Here is your Cheat Sheet to this week’s top stories:
Monday
The markets closed down Monday on Wall Street. Selling pressure was assisted by an unexpected slide in homebuilder confidence.
At the close: DJIA: -0.43%, S&P 500: -0.55%, NASDAQ: -0.35%.
Gold (NYSEARCA:GLD) futures for April delivery, the most active contract, increased $12.00 to close at $1,604.60 per ounce, while silver (NYSEARCA:SLV) futures for May edged 2 cents higher to finish at $28.87. It was gold’s first close above $1,600 since February.
Both precious metals received support as the euro sank to 3-month lows. Over the weekend, it was made public that depositors in Cyprus will have between 6.75 percent and 9.9 percent of their savings confiscated to rescue the country’s banking system. The move is part of a 10-billion-euro bailout plan from the International Monetary Fund and the euro zone. Bondholders were spared from the unprecedented strategy.
Here’s your Cheat Sheet to Monday’s top stock stories:
Hewlett-Packard’s (NYSE:HPQ) climbed 2.93 percent on Monday. In the absence of other major catalysts, and against a backdrop of modest market declines, credit may fall to positive comments from Katy Huberty, a managing director at Morgan Stanley… (Read more.)
Last September, a court ruled that investment bank Goldman Sachs (NYSE:GS) would be required to stand trial for how it handled mortgage backed securities in 2008, and the institution will have to defend itself against claims that it misled investors about the value of the securities. The bank filed an appeal in an attempt to dodge the courtroom, but on Monday, the courts decided that the original ruling stands, and the appeal was denied… (Read more.)
For the sake of a competitive advantage, Amazon (NASDAQ:AMZN) has traditionally kept many details of its business secret, but a class-action lawsuit brought Friday in a U.S. District Court in Seattle sheds light on how the Internet retailer funds day-to-day operations and manages its relationships with third-party sellers… (Read more.)
HSBC (NYSE:HBC) could cut as many as 5,000 more jobs as part of CEO Stuart Gulliver’s push to drive efficiencies and generate $1 billion in annual savings in 2013. Sources familiar with the matter told the Financial Times that “there is no fantastical new strategy out there, but there’s still huge potential to be more efficient.” Gulliver has spend much of the last two years sweeping the skeletons out of the closet at Europe’s biggest bank, and has already reduced the firm’s workforce by tens of thousands of employees… (Read more.)
Schlumberger (NYSE:SLB) closed the day down 3.85 percent after the company revealed that first-quarter activity in North America was weaker than expected. Giving the keynote address at the Howard Weil conference in New Orleans, CEO Paal Kibsgaard said that “In North America, first-quarter activity is coming in below expectations as our customers have reactivated fewer rigs than they initially targeted.”
J.C. Penney (NYSE:JCP) closed up 6.2 percent following a note from an analyst at ISI Group, which argued that the retailer could turn the top 300 of its 1,100 retail locations into a real estate investment trust-like entity that would sublet space to other brands. With substantially below-market rents, this plan could generate approximately $1.2 billion annually for the company… (Read more.)
If the analysts are correct, then Tuesday will be an auspicious day in Apple’s (NASDAQ:AAPL) history. One full calendar year will have passed since CEO Tim Cook reinstated a 2.4 percent dividend on the company’s stock, and word on the street is that shareholders will be given a reward for holding on to shares that have declined more than 25 percent in value since… (Read more.)
Personal computer shipments in February were so bad that International Data Corporation (“IDC”) downwardly revised its first-quarter and full-year 2013 shipment estimates. In a statement issued Monday, IDC indicated that slower than expected growth in China — which accounted for more than 21 percent of global PC shipments in 2012 — could weigh on total first-quarter shipments by as much as 2 percent. Supply chain data also suggests that there is “room for a slightly larger downward adjustment” in Europe, the Middle East, and Africa, as well as the Asia/Pacific region excluding Japan… (Read more.)
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Tuesday
The markets were mixed Tuesday on Wall Street. Cyprus’s 56-member parliament voted on and rejected the controversial levy on bank deposits that finance ministers made a condition of the bailout package that was requested by President Nicos Anastasiades over the weekend.
At the close: DJIA: +0.03%, S&P 500: -0.24%, NASDAQ: -0.26%.
On the commodities front, WTI crude oil (NYSEARCA:USO) fell 1.79 percent to $92.06 per barrel. The yield on the 10-year T-note fell 0.053 points to 1.903 percent. Gold (NYSEARCA:GLD) futures for April delivery, the most active contract, increased $6.70 to close at $1,611.30 per ounce, while silver (NYSEARCA:SLV) futures for May edged 3 cents lower to finish at $28.84.
