From Briefing.com: 4:10 pm : Stocks hit their highest levels of the session in the first hour of trading, and saw a gradual selloff throughout the course of the day. Stocks closed near their worst levels of the session with the S&P 500 seeing losses of 0.5%.
Equity futures were under pressure in pre-market trading after Moody's announced it was reviewing Spain for a negative outlook, Portugal held a weaker-than-expected 3-month bill auctionl, and Japan's Tankan survey indicated large manufacturers' confidence was at it lowest point in almost two years.
Joy Global (JOYG 85.79, +5.58) was one of the top performers all session long after the company announced stronger-than-expected results for its fourth quarter. The company released earnings of $1.39 per share versus the Thomson Reuters consensus of $1.16 per share. Revenues topped expectations as well, coming in at $1.05 billion versus the Thomson Reuters consensus estimate of $0.92 billion. The company raised its guidance for full year 2011. Caterpillar (CAT 93.14, +1.05) saw a positive reaction to the results.
Shares of Boston Beer (SAM 94.99, +10.24) surged after the company raised its forecast for its 2010 profit to $3.30 to $3.60 per share after forecasting a profit of $2.85 to $3.15 per share on November 4th. Molson Coors (TAP 50.35, +0.61) rode its coattails for a nice gain.
Shares of BP (BP 43.85, -0.59) slipped on the news that the U.S. government was suing them for the Gulf of Mexico oil spill. Anadarko Petroleum (APC 67.42, -1.55) and Transocean (RIG 71.90, -0.90) were also named in the suit.
The Treasury complex was under pressure for most of the session as prices started to fall and yields began to rise following the Fed's Permanent Open Market Operations. The yield on the 10-yr climbed from 3.40% when the POMO results were released to a session high of 3.558%. The move in the 10-yr yield pushed it to its highest level since mid-May. Steepening continued in the 2-10-yr spread with the curve seeing 288.6, its widest since late February. A breach of 293.9 would be a record high.
The dollar index ran to a session high just short of 80.30 from its 8 AM ET low of 79.46. A number of things weighed on the euro today with its selloff intensifying as Ireland's Parliament passed a vote that approved the European Union/International Monetary Fund bailout. The single currency will end the day down close to 150 pips at 1.3220. A weak jobs report weighed on the pound, and an easing of inflationary pressures has some thinking more stimulus may be necessary. Sterling closed off 230 pips to 1.5540. Dollar/yen added 0.60 to finish the session near 84.25 as it looks to breakout above current resistance levels.
Tomorrow's data is heavy with initial and continuing claims, housing starts and building permits, and current account balance all at 8:30 AM ET, followed by the Philly Fed at 10 AM ET.
Volume was light with just more than one billion shares changing hands on the floor of the New York Stock Exchange.DJ30 -19.07 NASDAQ -10.50 SP500 -6.36 NASDAQ Adv/Vol/Dec 1048/1.86 bln/1598 NYSE Adv/Vol/Dec 1034/1.10 bln/1960
4:03PM TriQuint Semi announces that SAMSUNG selects its complete RF front-end solution for its Galaxy Tab and Galaxy S Series (TQNT) 11.89 -0.17 : Co announces that SAMSUNG selected TriQuint for its complete 3G RF front-end for its new Samsung Galaxy Tab. This is in addition to Samsung choosing TriQuint's total 3G RF front-end solution for its smartphone series, Galaxy S.
6:10AM MEMC Elec appoints Mark Murphy as CFO (WFR) 11.72 : Co announces that effective January 10, 2011, it will transition the CFO role to Mark Murphy from the current CFO, Tim Oliver. Murphy was most recently VP and Controller of Praxair. Oliver is leaving the co to pursue other opportunities.
09:54 am BRCM Guides Q4 Revs Above Consensus (BRCM)
Broadcom (BRCM 42.95 -1.98) expects to see fourth quarter revenues in the range of approx. $1.9 billion versus the $1.85 bln Thomson Reuters consensus.
Co sees GAAP product gross margin down slightly sequentially due to warranty and excess & obsolete charges, excluding impact of GAAP valuation related charges related to Q4 acquisitions that are not available at this time.
The company sees GAAP R&D plus SG&A expenses estimated to be up $20 million to $30 million sequentially, excluding approx. $25 million of acquisition and employee stock plan charges.
The company stated "Our increased revenue guidance reflects stronger than expected demand for products in our Mobile and Wireless markets versus our initial expectations entering the quarter."
09:48 am FSLR Guides FY11 Above Consensus (FSLR)
First Solar (FSLR 139.06 +2.02) guided net sales in the range of $3.7 billion to $3.9 billion, up about 46% year-over-year compared to the midpoint of 2010 guidance provided on October 28, 2010.
The net sales forecast is comprised of $2.8 to $2.9 billion of module sales and $0.9 to $1.0 billion of EPC/project development sales. EPS is forecasted to grow to between $8.75 to $9.50 per fully diluted share and consolidated operating income is $875 to $975 million.
These forecasts include $80 - $85 million of manufacturing start-up expenses and $15-20 million of factory ramp costs associated with plant expansions. The Company plans to invest $1.0 to $1.1 billion of capital to nearly double production capacity by year-end 2012, to maintain existing capacity and to add infrastructure to support growth. First Solar expects to generate $1.0 - $1.1 billion of operating cash flow during 2011. |
