FDIC keeps Insured level at $250K

Deposit insurance gets permanent increase – reconciliation conference members on Tues agreed to permanently increase deposit insurance for bank customers (from $100K to $250K); the move was unexpected. 

This move could hurt stocks....

PIMCO likes stocks...

PIMCO’s Gross says his firm is moving into equities - "We are making a move into equities...we are recognizing the global market place is not just bond related,"; Gross says equities look attractive - "Corporate equities, however, in terms of valuation are selling at very low (price-earnings) ratios.”

S&P Rebalancing this Friday...

S&P rebalance - The quarterly share rebalance for the S&P 500, S&P MidCap 400, S&P SmallCap 600 Indices will take place at the close of business Friday, June 18, 2010.

BP Update....

BP Plc. (BP). The oil major said on Monday the oil spill in the Gulf of Mexico had already cost it $1.6 billion and that it would begin operating an additional mechanism to capture more crude from the leaking well in the coming days.

Blockbuster moves closer to Bankruptcy...

Blockbuster (BBI). The movie rental chain is in talks with bondholders to get a $150 million debtor-in-possession loan, a sign it could be closer to seeking Chapter 11 protection, the WSJ reported on Friday.

Apple - HTC battle heats up....

Apple Inc. (AAPL). A U.S. trade panel will investigate allegations made by HTC Corp that the company infringes its technology, as HTC seeks to win a ban on the U.S. sale of iPhones, iPads and iPods.

Avandia exposes patients to greater health risks...

GlaxoSmithKline Plc. (GSK). The drugmaker’s Avandia diabetes drug exposed patients to greater health risks including heart attacks, and even death, the WSJ said on Friday, citing a U.S. Food and Drug Administration scientist's study.

They keep trying to knock Apple down...

Apple Inc. (AAPL). The Federal Bureau of Investigation has opened a probe into a security breach of Apple’s iPad that exposed personal information of AT&T Inc (T) customers, including those of several high-ranking government officials.

Thursday's Market Breadth....Decisively Positive..

10 am update

At 10:10 am:

Dow +19
Nas -7
S&P +1.66

This is a key day as we need to stop this recent slide.  We are way overdone, but as of yet, no investors are willing to step in and Buy.

Analyst Upgrades and Downgrades...

Altera Corp. (ALTR) price target cut to $26.60 from $31.70; rating outperform at Macquarie


• Amazon.com Inc. (AMZN) price target cut to $150 from $155 at BofA Merrill

• Baker Hughes Inc. (BHI) price target cut to $47 from $61; rating cut to market perform from outperform at FBR

• Diamond Offshore Drilling (DO) rating cut to sell from neutral at Goldman Sachs

• eBay Inc. (EBAY) price target cut to $27 from $28 at BofA Merrill

• Ensco Plc. (ESV) price target cut to $55 from $63 at FBR

• Expedia Inc. (EXPE) price target cut to $29 from $30 at BofA Merrill

• Google Inc. (GOOG) price target cut to $630 from $685 at BofA Merrill

• Halliburton Co. (HAL) price target to $38 from $44 at FBR

• Nabors Industries (NBR) rating raised to buy from neutral at Goldman Sachs

• Noble Corp. (NE) rating cut to neutral from buy at Goldman Sachs

• Rowan Companies Inc. (RDC) price target cut to $24 from $26 at FBR

• Schlumberger (SLB) price target cut to $85 from $96 at FBR

• Yahoo (YHOO) price target cut to $20 from $21 at BofA Merrill

NY & Co. trims forcasts...

New York & Co. Inc. (NWY). The women's apparel chain on Monday widened its second-quarter loss outlook and also said it now expects about flat same-store sales for the second-quarter, compared with a rise in comparable-store sales it forecast last month.

First Solar responds to high demand in Europe...

First Solar Inc. (FSLR). The world's lowest-cost photovoltaic solar manufacturer on Tuesday said it plans to double production capacity at its German plant in Frankfurt an der Oder, to cater to strong European demand. The company said it is in advanced talks with German authorities to obtain the regulatory permits and financial framework for the expansion.

Earnings Expected Today....

