‘The Most Important Deal In Radio History’
Stocks are mixed as
traders digest several profit warnings.
Knight Trading
(
NITE |
Quote |
Chart |
News |
PowerRating) warned of a quarterly loss, citing weak
trading volume. Big Lots
(
BLI |
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Chart |
News |
PowerRating) said September sales were
“disappointing.” Credence
(
CMOS |
Quote |
Chart |
News |
PowerRating) said it now expects a loss for the
quarter instead of a gain. Delphi
(
DPH |
Quote |
Chart |
News |
PowerRating) said it expects a wider loss.
Tweeter
(
TWTR |
Quote |
Chart |
News |
PowerRating) guided lower.
Merck
(
MRK |
Quote |
Chart |
News |
PowerRating) is lower after The Wall
Street Journal reported that VIOXX may have been involved in more than
27,000 heart attacks and deaths before it was taken off the market, which may
indicate more legal problems for the drug maker. MRK is trading down 4%.
Yesterday marked 6 up-sessions on the Nasdaq; if it closes up today, it will be
the first time since at least 1986 that the index has had 7 consecutive
up-closes.
In what is being billed as “the most important deal in radio history,” Howard
Stern signed a 5-year deal with Sirius Satellite
(
SIRI |
Quote |
Chart |
News |
PowerRating) starting
in 2006. Sirius estimates fixed costs at $100 million per year; if they get
fewer than a million subscribers, there could be a material impact on the
company’s earnings. Stern will receive stock-based incentives and will share a
portion of revenues.
Biogen
(
BIIB |
Quote |
Chart |
News |
PowerRating) and ImmunoGen
(
IMGN |
Quote |
Chart |
News |
PowerRating) said they are
collaborating to make an anti-cancer drug.
Henry Schein
(
HSIC |
Quote |
Chart |
News |
PowerRating) is trading higher
after being halted yesterday. HSIC is primary distributor of Fluviron; the
company slashed expectations for the quarter and for the year.
Crude oil inventories for the week of October 1 rose by 1.1 million barrels;
distillates fell by 2.1 million barrels; gasoline inventories rose by 0.6
million barrels. This is normally the time of year when gas prices fall. Crude
is trading near record highs today.
| Dow | -28.53 | 10186.60 |
| S&P 500 | +2.47 | 1136.91 |
| Nasdaq | +2.27 | 1957.99 |
Strong sectors are: Oil
(
XOI.X |
Quote |
Chart |
News |
PowerRating) +10.44%, Health Providers
(
HMO.X |
Quote |
Chart |
News |
PowerRating) +1.40%,
Natural Gas
(
XNG.X |
Quote |
Chart |
News |
PowerRating)
+3.35%.
Weak are: Drugs
(
DRG.X |
Quote |
Chart |
News |
PowerRating) -3.62%, Semis
(
SOX.X |
Quote |
Chart |
News |
PowerRating)
-3.15%.
10-year Notes are -085 at 112 020
The dollar
is +0.20 at 88.37
Gold is -2.20 at 416.60
Crude Oil is +0.32 at 51.41
1.06 billion on the Nasdaq.
Market breadth is positive.
| NYSE | Issues | |
| Advancing | 1952 | Up Vol 412 |
| Declining | 1152 | Down Vol 224 |
| Ratio | 1.69 | 1.83 |
| Nasdaq |
||
| Advancing | 1549 | Up Vol 592 |
| Declining | 1348 | Down Vol 410 |
| Ratio | 1.14 | 1.44 |
Stocks in the News
CIBC expects General Electric’s
(
GE |
Quote |
Chart |
News |
PowerRating) Q3 profit at the low end of the
range.
Monsanto
(
MON |
Quote |
Chart |
News |
PowerRating) boosted its 2005 outlook.
Goldman Sachs said they are confident Dell
(
DELL |
Quote |
Chart |
News |
PowerRating) would achieve
their targets.
First Albany raised Apple’s
(
AAPL |
Quote |
Chart |
News |
PowerRating) target to $44 from $35.
Paychex
(
PAYX |
Quote |
Chart |
News |
PowerRating) raised its quarterly dividend to .13 from 0.12.
Apollo
(
APOL |
Quote |
Chart |
News |
PowerRating) beat by 0.04.
Credence
(
CMOS |
Quote |
Chart |
News |
PowerRating) said it now expects a loss for the quarter instead
of a gain.
Delphi
(
DPH |
Quote |
Chart |
News |
PowerRating) said it expects a wider loss.
Tweeter
(
TWTR |
Quote |
Chart |
News |
PowerRating) guided lower.
United Airlines
(
UALAQ |
Quote |
Chart |
News |
PowerRating) is cutting domestic flights in favor of
more lucrative overseas routes.
Cognos
(
COGN |
Quote |
Chart |
News |
PowerRating) will buy back 4.53 million shares.
Brice Wightman