>>> US Close Dow+0,53% S&P+0,48% Nasdaq+0,72%

Closing Market Summary: Nasdaq Leads Stocks Higher

The stock market rallied on Tuesday, with the S&P 500 (+0.5%) posting its second consecutive gain as eight sectors ended in the green. Momentum names, meanwhile, rebounded from yesterday's relative weakness, which allowed the Nasdaq Composite (+0.7%) to finish ahead of the benchmark index.

Equity indices began the session on an upbeat note, slowly building on their early gains throughout the afternoon. The energy sector (+0.4%) powered the opening advance thanks to better than expected earnings from BP (BP 50.29, +1.25) and Valero Energy (VLO 56.84, -1.13). BP surged 2.6%, while Valero displayed early strength, but spent the session in a steady retreat from its opening high, which mirrored the price action of the entire sector.

The solid early gain in the energy sector kept the S&P 500 in the green during the first hour of action, while the Nasdaq briefly dipped into the red. The short-lived weakness in the tech-heavy index resulted from the underperformance of top-weighted components, but those names were able to rebound. For its part, the broader technology sector advanced 0.7%, finishing only behind the financial sector (+1.0%).

The economically-sensitive financial sector drew strength from a slew of top components, with Bank of America (BAC 15.24, +0.29) leading the charge. The stock gained 1.9% following yesterday's 6.3% loss. International financials had an even better showing, with Deutsche Bank (DB 44.45, +0.88) gaining 2.0% after reporting above-consensus results. Also of note, Standard & Poor's lowered the ratings of 15 European banks—including Deutsche Bank—to ‘Negative' from ‘Stable,' but the stock saw little reaction to the news.

In addition to receiving support from two of its largest sectors, the market was also underpinned by the health care space (+0.6%), where Dow component Merck (MRK 58.72, +2.04) rallied 3.6% in reaction to its bottom-line beat. Biotechnology, meanwhile, played along today as the iShares Nasdaq Biotechnology ETF (IBB 229.09, +6.03) gained 2.7%.

On the downside, consumer staples (-0.4%) and utilities (-0.4%) posted modest losses, with the utilities sector narrowing its 2014 gain to 13.4%.

Treasuries finished the session with slim gains, punctuating their session-long retreat from overnight lows. As a result, the benchmark 10-yr yield slipped one basis point to 2.69%.

Participation was essentially in line with average as 724 million shares changed hands at the NYSE floor.

Today's economic data featured two reports:
The Conference Board's Consumer Confidence Index fell to 82.3 in April from an upwardly revised 83.9 (from 82.3) in March. The Briefing.com consensus pegged the Consumer Confidence Index at 83.5. The Present Situation Index fell to 78.3 in April from 82.5 in March. The Expectations Index increased slightly, from 84.8 in March to 84.9 in April. The overall decline in confidence was a little unusual. Typically, confidence levels trend with employment conditions, equity prices, gasoline costs, and media reports. Extremely low layoff levels coupled with a generally rising stock market in April resulted in a large increase in the University of Michigan Consumer Sentiment Index. Those factors were expected, yet they failed to push the Consumer Confidence Index higher.
The Case-Shiller 20-city Home Price Index for February rose 13.2% while a 13.0% increase had been expected by the Briefing.com consensus. This follows the previous month's increase of 13.2%.
Tomorrow, the weekly MBA Mortgage Applications Index will be released at 7:00 ET and the ADP Employment Change for April (Briefing.com consensus 215,000) will be announced at 8:15 ET. The advance reading of Q1 GDP (Briefing.com consensus 1.0%) will be released at 8:30 ET, while the Chicago PMI report (consensus 56.5) for April will cross the wires at 9:45 ET. Finally, the Federal Open Market Committee will release its latest policy directive at 14:00 ET.

