Market News

[weatherweenie]

http://www.reuters.com/article/marketsNews/idUKT21853620070724?rpc=44

TOKYO, July 24 (Reuters) - Japanese government bond futures drifted up to a six-week high on Tuesday in quiet trade as Tokyo shares erased earlier gains, prompting investors to add positions in JGBs.
Activity was subdued as many market players kept to the sidelines on lingering worries that problems in the subprime mortgage sector could spill over into the broader economy.
Bond investors initially sold JGB futures after U.S. Treasuries retreated overnight from recent rallies that had been driven by mounting problems in subprime mortgage industry that prompted a flight to quality.

 

[weatherweenie]

8:00am ET
[BRIEFING.COM] S&P futures vs fair value: -4.0. Nasdaq futures vs fair value: -7.8. Early indications are pointing to a lower open for the cash market as investors sift through a plethora of earnings reports but appear less than enthused. Last night, soft Q3 guidance from Texas Instruments (TXN) and American Express (AXP) posting an 85% jump in loss provisions initially set a negative tone.
A Q2 earnings shortfall from DuPont (DD) and reports that the Allison Transmission unit of fellow Dow component General Motors (GM) has hit a snag trying to get debt-financing for its proposed $3.1 bln LBO have exacerbated the futures market's bearish bias.

 

[weatherweenie]

9:00am ET
[BRIEFING.COM] S&P futures vs fair value: -9.2. Nasdaq futures vs fair value: -12.8. Pre-market sentiment continues to deteriorate as renewed debt concerns and the bulk of earnings reports continue to reflect the impact of sluggish economic growth. AT&T (T) posted a 61% jump in Q2 profits, but the activation of only 146,000 iPhone subscribers is being viewed as a disappointment. McDonald's (MCD) merely matching Wall Street expectations also leaves investors without a standout report like the one fellow Dow component Merck (MRK) delivered a day earlier.

 

[350zCommTech]

Amazon.com earnings surge in second quarter

By Dan Gallagher
Last Update: 4:08 PM ET Jul 24, 2007

SAN FRANCISCO (MarketWatch) - Amazon.com said Tuesday afternoon that second-quarter earnings surged more than 250% from the same period last year amid a strong growth in sales. For the period ended June 30, the online retail giant reported earnings of $78 million, or 19 cents a share, compared to earnings of $22 million, or 5 cents a share, for last year's second quarter. Revenue grew 35% to $2.89 billion for the quarter compared with $2.14 billion last year. Analysts were looking for the company to earn 16 cents a share on revenue of $2.81 billion for the June quarter, according to consensus estimates from Thomson First Call.

http://www.marketwatch.com/news/sto...x?guid={9B0372C1-EFD1-4391-927E-5FEED3C8D9D5}

 

[weatherweenie]

Corning beats by $0.02; issues in line Q3 guidance (GLW) 26.19 : Reports Q2 (Jun) earnings of $0.34 per share, excluding non-recurring items, $0.02 better than the Reuters Estimates consensus of $0.32; revenues rose 12.5% year/year to $1.42 bln vs the $1.44 bln consensus. Co issues in-line guidance for Q3, sees EPS of $0.34-0.37, ex-items, vs. $0.36 consensus; sees Q3 revs of $1.525-1.575 bln vs. $1.56 bln consensus.

Xerox beats by a penny; issues in line Q3 and Y07 guidance (XRX) 19.33 : Reports Q2 (Jun) earnings of $0.28 per share, $0.01 better than the Reuters Estimates consensus of $0.27; revenues rose 5.8% year/year to $4.21 bln vs the $4.19 bln consensus. Co issues in-line guidance for Q3, sees EPS of $0.24-0.26 vs. $0.26 consensus. Co issues in-line guidance for FY07, sees EPS of $1.16-1.18 vs. $1.17 consensus.

 

[weatherweenie]

8:39am ET
[BRIEFING.COM] S&P futures vs fair value: +10.2. Nasdaq futures vs fair value: +17.5.

 

[USNAVYRETIRED]

8:39am ET
[BRIEFING.COM] S&P futures vs fair value: +10.2. Nasdaq futures vs fair value: +17.5.

That looks promising for the C & S railroad today!
Hope we can get back some of the loss from yesterdays train wreck!

 

[weatherweenie]

Briefing.com
11:30 am : The major indices are trading slightly higher but investor conviction has been lacking in the face of good earnings news from companies like Amazon.com (AMZN 86.20, +16.95), Boeing (BA 107.14, +3.34) and General Dynamics (GD 82.75, +2.45), and ongoing concerns about credit risk that were piqued again with news that banks couldn't find demand to sell $12 billion worth of debt for the Chrysler sale.
The Dow, which was up nearly 100 points earlier in the session, slipped into red figures but has since emerged from negative territory and is posting a modest gain.

