Why Is The SEC Investigating KKD?
Stocks are
higher after positive economic reports and a pullback in oil.
The Ministry of Justice lifted a previously imposed ban on Yukos’ property
transactions Yukos produces 1.7 million bpd. Oil giant Exxon Mobil
(
XOM |
Quote |
Chart |
News |
PowerRating)
reported earnings that rose 39% to $5.79 billion with a 24% rise in revenue on
high oil prices and demand. Its daily crude oil output rose to 4% with daily
average oil and gas production at 4.08 million barrels.
TXU Corp
(
TXU |
Quote |
Chart |
News |
PowerRating) reported a loss of $600 million on one-time charges that exceed $1
billion that related to share buyback and restructuring transactions. The
company upped its earnings outlook to $2.60 a share as its operating revenue
rose 6.8% to $2.3 billion for the quarter. Aetna
(
AET |
Quote |
Chart |
News |
PowerRating) rose after
posting earnings of $286 million with revenue rising 9% to $4.9 billion.
The SEC is investigating
Krispy Kreme’s
(
KKD |
Quote |
Chart |
News |
PowerRating) franchise repurchases; shares fell 10%.
| Dow | +35.66 | 10152.88 |
| S&P 500 | +6.77 | 1102.14 |
| Nasdaq | +22.13 | 1880.34 |
Strong today are: Airlines
(
XAL.X |
Quote |
Chart |
News |
PowerRating) +3.05%, Healthcare
(
HMO.X |
Quote |
Chart |
News |
PowerRating)Â +2.71%, Semis
(
SOX.X |
Quote |
Chart |
News |
PowerRating)
+2.44%, Networking
(
NWX.X |
Quote |
Chart |
News |
PowerRating) +2.38%.
Weak today are: Oil Services
(
OSX.X |
Quote |
Chart |
News |
PowerRating) -0.57%, BiotechsÂ
(
BTK.X |
Quote |
Chart |
News |
PowerRating) -0.20%.
Economic news releases today
include Employment cost index that rose by 0.9%, initial claims higher at 345K,
and help wanted index at 38.
10-year Notes are +15 at
109 280
The dollar
is -0.04 at 89.90
Gold is +0.40 at 390.80
Crude Oil is -0.68 at
42.23
Volume is 666 million on
the NYSE, and 778 million on the Nasdaq.
Market breadth is positive
| NYSE | Issues | |
| Advancing | 1949 | Up Vol 369 |
| Declining | 1085 | Down Vol 203 |
| Ratio | 1.79 | 1.82 |
| Nasdaq |
||
| Advancing | 1711 | Up Vol 513 |
| Declining | 1154 | Down Vol 152 |
| Ratio | 1.48 | 3.38 |
Top Dow stocks are:
Intel
(
INTC |
Quote |
Chart |
News |
PowerRating),
+2.76%, Hewlett Packard
(
HPQ |
Quote |
Chart |
News |
PowerRating) +1.43%Â Citigroup
(
C |
Quote |
Chart |
News |
PowerRating) +1.33%
Du Pont
(
DD |
Quote |
Chart |
News |
PowerRating) +1.30%.
Stocks in the news:
Georgia-Pacific
(
GP |
Quote |
Chart |
News |
PowerRating) reported
earnings of $220 million with revenue up 6.2% to $5.19 billion.
Raytheon
(
RTN |
Quote |
Chart |
News |
PowerRating) posted a net loss of $108 million
with sales up 11% to $4.9 billion. Its government and defense production
backlog exceed $29.5 billion.
Taro Pharmaceutical
(
TARO |
Quote |
Chart |
News |
PowerRating)
tanked after missing earnings forecasts by a wide margin, with a loss of $8.9
million vs. estimates of 44 cents a share by Thomson First Call.
General Motors
(
GM |
Quote |
Chart |
News |
PowerRating) fell after receiving downgrades
from Lehman Brother and Goldman Sachs.
Brice Wightman
bricew@tradingmarkets.com