The Dow Jones Industrial Average (DJIA) took a breather
yesterday, slipping roughly 37 points to snap a six-session winning
streak. Apparently well rested, Wall Street bulls are wading back
into the fray this morning, sending futures on the DJIA and the
S&P 500 Index (SPX) roughly 29 points and 2.25 points above
fair value, respectively. That said, any gains this week could be
muted, as traders prepare for this week's Group of 20 (G20) finance
ministers' meeting in Seoul, South Korea. Technically, the DJIA is
settling in above support at the 11,400 level, though resistance
still looms overhead in the 11,450-11,500 region. The SPX,
meanwhile, is attempting to establish support near 1,220, with
potential resistance overhead at the 1,230 level.
In equity news, Chevron Corp. (
) announced this morning that it is buying Atlas Energy Inc. (
) for $3.2 billion in cash. Chevron will also assume $1.1 billion
in debt as part of its purchase of ATLS. All told, the deal values
ATLS at about $4.3 billion, or $38.25 per share - a premium of 21%
over the stock's close at $31.72 on Monday.
Elsewhere, priceline.com Inc. (
) reported a fiscal third-quarter income of $223 million, or $4.41
per share, compared with a profit of $319 million, or $6.42 per
share, a year earlier. Revenue was $1 billion, up from $730.7
million. Adjusted income was $5.33 per share. Analysts had expected
the company to report earnings of $4.97 per share, on revenue of
LDK Solar Co. Ltd. (
) reported third-quarter net income of $93.4 million, or 72 cents
per American Depositary share, up from $29.4 million, or 27 cents
per ADS, in the same quarter last year. Revenue increased to $675.6
million from $281.9 million a year earlier. Analysts had forecast
earnings of 43 cents per share on revenue of $590.8 million.
On the earnings front, Ebix Inc. (
), Fossil Inc. (FOSL), hhgregg Inc. (HGG), JA Solar Holdings Co.
Ltd. (JASO), K12 Inc. (LRN), Solarfun Power Holdings Co. Ltd.
(SOLF), Tyco International Ltd. (TYC), Starwood Property Trust Inc.
(STWD), and URS Corp. (URS) will release their quarterly reports
today. Keep your browser at
for more news as it breaks.
September's wholesale inventories report arrives today, while
the Street will receive the usual weekly report on crude
inventories tomorrow, along with the September trade balance
figures. Thursday offers up the weekly initial jobless claims
report, while Friday rounds out the week with the University of
Michigan's first reading on November consumer sentiment.
Equity option activity on the Chicago Board Options Exchange
(CBOE) saw 1,418,806 call contracts traded on Monday, compared to
764,823 put contracts. The resultant single-session put/call ratio
arrived at 0.54, while the 21-day moving average fell to 0.58.
**The volume data shown above is from the Nasdaq and NYSE
exchanges only. It does not include regional volume activity,
which means that other daily volume quotes you see may be
Overseas trading is in solid shape this morning, as seven of the
10 foreign indexes that we track are in positive territory. The
cumulative average return on the collective stands at a gain of
0.26%. Asian markets were mixed, with a rising yen pressuring
exporters in Japan, while the rest of the region remained cautious
ahead of a G20 meeting later this week. Meanwhile, mining and
commodities stocks have helped to lead European markets to their
highest perch in two years.
Currencies and Commodities
While the U.S. dollar has stolen the limelight lately, gold
futures have stormed back into the headlines this morning. The
December gold contract tagged another record high in London this
morning, rallying to $1,422.10 an ounce. A reversal in the U.S.
dollar is helping provide lift for the malleable metal, with the
U.S. Dollar Index down 0.27% at 76.82. Finally, crude futures have
added 38 cents to trade at $87.44 per barrel, after the
International Energy Agency said that Chinese demand would drive
the price of oil much higher in the coming years.
Unusual Put and Call Activity:
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