Amazon looking to compete with Netflix...

Amazon.com Inc. (AMZN). The company is in talks with book publishers about launching a media library service similar to Netflix Inc (NFLX) for tablets and other digital books, the WSJ reported on Sunday. Amazon is also expected to release a tablet to rival Apple Inc's (AAPL) iPad in coming weeks, the Journal reported.

Futures lower...

The weekend was apparently not the pause that refreshes for Wall Street: U.S. stock index futures are pointing to a sharply lower open, following Friday's more than 300 point loss for the Dow.


Stocks have fallen in five of the past six sessions, and fresh worries about a Greek debt default are weighing heavily on global investors sentiment this morning.

Markets close lower...

Here are the final numbers:

Dow -303 to 10992
Nas -61 to 2467
S&P -31 to 1154

Only three stocks up worth noting:

Ulta Salon & Cosmetics (ULTA) closed up 8.69 to 68.45 on better than expected earnings.
Terra Nitrogen LP (TNH) closed up 3.68 to 187.08 - no news but the stock pays an 8% dividend
Tractor Supply Co. (TSCO) up 1.21 to 64.71 - no news but strong all day

Hold your breath on Sunday evening, hopefully Greece can solve its problems...we'll see.

Have a great weekend!!!  Enjoy the first full weekend of football!!!

Greek one year note paying 98%...

That's right, 98%.

Basically this is telling you that they are going to default.

So the question is, "Do you feel lucky???  Punk???"

Talk about bad timing...

Pandora (P) the online radio player, came out with their IPO on June 15 at $20 a share.

The stock now trades at 10.50.  Ouch!!!

At 3:00 pm....

Stocks are near the lows of the day. 

Dow -338
Nas -71
S&P -35 to 1150

Gold still lower, there are no stocks higher in the Dow.

Gold starting to dislocate from market....

The Gold ETF (GLD) is selling off this afternoon even thohg stocks are still close to their intraday lows.

GLD is down 2.28 to 179.50

Typically Gold has been the place where money has been moving as it exits stocks.  Looks like some huge holder of the GLD is dumping.

Sprint might be worth a look...

Sources indicate Sprint (S) plans to offer the iPhone 5 with unlimited data - a real draw to users looking to stream music, TV and movies. The move could be a difference-maker, says an analyst at Bank of Montreal. "Consumers will pay a premium for unlimited."

Sprint currently trades at 3.46

Treasury yields hit new low....

Earlier today, the 10 year U.S. Treasury yield dipped to 1.896%, the lowest rate in at least 60 years.


Right now the yield is at 1.93%.

Greece releases statement...

Greek Minister of Finance just released a statement saying that Greece WILL NOT default on its debt and is critical that there is some sort of coordinated effort to try to knock the country down. 

Doesn't surprise me.  Traders are spreading all kinds of rumors out there to create fear so they can short.  Until now shorting has been easy money...almost too easy.  At some point very soon, I sense we are going to get a serious snap back in the markets that will burn these shorts badly.

Odd thing right now, Gold is selling off.

At 1:00 pm...

We are still down considerably as traders are reluctant to buy ahead of this weekend with the Greek story looming.  

Dow -303
Nas -55
S&P -30 to 1155

Stocks that are bucking the trend:

ULTA up 7.50 to 67.30
Terra Nitrogen +2.41 to 185.81
Tractor Supply +1.14 to 64.64
Walter Energy +1.25 to 89.05

Market hits another air pocket....

At 11:45 am the market is at day lows.  Now rumors are out there that we could see a default in Greek debt as soon as this weekend.  As a result, bids for stocks have clearly been pulled.

Dow -297
Nas -52
S&P - 28 to 1157

I'm getting a little tired of this European situation.  I'm not sure what, if any, effect the Greeks defaulting has on our economy.  Maybe we just need something significant to happen there and get this out of the way.

Las Vegas Sands gets an upgrade...

Shares of Las Vegas Sands (LVS +0.7%) post a small gain after Stifel Nicolaus ups its PT on shares to $60 from $58. Analyst Steve Wieczynski says the casino operator is well-positioned to introduce new supply into the Macau market, helping it "disproportionately grow its market share ahead of its local competitors."

LVS is up 0.23 to 47.38

I hate to get political...

but politicians need to start doing something productive.  I see absolutlely nothing coming out of Washington that is actually geared toward bringing the US back to prominence.  All I see is a bunch of guys trying to make sure the other side doesn't get re-elected. 

Want a reason why your investments are going nowhere???  This is it.  I say fire them all, unless they start to work together....like soon!!!  If the Republicans don't like Obama's jobs plan, then lets get in a room and figure out the best plan for our country that both sides will agree with.

