* US: Dow Futures: 13454.00 (-0.34%), S&P 500 Futures: 1446.00 (-0.41%), NASDAQ Futures: 2835.50 (-0.60%)
For much of the past decade, Crispin Odey has been waiting for inflation to rear its ugly head. The fund manager has been positioned to take advantage of rising prices in his flagship hedge fund, the Odey European Fund, and has been trying to warn his investors about the risks of inflation through his annual Read More
* Europe: CAC: 3489.85 (-1.16%), DAX: 7394.88 (-0.77%), FTSE: 5820.59 (-0.55%).
* Asia-Pacific: Australia: 4385.50 (-0.52%), China: 2033.19 (0.32%), Hong Kong: 20694.70 (-0.19%), India: 5669.60 (-0.38%), Japan: 9069.29 (-0.45%).
* Metals: Gold: 1783.50 (0.75%), Silver: 35.03 (1.00%), Copper: 3.79 (0.90%)
* Energy: Crude Oil: 93.68 (1.36%), Natural Gas: 2.83 (1.07%)
* Commodities: Corn: 7.48 (-1.35%), Soya Bean: 16.21 (-3.03%), Wheat: 8.89 (-0.06%)
* Currency: EUR/USD: 1.3028 (0.46%), GBP/USD: 1.6284 (0.43%), USD/JPY: 78.2100 (-0.04%)
* 10 year US Treasury: 1.787% (0.021)
Financial and Economic News Update
U.S. stock-index futures decline: U.S. stock-index futures are pointing to a lower open on Monday as weak data from China and Germany added to market concerns about sagging global growth. The Dow Jones industrial average, the S&P 500 and the NASDAQ were all trading close to half a percent lower.
European markets trading in the red: European markets are down in trade today after the German IFO index, a gauge of business confidence, fell for the fifth straight month in September. The German DAX (INDEXDB:DAX) is trading 0.8 percent lower at 7394.88, the FTSE 100 (INDEXFTSE:UKX) fell 0.6 percent to 5820.59 and the CAC 40 (INDEXEURO:PX1) slumped 1.2 percent to 3489.85. The euro zone blue-chip ESTX 50 PR.EUR (INDEXSTOXX:SX5E) (Euro Stoxx 50) was trading 1.1 percent lower.
Asian markets end mostly lower: Asian markets closed lower on Monday amid investor concern that talks to resolve the euro zone debt crisis are deadlocked. Japan’s NIKKEI 225 (INDEXNIKKEI:NI225) fell to a one-week closing low at 9069.29 points. The HANG SENG INDEX (INDEXHANGSENG:HIS) fell 0.2 percent to close at 20,694.7 points, while the SSE Composite Index (SHA:000001) (Shanghai Composite Index) rose 0.4 percent. The S&P/ASX 200 (INDEXASX:XJO) index fell 22.8 points to close at 4,385.5. The benchmark Indian 30-share BSE SENSITIVE (INDEXBOM:SENSEX) index closed 0.41 percent lower.
Company News Update
* Apple Inc. (NASDAQ:AAPL) said it sold 5 million iPhones in the three days following its launch.
* Lennar Corporation (NYSE:LEN), the country’s third largest home-builder, reported third quarter profit of $87.1 million, or 40 cents a share, up from $20.7 million, or 11 cents a share, in the year-ago quarter. Revenue for the quarter increased 34 percent to $1.1 billion from $820.2 million a year earlier. Analysts had forecast earnings of 28 cents on revenue of $1.05 billion. New orders jumped 44 percent to 4,198 homes.
* Facebook Inc (NASDAQ:FB) slumped 5 percent in pre-open trading after Barron’s said its analysis found the shares worth $15.
* General Electric Company (NYSE:GE) is down close to a percent in early morning trade after it announced plans to buy more mining-equipment and services companies to create a new mining unit.
* Casino operator Las Vegas Sands Corp. (NYSE:LVS) should be broken up into three companies to boost its stock-market value, Connecticut-based shareholder, Land & Buildings Investment Management LLC, recommended.
* Kellogg Company (NYSE:K) has entered into a partnership with Singapore-based palm oil producer Wilmar International Limited (SGX:F34) to manufacture and sell cereal and other snacks in China.
* Discover Financial Services (NYSE:DFS) has reached an agreement with the Federal Deposit Insurance Corporation and the Consumer Financial Protection Bureau to pay about $200 million to cardholders who bought certain credit-protection products.
* TiVo Inc. (NASDAQ:TIVO) said Verizon Communications Inc. (NYSE:VZ) will pay $250.4 million to settle a patent dispute between the two companies. The two companies have also agreed to enter into a mutual patent licensing arrangement.
* Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) tanked 25 percent in pre-market trading after disclosing that the U.S. government is investigating its marketing practices.
* Coinstar, Inc. (NASDAQ:CSTR)’s Redbox and Verizon Communications Inc. (NYSE:VZ) plan to launch a video streaming service by Christmas, Bloomberg reported.
* Darden Restaurants, Inc. (NYSE:DRI) fell 1 percent after analysts at JPMorgan Chase downgraded the stock to “neutral” from “overweight.”
* Time Warner Cable Inc (NYSE:TWC) was upgraded to “overweight” from “equal weight” by analysts at Morgan Stanley with a target price of $110.
* United States Steel Corporation (NYSE:X) was lowered to “neutral” from “buy,” and AK Steel Holding Corporation (NYSE:AKS) was cut to “sell” from “neutral” by analysts at Citigroup.