 

[weatherweenie]

Didn't know the Fed Beige Book comes out today at 2pm ET.

 

[fedgolfer]

Didn't know the Fed Beige Book comes out today at 2pm ET.

I'll be wearing my rally cap the rest of the day. I wonder if the data in the beige book reflects the markets' reaction to yesterday's subprime meltdown? If it does, hopefully that will increase the chance of a rate cut this year, which seemed to be completely off the table 36 hours ago.

 

[weatherweenie]

http://federalreserve.gov/fomc/beigebook/2007/20070725/default.htm

Reports from the twelve Federal Reserve Banks indicated that economic activity continued to expand in June and early July. New York, Richmond, St. Louis, Minneapolis, and San Francisco described the pace of growth as "moderate" while Cleveland and Chicago saw it as "modest." Philadelphia noted that economic conditions improved. Kansas City said the regional economy continued to grow but at a moderating pace, and Dallas characterized its economy as strong but said it decelerated. Boston and Atlanta described business contacts' reports as "varied" or "mixed."
On balance, consumer spending rose at a modest pace, although a number of Districts indicated that sales were mixed or below expectations. Several reports indicated that capital spending increased, and expenditures for most business services continued to rise. Employment increased further in most regions and in many sectors of the economy. Most Districts said that residential construction and real estate activity continued to decline. Commercial construction and real estate markets were generally more active than during the previous reporting period. District reports indicated that manufacturing activity continued to expand during June and early July. Household lending declined in most regions, while commercial and industrial lending expanded at a modest pace. Contacts generally reported ongoing input cost pressures, particularly for petroleum-related inputs, while prices at the retail level continued to increase at a moderate rate. Energy and natural resource activity remained at high levels, or in some instances, rose further. Many Districts described overall wage gains as moderate and/or similar to the previous reporting period. Agricultural conditions varied widely, as the impacts of drought were felt east of the Mississippi River and heavy rains affected the Dallas and Kansas City Districts.

 

[Birchtree]

Reads like a Goldilocks economy. Even the 10 year Treasury is reaching down into 4.90%. If a big wind comes up - oil is a goner. I've positioned myself a little heavier on the energy side this year, just in case.

 

[weatherweenie]

3:38PM Earnings Calendar : Today after the close, of the many companies reporting, look for: ACXM, AEIS, AFFX, AKAM, AAPL, ARRS, BIDU, CDNS, CLDN, CHIC, CVD, DSCM, ETFC, EQIX, ESRX, FFIV, FISV, FORM, BLUD, WFR, MUR, NHWK, OMTR, OSG, QCOM, PHRM, SYMC and ZMH. Tomorrow before the open, of the many companies reporting, look for: MMM, ABC, AUO, BDK, BBI, BMY, CELG, CMCSA, DO, DOW, ELN, XOM, F, GPN, ICE, LLL, LVLT, LYO, NIHD, REDF, PENN, POT, RHD, RAIL, RDWR, RTN, LCC, WEN, WRLD, XMSR, and ZOLL

 

[weatherweenie]

DJ Apple 3Q EPS 92c

 

[weatherweenie]

Apple 3Q Net $818M Vs Net $472M, +73%
Apple 3Q Sales $5.41B Vs $4.37B, +24%

 

[weatherweenie]

Apple Sees 1M iPhone Sales By End Of First Full Qtr Sales

 

[weatherweenie]

Apple Sees 4Q EPS 65c

 

[weatherweenie]

3Q iPhone, Related Products Sales 270,000 Units

 

[weatherweenie]

http://biz.yahoo.com/prnews/070725/aqw161.html?.v=6

Apple Reports Third Quarter Results
Wednesday July 25, 4:32 pm ET Record June Quarter Revenue and Profit Mac Sales Set New Record

 

[weatherweenie]

08:00 am : S&P futures vs fair value: -15.6. Nasdaq futures vs fair value: -14.5. Early indications are pointing to a sharply lower open for equities. Last night, strong results from Apple (AAPL) and Qualcomm (QCOM) contributed to a slightly upbeat tone in after-hours action. Sentiment, however, has been weakening all morning as investors still can't shake ongoing credit risk concerns and the idea that the record pace of LBO activity has hit its cyclical peak.
Beazer Homes (BZH) recently saying it didn't know when "challenging" market conditions will improve and D.R. Horton (DHI) noting tightened credit standards in the mortgage industry are contributing to the negative disposition.