Stocks look to go for back-to-back advances after Monday's move snapped what had been a streak of four declines. Stocks gained overseas. All eyes are on global monetary policy after Australia became the first of the developed nations to begin to remove accomodative borrowing conditions, unexpectedly raising interest rates by a quarter-point today.
There are no U.S. economic reports on the calendar but the Treasury will sell $39 billion in three-year Treasury notes.
Oil futures are trading up $0.71 at $71.12/barrel. Gold is up $8.60 at $1,026.40 an ounce.
Financial shares fronted broad-market gains Monday after a favorable note on the sector from Goldman Sachs. Major banking shares remain higher this morning. In sector news: CIT Group (
CIT) is recording heavy upside trade. The company is reportedly in talks with Goldman Sachs to amend the terms of a $3 billion loan, according to the Wall Street Journal.
UBS has resumed coverage of
AIG with a Neutral rating and a $44 price target, according to a report on MarketWatch.
Deal news continues and remains a supportive factor for stock trading.
Emerson (
EMR) and Avocent Corporation (
AVCT) announced they have reached agreement for Emerson to acquire Avocent. The Avocent Board of Directors unanimously endorsed the terms of an all-cash tender offer of $25 per share, or approximately $1.2 billion.
U.S. PRE-MARKET INDICATORS
-Dow Industrial futures up 40 points.
-S&P 500 futures up 9 points.
-Nasdaq 100 futures up 10 points.
-Nasdaq-100 Pre-Market Indicator up 9.85 at 1685.49.
GLOBAL SENTIMENT
Nikkei up 0.2%
Hang Seng up 1.9%
FTSE-100 up 1.5%
PRE-MARKET SECTOR WATCH
(+) Large cap tech: firmer
(+) Chip stocks: mixed
(+,-) Small cap stocks: mixed
(+) Drug stocks: mostly higher
(+,-) Software stocks: mixed
(+,-) Internet stocks: mixed
(+) Financial stocks: firmer
(-,+) Auto stocks: mixed
(+,-) Airline stocks: mixed
(-,+) Retail stocks: mixed
UPSIDE MOVERS
(+) NTRI (+25%) continues sharp evening advance seen on pact with Wal-Mart (WMT) to sell introductory diet plan.
(+) ACAD (+13.9%) says still committed to Pimavanserin.
(+) ALU (+4.5%) tapped by Equinix for first carrier-neutral ethernet exchange.
(+) COF (flat) JP Morgan raises earnings view for stock.
(+) CIT (+4.5%) in talks with Goldman to amend loan terms.
(+) AIG (+2.4%) restarted with Neutral rating.
(+) VZ (flat) Verison Wireless, Google (GOOG) in android platform pact.
(+) AVCT (+20.8%) sold to Emerson for $25 a share.
(+) FONR (+63%) swings to FY profit.
(+) FDO (+2.2%) gets upgrade.
(+) MI (+3.3%) turns higher; reports larger-than-expected loss.
DOWNSIDE MOVERS
(-) CVM (-7.4%) down as Street.com questions H1N1 flu drug.
(-) STJ (-13.2%) guides for Q3 miss.
(-) BA (-2.6%) details charge related to 747-8 program.
