Active broad-market exchange-traded funds at mid-day:
SPDR S&P 500 (
PowerShares QQQ Trust, Series 1 (
iShares MSCI Emerging Markets Index (
iShares Russell 2000 Index (
iPath S&P 500 VIX Short Term Futures TM ETN (
Broad Market Indicators
Broad-market exchange-traded funds, including SPY, IWM, IVV and
others, are mostly weaker. Actively traded PowerShares QQQ (
) is down 0.2%.
U.S. stocks continue to wallow in the red, unable to extend
gains from late last week. Investors are focused on the European
Central Bank's meeting set for this Thursday, and the U.S. Federal
Reserve's meeting of policy makers, set for Tuesday and Wednesday.
Most are awaiting possible action plans from the ECB to bring down
borrowing costs in Spain. There are also expectations that the Fed
will extend the pledge to keep interest rates low. The Street is
also bracing for the monthly jobs report, due out later in the
Winners and Losers
Select Financial Sector SPDRs (XLF) is slightly lower. Direxion
Daily Financial Bull 3X shares (FAS) is down 0.5%. Its bearish
counterpart, FAZ, is up 0.4%.
Actives in the sector are mostly lower: Bank of America (BAC),
down 0.7%; Goldman Sachs (GS), down 0.8%; Morgan Stanley (MS), down
0.2%; and Citigroup (C), down 0.8%.
HSBC (HBC) ADRs are up 1.3% after it reported profit before tax
was $12.7 bln, $1.3 bln higher than in the first half of 2011. But
this included $4.3 bln of gains from the disposals of businesses,
notably from the sale of the Card and Retail Services business and
from the sale of 138 non-strategic branches in the US. These
results also included $2.2 bln of adverse movements in the fair
value of its own debt attributable to credit spreads, compared with
an adverse movement of $143 mln in the first half of 2011.
State Bank Financial (STBZ) is up 5.3% after it reported Q2 net
income of $11 million or $0.34 per share, versus the Capital IQ
consensus of $0.30. In the same period last year, the company
reported net income of $5.1 million or $0.16 per share.
Provident Financial Holdings (PROV) is up 1.3% at $12.30, just
off the new year high of $12.79 hit earlier after the company
reported Q4 EPS of $0.39, which includes one-time items and may not
be comparable to the Capital IQ consensus estimate of $0.23.
Loews (L) continues to see weakness, now down 5% after the
company reported Q2 earnings of $56 million or $0.14 per share,
compared to $250 million, or $0.61 per share in the same period
last year. Results for the quarter include after tax non-cash
ceiling test impairment charges related to the carrying value of
its natural gas and oil properties, reflecting declines in natural
gas and NGL prices, and may not be comparable to the Capital IQ
consensus estimate of $0.75. Excluding the ceiling test impairment
charge, adjusted net income in 2012 would have been $198 mln, as
compared to $250 mln in the comparable quarter last year. Revenues
were $3.38 bln, down from $3.54 bln last year. No analyst estimate
for revenues were available for comparison.
Tech actives are mostly mixed: Apple (AAPL), up near 2%;
Microsoft (MSFT), down 0.7%; Intel (INTC), down 1.1%; Google
(GOOG), down 0.5%; Cisco (CSCO), up 1.2%; and Yahoo (YHOO), down
Roper Industries (ROP) is up near 4% having earlier climbed to a
new 52-week high of $108.89 on heavy volume. ROP today announced
will acquire Sunquest Information Systems Inc. for roughly $1.42
billion. The company also posted its Q2 results. It reported Q2
earnings of $1.15 per share, in line with the Capital IQ consensus
of $1.15. Revenues were $725 mln, versus the analyst estimate of
$746.09 mln. For FY12, the company now expects EPS of $4.84 - 5.00,
up from the prior outlook of $4.75 - $4.91
Jacobs Engineering Group (JEC) is down 0.2%, reversing
pre-market gains of more at 5% ahead of its Q3 earnings report in
today's after hours. Analysts polled by Capital IQ are expecting
the company to post EPS of $0.75 on revenues of $2.88 bln.
Nokia (NOK) is up 0.7% after the company said that its board of
directors approved an adjustment to the company's planned maximum
number of stock options to be granted in 2012. The company will
increase the planned maximum number of stock options to be granted
under the Nokia Equity Program 2012 to about 11.5 mln from 8.5 mln.
This adjustment is within the maximum number of 35 million stock
options available for grant under the stock option plan 2011
approved by the company's annual general meeting in 2011.
ETFs in the sector are in the negative: iShares Dow Jones US
Technology ETF (IYW), now down 0.2%; iShares S&P North American
Technology ETF (IGM), has turned negative; Technology Select Sector
SPDR ETF (XLK), down 0.03%; and iShares S&P North American
Technology-Software Index (IGV), down 1.7%.
