October 10, 2011 Market SnapShot

Market Update

4:30 pm : The stock market scored its best single-session percentage gain in almost seven weeks. The effort was broad based and came on the back of a commitment by leading officials in Europe to recapitalize the region's flagging financial institutions.
Early participants focused on news that over the weekend Germany's Chancellor Merkel and France's President Sarkozy pledged to support a plan intended to shore up capital at European banks and financial outfits. Their commitment came across as more unified than what had been previously displayed by the pair. The notion that eurozone leaders will be more concerted in their efforts to stabilize the region's precarious financial conditions, thereby reducing the risk of contagion, emboldened buyers, who engaged in an aggressive bout of buying.
The S&P 500 rallied more than 3% for its best one-day jump since August. That helped the broad market measure push through its 50-day moving average and close above that technical trend line for the first time since July.
No specifics regarding plans to improve financial conditions in Europe are currently available, but bank stocks and financial issues performed as if the risks inherent to their positions in Europe were reduced dramatically. That gave both the KBW Bank Index and the broader financial sector gains of more than 5%.
The euro also won support from traders. The currency rallied 2.0% to $1.365 for one of its best single-session percentage gains in a year.
The euro's bounce put pressure on the dollar, helping to amplify buying interest among commodities. Oil was an especially strong performer in the commodity complex. The energy component climbed almost 3% to close pit trade at $85.41 per barrel.
The combination of higher oil prices and a stronger equity market helped energy stocks rally to a 4.5% gain. They were second only to financials. Materials plays, also helped by higher commodity prices, swung to a 4.2% gain.
Bonds will re-open for regular trading hours tomorrow. The market was closed today in observance of Columbus Day.
Advancing Sectors: Financials +5.1%, Energy +4.5%, Materials +4.2%, Industrials +3.6%, Consumer Discretionary +3.5%, Tech +3.4%, Health Care +2.5%, Telecom +2.1%, Utilities +2.0%, Consumer Staples +1.6%
Declining Sectors: (None) DJ30 +330.06 NASDAQ +86.70 NQ100 +3.5% R2K +4.4% SP400 +3.6% SP500 +39.43 NASDAQ Adv/Vol/Dec 2125/1.57 bln/435 NYSE Adv/Vol/Dec 2784/888 mln/256
3:30 pm : Weakness in the dollar and corresponding strength in the euro, following commentary from French President Sarkozy and German Chancellor Merkel, was the focus of commodities today. The two leaders met in Berlin this weekend for a bilateral summit, and they set a deadline at the end of Oct to reach an agreement on a comprehensive package of measures to stabilize the eurozone... Precious metals rallied on the dollar weakness. Gold posted gains of 2.2% to close at $1670.80 per ounce, while silver prices added 3.2% to finish at $31.98 per ounce.
Crude oil futures rallied on the dollar's weakness, as well as the strength in equity markets. Futures gained 2.9% to close at $85.41 per barrel. Crude put in highs at $86.09, its best levels since Sept 21. Natural gas ended up 1.7% at $3.54 per MMBtu.DJ30 +237.31 NASDAQ +57.37 SP500 +29.79 NASDAQ Adv/Vol/Dec 1945/1.2 bln/600 NYSE Adv/Vol/Dec 2721/559.8 mln/326
3:00 pm : Stocks climbed sharply in the first hour of trade, but have been adrift ever since. In fact, for almost five hours the S&P 500 has been confined to a five-point trading range that has run alongside the 1190 line. With the final hour at hand, it will be interesting to see whether or not stocks hold their gains into the close or experience some volatility.
News flow has been slow all afternoon. Things will pick up in coming days as earnings season gets underway. Dow component Alcoa (AA 9.99, +0.28) unofficially kicks off earnings season with its latest quarterly report tomorrow night. DJ30 +264.34 NASDAQ +70.02 SP500 +31.56 NASDAQ Adv/Vol/Dec 2045/1.03 bln/475 NYSE Adv/Vol/Dec 2770/480 mln/250
2:30 pm : Stocks made just about all of their gains in the first hour of trade. Ever since, the major equity averages have drifted sideways in a relatively tight range. That has made for a rather unexciting afternoon for market watchers. Despite the lack of theatrics, bullish investors have to be applauding the fact that stocks are up almost 3% today, or about 8% over the last five sessions.DJ30 +274.47 NASDAQ +75.78 SP500 +33.54 NASDAQ Adv/Vol/Dec 2060/950 mln/80 NYSE Adv/Vol/Dec 2785/440 mln/215
2:00 pm : Stocks have eased off of session highs, but continue to trade with heady gains. The steady, broad-based buying effort has come in the wake of word that Germany's Chancellor Merkel and France's President Sarkozy offered a more unified commitment to shoring up financial conditions in Europe, where a weakened banking system and precarious fiscal conditions have been a source of weakness for stocks for months.DJ30 +274.70 NASDAQ +76.56 SP500 +33.70 NASDAQ Adv/Vol/Dec 2010/860 mln/400 NYSE Adv/Vol/Dec 2800/420 mln/200
1:30 pm : The stock market has managed to muster a few more points, which are enough to take the S&P 500 across 1190 to set a fresh new high.
Share volume has been solid, but nothing extraordinary. It is possible that some regular participants are off of their desks because the bond market is closed today in observance of Columbus Day. The bond market will re-open for regular trading hours on Tuesday. DJ30 +289.76 NASDAQ +78.63 SP500 +35.57 NASDAQ Adv/Vol/Dec 1990/785 mln/375 NYSE Adv/Vol/Dec 2790/390 mln/180
1:00 pm : A more unified, concerted commitment to a bank recapitalization plan by eurozone leaders has brought about a barrage of buying interest that has sent the stock market up sharply to a near two-week high above its 50-day moving average.
Stocks made a strong run early, but have spent the past couple of hours drifting sideways. That has kept the S&P 500 just a couple of points shy of the 1190 line.
Financials were up in excess of 4% earlier, but have eased back to trade with a 3.7% gain. Yet the sector continues to provide considerable support to the broad market today. It's strength comes as many participants show want for bank stocks and diversified financial services issues since the riskiness related to their exposure to Europe has been reduced by recent efforts to shore up the region's financial conditions.
Natural resource plays have been strong performers, too. Energy stocks are up 4.1% while materials stocks are up 3.6%. In addition to a positive tone in the broad market, their shares have been helped by higher commodity prices, which are collectively up 2.1%, according to the CRB Commodity Index. While strength in the commodity complex is broad, oil is sporting one of the most impressive gains. It is currently up 3.5% to $85.90 per barrel.
A deep drop by the dollar, down 1.6% against a collection of competing currencies, has bolstered the case for commodities. Most of the dollar's downturn is due to the euro's rally following the commitment of France's Sarkozy and Germany's Merkel to shoring up eurozone banking outfits. DJ30 +275.19 NASDAQ +74.54 SP500 +32.87 NASDAQ Adv/Vol/Dec 1980/730 mln/390 NYSE Adv/Vol/Dec 2785/355 mln/200
12:30 pm : Action remains steady, leaving stocks to trade alongside session highs.
Meanwhile, commodities continue to climb, taking the CRB Commodity Index to a 2.0% gain. Oil has been a primary driver of that move; the energy component is currently up 3.4% to $85.80 per barrel.
Oil's ascent has been helped by a weaker dollar, which continues to trend lower against the euro. The euro is now up 2.2% to $1.368, which makes for an October high. DJ30 +274.88 NASDAQ +75.82 SP500 +33.21 NASDAQ Adv/Vol/Dec 1975/705 mln/360 NYSE Adv/Vol/Dec 2780/330 mln/180
12:00 pm : Stocks have spent the past 90 minutes drifting along near session highs. The steady sideways movement is allowing gains to consolidate.
Although the broad market is little changed in recent trade, financials have managed to rise steadily. In turn, the sector is now up more than 4%. Morgan Stanley (MS 15.39, +1.15) and Citigroup (C 26.45, +1.82) are leaders there. Aon (AON 44.20, +0.72) and Moody's (MCO 31.36, +0.53) are at the back end of the spectrum, but even they are both spoting gains beyond 1%. DJ30 +274.85 NASDAQ +77.36 SP500 +33.38 NASDAQ Adv/Vol/Dec 560/625 mln/60 NYSE Adv/Vol/Dec 2780/290 mln/180
11:30 am : Stock averages are only slightly below their best levels of the day, still sporting big gains. Despite the broad market's strength, shares of Sprint (S 2.21, -0.20) have slumped to a loss of more than 8%. The stock's dive comes amid several analyst downgrades and news that analysts at S&P have placed the company's ratings on Watch Negative. Shares of S are also atop the list of today's most actively traded names by share volume.DJ30 +273.41 NASDAQ +73.91 SP500 +32.46 NASDAQ Adv/Vol/Dec 1940/580 mln/310 NYSE Adv/Vol/Dec 2760/265 mln/140