Here’s your Cheat Sheet to Tuesday’s top stock stories:
Shares of Lululemon (NASDAQ:LULU) closed the day down 2.76 percent after the iconic athletic apparel company announced that “we expect a shortage in our supply of black Luon pants and crops” that could knock as much as $22 million off of first-quarter 2013 revenue… (Read more.)
Ever since the financial crisis, Bank of America (NYSE:BAC) has been shedding weight. While most of its weight loss has come from its investment banking units, the institution dropped down a bit more on Tuesday after announcing that it would be selling several branches in the Midwest… (Read more.)
“We’re still a wireless company. We’re just not going to act like one anymore,” wrote Deutsche Telekom’s (DTEGY.PK) T-Mobile in an invitation to a mysterious event scheduled for March 26 in New York. The company — whose merger with MetroPCS (NYSE:PCS) was just approved by the Federal Communications Commission — is looking to differentiate itself from the competition, which, in the world of smartphones and their accompanying wireless services, is ever increasing… (Read more.)
Intel’s (NASDAQ:INTC) plans to launch a web-based television program later this year is materializing, as the company is looking to add 60 new jobs to its existing 300 at Intel Media, and possibly approach 400, compared with the 100 employees that the division had a year ago. The move, announced in February, is a major directional change for the PC chip maker, who intends to offer a box to consumers that will allow users to access live programming as well as on-demand content in small bundles… (Read more.)
Cliffs Natural Resources (NYSE:CLF) closed the day down 6.6 percent after Goldman Sachs cut its forecast for iron ore prices. Goldman also slashed its price target from $24 to $20 and maintains a Sell rating on the stock.
Electronic Arts (NASDAQ:EA) stock closed the day down 8.3 percent after the company announced that its CEO, John Riccitiello, will step down effective March 30. Larry Probst will serve as executive chairman and will lead the game publisher’s executive team while a replacement is found.
Cardinal Health CAH) declined 8.2 percent after announcing that its contract with Walgreen (NYSE:WAG) won’t be renewed. Meanwhile, Walgreen ended the day up 5.44 percent after agreeing to a partnership with AmerisourceBergen (NYSE:ABC), which climbed 3.6 percent for the day.
Boeing (NYSE:BA) ended the day with fractional gains after the aerospace company officially announced that Ryanair has committed to order 175 Next-Generation 737-800s in a deal worth $15.6 billion at list price. The deal has been rumored to be in the works for about a week.
Blackstone Group (NYSE:BX) is reportedly considering an offer of its own for Dell (NASDAQ:DELL). People with knowledge of the matter told Bloomberg that the firm, along with other interested parties, could be putting together their own package, and could submit it as late as March 22 during Dell’s go-shop process… (Read more.)
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Wednesday
The markets closed up Wednesday on Wall Street. Concerns over the economic stability of the euro currency bloc were — at least temporarily — overshadowed by an announcement following the meeting of the Federal Open Market Committee.
At the close: DJIA: +0.39%, S&P 500: +0.67%, NASDAQ: +0.78%.
On the commodities front, WTI crude oil (NYSEARCA:USO) followed the markets and increased 1.02 percent to $93.46 per barrel. The yield of on the 10-year T-note climbed 0.55 points to 1.957 percent. Gold (NYSEARCA:GLD) futures for April delivery, the most active contract, decreased $3.80 to close at $1,607.50 per ounce, while silver (NYSEARCA:SLV) futures for May edged 3 cents lower to finish at $28.82. Both precious metals held steady as the Federal Open Market Committee decided to keep its current quantitative easing programs in place.
The central bank will continue to purchase $40 billion in agency mortgage-backed securities and $45 billion in longer-term Treasury securities each month. With high unemployment levels, and low inflation according to the Federal Reserve, the central bank believes the benefits of QE still outweigh the risks.
Here’s your Cheat Sheet to Wednesday’s top stock stories:
Oracle Corp. (NASDAQ:ORCL) crashed as much as 7.7 percent in post-market trading after reporting fiscal third-quarter results that fell short of expectations. Total revenue contracted 1 percent year over year to $8.958 billion, and does not compare favorably to expectations for $9.38 billion. This contraction was led by a 23 percent year-over-year decline in hardware revenues, which fell to $671 million. Non-GAAP earnings increased 5 percent on the year to $0.65 per share, just 1 cent shy of expectations.
