Equities and Treasuries drift lower in the week’s first session

Discussion in 'Trading' started by TradeTheNews, Feb 12, 2007.

  1. TradeTheNews

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    US Mid-Morning Recap
    by TradeTheNews Staff

    - With no US Data on the docket until this afternoon’s January budget statement markets are fairly quiet. Even reports of an explosion at a US Army base in Japan have had little to no impact on trading. As has been typical with Monday sessions early focus is shifted to M&A announcements from over the weekend and pre-market. Stocks trading sharply higher after announced and or confirming offers include: NYDL +14% NVL +14% WITES +21% ADZA +52% Shares of FS are down 3% after confirming it will be taken private at $82. The stock had been trading above the deal price after being first announced in November. Shares of ONXX are up close to 70% after nexavar was shown to extend survival of patents with advanced liver cancer. ASF is off close to 20% after reporting numbers and disclosing on their conference call that weakness in mid-markets would require lowered unit growth projections for 2007.

    - US Treasuries opened lower but yields have come off their highest levels with the 10-yielding 4.796%. Crude is near session lows down nearly 3% at $58 after the Saudi Oil minister made comments over the weekend that he is comfortable with current situation in world oil markets and sees little need for tinkering at next months OPEC meeting. The OIH is off 1.75%. April Gold is down $5 at 667.20. The dollar is seeing some firmer trade across the board with the US Dollar Index up 0.3%. The Yen is recouping some of last week’s losses despite no mention of the recent weakness in the G7 communiqué.