Apple iPhone sales strong...

Good news and bad news at Apple (AAPL), according to Jefferies' Peter Misek: Back-to-school Mac sales are weaker than expected, reducing his current quarter Mac shipment forecast to 4.4M, but iPhone sales are “surprisingly strong” and raising his forecast to 18.9M. Misek sees a strong December quarter and FY12, maintaining his Buy rating at $500 target.

Not surprising, just look around you.  People are using their iPhones as their tool to access the internet.  PC's and laptops are almost becoming obsolete...especially with the younger generation. My 17 year old son uses his Ipod touch and my 16 year old daughter uses an iPad.

Texas Instruments trims earnings forecast....

Texas Instruments Inc. (TXN). The chipmaker said its third-quarter earnings and revenue would be worse than already low expectations as concern about an economic slowdown is stifling demand for products that use its chips. It forecast third-quarter earnings of 56 cents to 60 cents per share compared with its previous expectation for 55 cents to 65 cents.

Texas Instruments stock is holding up well, up 0.52 to 26.30

Ulta Salon rosy about the future...

Ulta Salon, Cosmetics & Fragrance Inc. (ULTA). The beauty retailer became the latest company in the U.S. beauty industry to post strong results and give a rosy outlook for the current quarter, as new products and promotions help drive growth. Second-quarter net income jumped 82 percent to $23.9 million, or 38 cents a share, topping market expectations of 32 cents a share. For the third quarter, the company expects to earn 36-38 cents a share on revenue of $400-$407 million.

Ulta stock is currently up 5.87 to 65.63

Stocks open lower...

15 minutes into the day, stocks are selling off in sympathy with Europe. 

Dow -184
Nas -31
S&P -16

This open seems to me to be a bit disconnected from what is going on over here.  It looks to me like the kind of open that can reverse itself...let's see what happens in the next few hours.

The Great Flood...

This is ridiculous!!!  An earthquake, a hurricane and now the most rain I've ever seen in three days.  The NE is really getting "the business" from Mother Nature.

Packers defeat Saints 42-34...

Well, the Saints tried, but the Pack was too good offensively.  A pretty good game to start the season. 

Exchanges take a moment of silence...

Before the bell, the exchanges are observing a moment of silence commemorating the 10 year anniversity of the 9/11 attacks.  The anniversary is Sunday.

Transports view of the economy...

Warren Buffett considers rail traffic a good barometer for gauging economic health, and as the operator of the largest U.S. railroad by sales, Union Pacific (UNP) has as good a view of this metric as any.

Their take? Shipments of commodities such as farm products and coal remain strong, but those of consumer goods are slackening a bit.

Futures points to slightly lower open...

S&P futures are down slighlty this morning as weakness in overseas markets, a report of potentially large job cuts at BofA, and a profit warning from Texas Instruments overshadow Pres. Obama's $447B jobs package. News of a specific and "credible" terror threat for the 9/11 anniversary also may have unnerved some investors.

Yet another volatile session....

As expected, we saw another volatile session today.  Closing numbers were:

Dow -119 to 11295
Nas -19 to 2529
S&P -12 to 1185

Bernanke did little to help, in fact his comments were taken as a reason to sell.  Tonight, President Obama speaks to congress at 7 pm, then starting at 8:30 pm the Saints will destroy the Packers. J

Hopefully Obama says something...anything...that the market will like.

Looks like solar stocks may be dead...

Take a look at the solar stock charts.  Looks like the market is showing that the public is once again rejecting solar as an alternative energy.

Sun Power

Jinko Solar

JA Solar

Evergreen Solar

Valero upgraded by Oppenheimer...

Valero Energy (VLO) sits atop the S&P leader board, with Oppenheimer seeing a potential 60% upside in the stock as the company integrates new refineries it recently acquired. Earlier, VLO said it plans to boost Eagle Ford crude delivered to its refineries by 30%, and it doesn't rule out buying Sunoco's (SUN) Pennsylvania refineries.

VLO is up 0.89 to 23.19

At 2:15 pm....

The market is mixed as Bernanke concludes his speech.  In the speech he hints that the Fed stands ready to act if needed.  As he was speaking the Dow sold off 96 + Points.  Right now we have:

Dow -61
Nas -8
S&P -7 to 1191

Consumer stocks are higher, Oil mixed, Banks lower, and gold is higher.

Bernanke's comments send market lower...

from Bernanke's Minnesota speech: "Unusual weakness" in household spending is countered a bit by business. Price pressures before came from "transitory influences" and inflation is expected to moderate in coming quarters to at or below 2%. Fed has a range of tools and it "will continue to consider those... at our meeting in September."

