Cantor Morning News | Morning @ Cantor

� Negative on USD� as� California Govr Schwarzenegger declared a state of fiscal emergency. .Moody's provided the impetus for fresh lows for the dollar after it again stressed that the US government needed to articulate a credible fiscal consolidation plan..plus sentiment Europe better

� EUR at highs, almost 1.31�European economic confidence rose to the highest in more than two years in July and German unemployment declined for a 13th straight month

� FX:�� GBP/USD continued to hit fresh 5-month highs over the 1.5650 area

� New Zealand Central Bank (RBNZ) raises rates as expected

� 3-Month USD Libor Falls To 0.46563% Vs 0.475% Wednesday

� Fear??� 3 Month Euribor: 0.899% Versus 0.896% Yesterday, Fresh 2010 High

� S&P 500 technical�s in focus :�

o A big upside move is possible if S&P rises above its 200-day moving average of 1,114.12, its 100-day moving average of 1,128.34, its previous high of 1,131.23 reached June 21 and finally above a key Fibonacci resistance level of 1,140.

� Rates flattish thurs

o Treasuries Head for Worst Month Since March Before Job Figures

o The Treasury plans to sell $29 billion of seven-year debt today, the last of three note auctions this week

� Credit mkts:� The difference between yields on U.S. corporate and government debt narrowed to 2.87 percentage points from 3.25 percentage points in June,� BBG

� Crude up 33c� oil rose for the first time in five days

� Spot gold was up $2 yest..this morning, spot gold is up another $2 to $1166

� Base metals were higher yesterday�ie Zinc up 2.4%, copper was up 3.9 cents to $3.2455

o this morning, base metals are higher small.. copper up less than 1%.

� Sovereign risk stories:

o Moody's: If US Budget Debt Projections Realized, Would Need To Review Rating

� U.S. Needs To Articulate Credible Fiscal Consolidation Plan - Moody's (per DJ)

� The U.S. government needs to articulate clearly a credible plan to tackle its bulging debt profile in order to keep its triple-A credit rating, Moody's Investors Service's lead sovereign analyst for the country said Thursday

� In contrast to the U.S., the credit health of Asian countries remains broadly positive and their resilience has been highlighted by Europe's debt crisis, which looks to have peaked, Steve Hess, senior credit officer in the sovereign risk group at Moody's

� The comments indicate Moody's views on the U.S. have changed little since the ratings agency warned in March on the need for action, and hints a sense of urgency is required from the U.S. government

o Moody's: Worst Of Europe Debt Crisis Has Passed

o Moody's: Risk Of A Severe China Slowdown Not Great

o S&P Article Says EU Bank Stress Tests Yield No Surprises

o The International Swaps and Derivatives Association (ISDA) have begun to ask some of its members to consider what to do if a member country has to leave the Euro zone. The meeting looks at various scenarios and the more technical and practical implications they may have including legal and documentation issues. Note that the plan it is in its initial stages, and members are still yet to be decided.�� TTN

o Italy Debt Agency (Tesoro) Sells total �6.97B in 3-year and 10-year bonds v �7B indicated

� Sold �3.47B in 2.0% Jun 2013 BTPs; avg yield 2.01% v 2.33% prior; Bid-to-cover: 1.4x v 1.4x

� �Sold �3.5B in 4.0% Jun 2020 BTPs; avg yield 3.92% v 4.09% prior; Bid-to-cover: 1.33x v 1.3x

o Hungary Bond Auction Result: Sold HUF57.5B in three tranches v HUF50B planned

� - Sold HUF 20B in 2014 Bonds; avg yield 7.13%

� - Sold HUF 23B in 2016 Bonds; avg yield 7.14%

� Japan fund managers cut global equities weighting to 11 year low in July � TTN

� Geo politics in focus :� Mitsui OSK hires military attack specialist to investigate damage to tanker, earthquake ruled out

o A Japanese shipping company maintained Thursday that its oil tanker was likely attacked in the Strait of Hormuz a day earlier, dismissing reports it may have been hit by a freak wave.

o http://www.petroleumworld.com/story10072904.htm

� Overseas Action

�

o EU stocks :� �up 0.5% at 7am et

o Asia: Nikkei (0.59%); Hang Seng +0.01%; Shanghai Composite +0.55%

o Data:

� Germany Jul Unemployment Change: -20K v -20Ke; Unemployment Rate: 7.6% v 7.6%e

� Euro Zone July Business Climate Indicator: 0.66 v 0.39e; Consumer Confidence: -14 v -14e; Industrial Confidence: -4 v -5e; Economic Confidence: 101.3 v 99.1e; Services Confidence: 6 v 5e

� UK) Jun Net Consumer Credit: -�100M v �0.2Be

� NEW ZEALAND RAISES KEY INTEREST RATE TO 3.00% FROM 2.75%

� Fitch Cuts Vietnam Rating on Borrowing, �Weak� Banks

� U.K. banks approved fewer mortgages than economists forecast in June as tighter lending conditions and weaker confidence curbed housing demand

Economics today

o Initial Jobless Claims at 08:30 ET

o EIA Natural Gas Inventories at 10:30 ET

o 7 yr auction at 1pm et

Earnings:

o Companies due to report before the bell include: ADP,AVP,BDX, BEN, BLL, CELG, CL, CME, DPS, EQT, GR, GT, HP, IPG, IRM, K, LIFE, LUV, MCO, MDP, MJN, MOT, NBL, NIHD, NOL, NOV, RSH, RSN,SCG, VTR, WEC, WM, WMB, WYNN, XEL, XOM, XRAY

o Companies due to report after the close include: AMGN, DNB, EMN, EXPE, FSLR, GNW, KLAC, MET, MFE, MWW, MXIM, PTV, RSG, SUN, WFR

TODAY�S BIG STORIES

� Top M&A

o Avis Budget Group, (CAR) sent a letter to the Board of Directors of Dollar Thrifty Automotive �DTG).

� AVIS SUBMITS BID FOR DOLLAR THRIFTY AT $46.50 A SHARE�

� AVIS BUDGET SAYS OFFER ABOUT 17% PREMIUM TO CURRENT HERTZ VALUE

o Sanofi Board Said to Support Genzyme Bid of Up to $70 � BBG

o LGF British Columbia Securities Commission declines to prevent Lions Gate board member from selling shares

o Panasonic shares fell 7.7% on reports the firm may raise capital to turn two subsidiaries into wholly owned units.

� Sanyo closed up 26% to Y149 and Panasonic Electric added 15% to Y1,124 on hopes for buyout premiums.

� Top $ Raising

o TSRX Trius Therapeutics 6m sare IPO expected to price 7/27 via Citi: Price Talk $12-14

� Delayed

o CHKM Chesapeake Midstream Partners priced its 21.25m share IPO at $21 (the top of the range)

o ENV Envestnet 7m share IPO prices at $9. Well below the range of $12-14

o Agricultural Bank of China boosted the size of its initial public offering to about $20.8 billion after selling more stock in Hong Kong, taking it closer to becoming the largest first-time share sale.� BBG

� Positive MACRO outlook:� French Finance Minister Lagarde Predicts Significant Pickup in World Growth - BBG

o French Finance Minister Christine Lagarde expects a significant pickup in global growth next year, led by emerging countries such as China and India

o �We will be seeing a serious pickup, if only because global trade has significantly improved,� Lagarde said today in a Bloomberg Television interview. �Emerging markets, I�m thinking of China and India, are going to take the lead.�

Crucial test awaits the U.S. economy in the coming months

o The next few months will determine whether business investment and consumer spending trigger accelerated growth in the U.S. economy or the nation drifts into stagnation, economists said. Analysts expect the government to report that second-quarter gross domestic product increased 2% to 2.5%, a rate too low to bring down unemployment. Few economists predict a true double-dip recession, but many anticipate a period of subpar growth. The Washington Post (29 Jul.)

Credit Markets: ��Markets edge away from the brink but don't return to normal

o Credit markets have improved, particularly in Europe, and equity markets are posting gains in much of the world, but things aren't truly back to normal, according to The Wall Street Journal. Trading volume is thin on debt markets, and investors in the U.S. have withdrawn a net $1.7 billion from stock mutual funds since January 2009. The Wall Street Journal (29 Jul.)

� Credit Markets: ��Real Estate Bonds Entice Goldman as Ford Sells - BBG

o Goldman Sachs� and Citigroup� are attempting to sell the fourth offering of securities backed by commercial mortgages this year as investor sentiment rises toward everything from company bonds to loans

o The extra yield that investors demand to own top-rated securities backed by commercial mortgages rather than Treasuries fell 8 basis points yesterday to 273 basis points, or 2.73 percentage points, the narrowest in more than two months

� Credit Markets: ��Ford Motor Co. sold $1.25 billion of notes five days after saying it plans to regain its investment-grade ranking - BBG

� US states:� Illinois Likely to Boost Taxes, Budget Director Says � BBG

o Illinois, which is in its worst financial position ever, will raise the income-tax rate in January to address its deficit, Governor Pat Quinn�s budget director said

o Lawmakers probably will increase the individual and corporate income-tax rates by 2 percentage points, generating $6 billion of new revenue, the budget director, David Vaught, said in an interview. The Legislature failed to address the deficit this year because of the November election, he said.