11:00 am : Stocks are at new session highs. The run today marks a resumption of a three-session streak of gains that was snapped on Friday. Including today's bounce, the stock market has climbed 8% over five sessions.

While stocks climb, the dollar continues to tumble. It now trails a basket of major foreign currencies by 1.6%. Most of that is owed to a resurgent euro, which was last quoted at $1.365 for a 2.0% gain. The euro's rally follows commitment to a bank recapitalization plan by France President Sarkozy and Germany Chancellor Merkel. DJ30 +265.05 NASDAQ +73.99 SP500 +32.00 NASDAQ Adv/Vol/Dec 1935/465 mln/315 NYSE Adv/Vol/Dec 2765/215 mln/145

10:35 am : The dollar index has been on a downtrend all morning, which has been providing price support to the commodity complex, excluding the livestock sector (lean hogs futures -1.4%, live cattle -0.4%)

Crude oil has been in positive territory all session and added to its gains when U.S. equity markets opened. Minutes ago, crude hit a new session high of $85.92/barrel and is currently up 3.5% at $85.84/barrel. Natural gas is currently 1.3% higher at $3.53/MMBtu.

Precious metals are showing solid gains as well this morning. Gold ran as high as $1673.10/oz two hours ago and is currently up 1.9% at $1667.40/oz. Silver is the best performing commodity in the CRB Commodity Index this morning with gains of over 4%. Silver's session high of $32.34/oz was hit around 8:00am EST, and after moving higher in recent activity and breaking through the $32 level, silver is back near that high; now at $32.31, up 4.2%.DJ30 +271.29 NASDAQ +75.13 SP500 +32.51 NASDAQ Adv/Vol/Dec 1966/331 mln/343 NYSE Adv/Vol/Dec 2730/167 mln/145

10:00 am : The S&P 500 has pushed past the 1180 line, moving to its best level of October. Buying has been broad based, such that all 10 major sectors are up by 1% or more.

Materials have replaced financials as the top performing sector. Materials are up 3.3% amid strength in diversified metals and mining plays. Still, financials aren't far behind; they're up 3.2% amid strength in banks and diversified financial services issues. Utilities, up 1.0%, are at the back end of the bunch. DJ30 +222.59 NASDAQ +57.25 SP500 +26.27

09:45 am : The major equity averages are up sharply this morning. The effort has the broad market back in touch with its 50-day moving average for the first time in more than two months.

Financials dragged on trade this past Friday, but the sector is leading this morning. It is already up 3.0% as bank stocks and diversified financial services stocks bounce. Many are taking their cues from European banks, which have been bid sharply higher in response to a more concerted, unified commitment by Europe's officials to shore up financial institutions in their region. DJ30 +210.01 NASDAQ +45.86 SP500 +22.95 NASDAQ Vol N/A NYSE Vol N/A

09:15 am : S&P futures vs fair value: +19.70. Nasdaq futures vs fair value: +35.00. Stock futures suggest that the cash market will open with a gain in excess of 1%. That would build on last week's positive performance, which saw the S&P 500 climb about 2% as market participants showed an increased willingness to take on risk. As was the case last week, the positive tone to premarket trade has come in response to more concerted efforts by Europe's officials to commit resources to the stabilization of the region's banks and financial institutions. That has helped bolster buying interest in the euro, but put pressure on the dollar, which was last quoted with a 1.3% loss against a basket of major foreign currencies. The dollar's deep decline and the generally positive tone of premarket trade is helping to prop up commodity prices, which are collectively up more than 1%, according to the CRB Commodity Index. As for bonds, the market is closed today in observance of Columbus Day.

09:05 am : S&P futures vs fair value: +19.70. Nasdaq futures vs fair value: +35.00. Following a 4.5% weekly gain, oil prices are up another 2.0% to $84.60 per barrel in the first few minutes of pit trade today. In the backdrop is news of violence in the streets of Egypt. Meanwhile, natural gas prices are up 1.1% to $3.52 per MMBtu after they tumbled 3.1% last week. Among precious metals, gold prices are up 1.9% to $1667 per ounce after a 0.8% gain last week. Silver prices ascended 3.2% last week and are up this morning by another 3.5% to $32.07 per ounce. Overall strength in the commodity complex has the CRB Commodity Index up 1.2%.

08:35 am : S&P futures vs fair value: +18.70. Nasdaq futures vs fair value: +32.20. Europe's bourses are up with varied gains today. The effort follows news that officials in the region plan to recapitalize eurozone banks. Although no specifics are currently public, the plan has been backed by France's Sarkozy and Germany's Merkel. News of the plan comes after Italy and Spain were both downgraded by analysts at Fitch, while analysts at Moody's downgraded a bevy of banks in the United Kingdom and Portugal. Earlier today analysts at S&P affirmed their AAA rating on France. France's CAC has climbed to a 0.9% gain. BNP Paribas is showing leadership. Germany's DAX has responded by moving up to a 0.4% gain. Buying has been broad based, but Volkswagen is sporting the best percentage gain -- it is up almost 4%. Britain's FTSE is currently up 0.8%. ARM Holdings, Anglo American, and Rio Tinto (RIO) are in the strongest shape. Lloyds Group (LYG) is also in strong shape, despite news that it will incur a substantial markdown on its real estate portfolio.

Overnight action in Asia left Hong Kong's Hang Seng to settle unchanged after a late-session slide. Property plays were a primary point of weakness, as were energy plays like PetroChina (PTR) and Sinopec. It was announced over the weekend that Sinopec has made a move to acquire Canada-based Daylight Energy. During the weekend it was also announced that China cut fuel prices. Mainland China's Shanghai Composite re-opened after holiday observance kept it closed for all of last week. It slid to a 0.6% loss.

08:05 am : S&P futures vs fair value: +19.30. Nasdaq futures vs fair value: +33.00. Coming off of a 2% weekly gain, stocks appear poised to start the new week on a positive note. Premarket bidding comes as the bourses of Europe sport varied gains following commitment by France and Germany to support the region's banking institutions through a recapitalization plan. That commitment comes after analysts at Fitch cut their debt ratings on Italy and Spain, and analysts at Moody's downgraded the debt of a bevy of banks in the United Kingdom and Portugal. The U.S. equity market will maintain regular trading hours today, but the bond market is closed in observance of Columbus Day. There are no economic releases on tap.

06:53 am : [BRIEFING.COM] S&P futures vs fair value: +19.70. Nasdaq futures vs fair value: +31.80.

06:53 am : Nikkei...Holiday......... Hang Seng...17711.06...+4.10...0.00.

