U.S. stock future indexes started out this morning almost a half percentage point higher indicating the SP500 will try again to test the 2040 level. This 2040 level is significant as it kept the markets afloat for 6 months but with resistance so close at hand we have no interest in being buyers at the moment.
Markets are expected to open higher, but another day in the red will not come as a surprise.
Here is the current market situation from CNN Money
European markets are higher today with shares in Germany leading the region. The DAX is up 0.98% while France's CAC 40 is up 0.63% and London's FTSE 100 is up 0.39%.
LONDON (Reuters) - Oil prices fell on Wednesday after a big build in U.S. crude inventories which fed concerns that demand may not be enough to absorb one of the largest global surpluses in modern times.
(Reuters) - Biogen Inc said it would cut 11 pct of its global workforce by the end of this year and stop a late-stage study on its blockbuster drug Tecfidera for secondary progressive MS, sending its shares up 7 percent in premarket trading.
DETROIT (Reuters) - General Motors Co reported record quarterly earnings before charges for the third quarter, as strong demand for trucks in North America and improved profit margins in China overcame declining revenues.
BRUSSELS (Reuters) - The European Commission ruled on Wednesday that Starbucks and Fiat benefited from illegal tax deals with the Dutch and Luxembourg governments, in cases with major implications for the taxation of multinational companies.
(Reuters) - U.S. stock index futures were slightly higher on Wednesday, set to reverse the small losses on Tuesday, ahead of earnings reports from heavyweights including General Motors , Boeing and Coca-Cola .
There may be no flying cars, but at least there are Ferraris.
And what better way to celebrate the pinnacle of the economic recovery, if only for the "0.1%", than by laying out $25 million worth of Ferrari cars in front of the TV studio formerly known as the New York Stock Exchange on the day the legendary Italian carmaker celebrates its $10 billion public valuation courtesy of $13 trillion in central bank liquidity "trickling down" into at least a few select pockets.
With Fiat Chrysler CEO Sergio Marchionne outside the NYSE with the SF15-T. Ferrari IPO coming up! $RACE pic.twitter.com/58yeBeKsy0
There may not be many biotechs with positive cash flows out out there, but the 4th most profitable, Biogen (after Gilead, Amgen and Shire), saw its shares halted moments ago ahead of reporting earnings, which were a blowout: the company reported Q3 EPS of $4.48, not only beating consensus of $3.77, but coming ahead of the highest estimate in the range of $4.04, as revenue of $2.78 billion also solidly beat expectations of $2.64 and was also above the highest forecast. The reason: sales of the company's blockbuster drug Tecfidera, which generated sales of $937 million, above the $897 expected, following misses in Q1 and Q2.
Furthermore, the company also raised guidance, and now expects year end EPS of $16.20-$16.50 up from $15.50-$15.95, and well above the $15.78 estimate.
One wonders, however, just how credible the company's optimism is in light of the recent crackdown on "astronomical, non-competitive" pricing practices by specialty pharma companies spearheded by the Democratic presidential candidates.
That remains to be seen, however what is even more confusing is why, in light of the company's glowing earnings and impressive guidance, it also announced it would be laying off 11% of its workforce, or about 800 workers, while cutting a number of pipeline programs.
From the release:
Biogen also announced a corporate restructuring, which includes the termination of a number of pipeline programs and an 11% reduction in workforce. These changes are expected to reduce the current annual run rate of operating expenses by approximately $250 million. The Company plans to reinvest these savings to support key commercial initiatives, including increased sales and marketing activities behind TECFIDERA, and the advancement of high potential pipeline candidates in areas such as Alzheimerâ€™s disease, multiple sclerosis, and spinal muscula ...
Credit Suisse revealed details of a planned overhaul under its new chief executive, including raising roughly $6.3 billion in new capital, as the Swiss bank delivered a set of disappointing third-quarter results.
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