Cantor Morning News

The story of the day in retail was SKS which at one point was up 35% on buyout speculation, but ended the day on its lows although it still closed up 19.7%. We saw sellers in the name outnumber buyers 2:1 on the desk with basically half the sellers putting on a short position. The retail space in general was uneventful, however as the XLP and XLY were nearly flat. Same store sales data for August begin to roll out tomorrow.

Macro/Technicals

SPX: 1049.33; +0.04%
RTH: 86.97; +0.38%
XLY: 30.19; +0.13%
XLP: 26.48; +0.08%

Leaders: SKS, SCSS, WNI, DF, DDS, HOTT, HPOL
Laggards: LIZ, CHS, AEO, CQB, MAN, RVI, WINN

Earnings

ABM ABM Industries reports Q3 adjusted income from cont ops $0.42 vs Reuters $0.41

JOSB Jos. A. Bank reports Q2 EPS $0.59 vs Reuters $0.53

GIII G-III Apparel reports Q2 EPS $0.15 vs Reuters ($0.02);

CHRS Charming Shoppes reports Q2 EPS ($0.07)

GCO Genesco reports Q2 EPS ($0.02) ex-items vs Reuters ($0.02)

Sector News, M&A, Capital Raises

SKS Saks has held numerous talks with potential acquirers this year, but sale to buyout firm not imminent - NY Post, citing sources close to the situation ($7.90)

AMZN WSJ reports that Amazon.com is trying to create a new subscription TV and movie service

USNA USANA increases authorized share repurchase program by $40M

Research Away

SKS Saks downgraded to neutral from overweight at JPMorgan ($7.90)
Target is $8.50.

MDRX JP Morgan resumes coverage of Allscripts Healthcare with an overweight rating ($16.66)

Cantor Flows

Consumer Staples: MO, SAFM, TR, PEP, K, CL

Consumer Discretionary: BLOKA, BLOKB, FRED, WHR, FDO, MFB

Consumer Services: HI, RECN,

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