06:53 am : FTSE...5353.36...+50.00...+0.90%. DAX...5701.44...+25.70...+0.50%.

In Play 

4:32PM Vringo's compliance plan accepted and extension approved by NYSE Amex (VRNG) 1.42 -0.11 : Co announced that the NYSE Amex has accepted the Co's revised plan for regaining compliance with the Exchange's listing standards. While the Co is not currently in compliance with Section 1003(a)(iv) of the Exchange's Co Guide, the Exchange determined that the Co has made a reasonable demonstration of its ability to regain compliance by the end of the revised plan period and has extended the Co's listing until December 31, 2011.
4:16PM Recovery Energy announces one-for-four reverse common stock split effective Oct 12 for purpose of qualifying for NASDAQ or Amex listing requirements (RECV) 1.28 -0.12 :
4:11PM Rex Energy appoints Thomas Stabley as CEO and Patrick McKinney as President (REXX) 13.19 +1.56 : Stabley will continue to serve as Chief Financial Officer while the company conducts a search for his replacement. McKinney will continue to serve as Chief Operating Officer (COO) and, in his expanded role as President, will take a more active role in the company's growth strategy and risk management.
4:08PM Mistras Group reports Q1 revenues grew 34% y/y to $91.4 mln, Capital IQ consensus $80.7 mln; reports EPS of $0.11, in line with consensus (MG) 19.46 -0.14 : Organic growth contributed the bulk of the revenue gain. In the first quarter of fiscal 2012, the organic growth rate was 19%, while acquisition growth was 12% and the balance of growth was due to foreign currency fluctuations. The Company's outlook is for continued double digit growth in revenue and Adjusted EDITDA*. The Company is affirming its previously issued guidance for fiscal 2012 revenues to be in the range of $375 million to $390 million (Capital IQ consensus $388.62 mln) and Adjusted EBITDA to be in the range of $59 million to $64 million. Mistras does not provide specific guidance for individual quarters, but will update its annual guidance at least quarterly.
4:06PM HollyFrontier and Holly Energy Partners (HEP) announce agreement in principle for acquisition of pipeline and tankage assets for $340 mln (HFC) 30.48 +2.24 : Cos announced that their respective Boards of Directors have approved the acquisition by HEP from HFC of certain pipeline, tankage, loading rack and crude receiving assets located at HFC El Dorado, Kansas and Cheyenne, Wyoming refineries for $340 mln. The purchase price of $340 mln is expected to be paid in promissory notes with an aggregate original principal amount of $150 mln and ~ 3.8 mln Holly Energy common units valued at $190 mln. HEP expects that this acquisition will result in an estimated $47 million of incremental annual revenue and that the transaction will be accretive to unit holders.
4:04PM Red Lion Hotels has signed franchise license agreement for a hotel in New Mexico (RLH) 6.99 +0.16 : The hotel has begun the conversion process and is expected to open as Red Lion Hotel this fall, along with the two previously announced New Mexico properties.
4:04PM Sally Beauty announces a 15 mln share common stock offering by selling shareholders (SBH) 17.55 +0.55 : BofA Merrill Lynch, Credit Suisse, Goldman, Sachs and Barclays Capital are serving as joint book running managers for the offering, and Robert W. Baird & Co. and Wells Fargo Securities are serving as co-managers.
4:02PM Navigators Group announced the retirement of Francis McDonnell as Chief Financial Officer effective as of Oct 31, 2011 (NAVG) 44.55 +1.14 : Ciro DeFalco, the Company's Senior Vice President, Finance, will serve as the Company's interim Chief Financial Officer
4:01PM Tenet announces Des Peres hospital appoints John Grah new hospital CEO (THC) 4.41 +0.06 : Grah previously served as chief operating officer of Providence Memorial Hospital and The Children's Hospital at Providence in El Paso, Texas.
4:01PM Roche Hldg announces study shows co's drug for Alzheimer's Disease removes amyloid plaques from the brain was published (RHHBY) 41.39 +1.19 : Co announced the publication of a study demonstrating that its monoclonal antibody gantenerumab removes amyloid plaques from the brain of patients with Alzheimer's disease. The study was published in the October issue of Archives in Neurology. It is the first time that clinical data has been published for gantenerumab, an investigational compound with a mechanism of action targeted at the early stages of Alzheimer's disease. Results from Phase I clinical trials and ex vivo studies demonstrated that gantenerumab treatment results in a dose-dependent reduction of brain amyloid, possibly through phagocytosis via brain microglial cells, whereas amyloid load increased in patients receiving placebo treatment.
3:54PM Last half hour swing again for stock indices with Dow +291 able to set a fractional new session high -- S&P +34, Nasdaq Comp +75 (SPY) :  

3:31PM Currency Chart Watch: Dollar Index continues to push off support (TECHX) : Noted in the 12:46 update that the Dollar Index has tested support at 77.38/77.30 (38% retracement of the July-Oct surge and the late Sep reaction low, session low 77.34). It has extended the intraday rebound in recent action to 77.62 contributing to the recent pause in the Energy/Commodity sectors. Momentum/gains have been relatively limited thus far with short term resistance above at 77.80/77.90. A more important chart point does not come into play until 78.06 (last Friday low).

3:19PM AT&T holds up as indices slip back slightly off highs (T) 29.02 +0.58 : Stock has recently notched a new session high of 29.02, its late Sep reaction high and 200 ema is at 29.09/29.12 with the Sep peak at 29.18.

3:16PM Relative Sector Weakness (TECHX) : Sectors that are underperforming the S&P as it pulled back modestly include: Finance XLF, Reg Bank KRE, Disk Drive, Oil Service OIH, Networking IGN, Silver SLV, Steel SLX, Retail XRT, Housing XHB.

3:10PM Stock indices break below midday range lows -- Dow +255, S&P +30, Nasdaq Comp +65 (SPY) :  

3:00PM Stock indices slip back to lower end of narrow midday ranges -- Dow +262, S&P +31, Nasdaq Comp +69 (SPY) :  

2:33PM NYMEX Energy Closing Prices (COMDX) : Crude oil settled higher by $2.43 at $85.41, natural gas rallied for 6 cents to close at $3.54, heating oil ended up 5 cents at $2.91, while RBOB gasoline finished higher by 5 cents at $2.70 (all Nov contracts).

2:16PM CBOT Agriculture, Ethanol and Sugar Closing Prices (COMDX) : Corn settled higher by 4 cents to $6.04, wheat rose 4 cents to end at $6.11, soybeans were 21 cents higher at $11.80, ethanol rose 3 cents to close at $2.42, while sugar fell 0.49% at $0.26.

2:15PM IBM climbs higher intraday as it elevates up into modest all-time high territory to probe the $186.00 level (IBM) 185.96 +3.61 : Previous July intraday/all-time high was at $185.63.

1:40PM Kinetic Concepts issues prelim Q3 results to assist prospective debt financing sources (KCI) 67..40 +0.54 : Co is providing this information to assist prospective debt financing sources in evaluating the results of operations. Preliminary total revenue for the third quarter of 2011 was $529.0-533.0 mln (vs. $525.56 mln Capital IQ Consensus Estimate). Foreign currency exchange movements favorably impacted total revenue by ~2% for the third quarter of 2011 compared to prior year. Preliminary net earnings for the third quarter of 2011 were $89.0 mln to $93.0 mln, an increase of 17% to 23% y/y. On a non-GAAP basis, excluding the effects of certain acquisition-related costs associated with our 2008 purchase of LifeCell and charges recorded in the third quarter of 2011 associated with restructuring activities and with our anticipated merger, preliminary net earnings were $104.1 mln to $108.1 mln for the third quarter of 2011, up 21% to 25% y/y. Preliminary Adjusted EBITDA was $742.3 mln to $746.3 mln for the twelve month period ended September 30, 2011. Preliminary total cash at quarter end was $656.8 mln compared to $316.6 mln at December 31, 2010. (Briefing note: KCI is in process of being acquired by Apax consortium for $68.50 per share in cash pending results of the shareholder vote to approve the proposed merger, regulatory approvals and the satisfaction of other customary closing conditions. As of Oct 6, co said the merger is expected to close in the first part of November.)

