This Report Will Impact Tomorrow’s Trading

Stocks were near flat on Tuesday as profit warnings from
Nucor and Hot Topic balanced a good earnings report from Lennar. 
The S&P is up 7% since April and 1% from the March multiyear highs. We are in
guidance season; the next two weeks we will have guidance from many companies.

Hot Topic
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PowerRating) said sales for the quarter are falling short and
lowered profit projections.

Nucor
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NUE |
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PowerRating) lowered guidance for Q2 to the low end of the range.

Lennar
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LEN |
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PowerRating) reported Q2 earnings that beat by 0.20 and guided
higher. The average sales price rose 12%; gross margins rose 24.8%.

Kroger
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KR |
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PowerRating) reported 0.40,5 cents ahead of expectations and boosted
its 2005 view.

Retail/wholesale propane company Inergy Holdings (NRGP) went public
today, with its IPO pricing at $22.50, above the expected $19-$21 range.  Also this week, look for Eagle Bulk Shipping (EGLE,
$16-$18), Builders FirstSource (BLDR, $15-$17), Celldex Theraputics
(CDEX, $8-$10) and Allion Healthcare (ALLI), $12-$14).

CEO Confidence rose 11% in June to 165.1, from 146.8 in May.

Tomorrow, look for the weekly oil inventories at 10:30 AM ET. This report is
a potential market mover. Most traders are looking for a decline in crude of
600K barrels.

Strong sectors were:   
Airlines
(
$XAL.X |
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PowerRating) +1.81%      Gold  
(
$HUI.X.X |
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+1.06%      Semis
(
$SOX.X |
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PowerRating) +0.70%  

Weak sectors were:  Oil Services
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$OSX.X |
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PowerRating)
-2.03%     Natural Gas
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$XNG.X |
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PowerRating)
-1.88%     Oil
(
$XOI.X |
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PowerRating) -1.79%   

Maytag
(
MYG |
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PowerRating) received a $1.28 billion offer from Bain Capital
Partners, Blackstone Capital Partners and China’s Haier America Trading. The
offer is 15% higher than the current merger deal with Ripplewood Holdings.

China National may offer $20 offer for Unocal
(
UCL |
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PowerRating),
topping Chevron’s $27 billion cash and stock bid.

Tommy Hilfiger
(
TOM |
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PowerRating) may be acquired by Jones Apparel
(
JNY |
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or Van Heusen
(
PNH |
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PowerRating), the Deal.com reports..

Biomet
(
BMET |
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PowerRating) warned and said it will restructure its spinal
products division,. The stock was downgraded at RBC to sector perform.