Daily Markets - The Winds Of Deflation

The Winds Of Deflation
ITT To Acquire O.I. Corp
BRE Properties Offers Senior Notes
Aggressive Growth Stock: OmniVision Technologies, Inc
Earnings Preview: Bed Bath & Beyond
Williams Trims Outlook
IBM Launches New Software
Telefonica Upgraded To Outperform
Brinker’s Finance Chief Steps Down
Encouraging Results From ResMed
Study Downplays Drilling Ban Losses
Forex Trading: EURUSD Slides To Trendline Low And Bounces.

Posted: 17 Sep 2010 10:13 AM PDT

Three economic reports today (Friday) that should sound warning bells about deflation.
1. The Labor Department reports that consumer prices are essentially flat. Compared to August 2009, prices are up 1.1%. That's only slightly lower than the 1.2% year-on-year rise in July. Excluding volatile food and energy, however, consumer prices in August were 0.9% higher than a year earlier. That's below the Fed's informal inflation target of between 1.5% and 2.0%.
2. In a separate report, the Labor … [visit site to read more]

ITT To Acquire O.I. Corp

Posted: 17 Sep 2010 10:05 AM PDT

ITT Corporation (NYSE:ITT) has entered into an agreement to acquire all outstanding shares of O.I. Corporation (NASDAQ:OICO), based in College Station, Texas. The transaction, worth approximately $29 million, is expected to close by the end of 2010, subject to shareholders' approval.

The acquisition of O.I. Corporation, an important supplier of inventive laboratory and environmental testing equipment in the pharmaceutical, petrochemical, power and industrial markets, provides a boost to ITT … [visit site to read more]

BRE Properties Offers Senior Notes

Posted: 17 Sep 2010 10:05 AM PDT

BRE Properties Inc. (NYSE:BRE), a real estate investment trust (REIT) that develops and manages multi-family apartment communities, has recently announced an offer to sell $300 million worth of senior unsecured notes due 2021. The notes are priced at 99.81% of par value with a coupon of 5.2%.
The unsecured notes are scheduled to mature on March 15, 2021, with interest payable in March and September every year. BRE Properties intends to utilize the proceeds from the offer to repay debt under its … [visit site to read more]

Aggressive Growth Stock: OmniVision Technologies, Inc

Posted: 17 Sep 2010 09:35 AM PDT

OmniVision Technologies, Inc (NASDAQ:OVTI) analysts keep raising estimates on the heels of the company’s latest earnings report that showed revenues almost double.
Company Description
OmniVision makes digital imaging sensors for consumer and commercial products, like mobile phones, laptops, security systems, entertainment devices and other uses.
Revenue Up 83%
On Aug 26 OmniVision reported first-quarter results that showed revenues of $193.1 million, an 83% jump on a year over year basis and up 23% … [visit site to read more]

Earnings Preview: Bed Bath & Beyond

Posted: 17 Sep 2010 09:35 AM PDT

Bed Bath & Beyond Inc. (NASDAQ:BBBY), operator of a chain of retail stores, is scheduled to release its second-quarter 2010 results on Wednesday, September 22. The Zacks Consensus Estimate is earnings of 63 cents a share for the second quarter of fiscal 2010.

First Quarter Performance

Bed Bath & Beyond reported better-than-expected first-quarter results on the heels of double-digit growth in sales and higher margins. Earnings rose 53% to 52 … [visit site to read more]

Williams Trims Outlook

Posted: 17 Sep 2010 09:35 AM PDT

Leading diversified master limited partnership (MLP), Williams Partners L.P. (NYSE:WPZ) updated its earnings as well as capex guidance for the next three years. This move mainly reflects the partnership's reduced natural gas and natural gas liquid (NGL) margins expectations.

Williams Partners has guided net income in the range of $890 million to $1.01 billion for this year, $890 million to $1.28 billion for the next year, and $1 billion to $1.53 billion for 2012.

The partnership … [visit site to read more]

IBM Launches New Software

Posted: 17 Sep 2010 09:05 AM PDT

A leading Information Technology (IT) solutions provider International Business Machines Corp. (NYSE:IBM) announced a new software portfolio that enriches the overall Web experience.

The software focuses on improving communication channels between organizations and their clients over the Web and through mobile devices. The portfolio comprises analytics, social software and commerce facilities that aid organizations in retaining their current customers as well as targeting potential … [visit site to read more]

Telefonica Upgraded To Outperform

Posted: 17 Sep 2010 09:05 AM PDT

We are upgrading our recommendation to Outperform from Underperform for Telefonica (NYSE:TEF), the largest telecom carrier in Spain and Latin America. Currently, the stock has Zacks #2 (Buy) Rank.

We believe the overhang on the stock has been removed following Telefonica's acquisition of its remaining 50% stake from Portugal Telecom (NYSE:PT) in their Brazilian wireless joint venture, Vivo Participacoes (NYSE:VIV). The increased stake will further promote diversification and increase … [visit site to read more]

Brinker’s Finance Chief Steps Down

Posted: 17 Sep 2010 08:35 AM PDT

Dallas-based Brinker International Inc. (NYSE:EAT), which operates Chili's Grill & Bar and Maggiano's Little Italy restaurants, announced today that its chief finance officer (CFO) Charles M. Sonsteby will resign from his position on October 1. Sonsterby is leaving the company to join an executive position at Michaels Stores Inc.

Sonsteby had started his journey at Brinker International in 1990, subsequently holding an array of managerial positions. In 2001, he held the position of … [visit site to read more]

Encouraging Results From ResMed

Posted: 17 Sep 2010 08:16 AM PDT

ResMed (NYSE:RMD), focused on medical equipment for the diagnosis and treatment of sleep-disordered breathing, provided encouraging results from a clinical study conducted with the new CPAP device. The trial, carried out on 50 sleep apnea patients found improved results with the new S9 series compared with the usual CPAP device.

Sleep apnea is a common sleep disorder with Obstructive sleep apnea (OSA) being the most common type of sleep apnea. In the latter case, the airway is … [visit site to read more]

Study Downplays Drilling Ban Losses

Posted: 17 Sep 2010 08:16 AM PDT

According to a federal government report released yesterday, the impact of Obama administration's deepwater drilling moratorium in the Gulf of Mexico (GoM) has not been as serious as previously thought.

The Background

As a reminder, on April 20, offshore driller Transocean Inc's (NYSE:RIG) ultra-deepwater Horizon drilling platform, contracted to British major BP plc (NYSE:BP), sank following an explosion while operating in the U.S. GoM off the coast of Louisiana. The incident … [visit site to read more]