Futures on all three major market indexes are pointed modestly
higher today, as traders shrug off
yesterday's 200-point Dow drubbing
. Wall Street is keeping its attention close to home, as jobs data
begins to trickle in ahead of Friday's delayed nonfarm payrolls
report. On the corporate front, Apple (AAPL ) is expected to launch
its newest iteration of the iPad at an event today, prompting
curiosity as to what the tech titan may have in store for us next.
Despite the bullish anticipation on the home front, traders are
still keeping
one eye trained on Greece
, as the fiscally strapped nation's bond swap is slated to wrap up
on Thursday. However, Tuesday's skepticism has been tempered, as a
number of large banks have agreed to participate in the
write-downs. With a lot of information to digest in today's
session, the Dow Jones Industrial Average (DJIA) is set to tack on
43 points, while the broader S&P 500 Index (SPX) is up 4
points.
In earnings news, Pandora Media (P - 14.27) deepened its fiscal
fourth-quarter loss to $8.2 million, wider than its deficit of $1.4
million in the year ago-period. On an earnings-per-share basis,
however, P's loss came in at 5 cents, compared to a loss of 31
cents in the previous year. Excluding items, the Internet radio
issue's loss arrived at 3 cents per share. Meanwhile, revenue
jumped by 70.8% to $81.3 million, boosted by a 74% increase in
advertising sales. Analysts, on average, were expecting a loss of 2
cents per share on revenue of $83.1 million. Looking ahead, the
company is forecasting an adjusted first-quarter loss of 18 cents
to 21 cents per share on sales between $72 million and $75 million.
Conversely, Wall Street is predicting a loss of just 2 cents per
share on revenue of $86.6 million. P is staring at a 22% drop right
out of the gate.
Citing a $10-million tax refund, Analogic Corporation (ALOG -
54.59) said its fiscal second-quarter profit soared to $19.6
million, or $1.59 per share, from last year's profit of $5.3
million, or 42 cents per share. Excluding items, earnings arrived
at $1.02 per share, while revenue grew 7.8% to $126.4 million. The
results were mixed, with analysts calling for a per-share profit of
57 cents on $127 million in sales. ALOG also announced its board
approved a quarterly cash dividend of 10 cents per share, payable
on March 29.
Finally, Ciena Corp. (CIEN - 13.44) trimmed its fiscal
first-quarter loss to $47.7 million, or 49 cents per share, from
last year's deficit of $79.1 million, or 84 cents per share.
Excluding items, CIEN lost 17 cents per share, as revenue fell 3.8%
to $416.7 million. Analysts were looking for a loss of just 5 cents
per share on $417.2 million in revenue. However, the networking
specialist saw its gross margin expand to 40.3% from 38.9% during
the quarter, and CIEN offered an upbeat outlook for the remainder
of 2012. "Our first-quarter revenue does not reflect the underlying
strength of the business and ongoing customer demand," said
President and CEO Gary Smith. "We expect sequential revenue growth
in the fiscal second quarter, and we anticipate that our operating
results for the second half of fiscal 2012 will be stronger than
the first half." CIEN is up 4.2% in pre-market trading.
Earnings Preview
Today's earnings docket will also feature reports from American
Eagle Outfitters (
AEO
), Bon-Ton Stores (
BONT
), Canadian Solar (
CSIQ
), Children's Place (
PLCE
), Coldwater Creek (
CWTR
), Express (EXPR), Flotek Industries (FTK), Fresh Market (TFM),
Geron (GERN), H&R Block (HRB), Hot Topic (HOTT), Hovnanian
Enterprises (HOV), Korn/Ferry International (KFY), Men's Wearhouse
(MW), Sequenom (SQNM), and Sigma Designs (SIGM). Keep your browser
at
SchaeffersResearch.com
for more news as it breaks.
Economic Calendar
Today's jam-packed docket brings us weekly crude inventories,
ADP's private-sector payrolls figure for February, fourth-quarter
productivity, and the Federal Reserve's consumer credit report. On
Thursday, we'll hear the regularly scheduled update on initial
unemployment claims. We'll wrap up the week on a busy note, with
the delayed release of the Labor Department's nonfarm payrolls
report for February, as well as the latest unemployment rate, the
trade deficit, and wholesale inventories.
Market Statistics
Equity option activity on the Chicago Board Options Exchange
(CBOE) saw 1,152,670 call contracts traded on Tuesday, compared to
907,120 put contracts. The resultant single-session put/call ratio
arrived at 0.80, while the 21-day moving average was 0.63.
Overseas Trading
Asian markets remained stuck in the red again today, tracking
Tuesday's jarring losses on Wall Street. Revived worries about the
health of the global economy applied pressure to exporters, with
Sony shares sliding in Tokyo, and Hyundai among the notable
laggards in Seoul. Meanwhile, China Life Insurance sparked
sector-wide weakness after the company warned of
worse-than-expected fiscal 2011 earnings. By the close, South
Korea's Kospi and Hong Kong's Hang Seng each lost 0.9%, China's
Shanghai Composite gave back 0.7%, and Japan's Nikkei dipped
0.6%.
On the other hand, European indexes are edging higher at midday.
Banking stocks have attracted some buyers in the wake of Tuesday's
sell-off, but the bulls are playing it relatively safe ahead of
Thursday's Greek debt swap. Confirmed participants in the voluntary
restructuring now include such well-known names as Societe
Generale, UniCredit, HSBC, and Deutsche Bank, but Greece will need
to drum up even more bondholder support to dodge a disorderly
default. At last check, the French CAC 40 is up 0.6%, London's FTSE
100 has added 0.4%, and the German DAX is 0.1% higher.
Currencies and Commodities
The U.S. dollar index has pulled back this morning, with the
greenback down 0.2% at $79.75. Crude futures, meanwhile, are in
rebound mode
, as economic fears are seemingly subsiding. At last check, the
front-month contract is up 0.5% at $105.23 per barrel. Gold futures
are pointed north, as well, with the malleable metal 0.5% higher at
$1,681.00 an ounce.
Unusual Put and Call Activity:
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