The market is selling off as these comments are released.  Dow is now down 93 points.  Obviously the market does not want QE3 or anything like it. 

Speaking of the NFL....

The NFL season kicks off tonight with a game between the last two Super Bowl Champions. 

New Orleans Saints at Green Bay Packers
8:30 pm start

Should be a great game.  Pregame entertainment is Lady Antebellum, Kid Rock and Maroon 5.

ESPN extends deal with NFL...

Disney's (DIS) ESPN extends a deal with the NFL through 2021 for $15.2B. The deal lets the network extend coverage - possibly into playoffs - and allows it to stream programming to Verizon (VZ) cellphones.

More on tonight's speech...

The President will tonight unveil the "American Jobs Act," a program that includes an extension of payroll tax breaks, funds for infrastructure spending, and aid for long-term unemployed, according to leaked documents. The plan will be paid for by closing of corporate loopholes and higher taxes on the wealthy.

Sounds like more of the same.  As soon as this info was leaked, the market sold off....

Samsung to unveil new tablet...

A report originating from Korea says Samsung (SSNLF.PK) will unveil its new Microsoft (MSFT) Windows 8-powered tablet computer at a developer's conference next week.

Today's Upgrades and Downgrades...

These are some of this Thursday’s top analyst upgrades, downgrades, and initiations seen having an impact from Wall Street research calls.


Amgen Inc. (AMGN) Started as Outperform at BMO.
Ariad Pharmaceuticals Inc. (ARIA) Started as Outperform at BMO.
Biogen Idec Inc. (BIIB) Started as Underperform at BMO.
Celgene Corporation (CELG) Started as Outperform at BMO.
China Life Insurance (LFC) Started as Underperform as Bear of the Day at Zacks.
Cisco Systems, Inc. (CSCO) Raised to Buy at Auriga.
Darden Restaurants, Inc. (DRI) Raised to Outperform at Wells Fargo.
Fusion-io Inc. (FIO) Started as Sell at Merriman.
Global Payments Inc. (GPN) Started as Buy at Citigroup.
Humana Inc. (HUM) named value stock of the day at Zacks.
Lennar Corporation (LEN) Started as Outperform at FBR.
Motorola Solutions, Inc. (MSI) Raised to Outperform as Bull of the Day at Zacks.
Talbots Inc. (TLB) Raised to Neutral at Piper Jaffray.
Travelzoo Inc. (TZOO) Cut to Market Perform at Morgan Keegan.

Municipal Bonds reaching new highs....

After the Meredith Whitney Muni Bond scare almost a year ago, Municipal Bond prices have come storming back.  Just about every Muni Bond on our clients books are now trading at a premium to par. 

Here is a weekly chart of the Van Kampen Investment Grade Municipal Trust (VGM) - which btw has a tax free yield of 7.44%

Mastercard flying to new highs....

Mastercard (MA) is following thru to the upside this morning. 

The stock is up 5.62 to a new all-time high of 344.60

Here is the weekly chart:

After 40 minutes....

The market looks OK as many stock leaders are higher again after a lower opening.

Dow -26
Nas -4
S&P -5 to 1193

I'm keeping an eye on the fear trade of Gold.

GLD (Gold ETF) is currently up 3.26 to 180.33, let's see what happens to this as the day wears on.

Expect a very volatile session today...

as if this is anything new...

After a 275 point gain in the Dow yesterday, Bernanke speaking at 1:30 pm and positioning ahead of the Obama speach at 7 pm tonight, this should be a wild one...that could go either way.  Still watching the 1200 level on the S&P as the key level to break thru.

Bernanke speaking as well...

Fed chairman Ben Bernanke will be in the spotlight during the trading day, as he speaks before the U.S. Economic Club of Minnesota at 1:30pm ET. 

Obama to call for urgent steps on U.S. economy...

Tonight, President Barack Obama will lay out a jobs package worth more than $300 bill, staking his re-election hopes on a call for urgent bipartisan action to revive the faltering U.S. economy.

Lately, the market doesn't like anything Obama says...

iPhone 5 Production Ramping up...

Production of Apple's (AAPL) iPhone 5 is ramping, according to DigiTimes. Sources claim contract manufacturer Foxconn us producing 150K units/day, and that industry shipments will hit 22M in Q4. Investors are hoping a rumored larger display and distribution deal with Sprint (S) will fuel another massive upgrade cycle this holiday season.

This would be a huge deal for the struggling Sprint.

Amazon trying to lock in a deal with California...

Amazon (AMZN) reaches a tentative deal with Californian legislators that would enable it to postpone collecting sales taxes for another year. In exchange, the firm would stop attempting to overturn the new state law that covers the issue. However, Governor Jerry Brown's stance is unclear.

