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4:14 PM, Feb 11, 2011 --

  • DJIA up 43.97 (+0.36%) to 12,273.26
  • S&P 500 up 7.28 (0.55%) to 1,329.15
  • Nasdaq up 18.99 (+0.68%) to 2,809.44

GLOBAL SENTIMENT

  • Hang Seng up 0.53%
  • Nikkei down 0.11%
  • FTSE up 0.71%

UPSIDE MOVERS

(+) WBC beats earnings estimates.

(+) VALV reports improved Q2 vs year ago period.

(+) PNRA continues evening gain that followed earnings beat.

(+) CMG see volatile early trade but firms into the green on Q4 beat.

DOWNSIDE MOVERS

(-) INHX gets FDA Fast Track designation for Hep C treatment.

(-) NOK in Microsoft (NASDAQ:MSFT) smartphone tie-up; reorganizing units.

(-) S downgraded.

(-) EXPE continues evening drop that followed earnings.

MARKET DIRECTION

Stocks recovered early day declines Friday, clawing higher throughout the regular session as investors were buoyed by Egyptian President Hosni Mubarak's resignation, a move that takes at least some uncertainty out of the volatile Middle East situation. Adding to the bullish sentiment was U.S. consumer sentiment data that came in at its highest level in more than half a year. The University of Michigan consumer sentiment survey for February came in at 75.1, up from 74.2 in January and about in line with Wall Street expectations.

This morning, Egypt's President Hosni Mubarak announced his resignation and delegated Egypt's affairs to the army, reports The Wall Street Journal. The move comes a day after Mubarak said he would not step down, which escalated angry protests in that country. The reports out of Egypt weighed on oil futures, which had risen over the past two weeks on concern that supply would be constrained due to the crisis in Egypt.

Traders will again be following the Egypt situation next week for clues to see how the army will run the country. Stateside, investors will be eyeing the tail end of earnings season and more economic data come Monday.

On the earnings front, Agilent (NYSE:A), Marriott (NASDAQ:MAR) and MGM Resorts (NYSE:MGM) are due with results on Monday, followed by Analog Devices (NASDAQ:ADI), Dell (NASDAQ:DELL) and Qwest Communications (NYSE:Q) on Tuesday. On Wednesday, Abercrombie & Fitch (NYSE:ANF), NetApp (NASDAQ:NTAP) and Synopsy (NASDAQ:SNPS) post financials. Brocade Communications (NASDAQ:BRCD) and Nordstrom (NYSE:JWN) are among companies issuing results on Thursday, followed by Campbell Soup (NYSE:CPB) and Yingli Green Energy (NYSE:YGE) on Friday.

Economic data will start to roll on Tuesday, with retail sales, import/export prices, business inventories and the NAHB housing market index all slated for release. Housing starts/building permits, PPI, Industrial production/capacity utlization and crude inventories stats will be issued on Wednesday. On Thursday, CPI, leading indicators and the Philadelphia Fed are due.

In company news Friday:

Shares of Warner Music Group (NYSE:WMG) were higher after a report that it has attracted more than 20 interested parties since putting itself up for sale, the New York Post said, citing sources. WMG is asking bidders to submit their bids by month end, the Post said.

Nokia (NYSE:NOK) was down by double digits after it said it will adopt Microsoft's (MSFT) Windows Phone as its main smartphone platform and will forge other close ties with the U.S. software giant. According to news reports, Nokia said it expects 2011 and 2012 to be "transition years." In the long term, it targets an adjusted operating margin at the device division of 10%. It was just above 11% in the latest quarter.

Ford Motor (NYSE:F) gained after the company said it will pay off another $3 billion in debt in the first quarter of this year as it moves toward regaining its investment grade rating, Reuters reports. Standard & Poor's reportedly said the move will not change the BB-minus rating of Ford debt--three levels below investment grade.

Goldman Sachs (NYSE:GS) shares were up modestly following a Bloomberg report, citing a former U.S. Treasury Dept. official, that Goldman's chief Lloyd Blankfein sought U.S. government approval on the pay of top employees despite not being required to do so.

In earnings news:

--Chipotle (NYSE:CMG) was up after reporting yesterday after the bell Q4 revenue of $482.5 million, better than the analyst consensus of $469 million on Thomson Reuters. EPS was $1.47, vs. expectations of $1.29. For full-year 2010, Chipotle posted net income of $179 million, up from $126.8 million in 2009, on revenue of $1.84 billion, up from $1.52 billion, according to Reuters.

--Tata Motors (NYSE:TTM) reported consolidated net profit of 24.24 billion rupees ($530 million) for the fiscal Q3, up from 6.5 billion rupees a year ago, Reuters reports. Consolidated revenue rose 22% from a year earlier to 316.85 billion rupees, the story said. A Reuters poll had forecast net profit of 21.86 billion rupees for the quarter on net sales of 298.6 billion.

--Discovery Communications (NASDAQ:DISCA) posted its fourth quarter results today, saying that its earnings increased because of TV advertising sales growth across its media business in the latter part of 2010.

Commodities finished lower as both gold and crude oil futures sank following the resignation of Egyptian President Hosni Mubarak. Oil had seen gains over the past two weeks on supply concerns as protests in Egypt raged.

Light, sweet crude oil for March delivery finished down $1.13, or 1.3%, to $85.58 a barrel. In other energy futures, heating oil was down 0.52% to $2.69 a gallon while natural gas was down 1.91% to $3.91 per million British thermal units.

Meanwhile, gold futures finished trading lower following reports of the Egyptian president's resignation. A stronger dollar also pressured bullion contracts.

Gold for April delivery finished down 0.2% to $1,360.40 an ounce. In other metal futures, silver was down 0.38% to $29.98 a troy ounce while copper traded down $0.01 to $4.54.

Source: Stocks Gain on Mubarak Departure, Positive Consumer Sentiment