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Sept 16 Some U.S. stocks on the move on Monday:
WALL ST GAINS AS SUMMERS' EXIT AUGURS CONTINUED DOVISH FED
U.S. stocks rose on Monday after former Treasury Secretary
Lawrence Summers' withdrew as a candidate for Federal Reserve
chairman, removing market uncertainty about a long confirmation
process that already had plenty of opposition. The Dow Jones
industrial average was up 0.93 percent, Standard & Poor's
500 Index was up 0.80 percent, Nasdaq Composite Index
was up 0.57 percent.
** APPLE INC, $453.57, down 2.4 pct (10:56 a.m. ET)
** CHINA TELECOM CP, $53.42, up 2.4 pct (10:57 a.m.
China Telecom Corp Ltd, one of China's three
mobile carriers, cut back subsidies on the iPhone 5S, the Wall
Street Journal said. (link.reuters.com/wyk23v)
The company is forcing users to pay more upfront for the
iPhone 5S than it did for the iPhone 5 last year, the report
** ALLEGHENY TECHNOLOGIES INC, $31.45, up 10 pct
(10:22 a.m. ET)
** KENNAMETAL INC, $46.95, up 2 pct (10:22 a.m. ET)
Industrial toolmaker Kennametal said it would buy Allegheny
Technologies' tungsten materials business for $605 million to
strengthen its materials and cutting tools business and expand
in the aerospace and energy markets.
** OMEROS CORP, $7.53, up 48 pct (10:28 a.m. ET)
Wedbush analysts doubled their estimates for Omeros's eye
drug's potential penetration in the United States, citing U.S.
Food and Drug Administration rules that would restrict the use
of similar drugs used in lens replacement surgery.
The analysts raised their target price on the stock to $28
from $18. They said the drug, OMS 302, could be approved around
The drug combines a pupil dilating agent and a painkiller,
making it unnecessary for surgeons to mix the agents for use
during surgery - a current practice that could compromise
sterility - the analysts wrote in a note.
** STAR BULK CARRIERS CORP, $10.12, up 3 pct (11:30
** GENCO SHIPPING AND TRADING LTD, $4.05, up 3 pct
** EAGLE BULK SHIPPING INC, $5.14, up 2 pct
** DRYSHIPS INC DRYS.O, $2.95, up 2 pct
The Baltic Exchange's main sea freight index, which
tracks freight rates for ships carrying dry bulk commodities
such as coal, iron ore and grain, was up about 1 percent on
** BLYTH INC, $14.37, up 11 pct (10:34 a.m. ET)
Shares of the largest candle maker in the U.S. continued its
rally on Monday after a SeekingAlpha report said the company's
stock could make a "parabolic" move higher in the very near
future. The stock rose 17 percent on Friday.
The article said the company's shares, which are heavily
shorted, are being short squeezed due to a 46 percent rise over
the past 11 trading days and its small free float. About 90
percent of the outstanding shares are held by insiders and
institutional investors, the report said. (link.reuters.com/qyk23v)
According to Thomson Reuters data, about 34 percent of the
company's outstanding shares were in short positions as of Aug.
** LOCAL CORP, $2.05, up 4 pct (11:08 a.m. ET)
Brokerage Merriman Capital initiated coverage on the
company's stock with a "buy" rating and a price target of $4.50,
streetinsider.com reported. Local Corp runs the local.com search
** REGADO BIOSCIENCES INC, $6.28, up 37 pct (10:47
Analysts at Cowen and Co initiated coverage of the
biotechnology company with an "outperform" rating, saying the
company's experimental anticoagulant REG1 could be more
effective than bivalirudin, a competing drug sold by The
Medicine Co under the brand name Angiomax.
** WI-LAN INC, $3.69, up 13 pct (9:50 a.m. ET)
Shares of the patent licensing company jumped after it said
it had settled all pending litigation with telecom gear maker
Wi-Lan will also acquire a portfolio of patents and pending
applications related to current and next-generation wireless
technology from Alcatel-Lucent.
** D.R.HORTON INC, $19.97, up 4 pct (10:45 a.m. ET)
** PULTEGROUP INC, $17.24, up 4 pct
** TOLL BROTHERS INC, $35.69, up 4 pct
** LENNAR CORP, $35.69, up 4 pct
** KB HOME, $17.64, up 4 pct
Homebuilding stocks rallied on a report that U.S. industrial
production rose in August as a bounce back in motor vehicle
assembly lifted manufacturing output, a hopeful sign for the
economy after growth got off to a slow start in the third
In a separate report, the New York Federal Reserve said its
Empire State general business conditions index slipped to 6.29
from 8.24 in August. However, firms expect an improvement in the
months ahead. The index of six-month business conditions touched
its highest level in nearly 1-1/2 years in September.
