NYSE Morning Update 03/22/2013

Ahead of the Bell: Dow futures are trading up 42 points and S&P futures are trading up 4 points. Investor sentiment was dampened on fears Cypress will default on its debt obligations and credit risk will spread throughout the euro zone. The uncertainty and ramifications of what will happen if the former Greek colony were to leave the EU are still undetermined. The ECB has given the government until next Monday to address its next payment to bond holders or face stricter austerity measures. The country needs to restructure its banking system and come up with about 6 billion euros to secure a bailout.

On the economic calendar today, no reports are due. Federal Reserve Governor, Sarah Bloom Raskin will be speaking on labor market conditions in Washington.

The dollar is up against the Japanese yen and down against the euro and British pound. Gold is currently trading at 1,611 and Crude oil is trading at 92 a barrel.

Yesterday, stocks fell following reports in Europe which showed that manufacturing in Germany unexpectedly fell and as concerns in Cyprus continued to weigh on investor sentiment.

On CNBC today, Roger Altman, Founder and Executive Chairman of Evercore Partners, talked about the bailout of Cypress. Altman said Cypress’s banking system is a smaller version of Ireland. He added it is more a psychological issue. The more important issue is whether or not a rescue effort will fall apart, resulting in Cypress existing the EU. Equity markets at the moment are hoping the government will work out a rescue package. He went on to say, this truly illustrates how far the eruo zone is from a united region. They don’t have a strong central authority. It would not be much of a risk if the country exits the EU, but markets are concerned with contagion issues.

Happy Friday, and have a wonderful weekend!

Thursday’s Close

DJIA down 90.24 pts/-0.62%/ 14,421.49

S&P down 12.91 pts/-0.83%/ 1,545.80

Nasdaq down 31.59 pts/-0.97%/ 3,222.60

Friday’s Futures

Dow Futures up 42.00 pts/+0.29%

S&P Futures up 4.25 pts/+0.28%

Nasdaq Futures up 7.50 pts/+0.28%

Overseas Markets

FTSE -0.73%

CAC 40 -1.09%

NIKKEI 225 +1.34%

HANG SENG -0.14%

Overseas: World stock markets are lower today. European and Asian markets are lower on fears Cypress will default on its debt obligations.

Economic Reports: None.

Top Headlines:

Reports indicate Blackstone Group LP (BX) and General Electric (GE) are considering a joint bid for Dell Inc's (DELL) financial-services business.

Salesforce.com Inc. (CRM) announced its board of directors has approved a 4-for-1 stock split as the company’s shares continue to ascend.

Reports indicate FTC chairman, Julius Genachowski will step down after four years on the job. Genachowski presided over the challenge of AT&T's (T) proposed merger with T-Mobile USA.

Commodities/Currency:

Gold:down $2.30 to $1,611.80
Oil: up 0.42 to $92.87

EUR/USD 1.2959 +0.0060
USD/JPY 95.4555 -0.6275
GBP/USD 1.5200 +0.0031

Volatility Index (VIX): As of the close of business Thursday, March 21, the VIX is up 1.32 at 13.99

Companies Reporting Earnings:

Silver Wheaton reports Q4 EPS 50c, vs. Est 49c and Q4 revenue $287.2M, vs. Est $259.42M.

Tiffany reports Q4 EPS $1.40, vs. Est $1.36 and Q4 revenue $1.2B, vs. Est $1.25B.

Darden reports Q3 EPS $1.02, vs. Est $1.01 and Q3 revenue $2.26B, vs. Est $2.26B. Reports Q3 SSS up 2.3%.

Today’s Opening and Closing Bells:

Marin Software celebrate its IPO, CEO Chris Lien will ring the opening bell.

Tsakos Energy Navigation Celebrates 20th Anniversary in the Capital Markets. Chief Executive Officer, Nikolas Tsakos will ring the closing bell.

Paras Madho

NYSE Euronext