1:33PM COMEX Metals Closing Prices (COMDX) : Gold rallied for $35.70 to close at "671.50, silver gained 98 cents to finish at $31.97, while copper prices ended up a penny at $3.37 (all Dec contracts).

1:18PM After better than two hours of limited range trade the S&P +33 is back hovering slightly under its range/early high at 1190 (SPY) : Dow +280, Nasdaq Comp +74

1:00PM DepoMed announces new once-daily GRALISE now available for after-shingles pain (DEPO) 5.47 +0.02 : Co announced that GRALISE tablets are now available as a new once-daily treatment for postherpetic neuralgia (PHN), the pain following healing of the rash associated with shingles. GRALISE has no branded or generic equivalent and is not interchangeable with other gabapentin products. "Starting today, our sales force is introducing this new once-daily therapy for PHN to physicians and pharmacists. We have also received positive reactions from insurers and we expect to have broad managed care coverage."

12:46PM Currency Chart Watch: Dollar Index meets retrace level (TECHX) : After staging a range breakout in Sep the Dollar Index was able to climb vertically into last week's high of 79.83. The subsequent reversal has been appreciably extended today bringing the 38% retracement of the July-Oct surge and the late Sep reaction low at 77.38/77.30 into play in recent trade (session low 77.34). If some corrective trade does develop off this support, there is resistance in the 77.80/77.90 area. Sustained gains through 78.06 (last Friday low) would be needed to begin to improve the pattern off last week's peak (Click for chart).

12:05PM Relative Strength in REITs IYR, Finance XLF, Reg Bank KRE, Ag/Chem MOO, Materials XLB in recent trade (TECHX) :  

12:01PM streetTRACKS Gold Shares climb to fresh highs as buyers elevate it up into the $163.00 level, just under its 20-day ema at $164.22 (GLD) 162.89 +3.72 : GDX

11:48AM General Electric vacillating near its 50 ema and session high at 16.06/16.09 (GE) 16.04 +0.54 : If able to sustain a break the next near term resistance area is at 16.30/16.39 (congest, Aug/Sep range close high) with the range intraday peaks at 16.45/16.54).

11:35AM SkyWest reported a 43.2% increase in departures to ~112.4K for September compared to 78,500 for the same period last year (SKYW) 11.82 +0.22 : Passenger boardings for September increased 44.4% YoY Co also reported a 51.8% increase in revenue passenger miles for September, while available seat miles increased 49.9% YoY.

11:05AM Crude Oil probes 50 day (TECHX) : The Continuous Crude Oil chart is vacillating between its 50 day averages at 85.41/86.14 (session high 86.09).  Front month Nov is between its 50 sma/ema at 85.71/86.46 while the Oil Fund (USO) is between its 50 sma/ema at 33.14/33.45 (session high 33.30).

11:00AM Masimo received Japanese Ministry of Health Labor & Welfare regulatory clearance for its Rad-87 Pulse CO-Oximeter with rainbow Acoustic Monitoring technology (MASI) 22.72 +0.56 :  

10:58AM DARA BioSciences: KRN5500 demonstrated significant decrease in the intensity of neuropathic pain in patients with cancer (DARA) 1.97 +0.11 : Co announced the Journal of Pain and Symptom Management, an internationally respected, peer-reviewed journal, has published results of a Phase II safety and efficacy study of KRN5500 for the treatment of neuropathic pain in patients with cancer. The study showed KRN5500 demonstrated a statistically significant improvement in the relief of neuropathic pain versus placebo.

10:55AM KBW Regional Bank ETF displaying relative strength in recent trade (KRE) 20.86 +0.93 : Solid 2% upside extension over last 20 minutes for the KRE (BOH, CVBF, FMER, FULT, MBFI, ONB, PACW, SBNY, SIVB, UMPQ, WTFC, FNB, CBU, TCBI, CATY, EWBC, WTNY).  Its session high is at 20.88 which is just under its 50 sma at 20.91.  Last week's high and its 50 ema are at 21.15/21.13.

10:28AM NetApp vacillating near its Sep peak and 50 ema at 38.69/38.79 -- session high 38.73 (NTAP) 38.73 +1.44 :  

10:23AM S&P +32 joins Dow +272 and Nasdaq Comp +75 above both its 50 sma and 50 ema (SPY) :  

10:12AM Terex enters agreement to acquire controlling interest of Ritz do Brazil; financial terms not disclosed (TEX) 12.48 +0.79 :  

10:09AM Telus and mPortal confirm launch of TELUS App House for smartphone users using mPortal's SPRINGBOARD (TU) 48.33 +0.68 :  

10:08AM Las Vegas Sands and the Casino/Gaming sector continues to display relative strength (LVS) 43.81 +2.19 : A new high in recent trade of 43.92 leaves the stock slightly under its 200/50 sma at 43.95/44.10 (session high 43.92).

9:58AM No let up yet with stock indices pushing to new session highs -- Dow +228, S&P +26, Nasdaq Comp +55 (SPY) : Sectors that have outperformed the S&P on a relative basis include: Energy XLE, Oil Service OIH, Refiners (WNR, VLO, SUN, TSO, ALJ, MPC), Commodity Index, Ag/Chem MOO, Silver SLV, Coal KOL, Steel SLX (Dollar Index sharply lower) along with Disk Drive, Casino, Machinery, Education.

9:50AM Jabil Circuit extends gap higher start back near its 200 sma at 19.43 -- session high 19.39 (JBL) 19.34 +0.74 :  

9:42AM Nasdaq Comp +47 edges to new high of 2526 after gap up open, its 50 ema comes in at 2536 (QQQ) :  

9:40AM Dow +211 stages follow through on opening run, approaching its 50 ema at 11318 -- session high 11314 (DIA) :  

9:38AM Crude oil futures spike to highs at $85.26; now up $2.24 to $85.22 (COMDX) :  

9:37AM S&P extends solid open slightly above its 50 sma at 1176 -- session high 1178 (SPY) : The last time the index traded/closed above the 50 sma was late July.

9:35AM Ross Stores gaps higher, breaks above its previous 52-wk high from May at 83.11 -- session high 83.64 (ROST) 83.23 +1.24 :  

9:34AM Procter & Gamble solid open edges slightly above highs of last two weeks at 64.40 (PG) 64.42 +0.51 : Its better than two month high from Mid-Sep comes in at 64.70 (session high 64.45).

9:32AM Motorola Mobility announced that Henan Cable has deployed Motorola M3 Media Server for both Video On Demand and Network Digital Video Recording (MMI) 38.01 +0.10 :  

9:25AM On The Wires (WIRES) :

• Astronics Corporation (ATRO) announced that its wholly-owned subsidiary, Luminescent Systems has been chosen by Cessna Aircraft Company, a Textron (TXT) company, to supply illuminated instrument panels for the recently announced Citation M2.
• The NASDAQ OMX Group (NDAQ) announced it will introduce UltraFeedSM, a data feed that aggregates all North American equity, options, futures and index data feeds.

