David's Feed
Oct 23, 2015

Stocks soar on surprise China rate cut

NEW YORK, Oct 23 (Reuters) – Stock markets worldwide soared
on Friday after China cut interest rates for the fourth time
this year and several large-cap U.S. technology companies
reported better-than-expected quarterly results.

Shares across Asia, Europe and the Americas climbed, having
already been boosted by Thursday’s message from ECB chief Mario
Draghi that the central bank was ready to adjust “the size,
composition and duration” of its QE program.

Oct 23, 2015

Global stocks soar on surprise China rate cut

NEW YORK (Reuters) – Stock markets worldwide soared on Friday after China cut interest rates for the fourth time this year, just a day after the European Central Bank signaled that it is ready to increase the scale of its stimulus measures.

Shares across Asia, Europe and the Americas climbed, having already been boosted by Thursday’s message from ECB chief Mario Draghi that the central bank was ready to adjust “the size, composition and duration” of its QE program.

Oct 23, 2015

Stocks soar on surprise China rate cut

NEW YORK, Oct 23 (Reuters) – Stock markets worldwide soared
on Friday after China cut interest rates for the fourth time
this year, just a day after the European Central Bank signaled
that it is ready to increase the scale of its stimulus measures.

Shares across Asia, Europe and the Americas climbed, having
already been boosted by Thursday’s message from ECB chief Mario
Draghi that the central bank was ready to adjust “the size,
composition and duration” of its QE programme.

Oct 22, 2015

Stocks rally, euro falls as ECB open to more stimulus

NEW YORK (Reuters) – Stocks rose in the United States and Europe and the dollar rallied against the euro after European Central Bank President Mario Draghi said further rate cuts were considered to stimulate the euro zone economy.

Worries that global economic growth is slowing, particularly in China, have depressed stock and commodity markets across the world in recent months and prompted a series of downgrades to economic forecasts from the International Monetary Fund and others.

Oct 21, 2015

Citron’s Left hits nerve with new Valeant broadside

NEW YORK (Reuters) – Andrew Left’s Citron Research is largely a one-man investment research operation that has shaken financial markets in both the United States and China from his home office in Beverly Hills, California.

His missive on Wednesday on Valeant Pharmaceuticals International Inc caused the already-reeling stock to plunge and fed further doubts about the drug company’s operations, beginning with its pricing practices.

Oct 21, 2015

Valeant shares plunge on short-seller scrutiny of pharmacy ties

(Adds investor, analyst comment, details on Citron report)

By Caroline Humer and David Gaffen

(Reuters) – Shares of Valeant Pharmaceuticals International
Inc plunged as much as 30 percent after an
influential short-seller accused the company of fraud, saying it
used its relationship with specialty pharmacies to inflate
revenue.

The report by Citron Research, a short-selling firm run by
Andrew Left, said Wednesday that Valeant’s previously
undisclosed relationship is a sign of a cover-up. Valeant
spokeswoman Laurie Little was not immediately available for
comment.

Oct 21, 2015
via Morning Bid with David Gaffen

Where Are We Going

No fewer than 30 S&P 500 companies report results on Wednesday, from names as varied as Coca-Cola to American Express to Tractor Supply Co. It’s true to say that so far this has not been a great earnings season – 69 percent of companies have exceeded earnings expectations and only about 40 percent on revenue – but with just 65 names reporting as of early Tuesday, it’s also correct to say it’s early days, given the heavy action we’ll be seeing over the next couple of trading sessions.

Earnings for the S&P 500 companies reporting so far in the third quarter are 4.1 percent below that of a year earlier, though of course excluding energy it still looks like it’s going to make it into positive territory. The swing vote here on whether we end up with a truly lousy earnings season or not may come with healthcare, which investors have grown weary of in recent weeks, as selling has moved on from biotechnology to the hospitals and insurers. To be sure, some of those insurers and other pharmacy names have been big gainers so far this year – Humana is up 29 percent 2015, while small-cap home nursing company LHC Group has gained 52 percent and IPC Healthcare has gained 73 percent.

Oct 21, 2015
via Morning Bid with David Gaffen

Where Are We Going

No fewer than 30 S&P 500 companies report results on Wednesday, from names as varied as Coca-Cola to American Express to Tractor Supply Co. It’s true to say that so far this has not been a great earnings season – 69 percent of companies have exceeded earnings expectations and only about 40 percent on revenue – but with just 65 names reporting as of early Tuesday, it’s also correct to say it’s early days, given the heavy action we’ll be seeing over the next couple of trading sessions.

Earnings for the S&P 500 companies reporting so far in the third quarter are 4.1 percent below that of a year earlier, though of course excluding energy it still looks like it’s going to make it into positive territory. The swing vote here on whether we end up with a truly lousy earnings season or not may come with healthcare, which investors have grown weary of in recent weeks, as selling has moved on from biotechnology to the hospitals and insurers. To be sure, some of those insurers and other pharmacy names have been big gainers so far this year – Humana is up 29 percent 2015, while small-cap home nursing company LHC Group has gained 52 percent and IPC Healthcare has gained 73 percent.

Oct 16, 2015
via Morning Bid with David Gaffen

The Crane, The Crane!

Industrial projects, particularly large ones, tend to require lots of heavy equipment, like cranes, and so this week’s results out of Manitowoc, which makes big cranes used in various parts of the world, including Asia and the Middle East, reported pretty disappointing results, adding that it expected more softness going forward with margins remaining in the low single digits for all of 2015.

It underscores, again, weak global demand for heavy equipment and big projects, and suggests ongoing softness for the industrials and materials sectors, both of which are expected to show negative growth for the third quarter.

Oct 16, 2015
via Morning Bid with David Gaffen

The Crane, The Crane!

Industrial projects, particularly large ones, tend to require lots of heavy equipment, like cranes, and so this week’s results out of Manitowoc, which makes big cranes used in various parts of the world, including Asia and the Middle East, reported pretty disappointing results, adding that it expected more softness going forward with margins remaining in the low single digits for all of 2015.

It underscores, again, weak global demand for heavy equipment and big projects, and suggests ongoing softness for the industrials and materials sectors, both of which are expected to show negative growth for the third quarter.

    • About David

      "David Gaffen oversees the U.S. markets team, having joined Reuters in May 2009. He spent four years at the Wall Street Journal, where he was the original writer of the web site's MarketBeat blog. He is a frequent guest on Reuters TV, and has appeared on CNN International, Fox Business, NPR, and assorted other media and is the author of the book "Never Buy Another Stock Again.""
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