Wall Street Addict

Stocks surged in early trading Tuesday, lifting the Dow Jones industrials more than 100 points, as strong earnings from General Motors Corp. and Sun Microsystems Inc. helped Wall Street extend its recovery from last week's plunge.
Investors' inflationary fears were also alleviated after the Commerce Department reported that in June, year-over-year core personal consumption expenditures -- one the Federal Reserve's preferred gauges of inflation -- was up 1.9 percent. That rate is within the Fed's comfort zone.
The tame core PCE appeared to offset some disappointment that June personal spending rose 0.1 percent, weaker than expected and below May's 0.6 percent jump. High gasoline prices and the housing market slump dampened consumer spending to the slowest pace in nine months.
Investors remained optimistic after quarterly results from server and software maker Sun Microsystems and automaker GM, which both posted better-than-expected profits.
Merger and acquisition activity also helped lift the stock market, which rebounded Monday following a sharp plunge last week on worries that a deteriorating lending environment would dampen dealmaking and growth. Billionaire investor Nelson Peltz's Triarc Cos. said he is willing to offer $37 to $41 a share to buy Wendy's International Inc., while the Wall Street Journal reported that its parent company, Dow Jones & Co., and Rupert Murdoch's News Corp. are getting closer to a deal.
In early trading, the Dow Jones industrial average rose 104.53, or 0.78 percent, to 13,462.84, after gaining more than 100 points at the market's open.
Broader stock indicators also rose. The Standard & Poor's 500 index was up 10.23, or 0.69 percent, at 1,484.14, and the Nasdaq composite index was up 16.77, or 0.65 percent, at 2,600.05.
Bonds were little changed, and the 10-year Treasury note's yield was at 4.81 percent, the same as late Monday.
The stock market slipped only slightly after the Chicago purchasing manager's index indicated weaker-than-expected growth in July than in June. The report is considered a precursor to the Institute for Supply Management's national manufacturing index, which will be released Wednesday.
Published by AP

Labels: DJ, GM, NWS, SUNW, WEN

Stocks surged in early trading Tuesday, as strong earnings from General Motors Corp. and Sun Microsystems Inc. helped Wall Street extend its recovery from last week's plunge. The Dow Jones industrial average shot up more than 100 points.
Investors' inflationary fears were also alleviated after the Commerce Department reported that year-over-year core personal consumption expenditures -- one the Federal Reserve's preferred gauges of inflation -- rose 1.9 percent. That rate is within the Fed's comfort zone.
The core PCE appeared to offset some disappointment that June personal spending rose 0.1 percent, weaker than expected and below May's 0.6 percent jump. U.S. consumers spent at the slowest pace in nine months due to high gasoline prices and the housing market slump.
In the first minutes of trading, the Dow Jones industrial average rose 102.74, or 0.77 percent, to 13,461.05.

Labels: GM, SUNW

Here are 7 options to watch for today. This list comes directly from the TM Options Indicators page and is created using OptionVue options analysis software.
Most Underpriced Calls: These are the most under priced calls of all stocks in our database. While the Equities Explosion List finds groups of calls for individual equities that are under priced, this list finds the most under priced individual calls. Thus, the options listed here will tend to be more severely under priced.
Goldman Sachs July 260 Calls (NYSE:GS - News). GS's PowerRating is 5.
Most Underpriced Puts: These are the most under priced puts of all stocks in our database. While the Equities Explosion List finds groups of puts for individual equities that are under priced, this list finds the most under priced individual puts. Thus, the options listed here will tend to be more severely under priced.
Altria Jun 70 Puts (NYSE:MO - News). MO's PowerRating is 5.
Most Overpriced Calls: These are the most overpriced calls of all stocks in our database. While the Equities Implosion List finds groups of calls for individual equities that are overpriced, this list finds the most overpriced individual calls. Thus, the options listed here will tend to be more severely overpriced.
Apple July 120 Calls (NasdaqGS:AAPL - News). AAPL's PowerRating is 5.
Most Overpriced Puts: These are the most overpriced puts of all stocks in our database. While the Equities Implosion List finds groups of puts for individual equities that are overpriced, this list finds the most overpriced individual puts. Thus, the options listed here will tend to be more severely overpriced.
Dow Jones June 50 Puts (NYSE:DJ - News). DJ's PowerRating is 6.
Stocks with Abnormal Call Volume: These are stocks which showed unusual call option volume not easily explained by arbitrage operations. The appearance of a stock on the Call Volume Alerts list suggests a possible takeover, extraordinarily good earnings report, or other news which may favorably affect the stock.
Sun Microsystems (NasdaqGS:SUNW - News). SUNW's PowerRating is 4.
Stocks with Abnormal Put Volume: These are stocks which showed unusual put option volume not easily explained by arbitrage operations. The appearance of a stock on the Put Volume Alerts list suggests an extraordinarily negative earnings report, or other news which may negatively affect the stock.
Network Appliance (NasdaqGS:NTAP - News). NTAP's PowerRating is 7.
Abnormal Put/Call $ Volume: These stocks have the highest dollar put volume in relation to their call volume. These high ratios are indicative of extreme bearish sentiment in the underlying stock.
Genentech (NYSE:DNA - News). DNA's PowerRating is 5.
PowerRatings are courtesy of TradingMarkets.com.

Labels: AAPL, DJ, DNA, GS, MO, NTAP, SUNW