Stocks on the move
Real-time Equity news
U.S. stock market report
1724 ET 24Aug2009
Gold ETF options trade eyes gold near $1,200
Gold has been trapped below $1,000 an ounce for 17 months, but now option bulls are expecting the bullion to make new highs, said optionMonster analyst David Russell in comments on the firm's Web site. The firm's tracking system detected a call spread on the exchange-traded fund SPDR Gold Trust. It involved the purchase of 15,940 March 2010 $100 calls against the sale of an equal number of March $120 calls for $1.60, for a net debit of $3. GLD shares fell 1.4 percent to $92.34. The trade will earn a maximum profit of 566 percent if GLD rallies to $120 by expiration. In another trade, a player appeared to bank gains by enacting a closing purchase of a large short put position in the December contract, said Interactive Brokers Group market analyst Andrew Wilkinson. It appeared the trader originally sold 38,000 Dec $75 puts for an average premium of $2.30 per contract on May 6. On Monday, he bought back the puts for about 37 cents and enjoyed net profits of $1.93 per contract by closing out the position, he said.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1705 ET 24Aug2009
U.S. earnings diary for Aug. 25
The day's earnings calendar includes quarterly results from Big Lots Inc , Medtronic Inc and Staples Inc.
For more, please double click
Reuters Messaging: caroline.valetkevitch.reuters.com@reuters.net
1655 ET 24Aug2009
U.S. economic diary for Aug. 25
The day's economic agenda includes the Standard & Poor's/Case-Shiller home price index, consumer confidence data and the Richmond Fed survey.
For more please double click
Reuters Messaging: caroline.valetkevitch.reuters.com@reuters.net
1620 ET 24Aug2009-Stocks have bullish momentum on their side
analyst
'Although last week's action leaves the equity markets very overbought, any weakness near term should be limited due to the strong bullish momentum,' Bruce Bittles, chief investment strategist at Robert W. Baird & Co in Nashville, wrote in a research note on Monday.
'Looking further out, stocks face the start of a weak seasonal period just ahead with September historically the weakest month of the year for stocks. Should investor optimism grow extreme over the next week or two, stocks could become vulnerable late in the third quarter.'
Bittles expects the materials, consumer discretionary and information technology sectors to outperform, and also favors small caps over large caps and growth over value.
Reuters Messaging: leah.schnurr.reuters.com@reuters.net
1520 ET 24Aug2009-Further stock gains expected to end of year
analyst
The outlook for the second half of the year for stocks remains positive and further gains can be expected, John Praveen, chief investment strategist at Prudential International Investments Advisers, wrote in a research note.
Citing further improvement in the growth, inflation and earnings outlook, Praveen raised his year-end forecast for the S&P 500 to a range of 1,150 to 1,200 from 1,100.
In the near term, stocks are experiencing a technical correction following recent strong gains and overbought conditions, Praveen wrote.
'In addition, questions about the strength and sustainability of the economic and earnings recovery, and fears about premature rate hikes are likely to contribute to equity volatility. However, we expect stocks to rebound from this correction and post further gains into year-end.'
Reuters Messaging: leah.schnurr.reuters.com@reuters.net
1510 ET 24Aug2009-Cyclical bull market remains in effect
Doll
'On balance, we continue to believe that we are emerging from the recession and are entering a period of positive, but subpar, growth levels,' wrote Bob Doll, vice chairman and global chief investment officer of equities at BlackRock, in a research note.
'From an equity market perspective, such an environment might actually be better than a period of rapid recovery, since exceptionally high periods of economic growth trigger inflation pressures.'
Markets have come a long way in a short period of time, making them vulnerable for some sort of correction, Doll wrote. Investors are highly attuned to economic data and policy decisions and a shift could pose a potential risk.
'Nevertheless, we believe the prevailing environment is a good one for stocks, and we believe that the cyclical bull market remains in effect, suggesting that equities have further to go in the intermediate term.'
Reuters Messaging: leah.schnurr.reuters.com@reuters.net
1425 ET 24Aug2009-US STOCKS
Wall Street off day's highs after bonds rally
U.S. stocks edged higher on Monday, but pulled back from intraday peaks after a four-day rally that drove the major indexes to 10-month highs.
Stock investors retreated slightly after a sharp gain in U.S. Treasury prices, which drove bechmark yields lower.