S&P 500 +1.6% YTD
Dow Jones Industrial Average -0.3% YTD
Nasdaq Composite -1.8% YTD
Russell 2000 -3.6% YTD

>>> Twitter beats by $0.03, beats on revs; guides Q2 revs in-line; guides FY14 r

Twitter beats by $0.03, beats on revs; guides Q2 revs in-line; guides FY14 revs in-line  

Reports Q1 (Mar) net of breakeven, $0.03 better than the Capital IQ Consensus Estimate of ($0.03); revenues rose 119.7% year/year to $250.5 mln vs the $241.71 mln consensus.
Revenues
Ad revs $226 mln, up 125% y/y, Q4 ad revs $220 mln
Mobile ad revenue approx 80% of ad revs
International revenue $70 mln, up 183% y/y
TWTR reports Q1 Average Monthly Active Users were 255 mln; Street expectations were 255 mln, Q4 was 241 mln. Mobile MAUs reached 198 mln, an increase of 31% y/y, represents 78% of total MAU
Timeline views reached 157 bln, up 15% y/y, 148 bln in Q4
Advertising Revenue per thousand views was $1.44, up 96% y/y; $1.49 in Q4
Co issues in-line guidance for Q2, sees Q2 revs of $270-280 mln vs. $273.21 mln Capital IQ Consensus Estimate.
Adjusted EBITDA expected to be between $25-30 mln
Co issues in-line guidance for FY14, sees FY14 revs of $1.200-1.250 bln vs. $1.24 bln Capital IQ Consensus Estimate; Prior guidance $1.150-1.200 bln
Adjusted EBITDA expected to be between $180-225 mln, prior guidance $150-180 mln
CapEx expected to be in the range of $330-390 mln, in line with prior guidance

>>> China Academy of Social Sciences (CASS) sees China 2014 GDP falling to 7.4%

China Academy of Social Sciences (CASS) sees China 2014 GDP falling to 7.4% from 7.7% in 2013, below 7.5% target - Shanghai Daily

- Says Chinas expansion will continue to be powered by investment while the growth momentum will be stable in the near to middle term, stating: "Curtailed by excessive production capacity and the risk of a collapse of local government debt, Chinas fixed-asset investment growth will slow."

(Les Echos) Alstom promises that General Electric in Holland

Alstom promises that General Electric in Holland

Link to Google Translation :{http://bit.ly/1o0pPL0}
Link to French Article : {http://bit.ly/1fNn1fk}

EXCLUSIVE DOCUMENT + U.S. conglomerate offers the French government to establish four centers of global decision GE France. It commits itself "to grow our number of jobs in France," including those "highly qualified."

Take Alstom and convince the French government in the interest of its offer, the CEO of General Electric is engaged in a real seduction operation. Two days after his appointment with François Hollande, Jeffrey Immelt sent to the Head of State a four-page letter in which he said, point by point, its commitments.
According to this letter, including "Les Echos" obtained a copy, the CEO of General Electric commits first "to do highly skilled jobs our number of jobs grow in France, particularly in the engineering and production located in the region. " If General Electric, which has already "10,000 people on French soil" does not commit to a specific number, the group knows that this is the number one criterion of the Head of State. "Compared to record, I have only this single criterion: what will be the most favorable to business creation in France and employment in France? "Had said Monday, François Hollande.

