Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : STEAMROLLER'S DAYTRADES -- Ignore unavailable to you. Want to Upgrade?

To: STEAMROLLER who wrote (823)	9/10/1998 8:20:00 PM
From: STEAMROLLER	Respond to of 1561

U.S. OPTIONS/VIX soars, rumors lift 3Com, others Reuters Story - September 10, 1998 19:50 CHICAGO, Sept 10 (Reuters) - Implied volatility on stock index and most equity options surged on Thursday as the market suffered another big spill, but a handful of stock options saw their volatility levels sprint ahead amid takeover rumors, traders said. Among them were 3Com Corp. and Ascend Communications , which were rumored to be possible targets of Intel Corp. . Separately, Bergen Brunswig , Comsat Corp. and PSS World Medical Inc. were also at the center of takeover speculation. "Vols are up in all of those (stock options), but it's really tough to measure now because there's a lot of anxiety about the whole market," said Paul Foster, investment strategist and editor of 1010WallStreet.com. The Market Volatility Index , which measures implied volatility of several strikes on S&P 100 options and is a good gauge of fear in the market, spiked up 8.37 points to 47.36, just off the August 31 closing high at 48.33. The OEX stumbled 13.66 points to 478.82, erasing almost all of what it gained on Tuesday. Worries about President Bill Clinton's political fate, on top of turmoil in emerging markets and the impact of depressed world economies on U.S. corporate earnings, are likely to keep the market under pressure for the foreseeable future, traders said. Investors were looking to Friday when the House of Representatives was expected to release large parts of U.S. special prosecutor Kenneth Starr's report on the Internet. "This is terrifying," said Jay Shartsis, director of options trading at R.F. Lafferty & Co. "The rest of the world looks to the U.S. for stability and we're facing the possibility of an impeachment." He said heavy index put buying and the fact that the stock market comfortably held above the September 1 "panic lows" suggested that selling may have been exhausted for now.

To: STEAMROLLER who wrote (823)	9/10/1998 8:22:00 PM
From: STEAMROLLER	Read Replies (1) \| Respond to of 1561

The Motley Fool's Market Movers (Heroes) The Motley Fool - September 10, 1998 18:45 Jump to first matched term September 10, 1998/FOOLWIRE/ -- Networking products maker 3Com Corp. (Nasdaq: COMS) gained $1 15/16 to $27 5/16 as The Wall Street Journal reported that the company will spend $100 million over the next two years to form joint ventures in China, which 3Com expects will eventually be "very significant" to its revenues. However, the real factor moving the stock today was speculation that chip giant Intel (Nasdaq: INTC) will make a bid for all or part of 3Com's business. While some speculators live and die by the old "buy on the rumor, sell on the news" adage, there is little reliable proof that any deal is forthcoming from the companies. But for fun, a possible agreement could be in the works for 3Com's network interface card (NIC) unit, which has had its nose bloodied lately by Intel's aggressive pricing strategies. Unfortunately for Intel, a NIC link-up would almost surely raise the antitrust hounds' ears, as the combined operation would control an estimated 70% of the market for the devices. Biopharmaceutical company Biogen (Nasdaq: BGEN) took a ride $5 7/8 higher to $57 1/2 after CIBC Oppenheimer raised the firm's rating to "buy" from "hold" with a 12-month price target of $58 per share. The upgrade is the second this week for the Cambridge, Massachusetts-based company, which earlier got a lift when Goldman Sachs placed the stock on its "recommend list" alongside rival Amgen (Nasdaq: AMGN). While the circumstances are different, Biogen seems to be benefiting from the recent positive vibe from investors about Amgen and the biotech sector in general. The buzz overshadowed Immunex's (Nasdaq: IMNX) announcement today that Phase III trials of its Novantrone drug had a "statistically significant impact" on the relapse rate of patients with progressive multiple sclerosis. If approved by the FDA, Novatrone will compete head-to-head with Biogen's MS drug, Avonex. Immunex closed up $3 5/8 to $59 1/2. The American Petroleum Institute said in a report that U.S. oil inventories dropped by a larger-than-expected 6.7 million barrels last week, sending the price of oil up in trading today. The roughly 2% inventory drop was due to a hurricane in the Gulf of Mexico, which reduced imports into the U.S. and gave stateside oil folks a sliver of hope that the ongoing worldwide oil glut may actually end some day. Contract oil driller Rowan Companies (NYSE: RDC) gained $7/8 to $12 1/4, Cliffs Drilling (NYSE: CDG) rose $1 7/8 to $20 1/4, Noble Drilling (NYSE: NE) advanced $1 3/16 to $14 13/16, and Transocean Offshore (NYSE: RIG) climbed $1 1/4 to $28 3/4. On the oil services side, EVI Weatherford (NYSE: EVI) moved up $2 1/2 to $20 7/8, Cooper Cameron (NYSE: RON) gained $3 7/16 to $30, and Varco International (NYSE: VRC) rose $1 3/16 to $10 1/8.