• Bob Evans Farms Inc. (BOBE). Expected to report Q4 earnings of 63 cents a share, according to Thomson Reuters I/B/E/S

• Pall Corp. (PLL). Expected to report Q3 earnings of 50 cents a share

• Take Two Interactive Software Inc. (TTWO). Expected to report Q2 earnings of 27cents a share

• Talbots Inc. (TLB). Expected to report Q1 earnings of 16 cents a share

• Texas Instruments Inc. (TXN). Expected to report Q2 earnings of 61 cents a share

US Dollar ETF....

The other place to hide...

Here's a nice chart....Natural Gas...

This makes alot of sense as there will undoubtedly be a push toward "cleaner" fuels after the Gulf dissaster. 

You know it's a bad market when....

No real surprises, as Apple's (AAPL -0.9%) new iPhone 4, introduced today, boasts a thinner design with 100 new features, including video chat, a front-facing camera and better battery life. Steve Jobs: "Beyond a doubt, the most precise thing and one of the most beautiful things we’ve ever made."

Market Breadth is getting ugly, however Volume has been low compared to recent past.  This means there are clearly no buyers around.

I don't like Mondays....

Market recap: Stock losses accelerated after a new report showed continued weakness in borrowing among U.S. consumers. It was all the excuse needed in this shaky market to send shares reeling to session lows. Decliners routed advancers on the NYSE by about four to one.

At the close:

Dow -1.16% to 9816.
S&P -1.35% to 1050.
Nasdaq -2.04% to 2174.

Wellpoint has been rising on takeover speculation.  It may be tough for it to move much as it has alot of overhead reisitance to break thru.

We were stopped out of Encore Capital at $19.30 on Friday. 

Same story with VMware.

Akamai continues to move higher in a poor market.  Once again the stock was higher early on Friday then succombed to the pressure late.  Good looking stock.

Stocks on sale....

Salesforce.com made a new high intraday, but sold off late to close right at its previous breakout level below $90.

Selling Overblown....

After a somewhat weaker jobs report, traders sent the market much lower today.  To me the selling was not justified, it seemed more like a panic selloff.  We are now back at the level we saw in the "flash crash" last month.
The selloff gives some discount prices to enter some leading stocks in here. Over the weekend, I'll give you some stocks to look at.  Have a nice weekend.

How bad is this Oil Spill...

The general consensus that the BP (BP) oil spill is the worst-ever environmental disaster is "wildly overblown," a University of Alabama professor says. The amount spilled is tiny in comparison to the amount spilled by rigs and tankers around the world every year, he says, and it's not even the worst spill ever in the Gulf of Mexico.

Noon Update....

Stocks lower following disappointing jobs report.  Traders clearly wanted to take the market lower and sure enough...

Dow -212
Nas -41
S&P -22

Dell may go private....

DELL – Michael Dell remarked late in trading on Thurs at the Bernstein Conf that he has considered taking the company private; Dell says "not necessarily" a high probability that company would do a big acquisition.

Start Buying Natural Gas stocks....

Clean Energy – Majority Leader Reid says the Senate will start debating a comprehensive clean energy bill next month.

Earnings due next week...

Mon June 7: earnings after the close (FCEL, CWST)

Tues June 8: earnings before the open (DG, TLB); earnings after the close (TTWO, PLL),

Wed June 9: earnings before the open (RGEN, MTN, CIEN, BFB).
Earnings after the close (SHFL, MW).

Thurs June 10: earnings before the open (LULU, DLM);
earnings after the close (NSM, FNSR, ARST)

The latest on BP's efforts...

BP – the co said it has successfully placed a containment cap on the oil well; the coast guard said "It will be some time before we can confirm that this method will work and to what extent it will mitigate the release of oil into the environment,"; once the cap is fully in place, the plan is to start funneling some of the crude to a ship on the surface.

Analyst Downgrades...

• Abercrombie & Fitch Co. (ANF) price target cut to $41 from $44; rating neutral at UBS

• Aflac Inc. (AFL) price target cut to $48 from $58; ratng neutral at UBS

• Suntech Power (STP) price target cut to $9 from $16; rating market weight at Thomas Weisel

• Walgreen Co. (WAG) price target cut to $36 from $40; rating hold at Jefferies

ULTA on a roll....

