Stocks Resume Risk-On Mode With Strong Economic Numbers
Today's financial recap and tomorrow's financial outlook.
This morning, we saw initial jobless claims, Q3 GDP, November existing home sales, and the December Philly Fed report all come in ahead of expectations, putting traders in a good mood.
Looking at the market action, there was continued outperformance in financials, small caps, and energy, which is indicative of a "risk-on"
posture for markets.
In stock news, IntercontinentalExchange (NYSE:ICE) announced before the open that it would acquire NYSE Euronext (NYSE:NYX) for $8.2 billion. NYSE Euronext shares had skyrocketed after the close on Wednesday on rumors of such a deal.
Elsewhere, shares of multi-level marketing company Herbalife (NYSE:HLF) came under pressure after hedge fund magnate Bill Ackman gave a very bearish presentation on the company at the Ira Sohn Investment Conference.
After the close, we saw better-than-expected earnings from Research In Motion (NASDAQ:RIMM) and Nike (NYSE:NKE), giving futures a small bump in extended trading.
In fiscal cliff news, Senate Majority Leader Harry Reid said House Speaker Boehner's "Plan B" was a waste of time that can't pass the Senate. However, Speaker Boehner said he expected to continue working with President Obama, which boosted confidence in the prospect of an agreement.
Tomorrow's Financial Outlook
Tomorrow morning, we'll have a host of potentially market-moving data, with the November personal income and durable goods orders reports coming at 8:30 a.m. ET, and the December University of Michigan Sentiment Survey following at 9:55 a.m. ET.
And in earnings news, retailer Walgreen (NYSE:WAG) will report earnings before the open.
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