Second point that GE intends to reassure the French executive, decision-making centers, a concern that Jeffrey Immelt judge "legitimate". The U.S. group promises to settle in France "global headquarters of Grid activities (networks), Hydro, steam turbines and offshore wind." Given the importance of hydropower in France, the group says it is "ready to welcome French capital investors in this activity." A guarantee given to the government, while the competition hydroelectric concessions been a difficult debate between EDF, foreign competitors and parliamentarians.
General Electric is not present at all in turbines for hydroelectric power, or in offshore wind, where the group also undertakes "to honor the commitments and industry in terms of jobs already taken by Alstom Cherbourg and Saint-Nazaire. " Commitments made by the French supplier after winning with EDF, three of the first four fields of offshore wind and then the government must allocate two new fields in the coming days.
GE said there also willing to consider "any acquisition proposal from French investors for onshore and offshore wind Alstom activities." Very capital-intensive, the sector of offshore wind is undergoing a consolidation phase. The French rival Alstom in offshore wind, Areva, has just signed a joint venture with Spanish Gamesa.
The Belfort site, where GE has a plant steam turbines and has its European headquarters would become "the European headquarters of the thermal activity of GE." Alstom's global headquarters of this activity is now located in Switzerland, where Alstom was acquired assets ABB.
A proposed joint venture in the transport
While Siemens Tuesday proposed to the Board of Directors of Alstom to make an offer under conditions which incorporate a component in transportation, GE also provides, at the request of the government to consolidate this division, the group does not intend acquire. GE and shows have made ​​the study "Alstom with the possibility of creating a joint venture with global signaling activity of GE. " Activity perceived potential.
On the strategic nuclear sector, where Alstom is a privileged partner of EDF and Areva in France and export, GE stated that it had "heard your willingness to consider the sovereign character of the nuclear industry." The executive had indicated a desire to control "energy independence from France." Recalling already be a "reliable supplier" for the sector, "we are committed to working with the state, Areva and EDF to protect and preserve the sector's exports," promises Jeffrey Immelt.
On the form, General Electric had the desire to show that he is not happy and reminds predator Alstom picked it up. In terms of governance, GE propose to its Board of Directors, in case of success of its "host within it a French business executive leading."

FT: Barclays to create bad bank

Barclays to create bad bank

Barclays will next week announce the creation of a bad bank in a bid to transform its struggling investment banking operations, which were dealt a further blow on Tuesday with the departure of the highly regarded head of its US business.
The move to exit parts of its shrinking fixed income business and its lossmaking European branch network will be announced as part of next week’s strategic update to investors, according to people familiar with the plan. The internal bad bank will be run by Eric Bommensath, the co-head of its investment bank.

The news comes as fears intensify that the departure of Skip McGee as head of Barclays Americas will trigger an exodus of bankers acquired when the UK bank took over Lehman Brothers’ US operations during the financial crisis.
Analysts and rival bankers said his departure was a blow for Antony Jenkins, chief executive, who defended last year’s higher bonus pool in spite of falling profits as necessary to avoid a “death spiral” of bankers quitting to seek a bigger pay cheque.
The bank said Mr McGee’s departure was a result of the vast regulatory burden it faces in the US. The Texas-born dealmaker was part of the Lehman team that negotiated the sale of its US operations to Barclays in 2008 and he has been seen as pivotal in holding together the business.
Mr McGee, 54, is being replaced as head of Barclays Americas on Thursday by Joe Gold, its global head of client capital management, who the UK bank hired out of the ashes of the failed Enron energy trading empire 12 years ago.
Barclays has been under pressure from investors to cut costs and rein in pay levels while coming up with a more coherent strategy for its investment bank, which is failing to generate returns above its cost of capital.
The new non-core unit is likely to house parts of Barclays’ macro products unit, which includes the trading of interest rate-linked products, currencies and commodities. The unit suffered a 17 per cent drop in revenues last year and is facing growing pressure from new regulation that forces the bank to hold more capital against it.
It is expected to include some or all of Barclays’ retail banking businesses in France, Italy, Spain and Portugal, which it has been attempting to sell for several years. Losses from its 572 branches in continental Europe widened from £277m to £964m last year.
The bank is also expected to add the £54.4bn of assets left in businesses already identified as non-core, including leveraged loans and European corporate loans.
Mr McGee said: “My focus has always been on clients, but given the need for Barclays’ leadership to focus on regulatory issues for the foreseeable future, I have decided that it is time for me to move on to new challenges.”
Ian Gordon, analyst at Investec, said: “This is likely to be at best a precursor to musical chairs at Barclays and at worst the start of more bloodletting of senior executives in the bank.”
At its heated annual meeting last week, more than a third of investors refused to back Barclays’ remuneration report, reflecting widespread anger over its decision to increase bonuses in a year when the bank’s profits fell by more than a third.
Mr McGee, who is understood to be considering several options of what to do next, received 3.81m shares worth almost £8.9m this year from deferred bonus schemes – the highest amount received of all the senior executives at the bank.

