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business newsPre-Market Primer: Great Economic News This Morning
By
Vincent Trivett
Feb 03, 2012 9:25 am
Unemployment down to a 3-year low; markets are rallying.
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Great news for the US economy this morning! The employment situation report for January blew away expectations. Nobody saw this coming.
Here are the numbers:
As of 8:45 a.m. New York time, futures on the main indexes are here:
European markets have been climbing for four days and are also pointing towards a higher opening today. Futures on the FTSE100 (^FTSE) rose 0.59%, the DAX (^GDAXI) and Euro Stoxx 50 (FEZ) both up 0.24%.
Some significant earnings were released today:
Weak demand for its voice conference and data services sent profits at Acme Packet (APKT) down 40%. Earnings of $0.12 per share missed estimates by one cent. Acme Packet shares are down 8.87%.
Clorox (CLX) reported a very strong second quarter (ending Dec. 31, 2011). Diluted EPS came in at $0.79 per share, way more than expected earnings of $0.69 per share. Shares of Clorox are up 2.60%
Tyson Foods (TSN) earned $0.42 per share for its fiscal first quarter, beating estimates by $0.09 per share. In the same period in 2010, Tyson earned $0.78 per share. Tyson shares went up 4.73% in the pre-market.
US companies are as cash-rich and profitable as ever, but the Congressional Budget Office found that total corporate taxes paid are the lowest since 1972. Companies paid an effective tax rate of 12.1% of profits from domestic activities.
The US Senate almost unanimously approved a bill banning members of Congress from insider trading. A similar bill is making its way through the House and the president promises to sign it without delay. The bill will also compel MoCs to disclose trades within 30 days.
One of the best perks of being in Congress is a carte blanche on trading on non-public information disclosed within the chambers. Members of Congress often manage their personal portfolios better than most hedge fund managers. Congress let the Stop Trading on Congressional Knowledge (STOCK) act languish for several years for the same reason that children don't put themselves to bed. A brilliant 60 Minutes episode shed light onto this last year and President Obama mentioned ending Congressional insider trading in the State of the Union address this year.
Twitter: @vincent_trivett
Here are the numbers:
- Change in non-farm payrolls 243,000, six figures above the consensus estimate of 140,000.
- The unemployment rate fell to 8.3%, economists predicted that it would stay at 8.5%.
- Private payrolls rose 257,000 versus expectations of 160,000.
As of 8:45 a.m. New York time, futures on the main indexes are here:
- Futures on the the Dow (^DJI) shot up 99 points to 12,765.00.
- S&P 500 (SPY) futures went up 11.80 points to 1,334.50.
- Nasdaq (^IXIC) futures jumped 24.25 points to 2,515.75.
European markets have been climbing for four days and are also pointing towards a higher opening today. Futures on the FTSE100 (^FTSE) rose 0.59%, the DAX (^GDAXI) and Euro Stoxx 50 (FEZ) both up 0.24%.
Some significant earnings were released today:
Weak demand for its voice conference and data services sent profits at Acme Packet (APKT) down 40%. Earnings of $0.12 per share missed estimates by one cent. Acme Packet shares are down 8.87%.
Clorox (CLX) reported a very strong second quarter (ending Dec. 31, 2011). Diluted EPS came in at $0.79 per share, way more than expected earnings of $0.69 per share. Shares of Clorox are up 2.60%
Tyson Foods (TSN) earned $0.42 per share for its fiscal first quarter, beating estimates by $0.09 per share. In the same period in 2010, Tyson earned $0.78 per share. Tyson shares went up 4.73% in the pre-market.
US companies are as cash-rich and profitable as ever, but the Congressional Budget Office found that total corporate taxes paid are the lowest since 1972. Companies paid an effective tax rate of 12.1% of profits from domestic activities.
The US Senate almost unanimously approved a bill banning members of Congress from insider trading. A similar bill is making its way through the House and the president promises to sign it without delay. The bill will also compel MoCs to disclose trades within 30 days.
One of the best perks of being in Congress is a carte blanche on trading on non-public information disclosed within the chambers. Members of Congress often manage their personal portfolios better than most hedge fund managers. Congress let the Stop Trading on Congressional Knowledge (STOCK) act languish for several years for the same reason that children don't put themselves to bed. A brilliant 60 Minutes episode shed light onto this last year and President Obama mentioned ending Congressional insider trading in the State of the Union address this year.
Twitter: @vincent_trivett
No positions in stocks mentioned.
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