U.S. Jobless Claims Fall; Greece Demonstrations

123jump.com Staff
04 Mar, 2010
New York City

Weekly jobless claims declined 29,000 at the end of last week. Federal Reserve in its Beige report noted improving economic conditions but commercial construction and demands for loans remain soft. Greece launched 5 billion euros bond offering as workers demonstrate.

[R]9:00 AM New York – Weekly jobless claims declined 29,000 at the end of last week. Federal Reserve in its Beige report noted improving economic conditions but commercial construction and demands for loans remain soft. Greece launched 5 billion euros bond offering as workers demonstrate.[/R]

Federal Reserve reported in its Beige Report that nine of the twelve regions showed a modest improvement in economic activities. Most districts reported commercial construction and loans demands weak. Labor markets are soft throughout the nation and consumer spending showed signs of improvement.

Seasonally adjusted weekly jobless claims decreased 29,000 to 469,000 from the revised previous week claims of 498,000. The preliminary insured unemployment rate in the week ending February 20 unchanged from the prior week''s unrevised rate of 3.6%.

The European Central Bank left its key rate unchanged at 1% and the Bank of England left its reference rate at 0.5%. Central banks are in a holding pattern as companies cut investments and unemployment hovers near record high.

Greek workers union occupy finance ministry in central Athens as demonstrators press government to ease budget cuts and lower taxes.

The Friday meeting between Greek prime minister and German Chancellor is not likely to finalize aid package. Chancellor Merkel in a local television denied that meeting is about bailout package responding to the voter resistance to any assistance to Greece.

Pre-Market Stock Movers

Altera Corp ((ALTR)) trades higher after it lifts its estimate for first quarter sales to between $390.55 million and $401.5 million.

Comtech Telecom Corp ((CMTL)) drops 11.5% or $3.79 to $32.93 after it estimated that fiscal year earnings are not likely to exceed $1.95 a share.

Greenhill & Co., Inc ((GHL)) increased 0.4% to $75.31 and the investment banker was shifted from the S&P 600 Small Cap index to S&P MidCap 400 Index.

Foot Locker Inc ((FL)) increased 1% to $13.15 after the shoe retailer swung to a quarterly profit and extended its share buyback till the end of 2010.

Nvidia Corp ((NVDA)) increased 1.2% to $16.83 after the company reported improved pricing and gross margin at a presentation to institutional investors.

PetSmart Inc ((PETM)) surged 11% or $3.04 to $27.71 after the company estimated higher sales and earnings and fourth quarter net declined 4.3%.

Sina Corp ((SINA)) declined 3.3% or $1.24 to $37.49.

Take Two Interactive ((TTWO)) increased 5.2% to $9.03 after it reported lower than expected and narrower loss compared to a year ago quarter.

Earnings Review

Coldwater Creek Inc ((CWTR)), a women''s apparel maker said fourth quarter sales rose 12.4% to $318.4 million from $283.2 million a year ago. Net loss in the quarter was $9.7 million or 11 cents per diluted share compared to net loss of $18.6 million or 20 cents per share a year ago.

Foot Locker, Inc ((FL)), the shoe store said fourth quarter sales rose 0.8% to $1.33 billion from $1.32 billion a year ago. Net income in the quarter was $23 million or 14 cents per diluted share compared to net loss of $125 million or 81 cents per share a year ago.

PetSmart, Inc ((PETM)), the pet products retailer said fourth quarter sales rose 3.7% to $1.41 billion from $1.36 billion a year ago. Net income in the quarter fell 4.3% to $75.0 million or 61 cents per diluted share compared to net income of $78.4 million or 62 cents per share a year ago.

Comparable same-store sales increased 1.5%.

Sina Corporation ((SINA)), an online media company said fourth quarter sales fell 3.3% to $98.2 million from $101.5 million a year ago. Net income in the quarter was $372.1 million or $6.03 per diluted share compared to net income of $25.2 million or 42 cents per share a year ago.

Take-Two Interactive Software, Inc ((TTWO)), a video game publisher said first quarter revenues rose 9% to $163.2 million from $149.4 million a year ago. Net loss in the quarter was $33.9 million or 43 cents per diluted share compared to net loss of $50.4 million or 66 cents per share a year ago.