Gapping down on weak earnings/guidance: VTAL -24.3%, CPWR -17.8%, HITK -6.2%, RYL -4.7%, INFY -2.3%... Other news: DNDN -6.1% (disclosed the SEC is conducting an informal probe related to the clinical trials for Provenge), ANAD -3.0% (downgraded to Neutral at Credit Suisse), JSDA -3.0% (still checking), JASO -2.8% (downgraded to Hold at Needham), ATVI -1.6% (downgraded to Neutral at JP Morgan).

Gapping up on strong earnings/guidance: ACGY +8.3%... M&A: BCGI +70.9% (to be acquired by Megasoft for $3.60 per share), CHAP +10.5% (to be acquired by Gerdau Ameristeel for $86.00 per share)... Other news: TRCA +22.7% (announces agreement with Genentech for worldwide growth hormone and IGF-1 combination product development and commercialization), ASYS +13.5% (announces $4.4 mln additional new solar orders), PXG +12.8% (awarded $100 mln DoD contract), SGMO +6.6% (co and SIAL announce alliance to develop zinc finger-based laboratory research reagents), NOVC +5.1% (receives $60 mln under SGP agreement for Asentar), CTIC +5.1% (co announced pixantrone combination therapy for first-line treatment of NHL results in reduction in severe toxicities), RKT +4.7% (upgraded to Buy at Deutsche Bank), UN +3.5% & UL +3.1% (Bloomberg.com reports UL/UN shares rise overseas on speculation of possible Colgate offer), AZN +3.0% (upgraded to Overweight at Morgan Stanley), SNDK +1.8% (tgt upped to $60 at Piper).

Futures now indicate a flat open for the mkt after clawing back from earlier lows following Moody's downgrade of $5.2 bln of subprime-related debt yesterday. But Moody's did say this morning that they expect the subprime mortgage debt crisis will have little impact on the U.S. or Asian economies because that loan mkt is relatively small and would not create a ripple effect. This of course follows yesterday morning's report that the S&P may downgrade $12 bln in subprime mortgage bonds, which was one of the factors that led to yesterday's sell-off. Note yields on the 10-yr briefly traded below 5.00% this morning on a continued flight-to-quality, but have since rallied. Dow futures are currently -8; Nasdaq futures are currently -3.2; S&P futures are currently +0.5.

Notable pre-market Calls include Upgrades: NYX at Lehman; Downgrades: ATVI at JP Morgan, CME at Deutsche Bank, ARMHY at Credit Suisse, TSM at UBS, JASO at Needham, Oil & Gas Equipment and Services Stocks at RBC.. On the Earnings calendar: CHAP, DNA, RECN, RT and YUM are confirmed to report after the close...

Courtesy of Briefing.com