� Pimco Receiving About $1 Billion in Weekly Inflows, Gross Says - BBG

o Pacific Investment Management Co., the world�s largest manager of bond funds, is attracting almost $1 billion a week from investors

o Gross�s $234 billion Total Return Fund, the biggest bond fund, has benefitted this year as interest rates declined and investors questioned the sustainability of the global economic recovery. The fund returned 13 percent in the past 12 months, beating 64 percent of its peers, Bloomberg data show. It has gained 1.24 percent this month, a performance outpacing 68 percent of competitors.

� China FX:� The People�s Bank of China (central bank) has become unusually talkative when it comes to praising the benefits of greater yuan flexibility. Vice Governor Hu Xiaolian on Wednesday issued the fourth formal statement in a row on the exchange rate in the past two weeks, saying, "Appreciation in the yuan exchange rate may affect the price competitiveness of exporters, but will be positive to companies that import large quantities of raw materials and semi-finished goods from abroad used to mainly to meet domestic demand.�

o What�s behind such PBOC activism? The central banks has been arguing since at least last November that resumption of a measure of yuan appreciation would be beneficial to a more independent Chinese monetary policy and help contain inflation. Those arguments may finally have won out in the highest political circles over those of the export lobby as inflation had become an increasing concern � not in the least because of worries about local government debt: In light of increasing debt service obligations, containing inflation through currency appreciations is clearly preferable to interest rate hikes.

o Uwe Parpart

� Earnings season continues worldwide..some highlights:

o Visa Profit Beats Estimates � up small after hrs

� company affirmed net revenue growth to be at "the high end" of its earlier stated 11%-to-15% range. The company affirmed earnings-per-share growth at more than 20% through 2010 and its estimate for annual free cash flow in excess of $2 billion for this year. For 2011, the company reiterated earnings-per-share growth at more than 20% and annual free cash flow of more than $2 billion.

� Visa Management was unable to quantify the impact of the Durbin amendment

o POT up pre mkt�1%....: Potash reports a beat..guides up..but may be mixed� vs street

o RYL� probably disappoints a bit today�reports a headline miss..but operations were OK .. beat on margins ..but orders weaker

� �net order growth of -44% y/y!...most lilely missed even street expectations that have been getting more cautious recently

� call Thursday at 12:00 pm ET

o CLF reported�misses, guidance may not be good enough:� hurt by to weaker than expected pellet pricing

� Cliffs Natural Resources., North America�s largest iron-ore producer, said second-quarter profit increased more than fivefold because of higher raw-material prices and increased demand

� �call on July 29 at 10 AM EST, dial-in: 877-485-3104, ID#00353968.

o Transports, Demand positive:� The Japanese market managed to pare some losses when major shippers reported earnings during the lunchtime break. Nippon Yusen, Mitsui O.S.K. Lines, and Kawasaki Kisen all reported solid results, and subsequently revised up their full-year forecasts on solid demand for container ships and a stable recovery in shipping fares

� "Expectations for upward revisions were already strong, but the degree of the changes was far bigger than expected," DJ

� Mitsui O.S.K. Lines is� the operator of the world�s largest merchant fleet

o Sony. (6758.TO) caught analysts by surprise with a rebound to profitability in the fiscal first quarter, and by revising up its full-year earnings forecasts on the strength of its main electronics business and an improvement in its liquid crystal display television business.� DJ

� Sony's forecasts in May disappointed many investors, but this revision shows that the company was being very cautious, perhaps overly cautious.

� positive full-year outlook despite a strengthening yen--especially against the euro.

� While keeping its annual sales forecast unchanged, Sony said it now expects a net profit of Y60 billion for the year to March 31, 2011. In May, it forecast an annual net profit of Y50 billion.

o TSMC 2Q Net Profit Up 65%; Gives Upbeat Outlook.. result beat forecasts

� world's largest contract chip manufacturer by revenue,

� "(Customers') demand for this year and forecasts for next year have both risen since January, so we also raised our capacity and capital spending this year," Chairman Morris Chang said.� DJ

o Logitech's (LOGI) Stock +6.5%... 1Q results and raised guidance

o Cap Gemini up 6% after reporting

o SYMC -8.2%

o SYMC: Symantec, the world�s largest maker of computer security software, forecast second-quarter sales and profit that missed analysts� estimates, citing weakness in the euro and �cautiousness� among customers.

o LSI -8.6% - reported

o NVDA guided lower, traded -7% at 9.50 after the bell

o France Telecom rose 4.9%, after it reported

o Statoil (-3.3%), Numbers miss.

o Royal Dutch Shell (RDSA.LN) Trading higher post results

� Royal Dutch Shell reported today as well beating analysts estimates and marking a significant improvement in revenues by 42% year over year. Shares are trading higher by 4 points.

o Siemens trades dn� Gives More Optimistic Outlook as Profit Beats Estimate

o Autos good news overnight:�

� Nissan Exec: Pace Of US Sales In Apr-Jun Tad Stronger Than Targeted For This FY � DJ

� Volkswagen AG, Europe�s largest carmaker, reported the biggest quarterly profit in two years on higher demand in China and the U.S. for the Golf compact and Audi A5 coupe

o Miner:� Kazakhyms (+1.1%) Copper output ahead of estimates.

o Chemicals

� Clariant (-3%), numbers a little better, sees increased raw material prices.

� BASF +1%, solid numbers.

� BASF says� demand strengthening � BBG

� Solvay (+4.2%) good numbers.

o Merck KGaA Shares +2.4% �After 2Q Data, Raised Guidance

o AstraZeneca shares +4.1%...2Q results strong and guidance increased

o BAE Systems (BA.LN) +1.4% at 321p after reporting

o Continental AG Fincl Chief Sees No Signs Of Downturn In 2H � DJ

o Rolls Royce's (RR.LN) Shares +2.2%� 1H results are solid; Rolls Royce Lifts Outlook After Steady First Half;� �management has underlined near-term economic uncertainty

o Lufthansa Trades Down 3.6% After Open, 2Q Results�Lufthansa Cuts '10 Fuel Cost Estimate To EUR5.2B On Stronger Euro

o Continental AG Shares Trade +0.3% After 2Q Data

o Banco Santander SA (STD) dn 1% �after reporting ..misses on Spain ; int�l biz better

o Reed Elsevier Shares Open Up 1.5% After 1H Results

� Poll shows opposition to health care overhaul declining � WP link

o Opposition to the landmark health care overhaul declined over the past month, to 35 percent from 41 percent, according to the latest results of a tracking poll, reported Thursday.

� House Panel Passes Bill to Legalize Online Gambling

o House committee passed legislation that would legalize some Internet gambling, allowing U.S. residents to place online bets with companies licensed by the Treasury Department

� North Korea To Hold More Talks With US Military On Ship Sinking (AFP)--North Korea and the U.S.-led U.N. Command will hold more talks Friday on the sinking of a South Korean warship, two days after the end of a major military exercise denounced by Pyongyang.

� U.S. Military Scrutinizes Leaks for Risks to Afghans�� (New York Times)� � The Pentagon is reviewing tens of thousands of classified battlefield reports made public this week about the war in Afghanistan to determine whether Afghan informants were identified and could be at risk of reprisals, American officials said Wednesday.

� Facebook Security Fears After 'Private Details of 100m Users Leaked to Web' -� Telegraph

� BBG

o The personal details of more than a fifth of Facebook�s estimated 500 million users have been �leaked� to the internet by campaigners highlighting its �terrifying� privacy fears

o The list, which has been published in a downloadable file, contains the URL of every searchable Facebook user�s profiles, their names and unique ID

o Campaigners warned the list, published on �Pirate Bay�, the world's biggest filesharing website, affected more than 100 million users on the social networking site.

� Goldman Bans Swearing in Emails � WSJ link

o Goldman Sachs is telling employees that they will no longer be able to get away with profanity in emails.

