Oil, FDA approvals, upgrades and downgrades – Vialoux - Wed, 10 Mar 2010

U.S. equity index futures are mixed this morning. S&P 500 futures are unchanged.

Crude oil added $0.13 per barrel after OPEC raised its forecast for crude oil demand in 2010 to 900,000 barrels per day. ‘Tis the season for crude oil prices to move higher.

Allergan gained 2% after the company received FDA approval to market botox for additional health care purposes.

Chevron was downgraded Bank of America/Merrill from Buy to Neutral.

Pengrowth gained 1% after BMO Capital Markets upgraded the trust from Market Perform to Outperform

Intermune rose 15% after receiving an FDA panel approval of its lung disease drug.

Celestica was downgraded by Scotia Capital from Outperform to Sector Perform.

Brown Foreman is slightly higher after reporting better than consensus quarterly earnings.

Don Vialoux, chartered market technician, is the author of a free daily report on equity markets, sectors, commodities, equities and Exchange-Traded Funds. For more visit Don Vialoux's Web site

China autos, Canadian banks, upgrades – Vialoux - Tue, 09 Mar 2010

U.S. equity indices are lower this morning. S&P 500 futures are down 4 points in pre-opening trade. Index futures are responding to overnight strength in the U.S. Dollar. Commodities priced in U.S. Dollars including gold, silver, copper and crude oil are trading lower.

China’s auto sales in February rose 55% on a year-over-year basis. That’s good news for platinum. Demand for platinum used in catalytic converters continues to increase. Platinum currently is in a period of seasonal strength lasting until the end of May.

The last of Canada’s major banks reported fiscal first quarter “cash” earnings this morning. Bank of Nova Scotia reported $0.93 versus $0.82 last year. Consensus was $0.88 per share.

Mattel added 1% after Citigroup upgraded the stock to a Buy.

Yum Brands gained 2% after UBS upgraded the stock to a Buy.

Cisco improved 1% in anticipation of news to be released at 11:00 AM EST. The company is expected to announce launch of a new device that will speed up internet use.

Don Vialoux, chartered market technician, is the author of a free daily report on equity markets, sectors, commodities, equities and Exchange-Traded Funds. For more visit Don Vialoux's Web site

Greece, AIG, McDonalds, US Steel, Cisco, RIM – Vialoux - Mon, 08 Mar 2010

U.S. equity index futures are slightly higher this morning. S&P 500 futures improved one point in pre-opening trade. Strength in equity index futures was helped by slight weakness in the U.S. Dollar and slight strength in the Euro following confirmation by European politicians over the weekend that Europe was will take action to resolve the Greek financial crisis. Commodities priced in U.S. Dollars including gold, silver, copper, gasoline and crude oil are trading slightly higher.

AIG added 2% and MetLife gained 4% on news that AIG sold a major U.S. unit to MetLife for $15.5 billion. On the charts, MetLife is poised to open above resistance levels at $40.31 and $40.53.

McDonalds added 1% on news that February same store sales rose 4.8%.

U.S. Steel gained 2% after Goldman Sach upgraded the stock from Neutral to Buy.

Cisco improved 1% after JP Morgan upgraded the stock from Neutral to Overweight. Technically, Cisco broke resistance at $25.10 on Friday to reach an 18 month high.

Research in Motion gained 2% after BMO Capital Markets upgraded the stock to Outperform. On the charts, RIMM is poised to break above key resistance levels at $72.00 U.S. ($76.17 Cdn.).

Don Vialoux, chartered market technician, is the author of a free daily report on equity markets, sectors, commodities, equities and Exchange-Traded Funds. For more visit Don Vialoux's Web site

Economic news, lending rates, Canada budget, TD Bank – Vialoux - Thu, 04 Mar 2010

U.S. equity index futures are slightly higher this morning. S&P 500 futures added 1 point in pre-opening trade. Index futures improved following released of economic news at 8:30 AM EST. Weekly jobless claims slipped 29,000 to 469,000. Revised fourth quarter Productivity increased from 6.2% to 6.9%.

Overnight lending rates by central banks over the pond were unchanged. Bank of England maintained its 0.5% rate. The European Central Bank maintained its 1.0% rate.

Canadian investors are waiting for the Federal Government’s budget to be announced after the close today. The Canadian Dollar rose overnight in anticipation of a budget that focuses on cost cutting. The Canadian Dollar is testing the top of its six month trading range.

Toronto Dominion Bank announced higher than expected first quarter earnings. Consensus was $1.35 versus $1.34 per share last year. Actual was $1.60 per share.

Disney added 1% after Bank of America/Merrill raised its rating from Neutral to Buy. Target was raised from $33 to $42. Disney is poised to move above resistance at $32.75 to reach a 17 month high.

Coca Cola added 1% after UBS upgraded the stock from Neutral to Buy. Target price is $62.

Wal-Mart added 1% after raising its annual dividend from $1.09 to $1.21 per share.

More good news from the Canadian energy sector! Canadian Natural Resources raised its dividend by 42%.

The technical outlook for North American oil service stocks continues to improve. See favourable technical and seasonal comments on Nabors and Trican Well Services at www.equityclock.com

Don Vialoux, chartered market technician, is the author of a free daily report on equity markets, sectors, commodities, equities and Exchange-Traded Funds. For more visit Don Vialoux's Web site

Greece, currencies, ADP report, mining – Vialoux - Wed, 03 Mar 2010

U.S. equity index futures are higher again this morning. S&P 500 futures are up 2 points in pre-opening trade. Index futures were helped slightly by weakness in the U.S. Dollar Index and strength in the Euro. Both were impacted by news that Greece plans to introduce an austerity program that will reduce concerns about a possible debt default.

The U.S. Dollar Index is showing early technical signs of reaching an intermediate peak. Short term momentum indicators including MACD, RSI and Stochastics have rolled over from overbought levels.

Conversely, the Euro is showing early technical signs of reaching an intermediate low. Short term momentum indicators including MACD, RSI and Stochastics are recovering from oversold levels.

Weakness in the U.S. Dollar sets the stage for a move by the Canadian Dollar above resistance at 97.79.

Weakness in the U.S. Dollar this morning prompted strength in commodities priced in U.S. Dollars including gold, silver, copper, platinum, crude oil and unleaded gasoline. Unleaded gasoline closed at a 17 month high yesterday.

S&P 500 futures recovered slightly following release of the February ADP private employment report. Consensus was a loss of employment of 90,000. Actual was a loss of 20,000.

RBC Capital Markets is taking a more positive stance on base metal stocks. This morning it upgraded Vale and Freeport McMoran Copper and Gold from Sector to Outperform. Target for Vale was raised from $30 to $36. Target for Freeport McMoran was increased from $92 to $95. ‘Tis the season for the sector to move higher!

RBC Capital Markets also downgraded Cameco from Outperform to Sector Perform. The downgraded was prompted by news released late yesterday that the spot price of uranium oxide slipped last week by $1.25 to $40.50 U.S. per lb.

Goldman Sachs initiated coverage of the Transportation sector. Canadian Pacific was initiated as a Buy. UPS was initiated as a Conviction Buy.

Royal Bank reported fiscal first quarter earnings slightly less than expected. Consensus was $1.04 per share. Actual cash earnings were $1.03 per share.

Costco slipped 3% after reporting fiscal second quarter earnings slightly less than consensus.

Don Vialoux, chartered market technician, is the author of a free daily report on equity markets, sectors, commodities, equities and Exchange-Traded Funds. For more visit Don Vialoux's Web site