SPDR S&P Semiconductor (XSD) and Semiconductor Sector Index
Fund (SOXX) are lower, down 1.6% and 1.4%, respectively.
SPDR S&P International Technology Sector ETF (IPK) is
Dow Jones U.S. Energy Fund (IYE) is down 0.2%; Energy Select
Sector SPDR (XLE) is down 0.2%.
Chevron Corporation (CVX) is edging higher, up 0.4%. CVX said
its subsidiary will proceed with the expansion of its Bibiyana
natural gas field in north-west Bangladesh. The company said the
project is estimated to cost approximately $500 million and is
expected to boost Chevron's total natural gas production capacity
in Bangladesh by more than 300 million cubic feet per day to 1.4
billion cubic feet per day, and 4,000 barrels per day of natural
Lufkin Industries (LUFK) is down 20%, adding to earlier losses
of some 6%, after it reported Q2 earnings of $0.66 per share, ex
one-time items, versus the Capital IQ consensus of $0.82. Revenues
were $305.6 mln, versus the analyst estimate of $307.21 mln. The
company expects Q3 EPS of $0.70 - $0.80, below the consensus of
$1.09, on revenues of $330 mln - $340 mln, also below the Street
view of $341.84 mln. For FY12, the company sees EPS of $3.00 -
$3.20 on revenues of $1.25 bln - $1.27 bln. Analysts are looking
for EPS of $3.72 on revenues of $1.28 bln.
Crude was down 0.4%; natural gas was up 5.51%. Among ETFs,
United States Oil Fund (USO) is down 0.6% while United States
Natural Gas Fund (UNG) is up 5%.
Gold was up 0.06%, silver was also higher, up around 2%. Among
rare metal funds, SPDR Gold Trust (GLD) is down 0.3% while iShares
Silver Trust (SLV) is up near 1%.
ETFs in the space are lower: Health Care SPDR (XLV), down 0.5%;
iShares NASDAQ Biotechnology Index (IBB), down 2%; Vanguard Health
Care ETF (VHT), down 0.4%; and iShares Dow Jones US Healthcare
(IYH), down 0.5%.
Acura Pharmaceuticals (ACUR) is down 35% and has sunk to a new
year low of $1.90. The company earlier said that Pfizer (PFE) plans
to exercise its right to terminate the license to three development
stage products using Acura's AVERSION Technology and return such
products to Acura, effective in 12 months under the terms of the
licensing deal signed by both parties. A fourth product utilizing
ACUR's AVERSION Technology, OXECTA (oxycodone hydrochloride)
Tablets CII, is being commercialized by Pfizer and Pfizer will
retain all rights and obligations to OXECTA under the license
agreement. PFE shares are off 0.9%.
Progenics Pharmaceuticals (PGNX) continues to gap lower, now
down nearly 50%. Likewise, Salix Pharmaceuticals (SLXP) is down
12.6%. The companies earlier reported that they received a Complete
Response Letter from the U.S. Food and Drug Administration (FDA)
following its review of a Supplemental New Drug Application (sNDA)
for RELISTOR (methylnaltrexone bromide) injection for subcutaneous
use for the treatment of opioid-induced constipation (OIC) in adult
patients with chronic, non-cancer pain. The Complete Response
Letter is requesting for additional data.
Consumer ETFs are mixed at mid-day: Consumer Staples Select
Sector SPDR (XLP), up 0.17%; iShares Dow Jones US Consumer Goods
(IYK), is down 0.11%; and Vanguard Consumer Staples ETF (VDC), down
SPDR S&P Retail (XRT) is down 0.49%; PowerShares Dynamic
Retail (PMR), up 0.46% and Market Vectors Retail ETF (RTH), is down
0.32% at $43.03, after hitting a new year high of $43.35.
Martha Stewart Living Omnimedia (MSO) is up 0.6% after it
reported a Q2 loss of $0.04 per share, versus the Capital IQ
consensus of $0.07 loss per share. Revenues were $47.9 mln, versus
the analyst estimate of $51.84 mln. In the same period last year,
the company reported loss per share of $0.05 on revenues of $54.9
Power Play -
Among ETFs, Vanguard Industrials (VIS) is down 0.45%; iShares
Trust Dow Jones U.S. Industrial Sector Index Fund (IYJ), down
0.34%; and Select Sector SPDR-Industrial (XLI), down 0.40%.
CB&I (CBI) is now down near 15% after it earlier announced
that it entered into a definitive agreement to acquire Shaw Group
(SHAW), a company primarily focused on serving clients in the power
generation and government services sector. CB&I will acquire
Shaw for $46.00 per share in cash and stock. Shareholders will
receive $41.00 in cash and $5.00 in CB&I equity (0.12883 shares
based on an agreed upon recent average stock price of $38.81 per
share) for each share of Shaw stock at closing. SHAW shares, on the
other hand, are up 55%, but off new year highs hit earlier.