CANTOR TRADING RECAP

� Equity Recap

o imagine if the earnings would have been coming in bad? The trend continues, which shows me most have chased stocks up on the belief that earnings will be better and now that they have come out, the perception in a lot of cases is it�s not up to snuff. Economically, the durable goods stunk on both fronts, so another day of ugly macro while stocks just can�t get ahead of themselves after taking out the 200 day on the sp 500 and failing on the 150m day of 1,122. if we go lower we find support @ 1100 (prior resistance from July 13-15), after that 1088 (July 23 low) then 50 dma at 1082. If we flip it around resistance should be 200dma at 1114, then yesterday's high at 1121. The action has been mixed, there were still buy orders in house at levels but the reality is that no one needs to chase them anymore and the sellers are there, today at most levels. Not much quant action or shorts pressing

o S&P�s traded between up 2 and down 2 in the overnight session. By the 8:30 release of the Durable Goods numbers, we were up a point; both reports (Durable Orders and Durables ex-Transports) disappointed. In response, S&P�s faded a quick 5 points. Normally this report does not have an outsized impact on the market, but this was the second down month this year (with May being the first). After the cash open, futures fell another 4 points, as traders refocused on their main worry: the flagging momentum in the overall economy. The market caught a weak bid around the 1104 level (200 Day MA) and rallied 5 points into the early afternoon. However, with the release of the Beige book, which contained little in the way of surprise, but nonetheless described a slowing of the economic growth rate, prices faded again, breaking the 1100 level before bouncing a bit to close at 1102, down almost 9 on the day

o Of 10 S&P groups, only Telecom rallied (up 0.4%), helped by letter S, which briefly topped $5 on good earnings. The weakest group was Healthcare (off 1.4%), followed by Tech and Financials (each off 1%). Leading Healthcare lower were CEPH (off 8.4%) and HSP (off 7.2%). After the bell, DTG traded 50c lower to the $48.00 level as Avis submitted a bid valued at $46.50/share ($39.25 cash and 0.6543 a share of CAR) for the company, topping Hertz� bid. AKAM and SYMC traded off 5% and 8% respectively on poor earnings results. Going the other way on positive earnings was Skechers (SKX), rallying 8%.

o Billy Clark and Team

� Rates Commentary

o Treasury market opened up slightly better bid in the New York session with the exception of the long end which continued to lag the curve. A small bid after the worse than expected durable goods orders -1.0 versus expected 1.0 quickly dissipated. The major theme of the morning was the continued steepening of the yield curve with a large 5/30s flattening unwind moving this spread out throughout the morning. There was uncertainly to how the $37Bln 5 year would go but as the market went bid and roll buying occurred in the minutes leading into today's 1PM auction, the suspicion was that this auction would go well. The suspicion was correct as the 5 year came through by .9bps at 1.796%, the first 5 year to come through since January. Stats were strong with over 47% to indirects, the largest percentage since April, 11.4% to directs, near their six month average and a 3.06 bid to cover the largest since August 2006.

o After the initial heavy feel in the minutes after the auction, Treasuries found a vicious bid with the curve continuing its morning theme of the belly well bid, short end somewhat lagging and long end completely lagging, 5/30s steepened out over 8bps at one point to over 237bps, a new record and 10/30s steepened out over 4bps to over 107bps. The Fed Beige Book release at 2PM highlighted economic activity slowed in some areas. At 3PM, Treasuries closed higher across the curve with the 5 year on the day of the $37Bln auction the stellar issue. We will remain cautious setting up to early ahead of tomorrow's $29Bln 7Y note auction after today's auction stats and the current firm market tone in Treasuries.

o Primary Dealer

� Convertibles Commentary

o The convert market traded sideways today with no clear direction. Yesterday�s new $2.2 billion Gilead deal was still under selling pressure this morning but firmed up in the afternoon to closed unchanged. HTCH Converts were down about 5 points on earnings and SNDK saw some profit taking today closing down about 1 point today. On the upside, Both GAP Converts traded up about 3.5 points off their lows.

o Tom Fazio

� Investment Grade Recap

o IG spreads were marginally softer today although that didn�t stop McDonald�s (A3/A) from coming with $750BN in a new deal with little to no concession, 10yr and 30yr at +55 and +85 respectively. We are now at or close to the tights for the year on spreads as concerns on Europe have faded and earnings have mitigated worries about the job market.

o First day back since Wednesday of last week for me with a new addition to the family and spreads generically are 5-10bps better in A-rated paper and twice that in BBB�s. New Noble�s (NE) have quieted down a little but are now over 100bps better from original talk and 40bps better from pricing. Old XTO (now part of Exxon, XOM) remains an active name for us as we traded 18s, remain axed in 16s and buyers of 13s and 14s. Bonds continue to trade very aggressive off bwic�s as dealers reach for paper to satisfy the account inquiry.

o Should be an interesting jobless/continuing claims number tomorrow as that has proved the catalyst, however short-lived, for any widening that we have seen as of late.

o Michael Salemo

o Chesapeake Midstream IPO Raises $446 Million, High End of Range

o BP talking about selling stakes in three Venezuelan projects to TNK-BP (TNBP.RU) - London Times

o Statoil (STO) Shares -3%..2Q "earnings were lower than consensus�

o Royal Dutch Shell (RDSA.LN) Trading higher post results

� Royal Dutch Shell reported today as well beating analysts estimates and marking a significant improvement in revenues by 42% year over year. Shares are trading higher by 4 points.

o HLX Helix Energy Solutions reports Q2 EPS

o CRR Carbo Ceramics reports Q2

o HOS Hornbeck Offshore reports�.Reaffirms full year EPS guidance

o TSO Tesoro reports Q2 EPS

o GPRE Green Plains reports Q2 EPS

o RAME RAM Energy Resources updates Q2 operational activity; revises annual production targets

o WLL Whiting Petroleum reports Q2 EPS

o OII Oceaneering International reports Q2 EPS

o DRC Dresser-Rand reports Q2 EPS

o NGLS Targa Resources Partners signs long term contract with Marathon to install and operate a benzene treating project

o DVR Cal Dive reports Q2 EPS

o EP El Paso announces Northeast supply diversification project

o PSE Pioneer Southwest Energy reports Q2 EPS

o PXD Pioneer Natural reports Q2 EPS

o ICO International Coal reports Q2 EPS

o HP Helmerich & Payne reports

o WLT Walter Energy reports Q2 EPS

o ETP Energy Transfer Partners approves quarterly distribution of $0.89375 per unit for Q2; Energy Transfer Equity (ETE) distribution of $0.54 per unit

o SPN Superior Energy reports Q2 EPS

o Peabody Energy (BTU), Xstrata (XTA.LN) understood to be looking at Aston Resources � AAP

� Sources tell AAP that the Australian coal miner will probably unveil a A$400M IPO next week; it is not clear if the wire is citing the same sources for the news of the possible takeover.

o BLDP� Ballard Power reports.. Company confirms full-year guidance for growth in excess of 35%

o KEG Key Energy Services reports

o of Clean Energy Fuels (CLNE), Andrew Littlefair, president and CEO of Clean Energy Fuels (CLNE), tells Cramer that this is the first time that Congress has taken action towards energy independence and the new bill will be a boost for the entire natural gas industry. He adds that the new bill will give fleet operators the incentive they need to convert their trucks to natural gas, where they will save $1 a gallon on fuel. Cramer reiterates his buy on the stock, along with Westport Innovations (WPRT), Cummins (CMI) and Fuel Systems Solutions (FSYS).

INDUSTRIALS

o BG� Bunge Ltd reports mixed to worse..gudies dn

o TYC Tyco reports mixed�revs less than street

o BLL Ball Corp reports mixed

o IRM� Iron Mountain reports mixed

o POT up pre mkt�1%....: Potash reports a beat..guides up..but may be mixed� vs street

o U.K. defense technology company QinetiQ Group PLC (QQ.LN) Thursday said it expects to meet its forecasts this year, despite continued delays in orders from the U.K., and to a lesser extent from some sector in the U.S.� � DJ

o TGI Triumph Group reports Q1 EPS

o SWK Barron's Weekday Trader is positive on Stanley Black & Decker

o ISSC Innovative Solutions reports Q3 EPS

o GLF Gulfmark Offshore reports Q2 EPS

o KEX Kirby Corp reports Q2 EPS

o HCCI Heritage-Crystal Clean reports Q2 EPS

o FLS Flowserve reports Q2 EPS

o TKR Timken wins $26M wind energy contract supplying Goldwind

o CBAK China BAK Battery reports Q3 EPS

o RGR Sturm Ruger reports Q2 EPS

o TTEK Tetra Tech reports Q3 EPS

o WGOV Woodward authorizes $200M stock repurchase program

o ISIG Insignia Systems reports Q2 EPS

o ISH International Shipholding reports Q2 EPS

o TAL TAL International reports Q2 EPS

o KAI Kadant reports Q2 EPS

o RA RailAmerica reports Q2 EPS

o QLTY Quality Distribution reports Q2 EPS

o GMR General Maritime reports Q2 EPS

o TRN Trinity Industries reports Q2 EPS

o ITRI Itron reports Q2 non-GAAP EPS

o OI Owens-Illinois reports Q2 EPS

o WGOV Woodward Governor reports Q3 EPS

o SRCL Stericycle reports Q2 EPS

o WIRE Encore Wire reports Q2 EPS

o DRCO Dynamics Research reports

o GTLS Chart Industries reports.. Reaffirms full year EPS guidance

TRANSPORTS

o ARII American Railcar reports Q2 EPS

o DRYS DryShips reports Q2 EPS

o Lufthansa Trades Down 3.6% After Open, 2Q Results�Lufthansa Cuts '10 Fuel Cost Estimate To EUR5.2B On Stronger Euro

