Morning Report: March 30, 2012

Ahead of the Bell: Dow futures are trading up 53 points and S&P futures are trading up 7 points as European finance ministers near a plan to increase the fire wall and expand the euro zone rescue fund on the final trading day of the 1st quarter, the most successful quarter since 1998.  Investors are cautious that ministers will double the size of the stability fund to receive the $1 trillion identified by the IMF.    



  • On the economic calendar today, personal income and outlays for February will be out before the market opens and consensus is 0.4% compared with 0.3% for January. Chicago PMI for March will be out after the market opens with an anticipation of 63.0 versus 64.0 for February.  The Reuter's/University of Michigan's Consumer Sentiment for March will also be out after the market opens and it is anticipated to be 75.0 compared with 74.3 for February. 

  • The dollar is up against euro and British pound and down against the Japanese yen.  Gold is trading at $1,663. Crude oil is currently trading at $103 a barrel.

  • Yesterday, stocks were mixed on euro zone concerns and tepid economic data, as investors speculated a three-day retreat in equities was over and prepared for the final day of the 1st quarter.

  • On CNBC today, Steven Starker, Co-Founder of BTIG, talked about expectations for 1Q12 earnings. Starker expects earnings to be positive this quarter citing improving corporate balance sheets and low interest rates.  He said a lot of cash is still on the sidelines, especially with private equity, but thinks investors will have to put more of their money into equities, since nothing else is better right now.  He did advise caution, however, around triple AAA securities and Europe.  

  • Happy Friday, and have a nice weekend.

Thursday’s Close


DJIA up 19.61 pts/+0.15%/13,145.82


S&P down 2.26 pts/-0.16/1,403.28


Nasdaq down 9.60 pts/-0.31/3,095.36


 


Friday’s Futures


Dow Futures up 53.00 pts/+0.41%


S&P Futures up 6.40 pts/+0.42%


Nasdaq Fut up 12.22 pts/+0.46%


 


Overseas Markets


FTSE +0.62%


CAC 40 +1.22%


NIKKEI 225 -0.67%


HANG SENG -1.32


 


Overseas:  World stock markets were higher today.  European and Asian markets are higher, as investors are optimistic EU finance ministers will come up with a plan to increase the regions bailout fund.      


 


Economic Reports:  Personal Income and Outlays expected to be 0.4% at 8:30 a.m., Chicago PMI expected to be 63.0 at 9:45 a.m., and Consumer Sentiment expected to be 75.0 at 9:55 a.m.


 


Top Headlines:    



  • Apple Inc. (AAPL) and its Chinese contract manufacturer Foxconn have reached an agreement to address conditions of violations among workers assembling iPhones and iPads.

  • Research In Motion Ltd. (RIMM) plans to focus once again on corporate customers after the BlackBerry has been struggling to compete against Android devices and the iPhone.

  • Reports indicate Google Inc. (GOOG) plans to open an online store to sell tablet PCs directly to customers.

  • Bank of America (BAC) won a dismissal of a lawsuit by investors who were forcing the company to buy back $1.6 billion of underlying securities for mortgage loans. 

  • Reports indicate Verizon (VZ) plans on offering an integrated video service for its wireless customers, its Fios customers, and cable partners soon.     

Commodities/Currency:


Gold:up $2.10 to $1,663.85
Oil: up 0.53 to $103.31

EUR/USD 1.3339 +0.0034
USD/JPY 82.0560  -0.3650
GBP/USD 1.6015 +0.0065


 


Volatility Index (VIX): As of the close of business Thursday, March 29, the VIX is up 0.01 at 15.48


Companies Reporting Quarterly Earnings:     


Finish Line reports Q4 adjusted EPS 80c,vs. Est 81c  and Q4 revenue $456.26M, vs Est $432.62M.


China Ming Yang Wind Power Group (MY): Q4 EPS of -$0.15 misses by $0.43. Revenue of $128.4M (-52.8% Y/Y).


Today’s Opening and Closing Bells:


 


Nationstar Mortgage Holdings Inc. (NSM) to celebrate the company’s recent IPO.  CEO Jay Bray will ring the opening bell.


 


The first-ever TEDxWallStreet, a not-for-profit event, will convene on March 30th at the NYSE where pioneering thought leaders will address a diverse audience of 300 business, social and academic influencers.  To celebrate this event, executives and leaders from TEDxWallStreet will ring the closing bell.


 


  


Paras Madho


NYSE Euronext


Market Watch and Corporation Actions


(212) 656- 5404


 


Nothing herein constitutes an offer to sell or a solicitation of an offer to buy any security or a recommendation of any security or trading practice. Some information included above has been aggregated from multiple public third-party financial news sources for informational purposes only and redistributed to the NYSE Euronext community.  NYSE Euronext does not control the content provided by these sources and does not guarantee the accuracy, integrity or quality of such content.