>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance:
  • SMSI -23.6%, (very thinly traded), FNSR -16.3%, ZUMZ -16.2%, XTNT -14.8%, SGRY -14.1%
  • RGSE -11.8%, CARA -9.7%, BVX -7.9%, (very thinly traded), MED -7.8%,FRPT -6.1%, EYES -5.2%
  • ULTA -4.5%, LOCO -4.4%, ROKA -2.5%, WMK -2.5%, TGTX -2%, FNHC -1.7%, AQXP -1%
  • TSM -0.9%, (reported Feb revs), ATHX -0.8%, TRIL -0.8%, PAY -0.5%
Select FNSR peers/related names showing weakness:
  • FN -4%, LITE -3.5%, AXTA -2.7%, OCLR -2.5%, AAOI -2.2%, ACIA -1.7%,IIVI -0.7%, ADTN -0.5%
Select metals/mining stocks trading lower:
  • SBGL -3.6%, MTL -3.4%, GFI -3.4%, AU -1.4%, SAND -1.3%, GOLD -1.3%,ABX -0.5%, GG -0.5%
Other news:
  • MEET -8.1% (commences common stock offering)
  • ALR -5.2% (attributed to unfavorable court hearing)
  • ARE -4.8% (commences an underwritten public offering of 6,100,000 shares of common stock; updates guidance in connection with the just announced public offering)
  • LUV -2.9% (reported Feb traffic)
  • NVGN -2.6% (Chief Scientific Officer Dr. David Brown will leave the co to pursue new opportunities)
Analyst comments:
  • IONS -5.2% (downgraded to Sell from Neutral at Goldman)
  • LOXO -1.1% (downgraded to Neutral from Buy at Citigroup)
  • DG -0.5% (downgraded to Neutral from Buy at Buckingham Research)

>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance:
  • INTT +30.6%, (very thinly traded), COGT +16.4%, ESES +12.7%, CVGI +6.7%, CDXS +5.4%, (light volume)
  • ZGNX +5.2%, ABTL +5.2%, VCEL +5.2%, MYRG +5.1%, PVG +4.3%
  • TEAR +4%, (also confirms plans to explore strategic alternatives), WLDN +4%, GST +3.5%
  • MTN +1.7%, OCUL +1.6%, ZFGN +1.3%, ACTG +0.9%
M&A news:
  • BT +3.6% (BT Group plc and OFCOM reach agreement on future governance of Openreach; to be a legally separate company within BT with its own Board)
  • BP +2.1% (The UK's Evening Standard reports on market rumors that Exxon Mobil (XOM) has reached out to large BP shareholders regarding a potential acquisition)
Select financial related names showing strength:
  • DB +2.7%, ING +2.5%, SAN +1.6%, CS +1.6%, BAC +1.1%, C +0.9%, LYG +0.9%
Other news:
  • SPWR +7.2% (puts 100MW Chilean solar plant up for sale, according to Reuters)
  • CRIS +5.5% (continued strength)
  • PRKR +3.3% (completes sale of approx. 4.1 mln of its common stock at $2.46/shareg)
  • SKLN +2.8% (light volume, schedules call to provide business update and discuss recent/upcoming milestones for March 15 at 4:30pm ET)
  • CLF +2.2% (announces increase in maximum payment amount with respect to tender offers for certain of its unsecured notes)
  • VRX +1.6% (prices notes offering)
  • BCRX +1.3% (prices offering of 5,294,118 shares of its common stock at $8.50 per share)
  • ACOR +1% (announces the PTAB has upheld four Ampyra patents)
Analyst comments:
  • SRRA +8.4% (upgraded to Buy from Hold at SunTrust)
  • INAP +5.3% (upgraded to Buy from Hold at Stifel)
  • TTPH +3.6% (upgraded to Outperform from Market Perform at BMO Capital)
  • VIP +3% (initiated with a Buy at ING Group)
  • ASML +2.1% (upgraded to Buy from Neutral at UBS)
  • HIMX +2.1% (upgraded to Equal-Weight from Underweight at Morgan Stanley)
  • ABBV +1% (added to Conviction Buy List at Goldman)
  • YUM +0.8% (upgraded to Outperform from In-line at Evercore ISI)

>>> Euro Seen Falling 25-30% Just Before Any EMU Breakup: Deutsche

Euro Seen Falling 25-30% Just Before Any EMU Breakup: Deutsche
EUR/USD would fall by 25-30% to 80-75 cents just before any breakup in the EMU, George Saravelos, a strategist at Deutsche Bank, said in a note to clients.
  • The bank says percentage calculated under “conservative assumptions”
  • In the event of a breakup of the euro zone, large-scale capital flight would be likely as the euro loses its reserve status and private capital inflows are unwound too
  • Capital controls, re-denomination of paper money and the unwind of complex cross-border exposures would cause a material negative productivity shock
  • Inflation would likely accelerate in the periphery as central bank credibility is lost and policy is pushed toward eroding the real value of debt
    • The near-term drop could be even bigger if capital flight is large
  • The only silver lining would be that the Fed has much greater space than the ECB to ease monetary policy offsetting part of euro weakness
    • Baseline scenario is that the ECB would do whatever it takes to avoid capital controls, which would likely spell the end of the euro zone
  • NOTE: JPMorgan Sees Le Pen’s New Franc Falling by Up to 20 Percent

(BofA-ML) Equity Funds See Inflows for 10th Straight Week.

Equity Funds See Inflows for 10th Straight Week
Equity funds globally see $11.8b inflows in the week to March 8, marking a 10th straight week of inflows, BofAML strategists write in note, citing EPFR Global data.
  • U.S. equity funds see $7.2b inflows, with positive flows during five of the last six weeks; European equity funds see $1b inflows, positive flows in six of the last seven weeks
    • Emerging markets equity funds see $0.7b inflows, positive eight of the last nine weeks; Japanese equity funds see $1.2b inflows, with 9 straight weeks of positive flows
  • By sector: financials see brisk inflows; largest inflows to REITs in eight weeks; first outflows from materials in eight weeks
  • In fixed income: bond funds see $4.6b inflows overall, an 11th straight week of inflows
    • $4.3b inflows to IG bond funds, $2.7b outflows from HY bond funds, $2.1b inflows to EM debt funds
  • YTD, equity inflows totaled $82b, slightly outpacing bond inflows of $80b
    • Since March 2009, bond funds have recorded $1.5t inflows vs just $256 billion inflows for equity funds: BofAML

>>> BP reported subject of takeover interest; Exxon tipped as potential bidder -

BP reported subject of takeover interest; Exxon tipped as potential bidder - report
BP [LON:BP], an FTSE-100 oil and gas company, was the subject of a bid speculation on Thursday, 9 March, The Daily Telegraph reported.
The newspaper’s market report section mentioned talk that Irving, Texas-based counterpart Exxon Mobil [NYSE:XOM] might make an offer for BP, but did not cite a source for the speculation. However, analysts cited by the newspaper dismissed the speculation.
The item further noted that the speculation appeared at the same time as the news of Exxon’s USD 2.8bn acquisition of a 25% shareholding in a gas field in Mozambique.
BP’s share price closed 6.7p down on Thursday, giving the company a market capitalisation of GBP 88.80bn (EUR 101.9bn).