� "Expectations for upward revisions were already strong, but the degree of the changes was far bigger than expected," DJ

� Mitsui O.S.K. Lines is� the operator of the world�s largest merchant fleet

o UAL-Continental Merger Moves Ahead � WSJ link

TECH/MEDIA/TELECOM

o BT- Solid Q1 with some upside coming from job cuts in the Q. The company also reaffirmed guidance.� Retail results were a negative in the q, and call revs were slightly disappointing despite recent price hikes.

o Sony- raised its FY earnings forecast due to strong performance in the TV and gaming console segments. Chief Executive Officer Howard Stringer has started to focus on new products as the global economic recovery revives consumer demand.

o TSM- Margins did not blow away as usual, but revenue and guidance were strong. Demand for components in phones and computers were the driving factors. TSMC raised its forecast for foundry market to 40%, implicitly increasing its own full year revenue expectations from 36% with most of the upside coming from inventory. The biggest risk in TSM is an end market correction according to analysts. TSMC mgmt also said that customer backlog has also shortened.�

o AKAM- in line June Q with value added services providing the upside. Strong gross margins in line with guidance as well (82%). Mgmt increased spending due to increased confidence.

o BMC- qorse Q1, but booking in the Q were positive. This could be a strong driver to future earnings. With the light EPS and rev, and the better bookings mgmt maintained their guidance figures. Mgmt also indicated that the economy is getting better, demand is improving, and they aren�t seeing any weakness.

o CML- Strong Q2 and slight guidance raise. North America performed very well in the Q for CML, and new customers came in much better. Mgmt was upbeat during the conference call

o CTV-� in line Q2 although margins were worse. A better than expected tax rate helped to provide some upside. Mgmt offered Q3 guidance below consensus, but says the North American and LTE builds and wireless network spending should continue.

o CTXS- better Q on the top and bottom line, and bookings were also better. Mgmt guided Q3 higher.

o DRIV- mixed Q2 and Q3 guidance is slightly disappointing. DRIV saw positive results from the Windows 7 product cycle in the Q. Mgmt expects cost cutting to continue into Q3.

o GSIC- Q2 looks disappointing although eCommerce and IMS performed better in the Q.� Gudiance for Q3 is mixed with better top line guidance and lower PS guidance due to expected international launches.

o LOGI- Strong Q1, but guidance looks conservative. FX headwinds were a drag on the Q, but LOGI still provided a beat. Video and Gaming were the major negatives in the Q. FY11 guidance was raised, but still in line with estimates.

o LSI- disappointing Q with an inventory correction in enterprise semis helping to drag to the negative. Guidance is also disappointing as LSI expects SAN components to remain under pressure in Q3.

o LRCX- Very Strong Q4 and strong guidance. The better guidance looks due to share gains, which could be a positive for Qs to come. There are still growing concerns over chip demand so guidance could prove to be too strong.

o NETL-better Q2 and Q3 guidance.

o SYMC- weak results in the Q due to storage weakness. Competitor CVLT Commvault also provided weaker results signaling that there is weakness across the board in storage. Enterprise security performed well and mgmt said there was good demand in the Q. guidance for the sept Q is conservative due to the expected sweakness in storage.

o TER- better Q2 and strong Q3 guidance. Bookings in the Q were better, and should help to drive the better Q3.

o TQNT- better Q on the top and bottom line. Mgmt also guided Q3 better , but margins may see some pressure

o Facebook Security Fears After 'Private Details of 100m Users Leaked to Web'- BBG

o The personal details of more than a fifth of Facebook�s estimated 500 million users have been �leaked� to the internet by campaigners highlighting its �terrifying� privacy fears

o The list, which has been published in a downloadable file, contains the URL of every searchable Facebook user�s profiles, their names and unique ID.

o Panasonic buying Sanyo, other unit for $9.4 bln- reuters

o Japan's Panasonic Corp plans to buy out subsidiaries Sanyo Electric and Panasonic Electric Works �for up to 818.4b yen ($9.4b) to strengthen its push into greener businesses.

o QLCM Qualcomm India unit to sell stake for $64 mln- Reuters

o BSkyB buys complete HBO TV catalogue- Guardian

o LGF- B.C. regulator dismisses Icahn application for temporary cease trade order- BBG

Digital Sky Technologies has given mandates to GS, MS, and JPM to organize a DST IPO- S&P

MATERIALS

o CLF reported�misses, guidance may not be good enough:� hurt by to weaker than expected pellet pricing

� Cliffs Natural Resources., North America�s largest iron-ore producer, said second-quarter profit increased more than fivefold because of higher raw-material prices and increased demand

� �call on July 29 at 10 AM EST, dial-in: 877-485-3104, ID#00353968.

o Mining giants eyeing coal firm Aston- Sydney Morning Herald

� US-based Peabody Energy Corporation and Swiss mining giant Xstrata are understood to be eyeing emerging Australian coal miner Aston Resources Ltd for a takeover

� According to sources close to the company, Aston is expected mid-next week to unveil an initial public offer seeking to raise $400 million, which has already attracted Singapore's Noble Group and Japan's Itochu as cornerstone investors.

� http://news.smh.com.au/breaking-news-business/mining-giants-eyeing-coal-firm-aston-20100729-10x8s.html

o CBT Cabot Corp reports Q3 EPS

o KWR Quaker Chemical reports Q2 EPS

o EGO Eldorado Gold reports an EPS beat

o GG Goldcorp reports Q2 EPS

o TIS Orchids Paper Products Company reports Q2 EPS

o CTHR Charles & Colvard reports Q2 EPS

o FMC FMC Corp reports Q2 EPS

o AEM Agnico-Eagle Mines reports Q2 EPS $0.64 including items

o Deal between Chinalco, Rio Tinto (RIO.LN) coming at 03:30 ET - FT

o Rio Tinto (RIO.LN) confirms signs deal with Chinalco for Simandou iron ore project joint venture.

o Miner:� Kazakhyms (+1.1%) Copper output ahead of estimates.

o kazakhmys PLC (KAZ.LN) has enough capacity to process all of its copper concentrate when the planned Bozshakol mine starts production in 2014, the company's head of investor relations John Smelt said Thursday.

o ABX Barrick Gold reports Q2 EPS $0.77 vs Reuters $0.71 ($40.03)

� �revenues of $2.64B vs Reuters $2.64B.

� Barrick remains on track with its original full year production guidance of 7.6-8.0M ounces at total cash costs of $425-$455 per ounce or net cash costs of $345-$375 per ounce

� Barrick Gold increases quarterly dividend by 20.0%

AUTOS

o ORLY O'Reilly Auto reports Q2 adjusted EPS

o F Ford plans to complete sale of Volvo to Zhejiang Geely Holding Co next week - Detroit News

o DTG, CAR Avis Budget Group submits bid in cash and stock valued at $46.50 for Dollar Thrifty Automotive

o HTZ Hertz Global completes company's 2010 fleet refinancing

o VW up 3% on good numbers today

o Nissan Exec: Pace Of US Sales In Apr-Jun Tad Stronger Than Targeted For This FY � DJ

o Hyundai Motor., South Korea�s largest automaker, said it expects to beat its annual revenue forecast after posting record profit on brisk overseas sales that offset sluggish domestic demand.

� The automaker will probably sell more than its initial plan of 3.46 million vehicles as new models including revamped Sonata lure buyers, Chief Financial Officer Lee Won Hee told reporters today, without disclosing a new sales goal.� BBG

o Truck maker and engineering firm MAN.. MAN bullish on orders in commercial vehicles business

� "MAN's key performance indicators have improved significantly compared with the difficult year 2009," MAN said in a statement, noting however that "many areas still have a long way to go to return to the high levels of capacity utilization in previous record years."

