Friday, August 12, 2005

Friday Watch

Late-Night Headlines
Bloomberg:
- Crude oil is trading near a record $66.05/bbl. and gasoline and heating oil set all-time highs after a fire at a Sunoco pipeline heightened concern US refineries may struggle to meet second-half fuel demand.
- Japan’s 10-year bonds had the biggest gain in three weeks after a government report showed the economy expanded less than forecast last quarter.
- The US government said it will refer Iran to the UN Security Council unless it halts its uranium processing program, after the Iranian government rejected calls from a nuclear watchdog to stop the work.

Financial Times:
- A stampede of Chinese companies selling shares for the first time in the US could lead to a “bubble” that would devastate US investors, citing Richard D’Amato, chairman of a US security review.

Late Buy/Sell Recommendations
Goldman Sachs:
- Reiterated Underperform on WTW.

Business Week:
- New River Pharmaceuticals(NRPH) is attracting investors who are betting on robust demand for the drug developer’s NRP104 product once it is available for general use.
- Shares of Pier 1 Imports(PIR) are being bought by an investor who has previously benefited from the stock.
- Alpha Natural Resources(ANR) shares may rise as high as $40 in the next year on higher earnings from coal produced in its eastern US mines.

Night Trading
Asian Indices are unch. to +.25% on average.
S&P 500 indicated -.04%.
NASDAQ 100 indicated +.09%.

Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Before the Bell CNBC Video(bottom right)
Global Commentary
Asian Indices
European Indices
Top 20 Business Stories
In Play
Bond Ticker
Daily Stock Events
Macro Calls
Rasmussen Consumer/Investor Daily Indices
CNBC Guest Schedule

Earnings of Note
Company/EPS Estimate
MOVI/.51
PBY/.11

Upcoming Splits
None of note

Economic Releases
8:30 am EST
- The Trade Deficit for June is estimated to widen to -$57.2B versus -$55.3B in May.
- The Import Price Index for July is estimated to rise .6% versus a 1.0% gain in June.

9:45 am EST
- Preliminary Univ. of Mich. Consumer Confidence for August is estimated to fall to 96.3 versus a reading of 96.5 in July.

BOTTOM LINE: Asian indices are higher, spurred by economic optimism in the region. I expect US equities to open modestly lower on weakness related to Dell’s earnings report. The Portfolio is 50% net long heading into the day.

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