For more please double click
Reuters Messaging: caroline.valetkevitch.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
1724 ET 24Aug2009
Gold ETF options trade eyes gold near $1,200
Gold has been trapped below $1,000 an ounce for 17 months, but now option bulls are expecting the bullion to make new highs, said optionMonster analyst David Russell in comments on the firm's Web site. The firm's tracking system detected a call spread on the exchange-traded fund SPDR Gold Trust. It involved the purchase of 15,940 March 2010 $100 calls against the sale of an equal number of March $120 calls for $1.60, for a net debit of $3. GLD shares fell 1.4 percent to $92.34. The trade will earn a maximum profit of 566 percent if GLD rallies to $120 by expiration. In another trade, a player appeared to bank gains by enacting a closing purchase of a large short put position in the December contract, said Interactive Brokers Group market analyst Andrew Wilkinson. It appeared the trader originally sold 38,000 Dec $75 puts for an average premium of $2.30 per contract on May 6. On Monday, he bought back the puts for about 37 cents and enjoyed net profits of $1.93 per contract by closing out the position, he said.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1705 ET 24Aug2009
U.S. earnings diary for Aug. 25
The day's earnings calendar includes quarterly results from Big Lots Inc , Medtronic Inc and Staples Inc.
For more, please double click
Reuters Messaging: caroline.valetkevitch.reuters.com@reuters.net
1655 ET 24Aug2009
U.S. economic diary for Aug. 25
The day's economic agenda includes the Standard & Poor's/Case-Shiller home price index, consumer confidence data and the Richmond Fed survey.
For more please double click
Reuters Messaging: caroline.valetkevitch.reuters.com@reuters.net
1620 ET 24Aug2009-Stocks have bullish momentum on their side
analyst
'Although last week's action leaves the equity markets very overbought, any weakness near term should be limited due to the strong bullish momentum,' Bruce Bittles, chief investment strategist at Robert W. Baird & Co in Nashville, wrote in a research note on Monday.
'Looking further out, stocks face the start of a weak seasonal period just ahead with September historically the weakest month of the year for stocks. Should investor optimism grow extreme over the next week or two, stocks could become vulnerable late in the third quarter.'
Bittles expects the materials, consumer discretionary and information technology sectors to outperform, and also favors small caps over large caps and growth over value.
Reuters Messaging: leah.schnurr.reuters.com@reuters.net
1520 ET 24Aug2009-Further stock gains expected to end of year
analyst
The outlook for the second half of the year for stocks remains positive and further gains can be expected, John Praveen, chief investment strategist at Prudential International Investments Advisers, wrote in a research note.
Citing further improvement in the growth, inflation and earnings outlook, Praveen raised his year-end forecast for the S&P 500 to a range of 1,150 to 1,200 from 1,100.
In the near term, stocks are experiencing a technical correction following recent strong gains and overbought conditions, Praveen wrote.
'In addition, questions about the strength and sustainability of the economic and earnings recovery, and fears about premature rate hikes are likely to contribute to equity volatility. However, we expect stocks to rebound from this correction and post further gains into year-end.'
Reuters Messaging: leah.schnurr.reuters.com@reuters.net
1510 ET 24Aug2009-Cyclical bull market remains in effect
Doll
'On balance, we continue to believe that we are emerging from the recession and are entering a period of positive, but subpar, growth levels,' wrote Bob Doll, vice chairman and global chief investment officer of equities at BlackRock, in a research note.
'From an equity market perspective, such an environment might actually be better than a period of rapid recovery, since exceptionally high periods of economic growth trigger inflation pressures.'
Markets have come a long way in a short period of time, making them vulnerable for some sort of correction, Doll wrote. Investors are highly attuned to economic data and policy decisions and a shift could pose a potential risk.
'Nevertheless, we believe the prevailing environment is a good one for stocks, and we believe that the cyclical bull market remains in effect, suggesting that equities have further to go in the intermediate term.'
Reuters Messaging: leah.schnurr.reuters.com@reuters.net
1425 ET 24Aug2009-US STOCKS
Wall Street off day's highs after bonds rally
U.S. stocks edged higher on Monday, but pulled back from intraday peaks after a four-day rally that drove the major indexes to 10-month highs.
Stock investors retreated slightly after a sharp gain in U.S. Treasury prices, which drove bechmark yields lower.
For more please double click
Reuters Messaging: caroline.valetkevitch.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.