FINANCIALS

o Dodd, Frank Plan to Hold Hearings on Basel Capital Regulations � BBG

o Christopher Dodd and Barney Frank, authors of the U.S. financial overhaul, plan hearings on the status of global talks to revise bank-capital standards amid worries that proposed rules are being watered down.

o �I am concerned the recent proposals out of Basel will result in weak and perhaps even nonbinding provisions that provide credit to banks for holding forms of capital that have little or no value in absorbing losses,� said Senator Ted Kaufman, Democrat of Delaware. �The financial reform bill includes only a promise of higher capital requirements for U.S. banks, which we were told were going to be negotiated on an international level.�

o The Senate Banking Committee, chaired by Dodd, will hold the discussions on the Basel process in September, said Sean Oblack, a spokesman for the Connecticut Democrat.

o European banks� Telegraph's Pritchard, citing S&P notes, mentioned that European banks have approximately �30 trillion in liabilities and face notable funding concerns over the next two years due to governments exiting emergency support measures. Unlike their US and Asian counterparts, most mortgages and other loans remain on balance sheets and thus require funding. The �750B EU aid package had only allowed achieving additional time, and did not address the more underlying fiscal issues.

o Implicit taxpayer support drives banks' expansion, BIS says

o Profitability made possible by economies of scale isn't what causes banks to grow into financial giants, according to the Bank for International Settlements. "Certain banks may have expanded, either domestically or internationally, with the aim of attaining a too-big-to-fail status," BIS said in a report. Implicit taxpayer backing might benefit individual banks "but impairs systemic stability," BIS said. Telegraph (London) (29 Jul.)

o Wells Fargo . Chief Executive Officer John Stumpf said customers, not just the bank, will bear the financial burden for U.S. regulations that cover services ranging from home loans to credit cards

o ��I can�t guarantee that we won�t pass on some of those costs,� Stumpf, 56, said in an interview at his San Francisco office. �We�ll try to tighten our belt and absorb some of the costs of compliance, but some costs may change and customers might pay for their financial services in new ways.� BBG

o S&P Article Says EU Bank Stress Tests Yield No Surprises

o Visa Profit Beats Estimates � up small after hrs

� Visa Management was unable to quantify the impact of the Durbin amendment

o Banco Santander SA (STD) dn 1%� after reporting ..misses on Spain ; int�l biz better

o NFBK Northfield Bancorp reports Q2 EPS

o VCBI Virginia Commerce withdraws public offering of $75M in common stock

o AEA Advance America reports Q2 EPS

o ISBC Investors Bancorp reports Q2 EPS

o WSH Willis Group Hldgs reports Q2 EPS

o AIZ Assurant reports Q2 EPS

o ZION Zions Bancorp enters into a total return swap and related interest rate swaps with Deutsche Bank AG

o BHB Bar Harbor Bankshares repurchases warrant from U.S. Treasury

o PMI PMI Group reports

o PROV� Provident Financial Holdings reports

o ASI American Safety Insurance reports Q2 EPS

o SYA Symetra Financial reports Q2 EPS

o HMN Horace Mann reports Q2 EPS

o SIGI Selective Insurance reports Q2 operating EPS

o AHL Aspen Insurance reports Q2 EPS

o CINF Cincinnati Financial reports Q2 operating EPS

o BPFH BostonPrivate Financial reports Q2 EPS

o TMK Torchmark Corp reports Q2 operating EPS

o RE Everest Re reports Q2 after-tax operating income

o LNC Lincoln National reports Q2 operating EPS

o AMP Ameriprise Financial reports Q2 operating EPS

o BarCap sees success in utilizing Lehman's M&A skills

� Barclays Capital is making its mark on Wall Street, having served as the adviser to buyers in seven of the 20 biggest leveraged buyouts this year. Parent company Barclays is combining its strong balance sheet with expertise in mergers and acquisitions from Lehman Bros. The Wall Street Journal (29 Jul.)

REAL ESTATE

o Foreclosure Filings Rise in 75% of U.S. Cities on Unemployment � RealtyTrac

� The number of properties receiving a filing more than doubled from a year earlier in Baltimore, Oklahoma City and Albuquerque, New Mexico, the mortgage-data company said today in a report. Notices of default, auction or bank seizure rose more than 50 percent in areas including Salt Lake City; Savannah, Georgia; and Atlantic City, New Jersey

� �Foreclosures are spreading out from areas that had been hardest hit,� Rick Sharga, senior vice president for marketing at Irvine, California-based RealtyTrac, said in a telephone interview. �We�re dealing with underlying economic weakness as opposed to unsustainable home prices and bad loans.�� BBG

o Tougher standards are starting to show results, Fannie says

� Fannie Mae said it is laying the groundwork for a sustainable housing recovery in the U.S. by lending to borrowers with better credit, requiring a higher-quality appraisal and insisting on more documentation of income. "If you take all of these factors together, we're building the strongest book of business we've seen in the last decade," CEO Michael Williams said. Reuters (28 Jul.)

o RYL� probably disappoints a bit today�reports a headline miss..but operations were better than headline .. beat on margins ..but orders weaker

� �net order growth of -44% y/y!...most lilely missed even street expectations that have been getting more cautious recently

� call Thursday at 12:00 pm ET

o BMR� Biomed Realty Trust reports Q2 FFO $0.28 vs Reuters $0.27 �Company reports revenues of $92.9M vs Reuters $88.1M. Guides full-year FFO to $1.15-1.20 vs prior $1.10-1.15 and Reuters $1.17.

o AGNC American Capital Agency reports Q2 EPS

o OFC Corporate Office Properties reports Q2 FFO

o BDN Brandywine Realty reports Q2 FFO

o HIW Highwoods Properties reports Q2 FFO

o CXS CreXus Investment reports Q2 core EPS

o EQR Equity Residential reports Q2 FFO

o DRE Duke Realty reports Q2 core FFO

o CMO Capstead Mortgage reports Q2 EPS

o O Realty Income reports Q2 FFO

o EXR Extra Space Storage reports Q2 adj. FFO

o NLY Annaly Capital reports Q2 core EPS

CONSUMER

o G Genpact reports Q2 adjusted EPS

o V Visa beats est..

o FC Franklin Covey's Co-COOs of Global Operations will leave the company

o PARL Parlux Fragrances reports Q1 EPS

o UNFI United Natural Foods discloses amendment to Whole Foods distribution agreement

o FRPT Force Protection awarded USMC contract modifications

o HURN Huron Consulting reports Q2 EPS

o ATX A.T. Cross Company reports Q2 EPS

o DAVE Famous Dave's reports Q2 EPS

o PCCC PC Connection reports Q2 EPS

o SCI Service Corp reports Q2 EPS

o SFN SFN Group reports Q2 EPS

o SPTN Spartan Stores reports Q1 EPS

o MORN Morningstar reports Q2 EPS

o GB Greatbatch reports Q2 EPS

o EFX Equifax reports Q2 EPS

o NUS Nu Skin Enterprises reports Q2 EPS

o SFLY Shutterfly reports Q2 GAAP EPS

o NSR NeuStar reports Q2 EPS

o SKX Skechers USA reports Q2 EPS

o VPRT Vistaprint reports Q4 EPS

o NTY NBTY reports Q3 EPS

o GMCR Green Mountain Coffee reports Q3 EPS

o ELY Callaway Golf reports Q2 EPS

o Wal-Mart's Fashion Identity Crisis � WSJ link

� Wal-Mart cannot seem to find the right fit when it comes to selling clothing, and by quietly ousting its U.S. division apparel chief, the retailer acknowledged that its clothing strategy has been a dud.

GAMING, LODGING, & LEISURE

o House Panel Passes Bill to Legalize Online Gambling

� House committee passed legislation that would legalize some Internet gambling, allowing U.S. residents to place online bets with companies licensed by the Treasury Department

o Station Casinos Inc., the biggest U.S. gambling company in bankruptcy, settled its dispute with unsecured creditors, opening the way for Chairman Frank Fertitta and his brother to try to retain control of the company.� BBG

o PartyGaming and Bwin Interactive Entertainment (BWIN.AV) agree to merger

HEALTHCARE

o Major European pharma names reported today such as Sanofi, Merck, Astrazeneca and Bayer. Sanofi beat estimates in both net earnings and revenues and reiterated its EPS guidance for FY10 which is impacted by the approval of a rival treatment to Lovenox.

o Astrazeneca up 4%

o IART Integra reports Q2.. Reaffirms full year EPS guidance

o BDX Becton Dickinson reports beter, guidance mixed

o UAM Universal American reports Q2 EPS

o AHS AMN Healthcare reports Q2 adjusted EPS

o SNY Sanofi to make formal GENZ Genzyme bid- WSJ

� Sanofi-Aventis SA is likely to make a formal bid to Genzyme Corp.'s board in coming days, people familiar with the matter said, in an effort to win enough support from Genzyme directors for a deal that could eventually be valued at about $20 billion.

