MARKET TALK: Jobs In Manufacturing Still Tough To Find
01 Mar 10:23
Edited by Thomas Granahan
Of DOW JONES NEWSWIRES
(Call Us: 201 938-5299; All Times Eastern)
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10:23 (Dow Jones) ISM said manufacturing employment fell in Feb. for a
17th-straight month. Its employment index was 43.8% for Feb., up from 42.6% in
Jan. Wood and wood products was the only area of jobs growth, it said. Its
employment index would have to reach 47.6% to suggest growth in BLS
manufacturing employment data, ISM said. (MAP)
10:16 (Dow Jones) Currency markets just don't want to go anywhere, it seems.
Early yen strength has now petered out and EUR is also slipping back towards
Thursday's levels. EUR is $0.8666; USD/JPY is Y133.41; EUR/JPY is Y115.72.
(JRH)
10:13 (Dow Jones) ISM's February report cites an upbeat view of the economy,
with inflation still contained. It found "an accelerating trend in new orders
and production" and added that "pricing power is still lagging, but should
begin to develop if the trends in new orders and production continue." (MAP)
10:09 (Dow Jones) "When all is said and done, I still look for a relapse this
spring," says Morgan Stanley's Stephen Roach, who maintains, among other
things, that "corporate America is starting to take the classic bait of the
double-dip - lifting production just when the demand relapse might be at hand."
(JCC)
10:05 (Dow Jones) Tsys hurt after Feb. ISM index comes in very strong. 2-year
yield initially up 4 BP since report, to 3.13% from 3.09% immediately before
the report. 10-year yield up 2 BP since ISM report to 4.92%. Stocks reacting
favorably - DJIA up 83 to 10189, Nasdaq Comp adds 22 to 1753, and S&P 500 up 9
to 1115. (JNP/TG)
9:56 (Dow Jones) Morgan Stanley starts coverage of healthcare facilities with
an overweight rating. "Pricing for 2002 is largely a done deal. Medicare
increases of 2.75% and managed care increases of 6%-10% are a positive,in our
view. We believe pricing power remains strong for hospitals through 2003. Aging
of the population has been and should continue to be a positive for volume
growth, in our view." HCA (HCA), Triad (TRI), Tenet (THC) and Community Health
(CYH) are its top picks. (GS)
9:46 (Dow Jones) Williams Communications (WCG) shares halted at 13 cents
apiece pending news. Could the news be, oh, a bankruptcy filing, which the
company introduced as a possibility earlier this week? Or perhaps a
substantially dilutive recapitalization, that might make 13 cents a share look
very expensive? Meanwhile, shares of Williams Cos. (WMB), which could be on the
hook for as much as $2.2 billion, should Williams Communications file for
bankruptcy, are up. (CBN)
9:43 (Dow Jones) Merrill Lynch analyst Jay Cohen believes insurance rates for
private passenger automobiles will continue to rise, driven by continued margin
pressure at carriers and increasing cost of claims. (CUB)
9:38 (Dow Jones) Performance of Janus mutual funds appears to be improving.
Janus parent Stilwell Financial (SV) announced its end-February assets under
management rose to $186 billion from $185 billion a month ago. Even after
taking into account the $6 billion added as a result of an acquisition, the
decline in assets was limited to just $5 billion, or 2.7% of the overall
assets. Not a bad number considering that diversified domestic stock funds fell
2.9% on average and science and technology funds tumbled 14% during February,
according to Lipper. (YXH)
9:31 (Dow Jones) Hewlett-Packard (HWP) says a research firm has validated a
controversial survey in which 66% of H-P employees were found to support the
company's pending merger with Compaq Computer (CPQ). International Survey
Research reviewed the data from H-P's January survey, as well as the process
used to conduct the survey, and found that it "is valid and representative of
employees worldwide." "Based on the information we have reviewed, the survey
results - at a 95 percent confidence interval - have a maximum sampling error
of +/- 5 percent," said Leo F. Brajkovich, global director for the research
firm's organization development practice. "It is a valid sample of H-P globally
that indicates 66 percent of employees are somewhat or very supportive of the
proposed merger between H-P and Compaq." (BS)
9:25 (Dow Jones) New York Times reports today that Disney's (DIS) ABC made a
recent bid to hire David Letterman of CBS in a move that would've displace Ted
Koppel's "Nightline" program. Execs involved in the talks say Letterman was
seriously considering the offer. ABC and Viacom's (VIA) CBS disagree on whether
a deadline for discussions ended last night, so stay tuned. (CRW)
9:18 (Dow Jones) Most equity filings and issuance is behind last year's weak
pace, but there is one area that's ahead: shelf registrations. The 53 shelf
registrations filed this year total $69.3 billion, 9% above this time last
year, according to Dealogic. The biggest this year is a $10 billion shelf from
Merrill Lynch (MER). (RJH)
9:07 (Dow Jones) ABN-Amro kicks off EDS coverage with hold rating, citing
near-term concerns about free cash flow generation and increased debt levels.
If the company continues its solid earnings growth and strong business signings
while making noticeable progress toward its $700M-$900M free cash flow goal
this year, the outlook could become more optimistic. (TG)
(END) DOW JONES NEWS 03-01-02
10:23 AM |
