After a
turbulent week
based mostly on the ongoing debt drama emanating from across the
pond, stock futures are headed higher this morning, as Greece
appears to have reached a fiscal resolution just in time for the
Feb. 15 deadline
. With little in the way of domestic economic and earnings news on
today's agenda, Wall Street is cheering the austerity measures
approved yesterday by the Greek Parliament, although the resolution
comes amid violent backlash by its citizens. Against this backdrop,
all three major market indexes are looking to jump right out of the
gate.
In earnings news, Regeneron Pharmaceuticals, Inc. (REGN -
102.08) reported a fourth-quarter loss of $53.4 million, or 58
cents per share, compared to last year's loss of $14.6 million, or
17 cents per share. Excluding items, the per-share loss arrived at
37 cents. Revenue for the quarter fell to $123 million, versus its
year-ago revenue of $133.7 million. The bottom-line results came in
better than expected, as analysts, on average, were calling for a
loss of 60 cents per share on $131 million in sales. REGN is up
more than 11% ahead of the bell.
Elsewhere, KVH Industries (KVHI - 9.90) recorded a
fourth-quarter profit of $1.6 million, or 11 cents per share, a
significant increase over its year-ago profit of $200,000, or 2
cents per share. Revenue was also on the rise, jumping 18% to $31.9
million. The results fell in line with analysts' expectations.
Looking ahead, the electronics concern is calling for a
first-quarter loss of 3 cents to 9 cents per share on revenue
ranging between $25.5 million and $28.5 million. Analysts,
meanwhile, are projecting earnings of 6 cents per share on $29.5
million in sales.
Earnings Preview
Today's earnings docket will also feature reports from Alexander
& Baldwin (
ALEX
), Amicus Therapeutics (
FOLD
), AsiaInfo Linkage (
ASIA
), Gen-Probe (
GPRO
), Health Management Associates (
HMA
), Lender Processing Services (LPS), Limelight Networks (LLNW),
Nordic American Tanker (NAT), Rackspace Hosting (RAX), Seattle
Genetics (SGEN), and Skilled Healthcare Group (SKH). Keep your
browser at
SchaeffersResearch.com
for more news as it breaks.
Economic Calendar
The economic calendar kicks off Tuesday with retail sales
figures and business inventories, along with the latest data on
import and export prices. The Empire State manufacturing index hits
the Street on Wednesday. Also on the day's docket are the NAHB's
housing market index, industrial production and capacity
utilization, weekly crude inventories, and the minutes from the
latest meeting of the Federal Open Market Committee (FOMC).
Thursday brings us housing starts, the producer price index (PPI),
the Philadelphia Fed manufacturing index, and the weekly report on
jobless claims. The Fed also remains in focus, with Chairman Ben
Bernanke slated to speak at an FDIC conference. Finally, we wrap up
on Friday with the consumer price index (CPI) and the Conference
Board's index of leading indicators.
Market Statistics
Equity option activity on the Chicago Board Options Exchange
(CBOE) saw 1,287,092 call contracts traded on Friday, compared to
986,033 put contracts. The resultant single-session put/call ratio
arrived at 0.77, while the 21-day moving average was 0.59.
Overseas Trading
Stocks in Asia ended mostly higher today, after legislators in
Athens ratified a critical austerity bill. The news alleviated
investors' worst fears about a potential Greek debt default, which
provided support for exporters -- including Mazda and Mitsubishi in
Tokyo, along with Kia and Hyundai in Seoul. As a result, traders
were able to shrug off a disappointing gross domestic product (GDP)
report for Japan, with the quake-stricken country's economy
shrinking by a steeper-than-forecast 0.6% during the fourth
quarter. Elsewhere, property stocks pulled back in China, pressured
by reports that the city of Wuhu in Anhui is halting its
home-subsidy program. By the close, South Korea's Kospi and Japan's
Nikkei gained 0.6% apiece, while Hong Kong's Hang Seng added 0.5%,
and China's Shanghai Composite slipped 0.01%.
The major European benchmarks are in the black at midday,
despite increasingly violent protests across Greece following the
parliamentary approval of unpopular austerity measures. With the
cash-strapped country one step closer to dodging a disorderly debt
default, buyers have tiptoed cautiously back into equities. The
bulls are also responding to some significant M&A developments,
as Vodafone confirmed that it's pondering a bid for telecom titan
Cable & Wireless Worldwide. At last check, the French CAC 40 is
up 0.7%, the German DAX is 0.8% higher, and London's FTSE 100 has
climbed 1.1%.
Currencies and Commodities
The U.S. dollar index is pointed lower this morning, with the
greenback last seen down 0.5% at $78.76. Crude oil, on the other
hand, is edging closer to the psychologically significant century
mark, with the front-month contract up 0.9% at $99.58 per barrel.
Set to
shake off last week's loss
, gold futures are 0.4% higher at $1,731.30 an ounce.
Unusual Put and Call Activity:
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