� �The board of Sanofi met in Paris on Wednesday and voted to make a formal offer for Genzyme, though the details of the offer were not immediately available

� http://online.wsj.com/article/SB10001424052748703940904575395551098003536.html

o DNDN Dendreon announces publication of data from Phase III IMPACT study in the NEJM

o AZN FDA panel votes 7-1 to recommend approval of AstraZeneca's Brilinta for certain heart patients

o HRC Hill-Rom Holdings reports Q3 EPS

o ICAD icad reports Q2 EPS

o LMAT LeMaitre Vascular reports Q2 EPS

o MRNA MDRNA acquires Novosom AG for its SMARTICLES liposolmal-based delivery system

o ANPI Angiotech Pharmaceuticals and partner Athersys announce positive results from phase I study of multistem in heart attack patients

o CLRT Clarient reports Q2 EPS

o FVE Five Star Quality Care reports Q2 EPS

o MBLX Metabolix reports Q2 EPS

o PSSI PSS World Medical reports Q1 EPS

o CYH Community Health reports Q2 EPS

o AIQ Alliance HealthCare Services reports Q2 EPS

o CYTK Cytokinetics reports Q2 EPS

o QCOR Questcor reports Q2 EPS

o FLML Flamel Technologies reports Q2 EPS

o NBIX Neurocrine Biosciences reports Q2 EPS

o SGMO Sangamo BioSciences reports Q2 EPS

o OFIX Orthofix International reports Q2 GAAP EPS

o MMSI Merit Medical reports Q2 EPS

o AHS AMN Healthcare to acquire Medfinders

o ODSY Odyssey Healthcare reports Q2 EPS

o AMAG AMAG Pharmaceuticals reports Q2 EPS

o MYL Mylan reports Q2 EPS

o CHE Chemed reports Q2 EPS

o CVD Covance reports Q2 EPS

o COV Covidien reports

o MWIV MWI Veterinary Supply reports

o NKTR Nektar Therapeutics reports Q2 EPS

o BEAT CardioNet reports Q2 EPS

o ABT Abbott's SIMCOR (niacin extended-release/simvastatin) receives FDA approval for new dosage strengths

o CERN Cerner reports Q2 EPS

o SRDX SurModics reports Q3 EPS

o VRTX Vertex Pharmaceuticals reports Q2 EPS

o SUNH Sun Healthcare reports Q2 EPS

o �VAR Varian Medical reports Q3 EPS

o ESRX Express Scripts reports Q2 EPS

o PDLI PDL BioPharma reports Q2 EPS

o ABII Abraxis BioScience and Specialised Therapeutics announce approval to market ABRAXANE for metastatic breast cancer in New Zealand

OTHER

� Stocks mentioned on CNBC's Mad Money with Jim Cramer - TheStreet.com�

o + CLNE, WPRT, CMI, FSYS, DE, BA, SKX, DVN, CHK and ONNN

� RRC, MFE

EUROPE TRADING WRAP

� Energy

� Royal Dutch (+1%), Numbers beat estimates. Q2 CCS $4.2bln, est $4.08 bln.

� Repsol (+1.4%), Numbers beat estimates.

� Statoil (-3.3%), Numbers miss.

� Petro Geo (-1%), Numbers miss.

� Acergy (+3%), African contract award.

� Chemicals

� Clariant (-3%), numbers a little better, sees increased raw material prices.

� BASF +1%, solid numbers.

o BASF says� demand strengthening � BBG

� Solvay (+4.2%) good numbers.

o Chemicals and plastics maker Solvay..

o Profit Misses Views; Better Outlook

o slightly raised the full-year outlook for its core plastics business

� Vallourec (-4%) warns on 2H

� Mittal (-1.7%) hopes to raise prices 10% as demand flags.

� Mining

� Eramet(-1.1%), cautious on 2H

� Kazakhyms (+1.1%) Copper output ahead of estimates.

� Xtrata (u/c), increased Copper reserves.

� Aquarius Plat(-1.7%), Production numbers up, reviewing Blue Ridge Mine.

�

� Logitech's (LOGI) Stock +6.5%... 1Q results and raised guidance

� Cap Gemini up 6% after reporting

� France Telecom rose 4.9%, after it reported

� Siemens trades dn� Gives More Optimistic Outlook as Profit Beats Estimate

� Autos good news overnight:�

o Nissan Exec: Pace Of US Sales In Apr-Jun Tad Stronger Than Targeted For This FY � DJ

o Volkswagen AG, Europe�s largest carmaker, reported the biggest quarterly profit in two years on higher demand in China and the U.S. for the Golf compact and Audi A5 coupe

� Merck KGaA Shares +2.4%� After 2Q Data, Raised Guidance

� AstraZeneca shares +4.1%...2Q results strong and guidance increased

� BAE Systems (BA.LN) +1.4% at 321p after reporting

� Continental AG Fincl Chief Sees No Signs Of Downturn In 2H � DJ

� Rolls Royce's (RR.LN) Shares +2.2%� 1H results are solid; Rolls Royce Lifts Outlook After Steady First Half;�� management has underlined near-term economic uncertainty

� Lufthansa Trades Down 3.6% After Open, 2Q Results�Lufthansa Cuts '10 Fuel Cost Estimate To EUR5.2B On Stronger Euro

� Continental AG Shares Trade +0.3% After 2Q Data

� Banco Santander SA (STD) dn 1%� after reporting ..misses on Spain ; int�l biz better

� Reed Elsevier Shares Open Up 1.5% After 1H Results

� CASINO: 1H trading profit beats consensus

� THALES: 1H EBIT a shade above forecasts, order intake

� VALLOUREC: 2Q EBITDA in-line; sees 'more modest' 2H sales

� BAYER tweaks sales guidance amid generic competition.. BAYER CONFIRMS FULL-YEAR FORECAST��

� FINMECCANICA 1H profits, orders disappoint

� PIRELLI RE: Swings to op. profit, achieves FY savings

� ASM INTL 2Q ahead of expectations

� NUTRECO 1H net result in line with expectations

� RANDSTAD 2Q slightly above consensus

� WESSANEN 2Q net result tops consensus

� MELEXIS 2Q ahead of expectations

� NYRSTAR 2Q revenues broadly in line

� ATRIA 2Q EBIT below forecast

� Kemira 2Q EBIT above forecast

� MAN bullish on orders in commercial vehicles business

� ABERTIS delivers 1H EBITDA +6.6%, in line with ests

� SACYR-VALLEHERMOSO 1H EBITDA beats forecasts

� ELECINCO 1H net profit rises 72.7%, in line with ests

� TELEFONICA 1H beats forecasts

� VISCOFAN raises guidance after 1H results

� CLARIANT ups guidance on 2Q profit of CHF25m

� SYNTHES gives cautious outlook as 1H profit shy of expectations

� BAE SYSTEMS: 1H earnings ahead of forecast

� BSKYB: 90k net additions in 4Q, FY operating profit up

� BT GROUP: 1Q EBITDA up 6%, in line

� TRINITY MIRROR: Interims ahead of forecasts, cautious

ASIA TRADING WRAP

Japan

� NKY -0.59%, TPX -0.49%

� NKY fell tracking US lead overnight and after US durable goods orders unexpectedly fell. Turnover on the TPX rose to 1.30 trillion yen from 1.08 trillion yen yesterday

� Stocks fell across most sectors led by consumer, telecom, oil & gas and health care

� Retailers -0.94% after large retailers� sales fell in June

� Best performing sectors on the TPX: rubber products +2.67%, shippers +2.05%, other financing +0.99%; worst performing sectors: mining -2.60%,fishery, agriculture & forestry -1.60%, info & comm -1.41%

� Japan retail sales rose 3.2% YoY in June, the 6th consecutive mth of gains, the Ministry of Economy, Trade and Industry reported. May figure was revised up to 2.9% from 2.8%

� With the government�s green-car subsidies set to end after September, cabinet ministers are split on extending the measure

Hong Kong

� HSI +0.01%; HSCEI -0.26%

� Stocks fluctuated, testing resistance at its 200-day moving average after US durable goods orders fell expectedly and the Fed remained cautious about growth. Turnover on the HSI rose to HK$20.87B from HK$16.43B yesterday

China

� SHCOMP +0.55%; SZCOMP +0.46%

� Stocks rose as on positive sentiment as corporate earnings are good and the government�s tightening policies appear to have entered a quiet �observation� period. The Financial Time reported deputy central bank governor Ma Delun said the government will maintain a moderately loose monetary policy in 2H. Turnover on the SHCOMP rose to 119.70B yuan from 84.09B yuan yesterday

� Stocks rose across most sectors led by materials, tech, utilities and oil & gas. Health care and telecom fell. Consumers were mixed

� Cement stocks extended rally after Citic Securities upgraded the sector

� Iron & steel +2.35%. The average spot price for domestic hot-rolled steel sheet rose 6.9% WoW, data from Beijing Antaike Information Developed showed

INVESTMENT BANKING

M&A

o UAL-Continental Merger Moves Ahead � WSJ link

o BP May Sell Venezuela Oil Stakes to Russian Venture, PDVSA Says- BBG

o BP Plc has told Venezuela�s state oil company it�s interested in selling stakes in three projects to its Russian venture, TNK-BP

o BP needs the Venezuelan government�s approval to begin negotiations on the proposed sale

o http://noir.bloomberg.com/apps/news?pid=newsarchive&sid=at7x6.rqjgB4

o CAR Avis tops Hertz with $1.33 bln bid for DTG Dollar- Reuters

o Avis Budget Group Inc (CAR.N) offered about $1.33 billion to buy Dollar Thrifty Automotive Group Inc (DTG.N), topping rival Hertz Global Holdings' (HTZ.N) offer, but still short of the company's current market value

o Dollar Thrifty shares fell about 2 percent to $47.85 in after market trade. They have risen 25 percent since Hertz's offer in April.