** MICRON TECHNOLOGY INC, $16.59, up 2.3 pct (9:45
The chipmaker has seen nearly 30 percent of its PC-use DRAM
production capacity booked up by large clients, and its supply
available for other clients in September-December 2013 will
decrease significantly, the website digitimes.com reported
citing the Taiwan-based memory supply chain makers. (r.reuters.com/wak23v)
** COOPER TIRE AND RUBBER CO, $32.31, down 3 pct
(9:44 a.m. ET)
A U.S arbitrator said Cooper Tire and Rubber Co cannot sell
two of its factories in the country to India's Apollo Tyres
until a collective bargaining agreement is reached between
Apollo and members of the plants' union.
The decision could delay Apollo's plan to buy Cooper in a
debt-funded $2.5 billion deal, which is already facing
opposition at a factory in China.
** SOHU.COM INC, $67.50, up 4 pct (9:44 a.m. ET)
** QIHOO 360 TECHNOLOGY CO LTD, $84.63, down 3.5
pct (10:14 a.m. ET)
Tencent Holdings Ltd said on Monday that it will buy a 36.5
percent stake in Sohu.com Inc's Sogou search engine, China's
third-largest, to lift its presence in the fast-growing China
market for search and Internet services.
** BOISE INC, $12.61, up 27 pct (9:44 a.m. ET)
** PACKAGING CORP OF AMERICA, $57.42, up 5 pct (9:43
Packaging Corp of America said it would acquire
smaller rival Boise for about $1.28 billion to increase its
container board capacity. Packaging Corp's offer of $12.55 per
share represents a premium of 26 percent to Boise's .
** HILLTOP HOLDINGS INC, $17.66, up 7 pct (10:11
The financial holding company said that its wholly-owned
subsidiary, PlainsCapital Bank, has entered into an agreement
with the Federal Deposit Insurance Corp (FDIC) to buy
Texas-based First National Bank. The transaction is expected to
be immediately accretive to PlainsCapital's earnings.
** GYRODYNE COMPANY OF AMERICA, $75.72, up 6.60 pct
(10:23 a.m. ET)
The REIT said it will liquidate itself and declared a
special dividend of $66.56 per share.
** PERION NETWORK, $11.40, up 13.5 pct (10:40 a.m.
The Israeli consumer internet company will merge with
privately held Conduit's "client connect" business in an
all-stock transaction, the companies said on Monday.
** PLURISTEM THERAPEUTICS INC, $3.47, up 8 pct
(9:43 a.m. ET)
The Israel-based company said the U.S. Food and Drug
Administration lifted its clinical hold on a mid-stage trial of
the company's experimental drug for muscle pain. Pluristem said
the FDA allowed it to go ahead with the study, saying that
Pluristem had addressed all issues related to the hold.
** HARSCO CORP, $26.34, up 5 pct (10:20 a.m. ET)
The engineering company said it would sell its
infrastructure business for $300 million to private equity firm
Clayton, Dubilier & Rice. Its infrastructure division would be
merged with Brand Energy & Infrastructure Services Inc, a
company that Clayton, Dubilier & Rice is buying from private
equity firm First Reserve. Harsco will get a 29 percent stake in
the combined company, which will have an enterprise value of
about $2.5 billion, the company said.
** HUNTSMAN CORP, $19.80, up 3 pct (9:42 a.m. ET)
Brokerage KeyBanc Capital Markets raised its rating on the
chemical maker's stock to "buy" from "hold" on Friday, according
to theflyonthewall.com. Jefferies on Monday also upgraded
Huntsman to "buy", citing gains in 2014-2015 from its propylene
oxide-making joint venture with China's refiner Sinopec Corp
, which is expected to be completed by the
end of next year and its presence in Europe, among other things.
** BOEING CO, $113.63, up 2 pct (9:42 a.m. ET)
Top decision makers in South Korea's 8.3 trillion won ($7.64
billion) fighter jet tender have briefed the president on the
outcome of an assessment process and told her that Boeing Co's
F-15 Silent Eagle was the sole eligible bid, a source
with knowledge of the process told Reuters.
** POST HOLDINGS CO, $43.25, up 3 pct (09:40 a.m.
The breakfast cereal maker said it will buy the Dakota
Growers Pasta company from Viterra Inc, a unit of Glencore
Xstrata Plc, for $370 million in cash.
(Compiled by Varun Aggarwal)