica.reuters.com@reuters.net
1421 ET 16July2009 Goldman recommends sell IBM covered calls
Sell October covered calls in International Business Machines ahead of earnings, said Goldman Sachs derivative strategists in a note issued on Wednesday. The results are due after the close. 'Further upside may be limited due to strong outperformance and as investors shift from defensive into higher-leverage stocks with IT spending improving,' the note said. With shares at $103.25, investors can sell October $110 calls to collect $2.85 premium and retain upside 10 percent from current levels. Investors can consider using the premium to fund upside in names with higher operating leverage that may have greater potential upside such as Dell, they said. Investors who sell covered calls commit to sell shares should they reach the $110 strike at expiration. They estimate IBM options imply a plus/minus 4 percent move on earnings vs. a medium move of 3 percent over the past eight quarters.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1413 ET 16jULY2009-Individual stock bets to drive market -
Jefferies
According to Jefferies Equity Strategy analysts the high correlation between commodities and equities has abated somewhat in recent sessions, making it likely that the stock market will be supported more by individual stocks than by sectoral plays in the near term.
'Largely as a result of a renewed senses of enthusiasm surrounding earnings announcements, realized correction of equities in general decreased,' Jefferies said in a note.
'On a forward looking basis...the market has begun to bet heavily that the merits of individual stocks will begin to drive the market. This is a near-term market stabilizing development in our view.'
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.