o http://www.reuters.com/article/idUSSGE66R0NJ20100728

o SNY Sanofi to make formal GENZ Genzyme bid- WSJ

o Sanofi-Aventis SA is likely to make a formal bid to Genzyme Corp.'s board in coming days, people familiar with the matter said, in an effort to win enough support from Genzyme directors for a deal that could eventually be valued at about $20 billion.

o �The board of Sanofi met in Paris on Wednesday and voted to make a formal offer for Genzyme, though the details of the offer were not immediately available

o http://online.wsj.com/article/SB10001424052748703940904575395551098003536.html

o CPKI California Pizza Kitchen gets PE bidder- Reuters

o Private equity firm American Securities is bidding for California Pizza Kitchen

o Earlier this month, the company, which offers unusual items like Korean barbecue steak tacos and pear and gorgonzola pizzas, raised its second-quarter earnings forecast as sales at established restaurants fell less than expected.

o http://www.reuters.com/article/idUSN2820191320100728

o Peltz adds FDO Family Dollar to TIF Tiffany bet- NYPOST

o The activist investor's Trian Group -- the biggest shareholder of upscale jeweler Tiffany -- said yesterday it had accumulated a 6.6% stake in Family Dollar, a deep-discount chain

o eltz's Trian said it has met lately with Family Dollar Chairman and CEO Howard Levine about making the stores more productive, "optimizing" store openings and possibly taking on debt to fund share buybacks.

o http://www.nypost.com/p/news/business/attention_shoppers_peltz_adds_family_9W71NTvUhqcUCy4nfcNyoJ?CMP=OTC-rss&FEEDNAME=#ixzz0v3zK7max

o F Ford sale of Volvo expected to be done next week- DetNews

o Ford Motor Co. plans to complete the sale of Volvo Cars to Zhejiang Geely Holding Co. next week, marking the biggest acquisition of a global brand by a Chinese company

o http://www.detnews.com/article/20100729/AUTO01/7290346/1148/auto01/Ford-sale-of-Volvo-expected-to-be-done-next-week#ixzz0v3zc7W7k

o RDS Shell to Sell 4 Oil Blocks in Niger Delta- Zenith Bank

o Oil giant Shell has offered some of its oilfields in the Niger Delta valued at between $150 million to $2 billion for sale, THISDAY investigations have revealed Also to be sold with oil blocks are the facilities located in that region where the industry has faced repeated militant attacks.

o It was gathered that the oil giant has selected a few of the local companies from among the 30 local firms that submitted expression of interest in the deal

o http://www.thisdayonline.com/nview.php?id=179487

o AHS AMN Healthcare to buy smaller rival Medfinders- Reuters

o Healthcare Services (AHS.N) said it will buy smaller rival Medfinders, a provider of clinical workforce services, for about $88 million in stock to strengthen its presence in the healthcare staffing market.

o AMN said it will also refinance Medfinders' debt valued at about $132 million, and that the acquisition will add to earnings in 2011.

o http://www.reuters.com/article/idUSSGE66R0MZ20100728

o Monitronics on block, could be $1 bln or more- reuters

o Monitronics, an alarm monitoring firm backed by private equity company Abry Partners, is being marketed for sale and two investment banks are advising it,

o The business could fetch about $1 billion, one source said, while a second source said it could be worth more than that amount

o http://www.reuters.com/article/idUSN2811250320100728

o Panasonic buying Sanyo, other unit for $9.4 bln- reuters

o Japan's Panasonic Corp plans to buy out subsidiaries Sanyo Electric and Panasonic Electric Works for up to 818.4b yen ($9.4b) to strengthen its push into greener businesses.

o The world's No.4 flat TV maker will raise up to 500 billion yen in a new share issue to help finance the buyouts, sending its shares down as much as 11 percent.

o http://www.reuters.com/article/idUSSGE66S08Q20100729

o Panasonic says nothing decided on Sanyo deal- Reuters

o Panasonic Corp said nothing has been decided after Reuters reported it planned to acquire the shares it does not already own in Sanyo and Panasonic Electric Works

o http://www.reuters.com/article/idUSTKX00691420100729

o Aegis in talks to buy Australias's Mitchell- Daily telegraph

o British media buying group Aegis (AEGS.L) is in late stage talks to buy Mitchell Communication Group, its Australian rival, for 200 million pounds ($312.4 million)

o http://www.reuters.com/article/idUSLDE66S00320100729

o Russia to sell $29 bln state assets on market- Reuters

o Russia plans to sell $29 billion worth of assets on the open market, a senior government official said on Wednesday, allaying investors fears about the transparency of the biggest privatisation since the 1990s.

o The planned asset sale is designed to fill budget holes that Russia is to battle for the next few years.

o http://www.reuters.com/article/idUSLDE66S0AK20100729

o QLCM Qualcomm India unit to sell stake for $64 mln- Reuters

o The Indian broadband unit of cellphone chip maker Qualcomm (QCOM.O) plans to sell a 26 percent stake to two Indian companies for about 3 billion rupees ($64 million)

o The sources declined to be named as they were not authorised to speak to the media ahead of an official announcement expected on Friday

o http://www.reuters.com/article/idUSSGE66S09Z20100729

o Australian watchdog clears NVS Novartis bid for ACL Alcon

o The Swiss drugmaker is seeking to buy out minority shareholders in Alcon after earlier this year buying Nestle's majority stake to bring its holding to 77 percent

o EU regulatory authorities are expected decide on the deal by Aug. 9.

o http://www.reuters.com/article/idUSSGE66S0CS20100729

o HSBC tapped to sell BP stake in Vietnam gas project- Reuters

o BP (BP.L) has tapped HSBC (0005.HK)(HSBA.L) to sell its stake in the Nam Con Son gas project in Vietnam as it scrambles to hive off $30 billion of assets to pay for the clean-up of the worst oil spill in U.S. history

o The British oil giant, which is trying to sell a host of assets from Pakistan to Egypt, said last week it is seeking a buyer for its stake in the Nam Con Son gas project offshore Ho Chi Minh City, worth $966 million by one estimate

o http://www.reuters.com/article/idUSTOE66S02X20100729

o Mining giants eyeing coal firm Aston- Sydney Morning Herald

o US-based Peabody Energy Corporation and Swiss mining giant Xstrata are understood to be eyeing emerging Australian coal miner Aston Resources Ltd for a takeover

o According to sources close to the company, Aston is expected mid-next week to unveil an initial public offer seeking to raise $400 million, which has already attracted Singapore's Noble Group and Japan's Itochu as cornerstone investors.

o http://news.smh.com.au/breaking-news-business/mining-giants-eyeing-coal-firm-aston-20100729-10x8s.html

o Sage Group Seen As Frontrunner For Bain's TeamSystem �WSJ

o K. software firm Sage Group is the frontrunner in the auction for TeamSystem SpA, the Italian software company being sold by U.S. private equity firm Bain Capital LLC

o Sage had dropped out of the sale

o http://online.wsj.com/article/BT-CO-20100728-713807.html

o Virgin Media head admits company could sell stake in UKTV- Guardian

o Neil Berkett, the chief executive of Virgin Media, has given the clearest indication that the company could look to sell its 50% stake in pay-TV venture UKTV.

o Virgin Media, which owns UKTV jointly with BBC Worldwide, has never publicly admitted that a sale of its holding might be on the cards

o http://www.guardian.co.uk/media/2010/jul/28/neil-berkett-virgin-media-uktv

o BSkyB buys complete HBO TV catalogue- Guardian

o Rupert Murdoch's BSkyB has bought the exclusive rights to the entire HBO TV catalogue, which includes a huge range of American shows such as The Wire, True Blood, The Sopranos and Martin Scorsese's eagerly-awaited crime drama Boardwalk Empire, MediaGuardian can reveal.

o http://www.guardian.co.uk/media/2010/jul/29/bskyb-buys-hbo-tv-catalogue

o B.C. regulator dismisses Icahn application for temporary cease trade order- BBG

o A British Columbia Securities Commission panel dismissed Wednesday an application� by the Icahn Group for temporarily cease trade orders against� Lions Gate Entertainment Corp. and funds controlled by board� member Mark Rachesky.

o "The panel noted that the court is the most efficient forum� to resolve the issues, and said that a temporary order is not� necessary in the public interest at this time,"

$ RAISING

� Digital Sky Technologies has given mandates to GS, MS, and JPM to organize a DST IPO- S&P

o The IPO will most likely take place in London in spring 2011. DST will sell between 10% and 25% of DST Russia. DST is hoping for an evaluation in the region of USD 6bn