FT: Barclays to create bad bank

Barclays to create bad bank

File photo dated 16/09/13 of a view of a branch of Barclays. The bank has spoken of its "regret" over a memo suggesting its branches switch their television channels to entertainment shows as news broke of the banking giant's pay and bonuses. PRESS ASSOCIATION Photo. Issue date: Friday March 7, 2014. The bank reportedly recommended that staff turn on E4 or lifestyle channel Really, or switch off their televisions ahead of "negative coverage" about Barclays' annual report which revealed nearly 500 staff were paid at least £1 million each last year. See PA story CITY Barclays. Photo credit should read: Dominic Lipinski/PA Wire©PA
Barclays will next week announce the creation of a bad bank in a bid to transform its struggling investment banking operations, which were dealt a further blow on Tuesday with the departure of the highly regarded head of its US business.
The move to exit parts of its shrinking fixed income business and its lossmaking European branch network will be announced as part of next week’s strategic update to investors, according to people familiar with the plan. The internal bad bank will be run by Eric Bommensath, the co-head of its investment bank.

The news comes as fears intensify that the departure of Skip McGee as head of Barclays Americas will trigger an exodus of bankers acquired when the UK bank took over Lehman Brothers’ US operations during the financial crisis.
Analysts and rival bankers said his departure was a blow for Antony Jenkins, chief executive, who defended last year’s higher bonus pool in spite of falling profits as necessary to avoid a “death spiral” of bankers quitting to seek a bigger pay cheque.
The bank said Mr McGee’s departure was a result of the vast regulatory burden it faces in the US. The Texas-born dealmaker was part of the Lehman team that negotiated the sale of its US operations to Barclays in 2008 and he has been seen as pivotal in holding together the business.
Mr McGee, 54, is being replaced as head of Barclays Americas on Thursday by Joe Gold, its global head of client capital management, who the UK bank hired out of the ashes of the failed Enron energy trading empire 12 years ago.
Barclays has been under pressure from investors to cut costs and rein in pay levels while coming up with a more coherent strategy for its investment bank, which is failing to generate returns above its cost of capital.
The new non-core unit is likely to house parts of Barclays’ macro products unit, which includes the trading of interest rate-linked products, currencies and commodities. The unit suffered a 17 per cent drop in revenues last year and is facing growing pressure from new regulation that forces the bank to hold more capital against it.
It is expected to include some or all of Barclays’ retail banking businesses in France, Italy, Spain and Portugal, which it has been attempting to sell for several years. Losses from its 572 branches in continental Europe widened from £277m to £964m last year.
The bank is also expected to add the £54.4bn of assets left in businesses already identified as non-core, including leveraged loans and European corporate loans.
Mr McGee said: “My focus has always been on clients, but given the need for Barclays’ leadership to focus on regulatory issues for the foreseeable future, I have decided that it is time for me to move on to new challenges.”
Ian Gordon, analyst at Investec, said: “This is likely to be at best a precursor to musical chairs at Barclays and at worst the start of more bloodletting of senior executives in the bank.”
At its heated annual meeting last week, more than a third of investors refused to back Barclays’ remuneration report, reflecting widespread anger over its decision to increase bonuses in a year when the bank’s profits fell by more than a third.
Mr McGee, who is understood to be considering several options of what to do next, received 3.81m shares worth almost £8.9m this year from deferred bonus schemes – the highest amount received of all the senior executives at the bank.