10:44AM
IMF's Blanchard says markets may be too optimistic by Greg Robb
WASHINGTON (MarketWatch) -- Global financial markets may not be pricing in enough risk about the prospects for the world economy, said Olivier Blanchard, the chief economist of the International Monetary Fund, on Wednesday. "I think there is a reasonable argument for thinking that maybe financial markets are a bit too optimistic, but they are seeing good things in the future," Blanchard said, at a briefing on the updated global economic outlook. "It is clear that financial markets are ahead of the real economy," Blanchard said. "The question is whether they are too much ahead or not, whether we are seeing a bubble," Blanchard added. "At this stage, it is difficult to say," he concluded.
10:38AM
China oil demand hit a record in December: Platts ( CLH3 ) by Myra P. Saefong
SAN FRANCISCO (MarketWatch) -- China's apparent oil demand climbed 7.7% in December compared with a year ago to an average 10.58 million barrels per day -- the highest on record, according to a Platts analysis of recent Chinese government data released Wednesday. Part of the strong growth in December oil demand was "due to a stronger economic performance, which boosted demand for raw materials," said Song Yen Ling, Platts senior writer for China. "As the recovery in China's economy continues, it is likely that the country will consume more oil this year." At last check, March crude oil (clh3) fell by 30 cents to $96.38 a barrel in New York, ahead of a weekly update on U.S. supplies Wednesday afternoon from the American Petroleum Institute.
10:33AM
Intuitive Surgical up 9% on strong quarter ( ISRG ) by Jim Jelter
SAN FRANCISCO (MarketWatch) -- Intuitive Surgical Inc. (isrg) shares surged as much as 9% at the open Wednesday as investors piled in after the company reported surprisingly strong fourth-quarter revenue. Intuitive Surgical said late Tuesday its fourth-quarter profit rose 16%, boosted by growing use of its da Vinci robotic surgical systems despite further declines in prostate procedures and a slumping economy in Europe. Revenue for the quarter rose 23% to $609 million, outpacing the $587 million analysts said they had expected. Shares were last up 9% at $565.13, extending the stock's gain over the past 12 months to 27% and landing it among the top percentage gainers Wednesday in the S&P 500.
10:02AM
Cree shares climb 19% following upbeat earnings ( CREE ) by Rex Crum
SAN FRANCISCO (MarketWatch) -- Cree Inc. (cree) shares on Wednesday rose more than 19%, to $39.84, a day after the LED lighting technology company gave a better-than-expected quarterly report and outlook. Late Tuesday, Cree said that for its fiscal second quarter, it earned $20.4 million, or 18 cents a share, on revenue or $346.3 million. Excluding one-time items, Cree would have earned 32 cents a share, which topped analysts' estimates for a profit of 30 cents a share on $331.2 million in sales. Cree also said it expects to report a third-quarter profit of 30 cents to 35 cents a share, and revenue between $325 million and $345 million, while analysts' earlier forecast earnings of 28 cents a share on $322.6 million in sales.
09:55AM
Coach results rattle accessory brands' stocks ( COH TIF RL KORS PETM FOSL ) by Andria Cheng
NEW YORK (MarketWatch) -- Coach Inc. (coh) tumbled 15% on Wednesday after the upscale handbag designer reported disappointing fiscal second-quarter profit and sales and its North American comparable sales declined. Its rival, Michael Kors Holdings (kors) , dipped 0.4%. Accessories maker Fossil Inc. (fosl) dropped 2.8%. Luxury jewelry retailer Tiffany & Co. (tif) shares fell 1.9%. Ralph Lauren Corp. declined 2%. PetSmart Inc. (petm) shares fell 1.3%. The company said its current President and Chief Operating Officer David Lenhardt is assuming the role of chief executive, effective June 14. Current Chairman and Chief Executive Bob Moran, will be appointed executive chairman.
09:45AM
AMD shares rise 7% in wake of quarterly results ( AMD ) by Rex Crum
SAN FRANCISCO (MarketWatch) -- Semiconductor company Advanced Micro Devices Inc. (amd) saw its shares rise more than 7%, to $2.62 in early trading Wednesday. AMD got a lift after the company reported late Tuesday a fourth-quarter loss of $473 million, or 63 cents a share, compared with a loss of $177 million, or 24 cents a share in the same period a year ago. Revenue declined by 32% to $1.16 billion from last year's fourth quarter. Excluding one-time items, AMD would have lost 14 cents a share, while analysts surveyed by FactSet had forecast the company to lose 21 cents a share on $1.15 billion in sales. |
