Daily Market Commentary for November 5, 2012
The presidential race is deadlocked and just a handful of states will determine the winner, per presidential polls.
(read more at Millennium-Traders.Com) http://www.millennium-traders.com/news/newscommentary.aspx
Apple Inc. (AAPL) had a heavy place in the media on Monday. Reportedly, Apple sold three million iPads in three days since the launch of its new iPad mini and the fourth-generation iPad - doubling the first weekend milestone of 1.5 million Wi-Fi only iPad mini models sold for the third generation iPad during March. "We set a new launch weekend record and practically sold out of iPad minis," said Apple Chief Executive Tim Cook.
Reports out on Monday indicate Apple Inc. is considering replacing Intel chips in its Mac personal computers. Apple is exploring using its own chip technology that is used for the iPhone and the iPad.
A lawsuit by Apple Inc that charged Google's Motorola's patent licensing practices with being unfair, was reported thrown out by a Federal Judge, on Monday. The trial was over the use of patents Google (GOOG) obtained when it acquired Motorola in May - the trial had been set to kick off in U.S. District Court in Madison, Wisconsin. The case was dismissed with prejudice although the decision can still be appealed. "Motorola has long offered licensing to our extensive patent portfolio at a reasonable and non-discriminatory rate in line with industry standards," Google said after the court's action. "We remain interested in reaching an agreement with Apple."
BioMarin Pharmaceutical Inc. (BMRN) announced its Phase III study met its primary endpoint for the treatment known as GALNS. The drug from BioMarin is used to treat patients with a rare affliction commonly known as Morquio A Syndrome - a syndrome caused by an enzyme deficiency that also can cause growth retardation, knock knees, flat feet, abnormal curvature of the spine as well as, can lead to hearing loss and weakness in the legs. The tests examined six-minute walking distances for patients treated with the drug over 24 weeks, showing “statistically significant” improvement in the amount of ground covered. Stair climbs for patients were also examined where improvements were noted for those using GALNS. BioMarin said patients using the drug also showed signs of better pulmonary function. In 25% of patients, side effects consisted of coughing, nausea and pyrexia. Chief Medical Officer Hank Fuchs said in a statement that there is no known treatment for Morquio A Syndrome, which afflicts roughly 3,000 patients worldwide. BioMarin shares ended the trading session higher by 31%.
During after-hours trading on Monday, shares of Express Scripts (ESRX) sank 14% after the pharmacy benefits manager called Wall Street's profit targets for 2013 "overly aggressive." Analysts on average are projecting Express Scripts to earn $4.50 a share. In its Q3 earnings statement, Express Scripts warned its business would weaken next year due to U.S. unemployment levels. The pharmacy benefits manager said this "would likely result in significant in-group member attrition."
Tesla Motors Inc. (TSLA) shares ended the trading session Monday, higher by 9%. The auto maker posted a Q3 net loss of $1.05 a share on revenue of $50.1 million, with the adjusted loss totaling 92 cents a share. Tesla described Q3 in a letter to investors as a “fundamental turning point” since it is now able to mass produce vehicles to the tune of 100 cars per week, compared with five cars per week at the beginning of the quarter.
On the eve of the U.S. Presidential election, investors sought safety in Gold, with Gold for December delivery (CNS:GCZ2) ended the session higher by $8 at $1,683.20 an ounce on the Comex division of the New York Mercantile Exchange. On Monday, Gold futures rose slightly as the precious metal recovered from a slump during the previous trading session. The U.S. presidential election on Tuesday as well as renewed concerns about Greece and the euro-zone debt crisis has investors, seeking safety. Gold tends to be seen as a safe-haven investment that is in demand at times of economic and political uncertainty.
As traders positioned themselves ahead of Tuesday's U.S. presidential and congressional elections on Tuesday, oil futures closed higher on Monday, rebounding slightly from a steep selloff in the previous session on Friday. Oil for December delivery (NMN:CLZ2) rose 79 cents to end at $85.65 a barrel on the New York Mercantile Exchange.
Non-manufacturing activity declined to 54.2 in October from 55.1 in September per the Institute for Supply Management on Monday. The new-orders index which is a sign of future demand, fell to 54.8 from 57.7. Business activity/production index declined to 55.4 from 59.9. Employment component rose to 54.9 from 51.1 per the ISM.
The New York Attorney General Eric Schneiderman announced on Monday that his office would launch an investigation into price gouging by merchants after Hurricane Sandy. Schneiderman said his office had received hundreds of consumer complaints, mostly about sharp increases in fuel costs, but also related to emergency supplies such as generators, food and water. "Our office has zero tolerance for price gouging," Schneiderman said. "We are actively investigating hundreds of complaints we've received from consumers of businesses preying on victims of Hurricane Sandy, and will do everything we can to stop unscrupulous individuals from taking advantage of New Yorkers trying to rebuild their lives."
Free e-BOOK on Day Trading with confirmed subscription to our Free Weekly MarketNews newsletter.
Options Trading Room now open to subscribers.
One week trial to our Day Trading Rooms for stocks, futures, forex and futures. Professional Training Programs available for stocks, futures and forex traders.
Stocks trading calls focus on NYSE, NASDAQ and AMEX.
Futures trading calls focus on YM, NQ, TF and ES.
Forex trading calls based on New York trading session focus on GBPUSD, USDCAD, USDJPY, EURUSD, GBPJPY, USDCHF, EURJPY, EURAUD, AUDJPY, CHFJPY, EURCAD, GBPCAD and AUDUSD.
Detailed historic performance for all calls is available on our Market Commentary page.
Opt-in to our free Weekly MarketNews sent via email, first trading day of the week which includes recap of markets from previous week and what is ahead for the upcoming trading week.
Monthly Trading Lesson provides new trading subject every month.
Register now for our Free Chat Rooms - penny stocks, options, stocks, futures and forex! Chat with other traders any time, day or night, 24-hours a day.
Thanks for reading
Millennium-Traders.Com
http://www.millennium-traders.com
Forum: Stock Market Commentary