Today - Thursday, December 12, 2013
9:20 AMStock futures pull back from losses as jobless claims rise
- Stocks look to a flat open after retail sales data painted a mostly encouraging picture for personal consumption while jobless claims spiked higher; the latter could provide a data point to prevent the Fed from making a tapering announcement next week.
- "You've got the negative effect of the [eventual] draining of liquidity, but you have the positive effect of an improving economy," so neither the bulls nor the bears are in control.
- Asian markets finished broadly lower while European bourses bounce off lows, as markets remain on edge over Fed policy.
- Gold is sharply lower amid taper fears
- Still ahead; business inventories, EIA natural gas inventory.
9:18 AMCanadian Solar strikes 100MW supply deal, shares +1.6% premarket
- Canadian Solar (CSIQ) is supplying 100MW of solar modules to Chinese solar systems integrator Zhenfa New Energy for use in four projects. Deliveries are expected to start in mid-December, and be finished in January. (PR)
- The announcement comes three days after Canadian said it has obtained a $40M loan to finance Japanese solar projects, and is supplying 8.7MW of modules for a Mexican project.
9:16 AMLululemon call (in progress): Q4 traffic slowdown, execution glitches, CEO MIA
- Execs with Lululemon (LULU) just began the company's conference call and are covering some of the execution issues that have hit the retailer.
- Slower traffic is being seen in Q4 as the company acknowledges internal issues are a factor on top of a cautious consumer atmosphere.
- Of note: CEO Christine Day is not on the call.
- Earnings call webcast
- LULU -9.3% premarket.
9:06 AMNorthStar prices secondary at $11.65 each
- NorthStar Realty Finance (NRF) pulls off a whopper of a secondary, pricing 50M shares at $11.65 each, just 2.5% below yesterday's close.
- The offering, of course, came right on the heels of the plan to spin off the company's asset management business and a 20% jump in the stock yesterday.
- Shares -2.3% to $11.68 premarket
- Press release
9:06 AMPepsiCo 's deal with Buffalo Wild Wings could lead to bigger things
- PepsiCo's (PEP) deal with Buffalo Wild Wings looks like a win for the company, according to analysts.
- The company not only lands in 950 sports bars across the U.S. and Canada, but it gives other restaurant chains something to think about if Buffalo Wild Wings takes advantage of the Doritos brand like Taco Bell did.
9:02 AMMetLife boosts free cash flow outlook
- Speaking on the year-end investor call, CFO John Hele says MET expects FCF as a percent of operating earnings in 2015-2016 to be 45%-55%. Previously, management had estimated the ratio to be 35%-45% from 2014-2016 (2014 is expected to be 35%).
- Higher dividends from Met's subsidiaries is behind the boost. Behind that is the bull market in stocks, the impact from interest rate hedges, and the benefits from the "4-way merger" - the onshoring of an offshore reinsurance unit into three U.S. subsidiaries which are also being merged.
- Management is tight-lipped about its capital return plans. "We need more clarity (from D.C.) than we have today."
- Webcast and presentation slides
9:00 AMMarket turns green on positive data
- S&P +0.15%.
- 10-yr -0.14%.
- Euro -0.22% vs. dollar.
- Crude +0.48% to $97.78.
- Gold -1.77% to $1235.0.
8:57 AMSynta Pharma offers positive ganetespib interim results, +15% premarket
- Synta Pharmaceuticals (SNTA) +15% premarket after announcing "positive" Interim results from the ENCHANT-1 trial of ganetespib in metastatic breast cancer at a breast cancer symposium.
- Early results demonstrated the drug is clinically active as a single-agent in both HER2+ and triple-negative metastatic breast cancers, SNTA says.
8:57 AMW.P. Carey Inc. REIT declares $0.87 dividend| Comment!
8:46 AMApollo Residential to get new CFO
- Teresa Covello will assume the CFO position on January 1 from Stuart Rothstein, who will retain his role on the investment committee of ARM Manager - AMTG's external manager. Rothstein is also CEO of Apollo Commercial Real Estate.
- Covello is currently Controller of ARM Manager. She previously served as an SVP at MFA Financial.
- Press release
8:45 AMAecom Technology names Burke as CEO successor
- Aecom Technology (ACM) on Wednesday said current president Michael Burke will succeed John Dionisio as CEO in a planned succession process at the engineering and infrastructure design firm.
- One of Burke’s priorities will be to develop ACM’s brand; the firm is not widely known outside of construction and engineering circles, though it has been involved in dozens of major projects around Los Angeles.
8:40 AMTreasury yields higher after strong retail sales report
- Treasury prices are paying attention to the big retail sales beat, not the massive jump in initial jobless claims. Down to 2.84% earlier, the 10-year yield is now ahead two basis points on the session to 2.87%. Stock index futures remain marginally lower.
- The jobless claims data (they plunged to 298K last week only to soar to 368K today) clearly reflect seasonal adjustment issues surrounding the holiday season.
- Treasury ETFs: TBT, TLT, TMV, IEF, TBF, PST, EDV, TTT, TMF, TLH, ZROZ, SBND, IEI, DLBS, TYO, DTYS, VGLT, UST, UBT, TBX, TLO, VGIT, LBND, GSY, DTYL, SCHR, TYD, ITE, TYBS, TENZ, FIVZ, TBZ, DFVL, DLBL, DFVS, TYNS