Markets are Riding High

123jump.com Staff
30 Nov, -0001
New York City

The strength in overnight trading in the Asian markets and 1% up close in Tokyo helped market to attract buyers in the opening hours. The latest read on the consumer sentimet and the drop in oil price in the European trading and in the NY markets helped buyers to take more postive attitude in the opening hours.

MARKET AVERAGES

In the opening hours averages are riding in the positive territory on the back of consolidation in the oil price and strong closing in Tokyo. At 10:30 AM in NY oil trading down 94 cents at $59.60 per barrel.

Latest read on consumer confidence from Conference Board suggests that consumer is in better mood than most economists anticipated. The revised index in May rose to 105.8 from 103.1.

AMD has filed anti-trust lawsuit in Delaware against Intel claiming that Intel has pressured several large scale companies into securing monopoly into microprocessor chip market. EU and Japan are conducting their own investigation into similar issues.


INTERNATIONAL MARKET S

Asian-Pacific markets ended mostly higher as materials shares rose in accordance with record crude-oil prices and strong copper but many export shares fell on fears about the impact on global demand. Upbeat retail sales data in Japan lifted sentiment and investors started buying technology shares. The Nikkei advanced 0.9%, South Korea’s Kospi added 0.4%, and Taiwan’s Taiex was up 0.2%. The dollar traded at 109.47 yen.

European markets advanced at mid-day as crude-oil prices settled above $60 a barrel boosting oil shares, while investors took heart from some well-received deal news. Germany’s DAX added 0.4%, France’s CAC climbed 0.5%, and London’s FTSE rose 0.4%. The euro was slightly lower against the dollar at $1.2107.

CORPORATE NEWS AND EARNINGS

CKE Restaurants, the parent of Carl’s Jr. and Hardee’s fast-foods chains, reported 1Q increase in profit of 24 cents a share vs. 17 cents last year on new products but failed to meet expectations of 29 cents a share. Same-store sales rose 2.4% at Carl’s Jr. and fell 0.1% at Hardee’s.

Integrated Alarm Services Group, a solution provider to security alarm dealers, posted 1Q net income loss of 10 cents per share compared with a loss of 4 cents per share a year ago.

Juno Lighting, manufacturer of lighting fixtures, reported 2Q net income rise of 78 cents per share vs. 63 cents per share last year due to sales growth.

Paychex, payroll processor, posted 4Q profit rise of 27 cents a share vs. 16 cents a share last year on growth in number of its payroll clients and price increase. The results exceeded analysts’ expectations of 24 cents a share.

Sonic, drive-in fast-food chain, reported 3Q earnings rise of 36 cents a share vs. 31 cents a year earlier on strong sales. Same-store sales increased 5.5%. The company forecast 4Q earnings between 39 and 40 cents per share.

Apollo Group, education company, reported that its 3Q surged to 77 cents a share vs. 56 cents for the prior-year period on strong enrollment. The results beat expectations of 74 cents a share.

Emmis Communications, radio-station operator, posted 1Q profit of 14 cents per share compared with a loss of $1.36 a year ago which included a debt-extinguishment charge.

Stride Rite, footwear maker, posted 2Q 1% profit decrease but earnings 32 cents per share vs. 30 cents a year ago because of a decline in the number of outstanding shares. The lower profit is due to sales decrease.

Summa Industries, engineered plastic products group, posted 3Q earnings decline of 13 cents per share vs. 30 cents per share last year due to softness in demand of high intensity discharge lighting products.

Topps, trading cards maker, posted 1Q earnings drop of 2 cents per share vs. 10 cents a year ago and missed estimates of 12 cents per share. The poor results are due to weak sports goods demand and lower sales.

OIL, METALS AND CURRENCIES

Metals Exploration PLC announced a purchase option agreement with the Puray copper-zinc-silver-gold project based in the Philippines.

The U.S dollar advanced against other major currencies in European trading. The euro traded at $1.2094, down from $1.2158. The pound quoted at $1.8200, down from $1.8278. The greenback bought 109.85 yen, up from 109.26.

Gold traded in London at $437.50 bid per troy ounce, down from $439.10. In Hong Kong gold fell $2.20 to $437.55. Silver was trading at $7.19 bid per troy ounce, down from $7.21.