“You simply can’t overcome these impediments,” said El- Erian, chief executive and co-chief investment officer at Newport Beach, California-based Pimco, manager of the world’s biggest bond fund. “These are structural issues and require structural solutions.”
Comments »The Consumer is Now In Command of U.S. Growth
Lagarde: ” World is Entering a Dangerous New Phase”
Upgrades and Downgrades This Morning
Upgrades
PCLN – Priceline.com initiated with a Outperform at Wedbush
SUN – Sunoco upgraded to Neutral from Sell at Goldman
CSCO – Cisco Systems upgraded to Sector Perform from Underperform at RBC Capital
LVS – Las Vegas Sands target raised to $60 at Stifel Nicolaus
RPM – RPM Inc upgraded to Neutral from Underperform at Credit Suisse
EXPE – Expedia initiated with a Outperform at Wedbush
AOS – A.O. Smith initiated with a Buy at Lazard
SXL – Sunoco Logistics upgraded to Outperform at RBC Capital Mkt
AL – Air Lease initiated with a Buy at Deutsche Bank
TWX – Time Warner upgraded to Buy at Caris
VECO – Veeco Instruments initiated with a Hold at ThinkEquity
KKR – KKR initiated with an Overweight at Barclays
ALLT – Allot Comms initiated with a Outperform at Wedbush
LRCX – Lam Research initiated with Outperforms at Credit Agricole
AER – AerCap initiated with a Buy at Deutsche Bank
CVD – Covance initiated with a Buy at Citigroup
AMAT – Applied Materials initiated with Outperforms at Credit Agricole
ETP – Energy Transfer upgraded to Outperform from Sector Perform at RBC Capital
BIIB – Biogen Idec upgraded to Buy from Neutral at UBS
PPDI – PPD Inc. initiated with a Buy at Citigroup
Downgrades
SYNT – Syntel initiated with a Negative at Susquehanna
SNY – Sanofi-Aventis downgraded to Neutral from Outperform at Credit Suisse
GLW – Corning target lowered to $24 at Sterne Agee
NLC – Nalco downgraded to Underperform from Neutral at Credit Suisse
MHK – Mohawk target lowered to $70 at Ticonderoga
DB – Deutsche Bank upgraded to Buy from Add at WestLB
CRL – Charles River initiated with a Hold at Citigroup
MCHP – Microchip initiated with a Neutral at Mizuho
GSM – Globe Specialty Metals initiated with a Hold at KeyBanc Capital Mkts
Comments »Gapping Up and Down This Morning
Gapping Up
SLM +1.2%, LEE +20%, TZOO +5.4%, ARII +2%, SPEX +5.9%, TIVO +1.4%, ULTA +1.2%, ECL +0.7%, RDS.A +0.8%,
SDRL +1.2%, TOT +0.7%, CGA +13.1%, ULTA +2.9%
Gapping Down
RIMM -3.4% , VRSN -8.1%, AUQ -1.6%, TXN -1.2%, GLD -1.6%, STD -2.7%, BBVA -2.6%, RBS -2.4%, LULU -3.6%, KFY -3.2%, BCS -2.2%, UBS -1.1%, TSRA -4.2%, SLV -1.5%, BHP -1.4%, GDX -1.2%, REGN -3%, MT -3.4%, IAG -2.4%, MYRX -5.7%, DG -0.8%, VE -4.1%, DNDN -2.2%, BCS -2.2%, SLV -1.3%, UBS -1.1%, MYRX -5.7% , LAZ -1.9%, TSO -2.8%, SLW -2.3%, ABM -11.3%, UXG -2.2%, JAG -2.2%,
Comments »In Play and on the Wires
Select Euro Bonds Rise on Safe Haven Bets; Italy and Spanish Bonds Fall
China’s Inflation Came in as Expected at 6.2%; If Inflation is Topping Out Some Analyst Say a Soft Landing is in the Works
The Kiwi and Aussie Dollars Rose Against the Greenback on Slowing China Inflation Data
If China is perceived to be tinkering with rates and combating inflation then the Aussie and the Kiwi will gain strength over potential recovery prospects.
Comments »The Euro Weakens Over Night on Slow Growth Prospects; Dollar Rises
Obama’s jobs bill and Bernanke’s speech did very little to instill confidence in global growth and stimulation. Therefore markets and currencies like the Euro sold off in anticipation of slower growth and continued debt problems. The Greenback gained strength at the expense of other currencies.
Comments »The Loonie Falls as Unemployment Rises Unexpectedly; Second Negative Print
Canada went from an expected gain of 21,500 jobs to a loss of 5500. Second month of losses in a row.
Comments »Wall Street Analysts Back Away From Gloom and Doom Recession Calls
Geithner Calls On World Banks to Boost Growth; But Admits fiscal Stimulus is Not a Viable Option
Fed’s William Poole: RISK OF `ASTONISHING’ RISE IN INFLATION
Trichet: Threats to The Euro Zone Has Increased
Gartner Lowers 2011 and 2012 PC Growth
Norway’s Krone Appears To Be the Safe Haven Currency of Choice
A Look at Small Cap Growth Paying Dividends
How Cheap Are Stocks ? A Look Ahead on Earnings
Upgrades and Downgrades This Morning
Upgrades
STO – Statoil ASA upgraded to Buy from Neutral at UBS
ASTE – Astec Industries upgraded to Buy from Hold at Canaccord Genuity
NCR – NCR Corp upgraded to Overweight from Neutral at JP Morgan
GPN – Global Payment initiated with a Buy at Citigroup
JNPR – Juniper Networks upgraded to Buy at Auriga; tgt lowered to $26
SAP – SAP AG assumed with a Buy at Nomura
DRI – Darden Restaurants upgraded to Outperform from Market Perform at Wells Fargo
XOM – Exxon Mobil upgraded to Buy from Neutral at UBS
RVBD – Riverbed Technology initiated with an Outperform at Raymond James
LAYN – Layne Christensen downgraded to Neutral at Boenning & Scattergood
HSP – Hospira downgraded to Outperform from Strong Buy at Raymond James
SINA – SINA initiated with a Mkt Perform at Rodman & Renshaw
ACI – Arch Coal upgraded to Overweight from Neutral at Atlantic Equities
Downgrades
TIN – Temple-Inland downgraded to Neutral from Buy at UBS
VMW – VMware initiated with a Neutral at Nomura
TZOO – Travelzoo downgraded to Mkt Perform at Morgan Keegan; tgt lowered to $32
DNDN – Dendreon initiated with an Underperform at Bernstein
MDVN – Medivation initiated with an Outperform at Bernstein
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