<font color=bLUE>MARKET SNAPSHOT--Shares poised for gains
Chase-J.P. Morgan merger to spur financials
By Julie Rannazzisi, CBS.MarketWatch.com
Last Update: 7:54 AM ET Sep 13, 2000 NewsWatch
Latest headlines
NEW YORK (CBS.MW) - Stocks look to post minor gains at the open Wednesday with financials poised to set the tone as Chase Manhattan confirmed it was buying Dow-component J.P. Morgan.
The merged entity will be named J.P. Morgan Chase & Co. The stock-swap deal values J.P. Morgan shares at $207. See full story. J.P. Morgan (JPM: news, msgs) added 25 cents to Tuesday's NYSE close to $178 in Instinet pre-market dealings, erasing the lion's share of earlier gains. Chase, meanwhile, slipped $6.06 below its NYSE close to $50. See Indications.
Shares of financial companies viewed as potential takeover targets -- such as Bear Stearns (BSC: news, msgs) and Lehman Bros. (LEH: news, msgs) -- may climb on Wednesday after coming under mild selling pressure on Tuesday.
Lehman and Bear have seen nifty gains over the past weeks as merger activity has heated up in the financial arena. Just last Wednesday, Citigroup (C: news, msgs) announced it was purchasing Associates First Capital (AFS: news, msgs) while Credit Suisse First Boston revealed it was buying Donaldson, Lufkin & Jenrette (DLJ: news, msgs) two weeks ago.
Over in the futures markets, December S&P 500 futures added 1.10 points, or 0.1 percent, and were trading around fair value, according to HL Camp & Co. Nasdaq futures, meanwhile, climbed 14.50 points, or 0.4 percent.
Over in the bond market, prices were a sliver higher in thin dealings out of the gate. The 10-year Treasury note added 2/32 to yield ($TNX: news, msgs) 5.77 percent and the 30-year Treasury bond rose 1/8 to yield ($TYX: news, msgs) 5.76 percent.
On the economic docket, Wednesday will see the release of the August import and export price indexes as well as the second quarter current account deficit. View Economic Preview, economic calendar and forecasts and historical economic data.
In the currency sector, dollar/yen (C_JPY: news, msgs) edged up 0.1 percent to 106.89 while euro/dollar (C_EUR: news, msgs) eked out a 0.1 percent gain to 0.8643. The euro reached an all-time low of 0.8545 in intraday trading on Tuesday.
Shares poised for gains
Chase-J.P. Morgan merger to spur financials
By Julie Rannazzisi, CBS.MarketWatch.com
Last Update: 7:54 AM ET Sep 13, 2000 NewsWatch
Latest headlines
NEW YORK (CBS.MW) - Stocks look to post minor gains at the open Wednesday with financials poised to set the tone as Chase Manhattan confirmed it was buying Dow-component J.P. Morgan.
The merged entity will be named J.P. Morgan Chase & Co. The stock-swap deal values J.P. Morgan shares at $207. See full story. J.P. Morgan (JPM: news, msgs) added 25 cents to Tuesday's NYSE close to $178 in Instinet pre-market dealings, erasing the lion's share of earlier gains. Chase, meanwhile, slipped $6.06 below its NYSE close to $50. See Indications.
Shares of financial companies viewed as potential takeover targets -- such as Bear Stearns (BSC: news, msgs) and Lehman Bros. (LEH: news, msgs) -- may climb on Wednesday after coming under mild selling pressure on Tuesday.
Lehman and Bear have seen nifty gains over the past weeks as merger activity has heated up in the financial arena. Just last Wednesday, Citigroup (C: news, msgs) announced it was purchasing Associates First Capital (AFS: news, msgs) while Credit Suisse First Boston revealed it was buying Donaldson, Lufkin & Jenrette (DLJ: news, msgs) two weeks ago.
Over in the futures markets, December S&P 500 futures added 1.10 points, or 0.1 percent, and were trading around fair value, according to HL Camp & Co. Nasdaq futures, meanwhile, climbed 14.50 points, or 0.4 percent.
Over in the bond market, prices were a sliver higher in thin dealings out of the gate. The 10-year Treasury note added 2/32 to yield ($TNX: news, msgs) 5.77 percent and the 30-year Treasury bond rose 1/8 to yield ($TYX: news, msgs) 5.76 percent.
On the economic docket, Wednesday will see the release of the August import and export price indexes as well as the second quarter current account deficit. View Economic Preview, economic calendar and forecasts and historical economic data.
In the currency sector, dollar/yen (C_JPY: news, msgs) edged up 0.1 percent to 106.89 while euro/dollar (C_EUR: news, msgs) eked out a 0.1 percent gain to 0.8643. The euro reached an all-time low of 0.8545 in intraday trading on Tuesday.
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Julie Rannazzisi is markets editor for CBS.MarketWatch.com.
Julie Rannazzisi is markets editor for CBS.MarketWatch.com. |