9:17AM On The Wires (WIRES) :

• SearchMedia Holdings (IDI) announced that the NYSE Amex has notified the Company that it has regained compliance with the continued listing standards set forth in Section 704 of the NYSE Amex Company Guide and accepted the Company's plan of compliance.
• Emerson Network Power, a business of Emerson (EMR) has been selected by the National Broadband Network Company to design, supply, install, and commission 10 network facilities centers across Australia as part of the rollout of Australia's National Broadband Network.
• Honeywell (HON) and Sinochem Group announced they have signed an agreement to form a 50/50 joint venture to produce and sell blowing agents for energy efficient foam insulation in China to meet growing demand in the Asia region for more energy efficient and environmentally friendlier materials.
• SunEdison, subsidiary of MEMC Electronic Materials (WFR) announced that KGAL GmbH & Co. has recently acquired 33 megawatts of solar photovoltaic systems located in Italy and Spain from SunEdison.

9:16AM STR Holdings secured a new $150 mln credit facility (STRI) 8.68 :  

9:15AM Insituform Tech announces $10 million share repurchase plan (INSU) 12.66 :  

9:09AM SearchMedia plan of compliance accepted by NYSE Amex (IDI) 1.65 :  

9:06AM Sunstone Hotel has refinanced the $270 million loan secured by interests in the 460-room Doubletree Guest Suites Times Square (SHO) 5.07 : Co announced today that it has refinanced the $270 million loan secured by interests in the 460-room Doubletree Guest Suites Times Square. The co also announced the sale of the first mortgage note held in conjunction with its sale of the Royal Palm hotel in April 2011. As a result of changing conditions in the credit markets, the Note was sold at a 12% discount to face value, resulting in net proceeds of ~$79.2 million. The co retains a previously disclosed earn-out right on the Royal Palm hotel which entitles Sunstone to receive future payments of up to $20 million in the event that the hotel achieves certain return hurdles. "Adjusting for these two transactions, Sunstone's current unrestricted cash balance exceeds the $95 million aggregate amount of debt that matures through April of 2015. While we expect continued growth in comparable property-level earnings in 2012 and beyond, the Company now has ample liquidity to execute its business strategy in nearly any economic environment."

9:03AM Boardwalk Pipeline and Southwestern Energy (SWN) announce 15-year definitive gas gathering agreement in the Marcellus Shale; expected to cost ~ $90 mln (BWP) 24.58 : Co announced that their subsidiaries, Boardwalk Field Services and Southwestern Energy Production Company, have executed a 15-year definitive gas gathering agreement which will require construction of a natural gas gathering system in Susquehanna and Lackawanna Counties, Pennsylvania. BWP will own and operate the gas gathering system that will support Southwestern's development of Marcellus Shale gas wells in these counties. The gathering system is expected to cost ~ $90 million and will be comprised of ~ 26 miles of 12" high pressure gas pipeline.

9:02AM Cardium Therapeutics announces FDA 510(k) clearance for U.S. marketing and sale of Excellagen (CXM) 0.13 : Co announced that it has received 510(k) clearance from the FDA to market and sell the co's new Excellagen professional-use, sterile, syringe-based advanced wound care product for the management of diabetic foot ulcers and other dermal wounds. Directions for use indicate the application of Excellagen immediately following surgical debridement, which is routinely practiced in the treatment of diabetic foot ulcers and other dermal wounds.

9:02AM Star Bulk Carriers announces signing of $64.5 mln loan facility with HSH Nordbank (SBLK) 1.22 : Co announced that it has entered into a new $64.5 million secured term loan agreement with HSH Nordbank, which has up to a five year term and bears interest at LIBOR plus a margin. The borrowings under this new loan agreement together with $5.3 million in cash were used to repay in full the Company's two existing loan facilities with Piraeus Bank as agent and lender, respectively.

9:00AM Orchid Cellmark: LabCorp (LH) extends tender offer for all outstanding shares of ORCH until 5:00 p.m., New York City time, on Nov 4, 2011 (ORCH) 2.61 : Co received a request from the FTC for additional information under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, applicable to the acquisition of Orchid by LabCorp. LabCorp previously extended its tender offer to October 7, 2011.

9:00AM Dynavax Technologies reports positive immunogenicity data from an analysis of hypo-responsive populations in HEPLISAV Phase 3 trial (DVAX) 1.83 : Co announced immunogenicity data for subpopulations known to be hypo-responsive to currently licensed hepatitis B vaccines from its Phase 3 trial. The Phase 3 study was a multi-center, observer-blinded study to determine if the immunogenicity of two doses of HEPLISAV was non-inferior/superior to three doses of Engerix-B by comparing seroprotection rates  at eight weeks post last dose in healthy adults over age 40.

8:55AM Targacept initiates a Phase 2b Study of AZD3480 in Alzheimer's Disease (TRGT) 15.30 : Co announced the initiation of a potential registration study of AZD3480 in mild to moderate Alzheimer's disease. AZD3480 is licensed to AstraZeneca (AZN) pursuant to a collaboration agreement focused in cognitive disorders. Under a prior amendment to the collaboration agreement, it was agreed that Targacept will conduct and bear all costs and expenses for the study and that AstraZeneca will pay Targacept for certain events with respect to the study.

8:45AM On The Wires (WIRES) :

• Clayton Williams Energy (CWEI) announced that it had terminated all of its existing 2012 and 2013 oil hedges for cash proceeds of $50 mln. The terminated contracts covered ~ 2.6 mln barrels of oil production for 2012 and ~1.2 mln barrels for 2013.
• IsoRay (ISR) announced that MD Anderson Cancer Center has initiated orders of Cesium-131 brachytherapy seeds as it continues its clinical research study investigating brachytherapy's ability to help control intermediate risk prostate cancer.
• Ligand Pharmaceuticals (LGND) announced that it has entered into a global licensing agreement with Chiva Pharmaceuticals for Fablyn that was approved in the EU in 2009 for the treatment of osteoporosis in post-menopausal women at increased risk of fracture.
• Nevada Gold & Casinos (UWN) announced that the Company reached an agreement with Wells Fargo Gaming Capital to refinance $11.0 mln of the Company's existing debt and pay fees associated with the transaction. 
• Aqua America (WTR) announced that its Texas subsidiary has purchased the water system assets of a subdivision called Dancing Bear in Medina County, which is about 25 miles west of San Antonio. Aqua paid $126,000 for the system.
• Elbit Systems of America (ESLT) has been awarded a five-year, $23 million Indefinite Delivery/Indefinite Quantity National Maintenance Contract by the US Army Communications-Electronics Command.
• KIT digital (KITD) and Harmonic (HLIT) today announced a strategic partnership that harnesses their complementary product portfolios to offer an end-to-end multiscreen video architecture optimally managed for maximum performance.
• Magellan Health Services (MGLN) announced that it is creating a new pharmacy business unit to better align resources, identify synergies and best position the company to expand its presence in this dynamic marketplace.
• Alliant Techsystems (ATK) announced that its Eagle Industries business has received a five year, $50 million indefinite delivery, indefinite quantity contract from Marine Corps Systems Command to produce the U. S. Marine Corps' new USMC Pack. Initial contract work will be performed in its two Puerto Rico.
• Ampio Pharmaceuticals, (AMPE) announced the acceptance for presentation at the American Association of Orthopedic Surgery meeting in February 2012 in San Francisco, CA of a publication describing a study of 22 patients undergoing surgical removal of orthopedic devices in which all the extracted biofilms were found to contain various levels of the low molecular weight diketopiperazine. 
• Affymax (AFFY) and Takeda Pharmaceuticals announced data from multiple studies of peginesatide have been accepted for presentation at the American Society of Nephrology Kidney Week 2011.
• China GrenTech (GRRF) announced the appointment of Gordon Tsang Hing Lun to its Board of Directors as an independent director effective September 20, 2011. He has experience in the areas of corporate finance, accounting and corporate governance.