Ulta Salon, Cosmetics & Fragrance Inc. (ULTA). The company on Thursday posted a higher-than-expected first-quarter profit, helped by improved merchandise margins, and the company forecast strong second-quarter results. The company posted first-quarter net income of 23 cents a share, compared with 8 cents a share, a year ago.

Ulta Salon sees second-quarter adjusted profit between 19 cents and 21 cents a share, on net sales of $311 million to $317 million.  Analysts were expecting earnings of 15 cents a share on revenue of $308.1 million.

It's national donut day!!!

Krispy Kreme giving away one free donut of your choice...

McDonald's recalls glasses....

McDonald's (MCD) recalls 12M "Shrek"-themed drinking glasses after discovering the cups contain the toxic metal cadmium. Cadmium is a known carcinogen that can cause bone softening and severe kidney problems.

Steel stocks hard to figure....

Goldman drops U.S. Steel (X) from its Conviction Buy list, citing a trio of negatives: weak European credit markets; a Chinese tightening; and now the Gulf oil crisis. The downgrade is Goldman's fifth switch on X during 2010 - as good a read as any on this year's economic uncertainty.

Jobs report disappointing...

Stock futures dive following strong but disappointing jump in payrolls. The key disappointment was in private payrolls, strategist T.J. Marta says. "While we did get the census hiring, the private economy is not hiring the way we would have liked." Census hirings accounted for 411K of the 431K new jobs reported.

This could hurt blackberry and Iphone subscribers...

AT&T shifts away from unlimited data plans. AT&T (T) announced yesterday that it will no longer sell unlimited internet data plans to new customers with smartphones and iPads (AAPL), opting instead for usage-based pricing that charges heavy bandwidth users more. Analysts said the move will bring some much-needed common sense to the wireless industry, and likely marks the beginning of the end for unlimited data plans.

VMware (VMW)...

Looks like a twin of CRM...

Salesforce.com (CRM)...

Pretty nice looking chart here.....

Market closes slightly higher...

Market recap: Stocks bounced around and finally ended in marginally positive territory in cautious trading ahead of tomorrow's jobs report. The major averages were boosted by a continued rebound in the tech and energy sectors, and NYSE advancers outnumbered decliners by about three to two.

At the close:

Dow +5.74
Nas +21.96
S&P +4.45

BP making progress....

BP (BP) says it achieves an "important milestone" on shearing a pipe from the blown-out Gulf well and that it could take 12-24 hours to determine success in capping the wellhead.

Bad news for drillers...

MMS stops issuing permits for new oil and gas drilling in the Gulf of Mexico regardless of water depth, effectively extending the earlier suspension of permits for deepwater drilling into shallow waters.

I need to get in the Govt. Contacting business...

Apart from Boeing's (BA) $1.7B contract to work on the FAA's GPS-based "NextGen" air traffic control system, another $2.5B is yet to be awarded on two more contracts. The program has a $7B ceiling - largest ever for the FAA - and General Dynamics (GD) and ITT (ITT) won contracts last week as well.

Mortgage Rates still low....

Mortgage rates were little changed from last week, Freddie Mac reports, with 30-year fixed-rate loans sitting at 4.79% with 0.8 points, vs. a year-ago 5.29%.

Bad news for commodities...

CEOs of Freeport-McMoran (FCX -2.4%) and Codelco say China’s plans to curb its economy threaten to reduce copper demand, further lowering commodities prices that have already slumped on Europe's economic concerns. China is a "risk to the world’s marketplace in the near term," FCX's Adkerson says, but its inflation fight "will likely lead to a more sustainable situation going forward."

Fed almost ready to start raising rates...

The U.S. economy is almost strong enough to allow the Fed to begin raising interest rates, but we're not quite there yet, Atlanta Fed President Dennis Lockhart says. "As the economy continues to improve and financial markets find firmer ground, extraordinarily low policy rates will not be needed to promote recovery and will become inconsistent with maintaining price stability."