� Aston Resources IPO could be priced next wk- reuters

o Australian coal miner Aston Resources could price an IPO set to raise up to A$400 n($360.4m) as early as next week after it clinched cornerstone investors for a quarter of the offering

o Equity issuances in Australia have slumped by 80 percent so far this year as global uncertainty and fragile equity markets scare away investors

o http://www.reuters.com/article/idUSSGE66R0NN20100728

� Two IPOs get mixed reception- Reuters

o A natural gas limited partnership IPO was priced at the top of the expected range on Wednesday while an investment technology platform company IPO was priced at the bottom of the range and sold fewer shares

o Chesapeake Midstream Partners LP CHKM.N, a natural gas limited partnership between Chesapeake Energy Corp and Global Infrastructure Partners, sold 21.25 million units for $21 each, raising about $446.25 million. It had planned to sell units for $19 to $21 each.

o http://www.reuters.com/article/idUSTRE66S06C20100729

� Trius Therapeutics�s Initial Public Offering Is Delayed- BBG

� Chesapeake Midstream IPO Raises $446 Million, High End of Range- BBG

o Chesapeake Midstream sold 21.3 million shares at $21 each after offering them for $19 to $21, according to its filing

o The Oklahoma City-based company�s IPO will fund expansion of its existing pipelines in Texas and its mid-continent region, which includes the Anadarko, Arkoma, Delaware and Permian Basins

� MEG Energy Raises C$700 Million in IPO After Slashing Deal Size- BBG

o MEG Energy Corp. raised C$700 million ($674 million) in an initial public offering of stock after the Canadian oil-sands developer partly owned by China�s Cnooc Ltd. slashed the deal�s size as much as 37 percent

o MEG sold 20 million shares for C$35 each yesterday, valuing the Calgary-based company at C$6.6 billion after selling a 10.6 percent stake

� Agricultural Bank Moves Closer to World�s Largest IPO- BBG

o China�s largest lender by customers sold a further 3.81 billion shares at the IPO price of HK$3.20, raising HK$12.2billion ($1.57 billion),

o The sale may overtake Industrial & Commercial Bank of China Ltd.�s $21.9 billion IPO in 2006 if Agricultural Bank exercises an option to expand the Shanghai offering

o AgBank of China boosted the size of its initial public offering to about $20.8b after selling more stock in Hong Kong, taking it closer to becoming the largest first-time share sale

PRICINGS

o Initial Offerings

o TSRX Trius Therapeutics 6m sare IPO expected to price 7/27 via Citi: Price Talk $12-14

� Delayed

o CHKM Chesapeake Midstream Partners priced its 21.25m share IPO at $21 (the top of the range)

o ENV Envestnet 7m share IPO prices at $9. Well below the range of $12-14

o MCP Molycorp 28.1m share IPO expected to price 7/28 via JPM and MS: Price Talk $15-17

o SRGV SurgiVision 2.5m share IPO expected to price wk of 7/26 via Rodman & Renshaw

� Price talk cut to $9-11 from $13-15

o Secondary Offerings

o RVSB Riverview Bancorp$19.3m secondary expected to price wk of 7/26

NEWS��

o Station Casinos Creditors End Reorganization Fight- BBG

� Station Casinos Inc., the biggest U.S. gambling company in bankruptcy, settled its dispute with unsecured creditors, opening the way for Chairman Frank Fertitta and his brother to try to retain control of the company

� �We are extremely pleased to have reached an agreement with the unsecured creditors� committee,� Falcone said in a statement today after Station filed its documents in U.S. Bankruptcy Court in Reno

o Financials: VCBI Virginia Commerce withdraws public offering of $75M in common stock

TODAY�S EVENTS

o CONFERENCES

o ACORD Club Forum - Jul 29, 2010

o Always On, Llc & STVP Summit at Stanford Conference - Jul 27, 2010 - Jul 29, 2010

o Financial Services Exchange Conference - Jul 28, 2010 - Jul 31, 2010

o Macquarie Securities Quant Conference - Jul 29, 2010 - Jul 30, 2010

o SCIA Growth Capital Conference - Jul 29, 2010

o SEMI's SOLARCON India - Jul 28, 2010 - Jul 30, 2010

o Terrapinn Hotel Investment World Africa Conference - Jul 26, 2010 - Jul 29, 2010

o The Center for Business Intelligence Annual Summit on Evolving the Pharma Sales Model - Jul 28, 2010 - Jul 29, 2010

o TODAY�S EVENTS

o Shareholder Meetings

� KAD, NUHC, GHM, ANPI, AGYS, DUSA, NEXC, CAMP, VOLC, EDUC, HAE

o MSFT Analyst Meeting

o The Senate Foreign Relations Committee examines BP's possible role in the release of the Lockerbie bomber.

o The House ethics panel holds a trial on charges against Rep. Charles Rangel.

o PFE Pfizer's pediatric hypertension drug is discussed by an FDA panel.

o ECONOMICS

o 0830 Unemployment Insurance Weekly Claims Report

o 1000 DJ-BTMU U.S. Business Barometer

o 1030 EIA Weekly Natural Gas Storage Report

o 1100 Federal Reserve Bank of Kansas City Survey of Tenth District Manufacturing

o 1630 Money Stock Measures

o 1630 Foreign Central Bank Holdings

o 1630 Federal Discount Window Borrowings

o EARNINGS

o Materials

� CE, CLW , PCH, RYN, LZ, CRS, EMN

o Industrials/Homebuilders

� SPF, COHM, PTV, ATRO, CW, GR, RTN, NOC, TDY, SSD, EME, KBR, AMSC , BDC, BEZ, TNC, GTI, LIWA, PWER, ULBI, CKP, COHR, DGLY, FARO, RSG, WCAA, WM, TYC, BOOM, FLDR, GHM, GTLS, HSC, KDN, KMT, KTEC, PNR, THMD, TKR, RGR, BLL, BCO, LAWS, TAL, BG, SAIA

o Consumer/Retail/Education

� CRI, VLCM, LKQX, SHOO, APP, LBY, USTR, DIN, BBW, CAB, GOLF, HZO, SBH, WMAR, UFI, ACAT, STLY, IRM, STRA, RDK, CL, ASGN, CDI, MWW, CQB, K, AVP, MJN, RELV, REV, ABCO, NCI, DPS, CSTR, STNR, TREE, ESSX

o Financials

� EVR, AACC, ART, BEN, NICK, DUF, ITG, MET, GNW, ACAP, BWINB, EMCI , ERIE, MIGP, PMACA, STC, STFC, MCO, BHB, BOKF, BTC, CFFI, CLFC, FCF, FUBC, GRAN, HBCP, MCBC, NPBC, TAYC, CME, PRAA, CFFC, CSBK, EBSB, GCBC, ONFC, PMI, PROV, THRD, ADP, G, COLB, SRT, TTEC, QUOT, EVBN, MBCN, PBIB, UBCP, UCFC, UNB, KBW, FSGI, CHEV

o Energy

� AENY, FSLR, COMV, EQT, XOM, HP, PDE, PTEN, CRR, DRC, GLF, HOS , KEG, NOV, NR, TRMA, LINE, NBL, GPRE, SUN, HEP, WMB, WPZ, GIFI, CNX

o Tech/Telecom

� SYNA, ACIW, CALD, CDCS, EPIC, PROJ, QSFT, WSTG, DBD, PAR, IN, LCRD, DLB, PLNR, BHE, MXWL, TTMI, TDSC, SWKH, FORR, DNB, AXTI, KLAC, PDFS, TSRA, VSEA, ACTL, AMCC, ANAD, AUTH,CAVM, CNXT, DSPG, EXAR, GSIT, IXYS, MXIM, SIMO, TRID, TUNE, TXCC, VIRL, ARBA, PTEC, ROVI, IM, TNDM, SFE, ALSK, SURW, EXPE, HOLL, NTRI, ACOM, ARTG, CTCT, ICGE, INET, REDF, RNWK, SCOR, SPRT, WPCS, MFE, TSYS, APKT, HLIT, MOT, NENG, NWK, OCLR, OCNW, NIHD, DDIC, WFR, STMP, PTIX

o Gaming, Lodging, & Leisure

� CLUB, DVD, BC, CHDN, DDE, WYNN, PNK

o Healthcare

� AMGN, COV, AGEN, BSMD, CELG, TLCR, MWIV, ABAX, BABY, BDX, CNMD, CRY, CSCX, DRAD, EVVV, GPRO, IART, NMTI, OSTE, PMTI, PODD, THOR, TOMO, NOVA, GTIV, GXDX, CERS, ROCM, XRAY, TRCR, LIFE, ASGR, HS, MGLN, AVNR, DSCO, ZOLL, MYL, QDEL, CPSI, ANDS, NGNM

o Media

� LNET, MNI, HHS, IPG, ANTF, CMLS, RGC, MDP, VCI

o Real Estate

� NLY, WRE, FPO, ANH, CIM, ARE, CLI, DRE, OFC, CPT, EPR, VTR

o Utilities

� EGN, DPL, EDE, AGL, DTE, NEW, SCG, WEC, XEL

o Energy

� AENY

o Autos

� DAN, FDML, MOD, TEN, LAD, PAG, SAH, GT

o Transportation

� LUV, ACLI, ALEX, GNK

***All eco data from Bloomberg and DJ

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