This whole story is getting entertaining.  Obviously, Amazon knows their retail days are numbered if sales taxes are instituted on online sales.

Futures point to lower open...

S&P Futures down 0.8%, Gold spiking higher.

Markets close at highs...

Dow +275 to 11414
Nas +75 to 2548
S&P +33 to 1198

Not a bad day.  It would be nice to see a follow thru tomorrow.

Update on Amazon's new website...

Amazon's (AMZN) new website design "screams tablet," says PCWorld's Brennon Slattery. A sneak peek of the site shows a search bar tailored for a touchscreen, clickable icons, cleaner white borders and a paradigm shift towards services - instead of products. He writes that Amazon is set to provide an "eco-system" similar to Apple's (AAPL) lifestyle suite of products.

With 20 minutes left in the day...

Dow + 246
Nas +69
S&P +29


Yesterday we saw plenty of action in the last 20 minutes of trading...let's see if we get the same today.

Mastercard and Visa shoot back toward previous highs...

Mastercard (MA) is up 13.82 to 336.82

Visa (V) is up 2.16 to 88.02

Fifth Third lauches campus/debit card...

Fifth Third Bank has launched its first campus card program, which debuts at Cedarville University.

The "cedarville1card" — a combined campus identification and debit card for students, faculty and staff — allows cardholders to use their campus ID for ATM and pin-based debit card transactions on and off campus. The program is the university’s first campus card program.

Not sure what benefit this is, but I like the name of the card!!!

Looking for a bargain stock...

Acme Packet (APKT) stock is currently trading around $50 a share.  On July 21, the company released its latest earnings and at the time raised its revenue outlook for 2011 for the second time this year. After forecasting $300 million in February, the company increased the outlook to a range of $310 million and $315 million in April; on July 21 the company raised the forecast to between $315 million and $320 million.

The company also increased its earnings-per-share outlook for 2011 to a range of $1.14 to $1.18, up from a range of $1.10 to $1.15.

The stock was near $65 when that earnings report was released.  Today the stock is climbing, up 4.69 to 50.49.  The chart below shows alot more room to move on the upside:

At 3:00 pm....

Stocks are broadly higher.  Gold is lower.

Dow +259
Nas +72
S&P +32 to 1197

S&P sits just below key resistance level at 1200.

Is it Gadhafi or Kadaffi??? Where is this guy???

Tripoli's military commander said Wednesday that Moammar Gadhafi is cornered and the days before he is captured or killed are numbered, but another senior defense official contended that Libya's new rulers have no idea where the fugitive former leader is.

The comments are the latest in a series of conflicting statements on the most pressing question still haunting the North African nation — where is Gadhafi?

The ousted leader, who ruled Libya for nearly 42 years, hasn't been seen in public for months, and has released only audio messages trying to rally his supporters and lash out at his opponents. He went to ground after opposition fighters swept into Tripoli on Aug. 21.

Universal Display on the move again...

Universal Display (PANL) looks like it wants to make another move higher.  It is currently up 2.35 to 53.06 today.

This is the company that signed a deal with Samsung to provide flat panel displays for their products for the next 3 years.

Of course...this happened in New Orleans...

A 14-year-old girl is wanted by New Orleans police for allegedly using an electroshock weapon to rob a high-school student. Lenika Vanburen threatened the student by turning a stun gun on and off, police said. Vanburen then took the student's smartphone.

Not a smart move...

GM gets two upgrades...

Two analyst approvals for General Motors (GM): Citigroup adds the stock to the firm's "Top Picks Live" list, and Morgan Stanley deems it "most likely to succeed" in another recession, thanks to its "fortress balance sheet" philosophy. Citi cites its vehicle density survey which suggests auto buyers may be showing a "surprising" level of resiliency in the weakening economy.

Let me guess:  These two firms were involved in the "new" IPO for GM last November.  Btw...that IPO was at $34.  The stock currently trades at 22.06

One more....Jazz Pharmaceutical

Here are a few stocks hitting New Highs....

Autozone



O'Reilly Automotive

Dollar General

Mako Surgical

Best Buy focuses on online sales...

Best Buy (BBY) plans to launch an online marketplace before the holiday shopping season to recapture sales the firm loses to online rivals eBay (EBAY) and Amazon (AMZN). The new platform is expected to allow third-party sellers like Buy.com to sell items in addition to the retailer's own merchandise.

At 1:15 pm....

Stocks moving higher as the day wears on.  Banks, Oil, Agriculture and Technology leading the way.

Dow +220
Nas +61
S&P +27 to 1192

Walter Energy takeout rumors...