Lennar Corp. (NYSE:LEN) reported impressive financial results for its fiscal first quarter. Net income came in at $57.5 million (26 cents per share), compared to only $15 million (8 cents per share) a year earlier. Revenue also jumped 37 percent to $989.9 million, compared to $724.9 million in the same quarter last year… (Read more.)
Amazon (NASDAQ:AMZN) may have landed a $600 million deal with the CIA, if unnamed sources speaking to FCW are correct. The contract is reportedly to build a custom cloud system for the agency of the next ten years… (Read more.)
BTIG Research’s Rich Greenfield has written that Facebook’s (NASDAQ:FB) latest advertising product — the so-called Dark Posts, which were rolled out this past week — “smell of desperation.” While the last quarter showed that the company generated 23 percent of its total revenue from mobile advertising, an increase from the previous period’s 14 percent, that growth is not sustainable… (Read more.)
When just one of your derivative traders racks up a loss of $6.2 billion like JPMorgan Chase’s (NYSE:JPM) Bruno Iksil — now known as the London Whale — did in the early months of 2012, you cannot expect your reputation to remain intact. Once the bank enjoyed an image as one of the best run firms on Wall Street — it emerged from the financial crisis as among the healthiest of the big banks — but now the institution has been downgraded by a confidential government scorecard as concerns about the company’s management and its board increase… (Read more.)
The tides may have turned for the solar industry, as losses claim another of the world’s biggest manufacturers, Suntech Power Holdings (NYSE:STP). Last month it was looking like Suntech might run into trouble when $541 million in convertible bonds would mature in the middle of this month. A large part of the trouble came from an over-abundance of solar panel and component supplies, which drove down prices globally, putting solar manufacturers in a tight spot… (Read more.)
The Energy Information Administration reported on Wednesday that it expects monthly crude oil production in the United States to exceed crude oil imports later this year. By the end of 2014, the U.S. will be producing more than 8 million barrels per day, its highest level of production since 1988. At the same time, crude oil imports are expected to fall below 7 million barrels per day, its lowest level since 1995… (Read more.)
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Thursday
It was a red day for the U.S. equity markets as concerns about the stability of the euro zone overshadowed positive U.S. manufacturing data. Initial claims for unemployment insurance increased marginally.
At the close: DJIA: -0.62%, S&P 500: -0.83%, NASDAQ: -0.97%.
On the commodities front, WTI crude oil (NYSEARCA:USO) moved with the market, falling 1.20 percent to $92.38 per barrel. The yield on the 10-year T-note fell 0.040 points to 1.919 percent. Gold (NYSEARCA:GLD) futures for April delivery, the most active contract, increased $6.30 to close at $1,613.80 per ounce, while silver (NYSEARCA:SLV) futures for May jumped 40 cents to finish at $29.21. Both precious metals climbed higher as the European Central Bank threatened to cut off Cypriot banks on Monday if a bailout deal is not completed. Emergency loans have been funding the insolvent banks, but the debate continues on how to please everyone involved in the bailout.
Here’s your Cheat Sheet to Thursday’s top stock stories:
AstraZeneca (NYSE:AZN) outlined a “strategy to return to growth and achieve scientific leadership” on Thursday that focuses on rebuilding the company’s damaged R&D engine, but also includes 2,300 job cuts as the result of SG&A restructuring. CEO Pascal Soriot commented: “In setting out our strategy today, we are making an unambiguous commitment to concentrate our efforts and resources on our priority growth platforms and our priority pipeline projects.” Shares ended the day 3.8 percent higher.
Hewlett-Packard’s (NYSE:HPQ) board of directors survived yesterday’s annual shareholder meeting intact. Discontented shareholders — for whom the Autonomy ordeal was the last straw — attempted to oust four members, including Chairman Ray Lane, but failed by narrow margins. The results put some selling pressure on the stock, which closed the day down 2.62 percent… (Read more.)
Oracle (NASDAQ:ORCL) ended the day down 9.69 percent on account of its weak third-quarter earnings report. Total revenue contracted 1 percent year over year to $8.958 billion, and does not compare favorably to expectations for $9.38 billion. This contraction was led by a 23 percent year-over-year decline in hardware revenues, which fell to $671 million. Non-GAAP earnings increased 5 percent on the year to $0.65 per share, just 1 cent shy of expectations… (Read more.)
Bank of America (NYSE:BAC) was off 1.64 percent for the day, leading a 1.04 percent drop in financials at large. Cisco (NASDAQ:CSCO) closed down 3.83 percent, weighed on by Oracle’s earnings report and broad concerns about industry weakness in 2013. Technology was the worst performing sector on Thursday, down 1.51 percent. Against this backdrop, Yahoo (NASDAQ:YHOO) climbed 3.46 percent following speculation that it would buy a popular video-streaming website.