8:32AM FuelCell Energy announced the sale of a 1.4 megawatt Direct FuelCell power plant to Greenwood Energy (FCEL) 0.92 :  

8:31AM Apple announced iPhone 4S pre-orders top one mln in first 24 hours (AAPL) 369.81 : Co announced pre-orders of its iPhone 4S have topped one million in a single day, surpassing the previous single day pre-order record of 600,000 held by iPhone 4.

8:31AM Morgans Hotel Group to sell its London hotels for ~$295 mln (MHGC) 5.91 : Co announced that the joint venture partners have entered into a definitive agreement to sell the Sanderson and St Martins Lane hotels for 192 mln pounds Sterling, or ~$295 mln, to Capital Hill Hotels Limited, a Middle Eastern investor with other global hotel holdings. The sales price for the two hotels represents a value of ~542,000 pounds, or $832,000, per room. Co is the operator and 50% owner of the London joint venture that owns Sanderson and St Martins Lane. Co will continue to operate the hotels under long-term management agreements.

8:13AM Allos Therapeutics announced it continues to work toward completion of merger with AMAG Pharmaceuticals (AMAG) (ALTH) 1.74 : Co announced that it continues to work with AMAG Pharmaceuticals (AMAG) towards the completion of their merger, pending stockholder approval and satisfaction of the other conditions to closing described in Allos' definitive proxy statement filed with the SEC on September 15, 2011.  As a result, ALTH is no longer providing information to, or engaging in discussions or negotiations with, that company with respect to the revised acquisition proposal or any other acquisition proposal.

8:04AM Grupo Aeroportuario Sept. traffic +10.2% YoY (OMAB) 13.94 : Co reports that terminal passenger traffic at its 13 airports increased 10.2% in September 2011, as compared to September 2010. Domestic traffic increased 12.2%, and international traffic decreased 2.2%.

8:02AM Netflix confirms it will not rename its DVD-by-mail service; U.S. members will continue to go to the Netflix website for both unlimited streaming and unlimited DVDs (NFLX) 117.21 : Co announced that U.S. members will continue to use one website, one account and one password for their movie and TV watching enjoyment under the Netflix brand. "Consumers value the simplicity Netflix has always offered and we respect that. There is a difference between moving quickly, which Netflix has done very well for years, and moving too fast, which is what we did in this case."

8:02AM Genpact Acquires High Performance Partners; Financial terms were not disclosed (G) 14.79 : Co announces that it has acquired High Performance Partners, LLC and their Quantum Mortgage Technology. Genpact had previously announced an initial equity investment in HPP in March 2010 and now owns 100 percent of the company. Financial terms were not disclosed

8:02AM Keynote Systems to acquire DeviceAnywhere for $60 mln (KEYN) 22.81 : Co signed a definitive agreement to acquire privately-held Mobile Complete, doing business as DeviceAnywhere, a enterprise-class cloud-based platform for testing and monitoring mobile websites and apps, for approximately $60.0 million in cash plus a potential earn-out. "In addition, the acquisition will expand our addressable market into the immediately adjacent enterprise mobile testing and quality assurance space, which we project could enable us to grow this into a $100 million business."

8:02AM Ligand Pharma enters into global licensing agreement with Chiva Pharmaceuticals for Fablyn (LGND) 13.19 : Co has entered into a global licensing agreement with Chiva Pharmaceuticals for Fablyn (lasofoxifene), a selective estrogen receptor modulator (SERM) that was approved in the EU in 2009 for the treatment of osteoporosis in post-menopausal women at increased risk of fracture. In return for the license, Ligand will receive $4 mln in licensing payments over the next eight months and is also eligible to receive milestones and royalties on worldwide sales of Fablyn.

8:01AM Investment Tech announced that Sept 2011 US trading volume was 4.1 billion shares and average daily volume was 193 million shares (ITG) 9.68 : Co announced that Sept 2011 US trading volume was 4.1 billion shares and average daily volume was 193 million shares. This compares to 5.7 billion shares and ADV of 248 million shares in August 2011 and 3.3 billion shares and ADV of 158 million shares in September 2010. There were 21 trading days in both September 2011 and September 2010 and 23 trading days in August 2011.

8:01AM Insmed announced that it has been notified by the FDA that it is continuing the clinical hold previously placed on Insmed's phase 3 clinical trials for ARIKACE (INSM) 4.35 : Co announced that the Company has been notified by the FDA that it is continuing the clinical hold previously placed on Insmed's phase 3 clinical trials for ARIKACE in Cystic Fibrosis patients with Pseudomonas lung infections. Insmed has not yet received a response from FDA regarding the clinical hold previously placed on Insmed's phase 3 clinical trials for ARIKACE in patients with non-tuberculous mycobacterial lung disease. Co has been informed by FDA that, based on its review of the information provided to date, including the rat inhalation carcinogenicity study results, the agency has insufficient information to assess the risks for ARIKACE in CF patients.

8:01AM Sara Lee to sell Fresh Bakery Business in Spain and Portugal to Grupo Bimbo (GRBMF.PK) for EUR 115 mln (SLE) 16.45 : Co announced an agreement to sell its fresh bakery businesses in Spain and Portugal to Mexico's Grupo Bimbo S.A.B. (GRBMF.PK) for EUR115 mln (~$154 mln at current exchange rates) in cash. The agreement includes all Sara Lee fresh bakery brands in Spain and Portugal as well as seven manufacturing facilities. The transaction, which is subject to customary closing conditions and regulatory clearance, is expected to close within 60 days.

8:01AM Copa Holdings reports Sept passenger traffic stats; says consolidated traffic grew 26.4% (CPA) 61.45 : Co released preliminary passenger traffic statistics for September 2011. ASMs rose 22% YoY; RPMs rose 26.4% YoY, while load factor increased 2.5% YoY to 73%.

8:01AM W.R. Berkley's estimate of catastrophe losses in the third quarter of 2011 is $50-$60 mln, before tax (WRB) 28.99 : The co's loss estimate is net of reinsurance recoveries and is inclusive of reinstatement premiums.

8:01AM Odyssey Marine discovers a shipwreck that was torpedoed during the World War I while carrying a shipment of silver (OMEX) 2.63 : Co announces it has discovered a shipwreck that was torpedoed during the World War I while carrying a shipment of silver. A Claim for GBP110,000 (in 1917 value) for silver that was on board the ship when she sank. This sum would equate to more than 600,000 ounces of silver based on silver prices in 1917. Co will retain 80% of the net salved silver value recovered. Co states its share of this recovery in 2012 will contribute significantly to operational funding.

7:53AM Renaissance Learning receives unsolicited, revised definitive acquisition proposal from Plato Learning for $16.90/share in cash (RLRN) 16.66 : Co announced that it has received an unsolicited, revised definitive acquisition proposal from Plato Learning. Under the revised definitive proposal, Plato Learning proposes to acquire all of the outstanding shares of Renaissance Learning for an aggregate purchase price of ~ $496.0 mln , which is financially equivalent to the acquisition of all of the outstanding shares of Renaissance Learning for $16.90 per share in cash. Under the revised definitive proposal, the additional consideration payable under the revised terms of the proposed acquisition would be financed with an additional $25.0 mln in equity. Co previously announced that Renaissance Learning and the Permira Funds entered into an amendment to the definitive merger agreement dated August 15 under which a company formed at the direction of the Permira Funds will acquire all of the outstanding shares of Renaissance Learning. Under the amended merger agreement, an affiliate of the Permira Funds will acquire all of the outstanding shares of Renaissance Learning held by the Paul Shareholders for $15.00 per share in cash, and will acquire all other outstanding shares of Renaissance Learning for $16.60/share in cash, for an aggregate purchase price of approximately $455.0 mln, which is financially equivalent to the acquisition of all of the outstanding shares of Renaissance Learning for $15.50/share in cash.