Shares of Walter Energy (WLT) are soaring more than 20% this morning, fueled by a report that British miner Anglo American is weighing a takeover offer for the coal maker that would carry a hefty premium of at least 60%.

According to the London Times, Anglo American, which is headquartered in London and mines coal in Australia, South Africa and Colombia, already has financing lined up for the bid.

Anglo American is considering pulling the trigger on a $120-a-share for Birmingham, Ala.-based Walter Energy, which is a producer and exporter of metallurgical coal and other products, the paper reported. At $120, the bid would translate to a 60% premium on Walter Energy’s Tuesday closing price of $74.99.

WLT is currently up 21 to 96.01...if this story is true, we are looking at another 24 points from here...

Free Breakfast at Chick-fil-A......

The restaurant chain is offering menu items such as the Chicken Biscuit, the Spicy Chicken Biscuit, the Chicken Breakfast Burrito, and the Multigrain Oatmeal, among five other breakfast items in the promotion.

Customers must visit Chick-fil-aForBreakfast.com to sign up for a pick-up time slot between 6:30 a.m. and 10:30 a.m., as well as select a location and which breakfast menu item they want.

Have fun waiting in those lines...

At 10:00 am...

Dow +165 to 11303
Nas +43 to 2517
S&P +20 to 1185

Key level to watch on the S&P is 1200.

Gold Gaps Lower....

Looking at the GLD (Gold ETF), it tried to make new highs yesterday, but closed below the previous high made on August 22.  We need to keep an eye on this one, as Gold has represented the fearful flight to safety trade.  Note the gap lower on the far right.  Here is the chart:

Today's Upgrades and Downgrades...

These are some of this Wednesday’s top analyst upgrades, downgrades, and initiations seen having an impact from Wall Street research calls.


Abaxis, Inc. (ABAX) maintained Underperform as Bear of the Day at Zacks.

Anheuser-Busch InBev (BUD) Cut to Neutral at Goldman Sachs.

Applied Materials Inc. (AMAT) Reiterated Buy with $19 target at Argus.

The Blackstone Group (BX) Cut to Perform at Oppenheimer.

Capital One Financial Corporation (COF) Raised to Outperform at Oppenheimer.

Career Education Corp. (CECO) maintained Buy but cut target to $21 from $28 at Argus.

Dover Corporation (DOV) Cut to Underweight at JPMorgan.

Goldman Sachs Group Inc. (GS) Cut to Perform at Oppenheimer.

Humana, Inc. (HUM) Reiterated Outperform as Bull of the Day at Zacks.

JDS Uniphase Corporation (JDSU) Started as Hold at Kaufman Bros.

Las Vegas Sands Corp. (LVS) Raised to Buy at Goldman Sachs.

NASDAQ OMX Group (NDAQ) Raised to Buy at Deutsche Bank.

RF Micro Devices Inc. (RFMD) Started as Underperform with $5.50 target at BofA/ML.

Skyworks Solutions Inc. (SWKS) Started as Buy with $25 target at BofA/ML.

Tim Hortons Inc. (THI) Reiterated Buy with $56 target at BofA/ML.

TriQuint Semiconductor, Inc. (TQNT) Started as Underperform with $6.75 target at BofA/ML.

Wyndham Worldwide Corporation (WYN) named value stock of the day at Zacks.

BP may have a huge find in the Gulf...

BP says it may have landed a giant deepwater oil find in the Gulf of Mexico in a previously untested part of its Mad Dog field. Total hydrocarbons could top 4B barrels of oil equivalent, according to initial reports. BP owns a 60.5% stake in Mad Dog, and minority owners include BHP Billiton (BHP) at 23.9% and Chevron (CVX) with 15.6%.

SEC finally investigating Leveraged ETF's....

It's about time.  I've been preaching this for years.  It all has to do with getting rid of the Uptick Rule, which allowed these toxic ETF's to exist...and led to the existence of high frequency trading firms.

Maybe this is the beginning of the end for these things.

Bank of America may need more capital...

Despite a $5 billion investment from Warren Buffet and the $3 billion sale of half its stake in China Construction Bank, there is talk that Bank of America may need to sell off Merrill Lynch to further reinforce its capital base. However, BAC is up nearly 3% pre-market after announcing a management shake-up, including the departure of two senior executives and the appointment of co-COOs.

Groupon "forced" to cancel IPO...

According to a recent Wall Street Journal report, Groupon has received questions from SEC regarding a leaked memo by CEO, Andrew Mason. As a result the company is cancelling its roadshow and reevaluating its IPO timing.

Something tells me this window will not be open long...

Urban Outfitters sales fall...

