** MORNING WRAP **
December 15th, 2006** US MARKETS **
Dow 0,81%; Nasdaq 0,88%; S&P 0,87%; Soxx 1,86%; Russel2k 0,69%; DJAIG 0,78%;
10yr Bond 0%; 10yr Yield 4,59%; Crude future 62,64; Gold 626,95
| Energy 1,81%| Utilities 0,28%| ConsDisc 1,09%| Materials 0,82%| Financials
0,75%| Technology 1,06%| Telecom 0,05%| Healthcare 0,56%| ConsStaples 0,4%|
Industrials 0,94%
- Kohlberg Kravis, Permira Agree to Acquire ProSiebenSat.1 for $7.8 Billion
- Clayton, KKR May Bid for Ahold’s $6 Billion Foodservice Unit, People Say
- Bernanke Urges China to Let Yuan Gain, End `Effective Subsidy’ of Exports
- Paulson Says China’s Government Agrees to Increase Currency Flexibility
- Advanced Micro Devices Inc. added $2.54, or 13 percent, to $22.71. The
second-largest maker of personal-computer processors after Intel Corp. (INTC US)
forecast shipments will rise about 20 percent in 2007, twice the rate it
expects the market to grow. The company expects profitability to increase, Chief
Financial Officer Robert Rivet said in a presentation to analysts. Gross margin,
the percentage of sales remaining after deducting costs of production, will be
about 50 percent in 2007, Rivet forecast.
- Bear Stearns Cos. rose $4.07, or 2.6 percent, to $159.96. The securities firm
reported bigger-than-expected profit on increased trading in stocks and bonds
and higher fees from advising on mergers. Fourth-quarter net income was $4 a
share, topping the $3.36 average analyst estimate.
- Today triple witching, CPI & capacity utilization.
** ASIAN MARKETS **
Nikkei 0,51%; Kospi 0,25%; HSI 0,71%; Taiwan 0,78%; China 0,94%; India 0,98%;
Thailand 0,19%; Australia 0,11%
- Business Confidence in Japan Rises to Two-Year High; Spending to Increase
- Japan Tobacco Offers to Acquire U.K.’s Gallaher, Maker of Benson & Hedges
- Paulson Says China’s Government Agrees to Increase Currency Flexibility
- Asian Stocks Advance, Led by Honda, Sony on U.S. Profits, Japan’s Tankan
- Wilmar Shares Surge as Family of Billionaire Kuok Propose Palm Oil Merger
- Bernanke Urges China to Let Yuan Gain in Value and Widen Its Trading Band
- Japan’s Notes Have Biggest Drop in a Month on Rise in Business Confidence
- Sri Lanka Raises Key Interest Rate for Fourth Time This Year on Inflation
- Samsung Electronics, LCD Makers May Face Record Fines in Antitrust Probe
- China Merchants, Modern Terminals Will Increase Stakes In Shenzhen Port
** EUROPE: IN PLAY TODAY **
- Clayton Dubilier & Rice Inc. and Kohlberg Kravis Roberts & Co. may make a
joint bid for Royal Ahold NV’s U.S. Foodservice unit, a division valued at as
much as $6 billion. The two buyout firms intend to make an offer next month
for the Columbia, Maryland-based unit, the second-largest U.S. food distributor,
said two people with direct knowledge of the matter. The people spoke on
condition of anonymity because the group’s plans are private.
- Kohlberg Kravis Roberts & Co. and Permira Advisers LLP will buy ProSiebenSat.1
Media AG in a transaction that values Germany’s biggest broadcaster at 5.9
billion euros ($7.8 billion) and will help form a pan-European company. The
buyout firms agreed to purchase 50.5 percent of the broadcaster for 3.1 billion
euros from U.S. billionaire Haim Saban’s German Media Partners LP, KKR and
Permira said in an e-mailed statement. As required under German law, the firms
also plan to bid for the company’s remaining stock.
- Romania and Bulgaria clinched membership in the European Union, as the EU set
limits on further enlargement by putting the brakes on entry talks with
Turkey.
- ABN Amro Holding NV, the largest Dutch bank, plans to open its first Islamic
consumer banking branch in Pakistan, making the South Asian nation the test case
of its expansion into financial services based on Koranic law.
- TUI AG, Europe’s largest travel company, plans to cut 3,600 jobs at its
tourism division, omit payment of a dividend this year and sell assets to rein
in costs and pay back debt to offset slowing earnings growth.
- E.ON AG: Europe’s second-biggest utility expects to post a one-time gain of
about 1.2 billion euros this year after a change in German tax law. RWE AG
Germany’s second-largest utility expects to post a one-time gain of about 600
million euros this year after a change in German tax law.
- Getronics NV: The largest Dutch computer-services provider announced a cash
tender offer for all or some of its outstanding 100 million-euro 5.5 percent
unsubordinated convertible bonds due 2008.