Stocks on the move
Real-time Equity news
U.S. stock market report
1718 ET 07Jan2010
Economic diary for Jan 8
The following economic indicators are due out on Friday:
- Dec. Non-farm payrolls 8:30 a.m. (1330 GMT)
- Nov. Wholesale inventories 10 a.m. (1500 GMT)
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1651 ET 07Jan2010 RTRS-PREVIEW
Earnings to test Wall St's recovery bets
Wall Street's confidence in the nascent U.S. economic recovery is about to be tested as fourth-quarter earnings season gets under way next week.
The horrid fourth quarter of 2008 means year-over-year comparisons will be stellar for most companies. But investors will scrutinize whether outlooks point to sustainable growth.
The last two periods of earnings were driven by cost-cutting, but analysts expect to see stronger revenues, or top-line growth. They are also eager for
2010 prospects to validate the bullishness that has propelled the S&P 500 and the Dow Jones industrial average to 15
month highs and the Nasdaq to 16-month highs.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1633 ET 07Jan2010
Dow, S&P advance on BofA, GE; Friday's jobs eyed
The Dow and the S&P 500 rose on Thursday after Bank of America and General Electric rallied on positive broker comments, but investors were cautious a day before the release of key monthly non-farm payrolls data.
The latest Reuters poll suggests the U.S. economy stopped shedding jobs in December. U.S. stocks have rallied over the past month as investors have become more optimistic about the economy. Job growth would bolster that view while a weak report could disappoint.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1438 ET 07Jan2010 Option players position for Delta pullback
Bearish option traders bombarded Delta Air Airlines with pessimistic strategies, likely positioning for a pullback in its shares. Delta announced December traffic, including both Delta and Northwest operations, fell
7.5 percent compared to same year
ago period. But its December load factor, a measure expressed as a percentage of how full an airplane is, rose 0.4 percent to 81.2 percent. Its shares were up 4.71 percent to $12.68 in afternoon trade. Option traders populating the March contract are wary of a pullback in shares in the next several months, said Caitlin Duffy, equity options analyst at Interactive Brokers Group. She noted one investor established a large put spread by buying 25,000 March $11 put strikes for 70 cents each, spread against the sale of the same amount of March $9 puts for 20 cents apiece for a total net debit of 50 cents per contract. The trade establishes downside protection should shares slip beneath the breakeven price of $10.50 by expiration. Others sold calls, notably in the March $13 strike, she said.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1355 ET 07Jan2010 Option bulls step into Crocs as shares rise
Bullish option traders apparently like the way Crocs Inc's plastic clogs fit. Shares in the maker of brightly colored resin shoes rose 3.82 percent to $6.51 in afternoon trade. The stock earlier hit a high of $6.68, 'inspiring a call option feeding frenzy,' said Caitlin Duffy, equity options analyst at Interactive Brokers Group in a note to clients. Near-term CROX lovers earlier bought roughly 10,000 calls at the now in-the-money January $6 strike for an average premium of 53 cents per contract. She said optimism spread to the in-the-money February $6 strike where another 2,000 calls were earlier coveted for 85 cents. February contract call buyers profit if shares rise above $6.85 by expiration next month.
Overall option volume was nine times greater than its average daily turnover with about 15,000 calls and 1,764 puts traded in the afternoon session. Directional sentiment based on order flow was 81 percent bullish, Trade Alert data show. There was no apparent catalyst to explain the bullish action.
Reuters Messaging: doris.frankel.reuters.com@reuters.net Keywords: MARKETS STOCKSNEWS
COPYRIGHT Copyright Thomson Reuters 2010. 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
1718 ET 07Jan2010
Economic diary for Jan 8
The following economic indicators are due out on Friday:
- Dec. Non-farm payrolls 8:30 a.m. (1330 GMT)
- Nov. Wholesale inventories 10 a.m. (1500 GMT)
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1651 ET 07Jan2010 RTRS-PREVIEW
Earnings to test Wall St's recovery bets
Wall Street's confidence in the nascent U.S. economic recovery is about to be tested as fourth-quarter earnings season gets under way next week.
The horrid fourth quarter of 2008 means year-over-year comparisons will be stellar for most companies. But investors will scrutinize whether outlooks point to sustainable growth.
The last two periods of earnings were driven by cost-cutting, but analysts expect to see stronger revenues, or top-line growth. They are also eager for
2010 prospects to validate the bullishness that has propelled the S&P 500 and the Dow Jones industrial average to 15
month highs and the Nasdaq to 16-month highs.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1633 ET 07Jan2010
Dow, S&P advance on BofA, GE; Friday's jobs eyed
The Dow and the S&P 500 rose on Thursday after Bank of America and General Electric rallied on positive broker comments, but investors were cautious a day before the release of key monthly non-farm payrolls data.
The latest Reuters poll suggests the U.S. economy stopped shedding jobs in December. U.S. stocks have rallied over the past month as investors have become more optimistic about the economy. Job growth would bolster that view while a weak report could disappoint.
For more please double click
Reuters Messaging rm://ellis.mnyandu.reuters.com@reuters.net
1438 ET 07Jan2010 Option players position for Delta pullback
Bearish option traders bombarded Delta Air Airlines with pessimistic strategies, likely positioning for a pullback in its shares. Delta announced December traffic, including both Delta and Northwest operations, fell
7.5 percent compared to same year
ago period. But its December load factor, a measure expressed as a percentage of how full an airplane is, rose 0.4 percent to 81.2 percent. Its shares were up 4.71 percent to $12.68 in afternoon trade. Option traders populating the March contract are wary of a pullback in shares in the next several months, said Caitlin Duffy, equity options analyst at Interactive Brokers Group. She noted one investor established a large put spread by buying 25,000 March $11 put strikes for 70 cents each, spread against the sale of the same amount of March $9 puts for 20 cents apiece for a total net debit of 50 cents per contract. The trade establishes downside protection should shares slip beneath the breakeven price of $10.50 by expiration. Others sold calls, notably in the March $13 strike, she said.
Reuters Messaging: doris.frankel.reuters.com@reuters.net
1355 ET 07Jan2010 Option bulls step into Crocs as shares rise
Bullish option traders apparently like the way Crocs Inc's plastic clogs fit. Shares in the maker of brightly colored resin shoes rose 3.82 percent to $6.51 in afternoon trade. The stock earlier hit a high of $6.68, 'inspiring a call option feeding frenzy,' said Caitlin Duffy, equity options analyst at Interactive Brokers Group in a note to clients. Near-term CROX lovers earlier bought roughly 10,000 calls at the now in-the-money January $6 strike for an average premium of 53 cents per contract. She said optimism spread to the in-the-money February $6 strike where another 2,000 calls were earlier coveted for 85 cents. February contract call buyers profit if shares rise above $6.85 by expiration next month.
Overall option volume was nine times greater than its average daily turnover with about 15,000 calls and 1,764 puts traded in the afternoon session. Directional sentiment based on order flow was 81 percent bullish, Trade Alert data show. There was no apparent catalyst to explain the bullish action.
Reuters Messaging: doris.frankel.reuters.com@reuters.net Keywords: MARKETS STOCKSNEWS
COPYRIGHT Copyright Thomson Reuters 2010. 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.