Urban Outfitters (URBN) reports in a 10-Q filing comparable store sales fell 3.3% for the six months ending July 31 due to a decrease in transactions, lower units per transaction and lower average unit sales prices. Shares -8.1% premarket.

Yahoo interested in selling itself...

The WSJ reports Carol Bartz was fired after an independent study found Yahoo (YHOO) to be underperforming. Perhaps more interestingly, a source claims Yahoo is now "open to selling itself to the right bidder." A number of companies and investment firms reportedly have shown interest in Yahoo's assets.

Of course we have heard this for years.

Verifone beats and raises...

VeriFone Systems Inc. (PAY). The credit card swipe machine maker posted better-than-expected quarterly results and raised its full-year outlook as it ropes in more customers for mobile payment technologies. The company expects fourth-quarter adjusted earnings of 49-50 cents per share on sales of $395-$400 million. Third-quarter net income rose to $26.3 million, or 28 cents a share, from $18.5 million, or 21 cents a share, last year.

Verifone is up 5% premarket to 36.52

Yahoo fires CEO....

Yahoo Inc. (YHOO). The company Chairman Roy Bostock fired CEO Carol Bartz over the phone on Tuesday, ending a tumultuous tenure marked by stagnation and a rift with Chinese partner Alibaba. CFO Tim Morse will step in as interim CEO, and the company will search for a permanent leader to spearhead a battle in online advertising and content with rivals Google Inc (GOOG) and Facebook.

Here is the long term chart on Yahoo going back to 2003:
 

Futures higher...

U.S. stock index futures are pointing to a higher open this morning, following the late day comeback yesterday,  The Dow managed to close 100 points lower yesterday on heavy volume, however that was a nice improvement from the earlier 307 point loss. 

There is some relief in the Euro zone as a German court rejects challenges to the country's participation in bailouts for Greece.

Market down, but not as bad as it looks...

A nice little comeback in the last 20 minutes, as it looks like traders scooped up some bargains going into the close.

Dow -100 to 11139
Nas -6 to 2473
S&P -8 to 1165

Even though the headline number looks bad, don't be surprised if you actually had gains on the day in your mutual funds. 

O'Reilly Automotive (ORLY) hits all time high...

The stock is up 0.87 to a new all-time high of 66.62

O'Reilly Automotive, which operates a chain of auto parts stores, also received an earnings related lift on July 27, with the company raising its guidance on 2011 adjusted earnings to a range of $3.53 to $3.63 per share compared to the previous guidance range of $3.49 to $3.59.

O'Reilly Automotive also recently added another $500 million to its stock repurchase program, increasing the total authorization to $1 billion. The stock finished August up by 9%.

Vertex up on Arthritis Drug results...

Vertex Pharmaceuticals (VRTX) is up today after results from Phase II studies of its VX-509 drug showed significantly reduced signs and symptoms of rheumatoid arthritis.

VRTX is up 0.58 to 45.18

What kind of drugs....

was the designer of the new Maryland uniforms on???  That must have been some good stuff...

With one hour left....

With one hour left of trading, it appears that Traders might be a bit nervous about holding stocks overnight.  We keep trying to rally, but then program selling keeps kicking back in. 

Hopefully we can further trim our losses over the next hour.  I'm not too optimistic of that, as I think traders will be reluctant to hold positions overnight for fear of more problems in Europe.

Right now:

Dow -156
Nas -21
S&P -14

Retail chains to open more stores...

More than half of U.S. retail chains plan to open more stores because of lower rents, a report by CB Richard Ellis Group Inc. (CBG) found.

Fifty-nine percent of retailers surveyed said “compelling rent levels” are encouraging them to expand, according to Anthony Buono, executive managing director of CB Richard Ellis’s retail services group for the Americas. The company, based in Los Angeles, is the world’s largest commercial real estate services firm.

“A significant number of retailers will be taking advantage of an opportune time for growth,” Buono said in an e- mailed statement. “Luxury goods, wholesale clubs and discounters in particular are expected to continue to expand.”

REIT leader, Simon Property Group is moving higher today, up 1.82 to 116.38

RIMM partners with China Mobile...

Research In Motion (RIMM) has started selling its first BlackBerry that is compatible with China Mobile's (CHL) home-grown cellular standard, a move that would allow it to tap into the operator's 620 million users.  RIM said it would begin selling the BlackBerry 9788, based on the TD-SCDMA 3G data network standard used by China Mobile, the world's biggest mobile operator by users.

While the BlackBerry smartphone has been available in China since late last year, China Mobile users have had to live with slower download speeds because the mobile operator uses a different, homegrown 3G standard.