* British defense contractor BAE Systems plc (LON:BA) and Airbus parent EADS NV (EPA:EAD) are expected to ask for an extension to the October 10 deadline set by the Takeover Panel to agree to terms of the 28 billion pound ($45 billion) merger, according to a report in The Daily Telegraph newspaper.
* Dutch engineering company Fugro N.V. (AMS:FUR) has agreed to sell its seismic data division to French oil services group CGG Veritas (ADR) (NYSE:CGV) (EPA:GA) for 1.2 billion euros ($1.6 billion) in cash.
* French bank Credit Agricole SA (EPA:ACA) is down 2.5 percent after the Wall Street Journal reported that the lender will probably need to inject 600 to 700 million euros into its Greek Emporiki unit before selling it.
* Boston-based buyout firm Advent International Corp. will make a 775 million euro ($1.01 billion) cash offer for Dutch pharmacy chain Mediq NV (AMS:MEDIQ), the companies said in a statement today.
* French oil company Total S.A. (ADR) (NYSE:TOT) (EPA:FP) raised its annual average production growth target to 3 percent for the period 2011-2015, and said it is planning to sell as much as $20 billion in assets to raise cash for oil and gas projects.
* Dutch logistics group TNT Express NV (AMS:TNTE) said chief executive, Marie-Christine Lombard has resigned. CFO Bernard Bot will temporarily replace her.
* London-listed mining group Bumi PLC (LON:BUMI) plunged 25 percent after Reuters reported that it has started an investigation into potential financial irregularities at its Indonesian operations.
* Trading of shares in struggling U.K. retailer JJB Sports plc (LON:JJB) were suspended on Monday after it said it had appointed administrators to undertake a potential sale of its assets.
* Anglo American plc (LON:AAL) slid 3.5 percent in London after Bank of America Corp. and Citigroup Inc. both downgraded the stock to “neutral” from “buy.” Rio Tinto plc (ADR) (NYSE:RIO) (LON:RIO) (ASX:RIO) lost 2.2 percent after Citigroup lowered the world’s third-largest mining company to “neutral” from “buy.” Antofagasta plc (LON:ANTO) slid 2.4 percent and Kazakhmys plc (LON:KAZ) traded 3 percent lower.
* Commerzbank AG (ETR:CBK) (FRA:CBK), Germany’s second-largest lender, fell 4.7 percent after analysts at Nomura Holdings Inc. cut the stock to “reduce” from “neutral.”
* Taiwan’s Foxconn Technology Group, the parent of Apple Inc. (NASDAQ:AAPL)’s supplier Hon Hai Precision Industry Co., Ltd. (TPE:2317), closed its Taiyuan plant in northern China on Monday after a personal dispute escalated into larger-scale unrest, leaving 40 injured.
* Struggling chipmaker Renesas Electronics Corporation (TYO:6723) soared 31 percent amid reports that a Japanese government fund, along with Toyota Motor Corporation (ADR) (NYSE:TM) (TYO:7203) and Panasonic Corporation (ADR) (NYSE:PC) (TYO:6752), is considering a bailout of the company, countering a 100 billion yen ($1.3 billion) bid by U.S. private equity firm KKR & Co. L.P. (NYSE:KKR).
* Nintendo Co., Ltd (TYO:7974) ended 0.7 percent lower in Tokyo despite reports that its new Wii U console is close to selling out ahead of its November 18 launch in the U.S.
* Swiss bank Credit Suisse Group AG (ADR) (NYSE:CS) has trimmed its investment banking team in Dubai as part of cost-cutting plans announced last year, Bloomberg reported.
* Sovereign-wealth fund Qatar Holding LLC is in advanced talks to buy a 49-percent stake in Brazilian gold company AUX for about $2 billion, according to a Reuters report.
* Australian gold miner, Newcrest Mining Limited (ASX:NCM) closed 2.6 percent lower after analysts at JPMorgan Chase & Co. downgraded the stock to “neutral” from “overweight.”
* Yum! Brands, Inc. (NYSE:YUM) said it will close all of its KFC restaurants in Pakistan in the aftermath of an attack upon one of the outlets in Lebanon during an anti-American protest last week.
* Japanese resin maker, Sumitomo Bakelite Company Limited (TYO:4203), plunged 5.7 percent in Tokyo after slashing its first-half net income forecast by 30 percent.
* Carlyle Group LP (NASDAQ:CG)-owned Japanese ball-bearing maker, Tsubaki Nakashima Co., Ltd. has called off a planned initial public offering, citing turbulent market conditions, according to a Reuters report.
* Visual effects company Digital Domain Media Group Inc (PINK:DDMGQ), which filed for bankruptcy protection earlier this month, has been jointly acquired by Chinese media company, Beijing Galloping Horse Film & TV Co. and Mumbai-based Reliance Mediaworks Ltd (NSE:RELMEDIA) (BOM:532399), for $30.2 million.
Economic Calendar for Monday, September 24, 2012:
08:30 A.M. ET: Chicago Fed National Activity Index (August)
10:30 A.M. ET: Dallas Fed Manufacturing Business Index (September)
11:00 A.M. ET: 4-Week Bill Announcement
11:30 A.M. ET: 3-Month Bill Auction
11:30 A.M. ET: 6-Month Bill Auction
03:10 P.M. ET: San Francisco Federal Reserve Bank Pres. John Williams speaks.