Might be a good time to lock in a mortgage or car loan.

Kindle to go on sale at Target this Sunday...

Starting Sunday, feel free to pick up a Kindle (AMZN) at your local Target (TGT). Until now, the e-reader was only available through Amazon's website but the company is looking to get an edge on competition from the iPad (AAPL), Nook (BKS), Sony Reader (SNE),

Market rallies to close higher...

The stock market rebounded today after a jump in pending home sales raised optimism about the economy.

The gains Wednesday allowed stocks to recover the losses from the day before, when the government announced investigations into the Gulf oil spill. A rebound in energy stocks led the way.

The National Association of Realtors' index of contracts for home purchases rose 6 percent in April as buyers raced to secure a tax credit.

The Dow Jones industrials rose 226 points to 10,250, the third biggest gain of 2010. The Standard & Poor's 500 index is up 28 at 1,098. The Nasdaq composite index is up 59 at 2,281.

Five stocks rose for every one that fell on New York Stock Exchange. Volume totaled 1.4 billion shares, in line with Tuesday.

Noon Update....

Nice rally so far this mornin, however, we re just making back what was taken away in the last 30 minutes on Tuesday....Commodities and Tech leads the way.

Dow +99.69
Nas +30.03
S&P +13.42

Goldman thinks Monsanto is washed out...

Goldman Sachs upgrades Monsanto (MON) to Conviction Buy from Neutral. Monsanto has been the second-worst performing stock in the S&P 500 this year, but "bad news is exhausted" and investor sentiment is bottoming.

Wednesday's Economic Calendar...

May Auto sales
7:00 MBA Mortgage Applications
7:30 Challenger Job-Cut Report
7:45 ICSC Retail Store Sales
8:30 Hearing: Credit Ratings Credibility
8:55 Redbook Chain Store Sales
10:00 Pending Home Sales

Obama targets RIG...

Transocean Ltd. (RIG). Obama administration on Tuesday sought to challenge the company’s bid to limit its liability for its role in the gushing oil well it drilled in the Gulf of Mexico for BP Plc (BP).

Monsanto and Dow reach license agreement...

Monsanto Co. (MON). The company and Dow Chemicals’ (DOW) Dow agrosciences on Wednesday reached a new licensing agreement on Roundup ready 2 Yield soybean technology. Under the agreement Monsanto grants Dow AgroSciences a non-exclusive, royalty-bearing license in U.S. to develop, produce, sell and sublicense seed and germplasm with Roundup Ready 2 Yield technology.

Jos.A Bank reports impressive earnings...

JoS A Bank Clothiers Inc. (JOSB). The men's apparel and accessories retailer on Wednesday reported an increase in its first-quarter earnings and sales. The company reported earnings of 85 cents a share, an increase of 37 percent from 62 cents a share, from a year ago period. The company’s total sales for the quarter increased 10 percent to $178.1 million.

Google sets sights on Microsoft Windows..

Google Inc. (GOOG). The web search group expects to release its Chrome computer operating system in the "late fall", a top executive said on Wednesday, as it aims a competitive strike at rival Microsoft's (MSFT) Windows. The Chrome system will designed initially to work on laptop PCs.

BP tries to reassure investors...

BP Plc (BP). The oil major forged ahead with its latest effort to curb the flow of oil spewing into the Gulf of Mexico on Wednesday. And also the company will seek to patch up its battered share price by reassuring investors the cost of cleaning up the oil spill in the Gulf of Mexico is manageable and will not affect dividends.

Steve Jobs comments on Foxconn deaths...

Apple Inc. (AAPL). The company’s CEO Steve Jobs finds "troubling" a string of worker deaths at Foxconn, the contract manufacturer that assembles the company's iPhones and iPads, but said its factory in China "is not a sweatshop."

Amgen gets approval for osteoporosis drug...

Amgen Inc. (AMGN). U.S. FDA approved on Tuesday the sale of the company’s osteoporosis drug Prolia to help prevent fractures in post-menopausal women just days after the medicine received European approval. Amgen said the drug will be available within the next two weeks and cost $825 per 60 milligram injection based on wholesale acquisition cost.