Both stocks are higher today:

CHL +1.23 to 50.58
RIMM +0.73 to 30.84

Only three Dow stocks higher...

As I said, my screen is about 50/50 red and green right now, however only Caterpillar, Johnson and Johnson and Pfizer are higher on the Dow.

A clear sign the traders are chasing high beta stocks in here.

Consumer Discretionary stocks moving higher....

With the Dow still down 150 points, check out these Consumer Discretionary stocks:

Chipotle (CMG) +3.68 to 309.18
Green Mountain Coffee (GMCR) +1.35 to 104.92
Apple (AAPL) + 2.32 to 376.55
Panera (PNRA) +0.72 to 111.24
Netflix (NFLX) + 5.60 to 218.70
Whole Foods (WFM) +0.85 to 63.95

Market creeping back....

At 1:50 pm, my screen is about 50/50 green and red...that's a very good sign even though the Dow is still down 152 points....

Report on Alexion Pharmaceuticals from IBD...

Alexion Pharmaceuticals (ALXN) may well have just hit the tip of the iceberg with the number of diseases its drug Soliris can treat.

Soliris, Alexion's only drug, is approved in over 35 countries to treat one rare life-threatening blood disorder called paroxysmal nocturnal hemoglobinuria, or PNH.

But Alexion isn't likely to be a one-trick pony for long. The company expects the Food and Drug Administration to decide if Soliris can be marketed to treat another rare disease, atypical Hemolytic Uremic Syndrome, or aHUS, as early as this year's fourth quarter. The disease primarily affects kidney function. If approved, Alexion officials anticipate the U.S. launch of Soliris for aHUS during the same quarter.

Alexion has enjoyed a booming business with Soliris' single application. Sales and profits have surged at double-digit rates for eight straight quarters. Most recently, in the second quarter, earnings climbed 45% to 29 cents a share, topping views for the 14th straight quarter. Sales popped 48% to $185.7 million.


The company got a nice bump from strong growth in the U.S., Western Europe and Japan. It also got a lift from its results reflecting the first full quarter of Soliris sales from Australia. A slight positive foreign exchange effect also helped.

Alexion is poised to stay on the fast track. Analysts polled by Thomson Reuters expect full-year earnings to rise 30% to $1.16 a share. They see a 37% jump in 2012.

The stock is up again today +1.69 to 58.58

There are a few stocks moving higher....

With the Dow down 200 points, we still see some familiar names bucking the trend:

Netflix (NFLX) +2.79 to 215.90
Perrigo (PRGO) +1.01 to 90.90
Mako Surgical (MAKO) +0.24 to 37.14
Terra Nitrogen (TNH) +2.00 to 184
Amazon (AMZN) +1.20 to 211.25
Research in Motion (RIMM) +0.44 to 30.55
Hansen Natural (HANS) +1.05 to 84.68
CF Industries (CF) +1.16 to 183.03

Here's why Netflix is up...

Netflix (NFLX), which announced yesterday it would be rolling out its Latin American and Caribbean services over the course of this week, has reached a multi-year deal with Miramax to stream films to Latin American subscribers. Both Netflix and Hulu already have deals to offer Miramax content to U.S. subscribers.


Netflix is up 2.69 to 215.80 today.

Express Scripts - Medco Health Merger postponed...

The waiting period for the proposed merger between Medco Health (MHS) and Express Scripts (ESRX) is postponed by 30 days after the FTC requests additional information on the deal. The firms are pushing the paperwork forward, and say the $29.1B merger is still slated for completion in the first half of 2012.

Here's a timely downgrade for you....

Wedbush slashes its price target on shares of Travelzoo (TZOO) to $72 from $107 on concerns over increased competition and declining sales. The new price target still marks a premium of 125% over TZOO's current trading price after a month-long downward slide saw the stock lose 33%.

Travelzoo is currently trading at $32.  It was at $92 on July 20, 2011.

Thank you Wedbush!!!  This is helpful. 

Government regulations a problem....

The U.S. government "doesn't seem to care what it's doing to the economy" in its actions against banks, and risks forcing a recession, Dick Bove says. Bove says banks that engage in traditional businesses are being rewarded, while those that lend more aggressively - and help the economy grow - are penalized.

At 11:00 am....

The market continues to be weak...

Dow -252
Nas -55
S&P -27

Gold is up but down off its earlier highs.  My screen is pretty red, but is starting to turn more green in the last few minutes.

Expansion??? I thought we were in a depression...

August ISM Non-Manufacturing Index: 53.3 vs. 51 expected and 52.7 prior (>50 denotes expansion). Prices index rose to 64.2 from 56.6. Employment fell to 51.6 from 52.5. New orders rose to 52.8 from 51.7.