Blackstone (NYSE:BX) is reportedly considering Mark Hurd, currently president of Oracle, as a candidate to head Dell (NASDAQ:DELL), should the asset management firm win its bid for the beleaguered PC maker and should current CEO Michael Dell end up being ousted in some way… (Read more.)
Guess (NYSE:GES) stock closed the day down 7.2 percent after reporting earnings in the post-market. The company reported that global revenues declined 1 percent for its fiscal 2013, while adjusted operating earnings decreased 34 percent.
It’s a complicated set of factors that must be taken into account when determining the future profitability of the satellite radio provider Sirius XM (NASDAQ:SIRI), but analysts most often boil down their assessments to two key metrics: carsales and competition. Sirius XM is one of the clear beneficiaries of a strong market for new automobiles; as research from iStockAnalyst pointed out a recent article, Sirius XM comes equipped in approximately two out of every three new vehicles… (Read more.)
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Friday
The U.S. equity markets braved international economic headwinds on Friday and struck out for positive territory. Faced with turmoil in the euro currency bloc, but backed by strong manufacturing performance at home, all three major indexes posted strong gains and ended the week on a positive note.
At the close: DJIA: +0.63%, S&P 500: +0.72%, NASDAQ: +0.70%.
On the commodities front, WTI crude oil (NYSEARCA:USO) followed the markets and increased 1.56 percent to $93.89 per barrel. The yield on the 10-year T-bill increased 0.013 points to 1.925 percent. Gold (NYSEARCA:GLD) futures for April delivery, the most active contract, decreased $7.70 to close at $1,606.10 per ounce, while silver (NYSEARCA:SLV) futures for May fell 51 cents to finish at $28.70…
Here’s your Cheat Sheet to Friday’s top stock stories:
BlackBerry (NASDAQ:BBRY) closed the day down 7.74 percent after its Z10 flagship phone hit the U.S. market. Throughout the buildup to the launch, CEO Thorsten Heins has maintained an aggressive stance against Apple (NASDAQ:AAPL) and Samsung (SSNLF.PK), accusing the former of a lack of innovation and the latter — or, more accurately, Google’s (NASDAQ:GOOG) Android platform — of being relatively insecure… (Read more.)
Monster Beverage Corp. (NASDAQ:MNST) fell 3.67 percent after new research came to surface, indicating that energy drinks may increase blood pressure and cause an irregular heartbeat.
TIBCO Software (NASDAQ:TIBX) fell 9.41 percent for the day after reporting weak first-quarter financial results. Adjusted earnings fell 10 percent year over year to $0.18 per share, although revenue increased 5.4 percent to $237.8 million. However, the revenue still missed expectations for an increase to $242.45 million… (Read more.)
Nike (NYSE:NKE) increased 11 percent after reporting strong third-quarter results. Worldwide apparel sales jumped 55 percent for the fiscal third quarter, the company reported, sending its stocks soaring over 10 percent in the markets. An unexpected gross margin gain and the sale of the Cole Haan brand were cited as catalysts for the company’s strong performance… (Read more.)
Darden Restaurants (NYSE:DRI), the world’s largest full-service restaurant company, announced lukewarm financials results for the third quarter ended February 24, 2013. Net income came in at $134.4 million ($1.02 per share), down 18 percent from $164.1 million ($1.25) a year earlier. Sales for the quarter increased a modest 4.6 percent to $2.26 billion… (Read more.)
PepsiCo (NYSE:PEP) and Mondelez (NASDAQ:MDLZ) have attracted the attention of notorious corporate raider Nelson Petz. He has reportedly spent as much as $2 billion buying stakes in either company, and there is speculation that he will want to try to shake out some dust from the iconic food-brand owners. Pepsico closed the day up about 3 percent after denying that it was in need of any such shake up.
After analyzing clinical data from trials of Titan Pharmaceuticals’ (TTNP.OTC) matchstick-size implant, called Probuphine, the regulatory body decided to support approval in a vote of 10 to 4, reported Bloomberg. A further vote determined that the drug is an effective and safe treatment for heroin and prescription painkiller addictions. While some questioned whether the dose of the active ingredient, buprenorphine, was suitable to help addicts, the advisers supported a risk-mitigation plan… (Read more.)
Micron (NASDAQ:MU) closed the day up 10 percent after reporting relatively strong earnings. Adjusted earnings increased 1 cent to -$0.28 per share, while revenue climbed 3.43 percent to $2.08 billion… (Read more.)
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