7:34AM On The Wires (WIRES) :

• Wave Systems (WAVX) announced the company's expansion into Europe, the Middle East and Africa to capitalize on the growing demand for computing security.
• MagnaChip Semiconductor (MX) announced that it will begin supplying display driver ICs to be used in the new AMOLED display panels for Samsung's Galaxy S2 LTE smartphone.
• Bovie Medical (BVX) announced that it received a patent for a laparoscopic electrosurgical electrical leakage detection device.
• Kratos (KTOS) announced it receives an award with a potential value of $8 million contract award from U.S. Army research, development and engineering command.
• NICE Systems (NICE) announced that it has expanded its partnership with Intrado by entering into a distribution agreement with Intrado's call handling business.
• ICF International (ICFI) has won a re-compete contract with the Centers for Disease Control and Prevention to provide data management support and technical assistance to more than 40 CDC-funded grantees. The contract has a value of $9.7 mln and a term of one base year and four option years.
• United Therapeutics (UTHR) announced that its subsidiary, Unither Virology has been awarded a contract for up to ~ $45 mln under a Broad Agency Announcement from the National Institute of Allergy and Infectious Diseases.
• Keyuan Petrochemicals (KEYP) announced that it has completed the construction of its Styrene-Butadiene-Styrene production facility located in Ningbo, Zhejiang Province. Co remains confident in achieving ~80% utilization rate for this new facility in 2012.
• AAI Unmanned Aircraft Systems, an operating unit of Textron (TXT) announced the introduction of the Shadow M2 Tactical Unmanned Aircraft System at the Association of the U.S. Army 2011 Annual Meeting & Exposition.

7:31AM Cal Dive Intl announced today that an amendment to its credit facility; revolving credit facility will be reduced from $300 million to $150 million (DVR) 1.74 : Co announced that an amendment to its credit facility, which matures in April 2016, has been approved. In connection with the amendment, the primary financial covenants included in the credit facility will be amended, and the size of the revolving credit facility will be reduced from $300 million to $150 million. The Company had outstanding borrowings of $34 million under the revolving facility as of June 30, 2011. Neither the $150 million term loan portion of the credit facility, nor the scheduled quarterly principal payments on the term loan will be affected by the amendment.

7:30AM Sonoco Products to acquire Tegrant for $550 mln in cash; transaction is expected to be accretive to Sonoco's 2012 pro forma earnings by ~$.10/diluted share (SON) 28.78 : According to Harris DeLoach, Jr., co's chairman and chief executive officer, the acquisition of Tegrant is the largest in Sonoco's history and will create a North American leader in multimaterial protective packaging. Tegrant is projected to generate 2011 sales of ~$440 mln. When combined, Sonoco is projected to generate sales of ~$5.0 bln in 2012. The transaction is expected to be accretive to Sonoco's 2012 pro forma earnings by ~$.10 per diluted share, including estimated adjustments for purchase accounting and ~$11 mln of expected synergies, when fully realized.

7:04AM Natus Medical lowers Q3 rev guidance; issues Q4 guidance below consensus; integration of Embla is on track (BABY) 8.63 : Co lowers Q3 rev guidance to ~$51.5 mln from ~$58 mln vs. the $58.03 mln Capital IQ Consensus Estimate; lowers Q4 EPS guidance to ~$0.15 from $0.19-0.20 vs $0.17 Capital IQ Consensus Estimate; raises revs to ~$65 mln from ~$61 mln vs $67.55 mln Capital IQ Consensus Estimate. "The revenue shortfall in the third quarter was primarily in our neurology business in both domestic and international markets where we experienced delays in orders and in the United States also a reduction in order size. Our Medix subsidiary, with newborn care products sold primarily in South America, also experienced a shortfall due to delayed orders. Our other newborn care products, including our newborn hearing screening, newborn brain monitoring, and phototherapy product lines performed to expectations in the third quarter. The integration of Embla Systems is also on track and we expect Embla to contribute $0.08 to non-GAAP earning per share in 2012."

6:48AM Pharmasset announces further expansion of ELECTRON Trial in Hepatitis C (VRUS) 80.74 : Co announces the addition of two treatment arms to the ELECTRON trial of PSI-7977, a nucleotide analog polymerase inhibitor, for the treatment of chronic hepatitis C (HCV). The rapid and consistent antiviral effects and high barrier to resistance demonstrated with PSI-7977 to date provided the rationale for additional exploratory regimens in this setting. Added PSI-7977 monotherapy arm in treatment-naive patients with HCV GT1; added PSI-7977/RBV arm in treatment experienced patients with HCV GT2/3; modified previously-announced treatment regimen in HCV GT1 prior null responders to explore IFN-free regimen of PSI-7977/RBV.

6:38AM HSBC Holdings through its wholly owned subsidiary, HSBC Credit entered into an agreement to sell ~ 94% of its Hungarian consumer finance portfolio to Cofidis (HBC) 39.27 : In addition Cofidis has agreed to take on employees currently engaged in managing this portfolio. The gross assets of the portfolio were ~ $27 mln at 31 August 2011 and the sale is expected to be concluded in the first quarter of 2012.

6:10AM On The Wires (WIRES) :

• Motorola Solutions (MSI) announced the ET1 tablet. 
• Acacia Research (ACTG) announced that a subsidiary has acquired a patent relating to hearing aid technology from a major technology company.
• PAREXEL Academy, which is operated by PAREXEL International (PRXL) announced that it has entered into an agreement with the National University of Singapore to offer an academic program in Singapore to help meet the increasing demand for talent in the field of clinical research.
• Flextronics (FLEX) and Huawei announced that they have expanded their existing supply chain partnership to include services such as reverse logistics and configure-to-order products in Hungary.

6:06AM Harry Winston Diamond provides an interim trading update in response to market volatility surrounding the euro sovereign debt crisis - the first two months of the third quarter have seen the jewelry and watch sales continue to increase (HWD) 10.50 : Co announces the first two months of the third quarter have seen the jewelry and watch sales continue to increase. Sales have been particularly strong in the US and Japan. Chinese customers represent a growing share of the clientele in all sales regions. Strong advertising of new product lines, such as Midnight watches, bridal and design jewelry, has delivered particularly strong increases while sales continue in high jewelry, co's traditional business. The mining business is modestly ahead of its production plan while joint venture cash calls have been below budget in Canadian dollars which, combined with the fall in the Canadian dollar against the co's reporting and sales currency of USD, gives an 11% reduction in joint venture operating costs for the first two months of the quarter against plan.

6:04AM Basic Energy Services reported its well servicing rig count remained unchanged at 417 as of September 30, 2011 (BAS) 15.39 : Well servicing rig hours for the month of September 2011 were 74,300 producing a rig utilization rate of 74%, a slight decrease from 75% in August 2011 and an increase from 55% in September 2010.

6:02AM Harris announced that its Board of Directors has appointed William Brown President and CEO effective November 1, 2011 (HRS) 34.51 : The Board expects to appoint Brown, 48, to the Board of Directors at its December 2011 meeting. Brown succeeds Howard Lance, who has served as CEO since January 2003. Brown joins Harris from United Technologies (UTX).