Honda issues another recall...

Honda (HMC -4.6%) on Monday said it will recall 936,000 Fit compacts, CR-V and City models in Japan, China, the U.S., Europe and elsewhere because of defective power-window switches. Honda had recalled more than 2.3M vehicles only a month ago, citing problems with automatic transmissions.

Today's Upgrades and Downgrades...

These are some of this Tuesday’s top analyst upgrades, downgrades, and initiations seen having an impact from Wall Street research calls.


Activision Blizzard, Inc. (NASDAQ: ATVI) Started as Buy at Citigroup.
BE Aerospace Inc. (NASDAQ: BEAV) Started as Buy at BofA/ML.
CF Industries Holdings, Inc. (NYSE: CF) Raised to Outperform as Bull of the Day at Zacks.
Dillard’s Inc. (NYSE: DDS) called Value Stock of the Day at Zacks.
Dunkin’ Brands Group (NASDAQ: DNKN) Started as Equal-Weight at Morgan Stanley; Started as Market Perform at Wells Fargo; Started as Overweight at JPMorgan; Started as Neutral at BofA/ML.
Electronic Arts Inc. (NASDAQ: ERTS) Raised to Hold at Citigroup.
LDK Solar Co., Ltd. (NYSE: LDK) Cut to Sell at Argus.
Merge Healthcare (NASDAQ: MRGE) named as Bear of the Day at Zacks.
National Oilwell Varco (NYSE: NOV) Raised to Buy at Argus.
PulteGroup, Inc. (NYSE: PHM) maintained Buy but removed from Conviction Buy List at Goldman Sachs.
SodaStream International Ltd. (NASDAQ: SODA) Raised to Overweight at JPMorgan.
Teavana Holdings, Inc. (NYSE: TEA) started as Outperform at William Blair; Started as Neutral at BofA/ML.
United States Steel Corp. (NYSE: X) Raised to Buy at Citigroup.
Wesco Aircraft Holdings, Inc. C (NYSE: WAIR) Started as Buy at BofA/ML

Netflix bouncing this morning...

After getting crushed on Friday, Netflix is one of the few stocks moving higher today.

It is currently climbing +2.26 to 215.30

Remember NFLX sold off 20 points Friday on news that Starz was not going to renew its content contract with Netflix.  Maybe the two will settle their differences???

A lovely open....

More selling here at the open, in sympathy European troubles yesterday...

Dow -265
Nas -50
S&P -29

Starbucks expanding in China...

Starbucks (SBUX) plans to triple the number of its coffee shops in China during the next four years, according to its Asia Pacific president. Jinlong Wang says Starbucks plans to operate 1,500 outlets in China by 2015 from its current 470, and expects to open 700 coffee shops in South Korea from 370.

Dendreon cuts ties with Glaxo...

Dendreon Corp. (DNDN). The biotechnology company said it ended a development and supply agreement with GlaxoSmithKline LLC (GSK) on Dendreon's prostate cancer vaccine, citing delays and difficulties in achieving the commercial purpose of the deal.

Dendreon's stock has fallen from $42 to $10.30 in the last 30 days. 

Dell and Baidu team up...

Dell Inc. (DELL). The company is partnering with China's top search engine Baidu Inc (BIDU) to develop tablet computers and mobile phones, targeting the Chinese market now dominated by Apple Inc (AAPL) and Lenovo devices. Dell declined to give a timeline for the launch of the devices, but local media reported, quoting sources, that it may be as early as November.

Amazon targets Apple...

Amazon.com Inc. (AMZN). The online retailer is rolling out a major redesign of its familiar website as it prepares to offer a new $250 tablet device to rival Apple Inc's (AAPL) iPad.

Crude Falling....

The crude oil market - not to be left out of today's turbulence - is being pushed lower by worries about the world economy, though traders are also keeping track of limited Gulf of Mexico oil production due to Tropical Storm Lee.


Crude is currently down $2.82 to $83.63 a barrel.


Now, forgive me if I am wrong, but shouldn't this be a positive???

Treasury Rates continue to fall...

The U.S. treasury market is especially worth watching today, after the yield on the benchmark 10-year note dipped to 1.91%, the lowest in at least 60 years.  The yield is only marginally above that level at the moment at 1.94%.

Welcome Back my Friends....

After two upbeat Septembers, the month is reverting back to historical form this year as the year's worst performing month: the Dow, the S&P 500, and the Nasdaq have all posted their biggest 2-session drops to start September since 1974. 


Today's early action isn't likely to be much better, following a European market selloff Monday during Wall Street's Labor Day holiday.  Japan's Nikkei Averages fell 2.2% overnight to close at a 2011 low.