Market Breadth Numbers...

Market Recap...

Market recap: Stocks moved sharply lower in the final hour of trading after staying in positive territory for most of the session, as BP's (BP -15%) woes dragged down the energy sector and new Middle East tensions added to the late selloff. Decliners led advancers on the NYSE by nearly five to one.

Tenet Healthcare looking at Healthscope...

Tenet Healthcare (THC) confirms it is discussing a potential acquisition of Healthscope, Australia's second-largest private hospital company.

BP still trying...

BP (BP) is in the middle of a major pipe cut to attempt to contain the Gulf oil spill, the Coast Guard says, contradicting reports that the company had curtailed efforts to end flow from the well. BP says its "top kill" attempt to seal the well may have failed due to a ruptured disk inside the well.

Lunchtime Update....

Lunchtime Update:

Dow +40.73
Nas +1.50
S&P -1.20

Winners:

AAPL +7.40
GOOG +3.50

Losers:

RIG -4.40
BP -5.11
APC -7.55

Keep an eye on Synaptics...

SYNA - Synaptics is demonstrating its newest touch technology branded as TouchPad-IS at COMPUTEX 2010. The company claims is the first "fully capable, multi-finger PC touchpad. The new touchpad can accurately recognize four-finger gestures and demonstrate demonstrate Synaptics SmartSense technology, which prevents activation of the cursor when you accidentally touch it.

Nvidia favors Google's Android OS....

In Computer World magazine, NVDA says Google’s Android will become the OS of choice for tablets; Windows is too large and feature-rich for smartphones according to NVDA.

Amazon working on new version of Kindle....

AMZN - Amazon.com in August will unveil a thinner version of its Kindle electronic-book reader, with a screen that turns pages faster and has a sharper display; the co is also hard at work on a color-screen version and one w/touch responses.

This weekend's IBD additions and deletions....

IBD 100 List:

Additions - TPX, TSCO, PVH, JOSB, JCG, WHR, PNRA.

Deletions - ULTA, FDO, ANN, ROST, IMAX, CAKE, BBBY.

Earnings this week....

Tues June 1:
After the close (LGF, PSS, SNDA).

Wed June 2:
Before open (DAKT, SCVL, CSIQ); After the close (HOV)

Thurs June 3:
Before the open (STP, CHRS, AGYS, JOYG, UTIW, JOSB, AHO)
After the close (SNIC, CMTL, ZQK, SAI, KKD, COO)

Fri June 4:
Before the open (CMED)

Boeing wins Russian order....

Boeing (BA). The aircraft maker has won an order from a Russian state company for up to 65 planes, nearly half its net order level for 2009, beating European rival Airbus and a Russian manufacturer.

Blackstone set to buy out the Shack...

Blackstone Group LP (BX). The private equity firm has emerged as a leading participant to buy electronics retailer RadioShack Corp (RSH) after an initial round of bids were completed last week, the New York Post said, citing sources familiar with the matter.

RadioShack is up over $1 premarket to $21.50

Astra Zeneca suffers slight setback...

AstraZeneca (AZN). The Anglo-Swedish drugmaker’s drive to extend the life of its blockbuster acid reflux drug Nexium through new uses was set back on Tuesday after U.S. regulators delayed approval of a drug combining it with aspirin. Nexium faces the loss of patent protection in key markets and the company is developing novel formulations to extend its franchise.

Top Kill efforts fail....

BP (BP) is sliding over 10% premarket after its weekend announcement that 'top kill' efforts had failed. Its next attempt to stem the Gulf of Mexico leak, using robots, could end up making the leak worse and a permanent fix is still months away.

HP to cut 3,000 jobs...

According to their 8-K filing, Hewlett-Packard (HPQ) is cutting a net of 3,000 jobs and taking a $1B charge.

IPad sales reach 2 Million....

Sales of Apple's (AAPL) iPad have topped two million in less than sixty days, exceeding the sales rate for the company's Mac laptops and desktops and for the original iPhone, though falling short of the sales rate for the iPhone 3G. The news could prompt analysts to upwardly revise their sales projections, giving an already buoyant stock a further lift.