5:47AM On The Wires (WIRES) :

• Elbit Systems (ESLT) announced that its subsidiary in the US, Elbit Systems, has been awarded a five-year, $23 mln IDIQ National Maintenance Contract by the US Army Communications-Electronics Command, for depot level repair services on Elbit Systems of America's Aviator's Night Vision Imaging System Head Up Display System.
• Inovio Pharmaceuticals (INO) announced it has entered into a product development collaboration agreement with its affiliate, VGX International, to co-develop Inovio's SynCon therapeutic vaccines for hepatitis B and C infections. VGX International will receive marketing rights for these vaccines in Asia, excluding Japan, and in return will fully fund IND-enabling and initial phase I and II clinical studies.
• The Le Monde Group, Les Nouvelles Editions Independantes, and The Huffington Post Media Group, a unit of AOL (AOL) announced plans for the creation of Le Huffington Post, an international version of The Huffington Post.
• ADTRAN (ADTN) announced that Twin Lakes Telephone Cooperative, Tennessee's largest telephone cooperative, has selected ADTRAN's extensive broadband portfolio and Advanced Operational Environment services management solution for use throughout its network.

4:42AM Tower Semicon voluntarily early redeems its US Convertible Notes originally due December 2011 (TSEM) 0.63 : announced that Jazz Technologies completed a voluntary transaction to early redeem the entire remaining $35,091,000 principal amount of its outstanding 8.00% notes originally due December 31, 2011.

2:14AM Alvarion issues statement following filing by Elron Electronic Industries (ALVR) 1.04 : Co issues statement following a story in a local publication in Israel, Elron Electronic Industries submitted a filing to the Tel Aviv Stock Exchange and the Israel Securities Authority clarifying the status of discussions between Elron and Alvarion regarding the potential sale of Wavion, a co in which Elron owns a 67% interest, to Alvarion. The item in the local publication and the filing appeared in Hebrew. Therefore, Alvarion wishes to clarify for all audiences that, as described in Elron's filing, Elron and Alvarion have been in discussions regarding the possibility of a transaction, but there can be no assurance that the parties will reach an agreement, or that a transaction will be consummated or what the terms of such a transaction might be. Alvarion also reiterated that its general company policy is not to comment on rumors or speculation and that it has no obligation to update this statement in the future.

2:11AM On The Wires (WIRES) :

• Oshkosh (OSK) confirmed that 3,100 members of UAW Local 578 have rejected a second five-year contract proposal from the Company. On September 30, the union voted down the original proposal. The co and the UAW Local 578 have been negotiating and working without a labor contract since midnight on September 30, when the previous five-year contract expired.
• Ampal-American Israel (AMPL) announced that East Mediterranean Gas S.A.E, in which it holds a 12.5% interest - has taken legal action against two Egyptian state-owned entities and an Israeli entity.
• Astronics (ATRO) announced that it has been selected by Honda Aircraft Company to supply its 28VDC to 115VAC EmPOWER System and its Windshield Heat Controller as standard installations on the HondaJet aircraft.
• Pratt & Whitney Canada, a United Technologies (UTX), and Bank of America Merrill Lynch (BAC) announced a joint marketing agreement providing for preferred financing terms for new aircraft owners who finance their aircraft through BofA Merrill and enrol in P&WC's Eagle Service Plan pay-by-the-hour engine maintenance program.
• GE Aviation (GE) has been awarded two contracts from Gulfstream Aerospace Corp to provide the Integrated Vehicle Health Management technology and service for the G650 business jet aircraft.
• Samson Oil & Gas (SSN) advises that Spirit of America US34 #1-29H well is at a depth of 7,287 feet and the current operation is running into hole having replaced the mud motor and drill bit. The drilling operations were subject to some minor mechanical problems early in this phase, which have been rectified and the drilling operation is progressing as expected.
• Sims Metal Management (SMS) announced that its recently formed New England subsidiary has acquired the assets, including the deep sea export facility, of Promet Marine Services Corp located in Providence, Rhode Island.

1:57AM CGGVeritas provides vessel utilization update for Q3 (CGV) 18.68 : Co announces Vessel utilization for the third quarter 2011. The vessel availability rate was 91% including initial shipyard of the Champion for upgrades as part of our performance program. This compares to a 92% availability rate in the second quarter of 2011 and a 87% rate in the third quarter of 2010. The vessel production rate was 93%. This compares to a 85% production rate in the second quarter of 2011 and a 87% rate in the third quarter of 2010. Addtionally, co provides Fleet allocation update for the third quarter 2011. During the third quarter of 2011, our 3D vessels were allocated 88% to contract and 12% to multi-client programs.

1:24AM On The Wires (WIRES) :

• FNB United (FNBN) announced that it has received regulatory approvals for its proposed acquisition of Bank of Granite Corp (GRAN), parent company of Bank of Granite.
• Poniard Pharmaceuticals (PARD) announced that the SEC has declared effective Poniard's Registration Statement on Form S-4 relating to the previously announced proposed merger between Poniard and ALLOZYNE, a privately held biotechnology company.
• Watson Pharmaceuticals (WPI) confirmed that the United States District Court for the District of Massachusetts has granted a request by Momenta Pharmaceuticals and Sandoz for a temporary restraining order preventing Watson and Amphastar Pharmaceuticals from marketing or selling Amphastar's Enoxaparin Sodium Injection product, a generic equivalent to Sanofi-aventis' (SNY) LOVENOX. The temporary restraining order expires on October 21, 2011.
• Saudi Aramco and Dow (DOW) signed the Joint Venture shareholders' agreement for Sadara Chemical, which will be comprised of 26 manufacturing units, several of which constitute "mega projects" in themselves.

1:07AM GigaMedia updates restructuring of IAHGames; the IAHGames operation and Blizzard Entertainment have mutually agreed to terminate their distribution partnership under which IAHGames distributed certain Blizzard Entertainment game products in SE Asia (GIGM) 0.89 :  

1:04AM Great Southern Banc assumes deposits and purchases assets of Sun Security Bank (GSBC) 17.70 : Co announces it has entered into a purchase and assumption agreement, including a loss sharing agreement, with the FDIC to purchase substantially all of the assets and to assume substantially all of the deposits and other liabilities of Sun Security Bank. Co will be assuming ~$287 mln of deposits of Sun Security Bank at no premium. Additionally, co is purchasing ~$245 mln in loans and $35 mln of other real estate owned at a discount of $55 mln. The loans (excluding ~$4 mln of consumer loans) and ORE purchased are covered by a loss sharing agreement between the FDIC and co.

1:01AM Merck: FDA approves JUVISYNC tablets for Patients with Type 2 Diabetes who need to lower blood sugar and cholesterol (MRK) 31.61 : Co announces the FDA has approved JUVISYNC, a new treatment for type 2 diabetes that combines the glucose-lowering medication sitagliptin, the active component of JANUVIA, with the cholesterol-lowering medication ZOCOR. The FDA approved JUVISYNC based upon clinical bioequivalence studies in healthy subjects that demonstrated administration of JUVISYNC is equivalent to co-administration of corresponding doses of the two individual medications, sitagliptin and simvastatin, as separate tablets.

1:00AM United Continental reports Sep operational performance; combined consolidated traffic decreased 1.7% (UAL) 18.88 : Co reports September 2011 operational results for United Air Lines and Continental Airlines. United and Continental's combined consolidated traffic (RPMs) in September 2011 decreased 1.7% vs pro forma September 2010 results on a combined consolidated capacity (ASMs) decrease of 1.0%. The carriers' combined consolidated load factor in September 2011 decreased 0.5 points compared to the pro forma results from the same period last year. United and Continental's September 2011 combined consolidated and mainline passenger revenue per available seat mile (PRASM) increased an estimated 11.0-12.0% and 10.5-11.5%, respectively, as compared to the pro forma results from September 2010.

1:00AM AT&T reports extraordinary demand for Apple (AAPL) iPhone 4S with more than 200,000 preorders in the first 12 hours; the most successful iPhone launch ATT has ever had (T) 28.44 :  

1:00AM Ellington Financial its estimated book value per common share as of September 30, 2011, was $22.86, or $22.34 on a diluted basis (EFC) 17.37 :