Boy, two 300-point rallies in one week. Oil's tank and some rectification in the financials in ARS issues were the breeding ground for a huge market day. Even a Russian military action in Georgia failed to kill the bulls.
Apple Inc. (NASDAQ: AAPL) rose after Credit Suisse started it with an Outperform rating in new coverage in the sector as the firm believes the industry will continue to head its way thanks to its computers and iPhones. Shares closed up 3.6% at $169.55.
10 Tech Giants to Buy Now Shares of companies such as IBM, Nokia and Microsoft have taken a hit along with the rest of the market, but they don't deserve to be this cheap. Other tech stocks to consider include Apple, Cisco, Google, HP, Intel, Oracle and Qualcomm. Ten Tech Giants to Buy Now - Kiplinger.com
New Life for Grocery Store Standbys Innovation is Pinnacle's lifeblood. The N.J.-based company -- which so far owns or licenses more than a dozen food brands -- specializes in acquiring venerable, but stagnant, brand names in need of TLC. It then works to breathe new life into them with updated formulations, new products, improved packaging, added convenience and smart marketing. Among the brands in Pinnacle's cub bard are Duncan Hines, Lender's Bagels, Log Cabin, Hungry Man, Mrs. Butterworth, Aunt Jemima, Swanson and more. Pinnacle gives new life to old standbys - USATODAY.com
U.S. stock futures were mixed Wednesday morning after Tuesday's big rally. Bigger-than-expected losses at mortgage lender Freddie Mac, which caused it to cut dividends, as well as lower profit at Time Warner dampened mood on Wall Street. Meanwhile, oil held above $119 ahead of inventory report later today, but crude futures were slightly higher.
Freddie Mac (NYSE: FRE), the second-largest U.S. mortgage-finance company, posted a larger fourth-quarter loss of $821 million, or $1.63 a share, than analysts estimated as delinquencies rose and cut its dividend to shore up capital. The common-share dividend will be reduced to 5 cents from 25 cents. Bloomberg writes that CEO Syron is "seeking to bolster capital and restore confidence after U.S. Treasury Secretary Henry Paulson was forced to step in with a rescue plan for Freddie and the larger Fannie Mae." So, first, I doubt investors have much confidence in Syron after reports surfaced he ignored warnings. Second, is Wall Street really surprised the mortgage buyer disappointed? That its credit-related expenses doubled from the previous quarter? Haven't we been there before? FRE shares are down 8.7% in premarket trading at last check.
Meanwhile, Time Warner Inc. (NYSE: TWX) also reported this morning, saying second-quarter earnings fell 26% to $792 million, or 22 cents per share (24 cents on adjusted basis), on declining subscriber fees at its AOL online unit and lower ad revenue at the Time publishing business. Revenue was 5% higher at $11.6 billion. Thomson Financial says analysts expected profit of 23 cents per share on revenue of $11.46 billion. TWX affirmed its full-year financial targets after revenue rose at its film, cable and networks segments.
Sprint Nextel (NYSE: S) posted a second-quarter loss of $344 million, or 12 cents a share, as revenue fell to $9.06 billion. But the No. 3 U.S. mobile service lost fewer subscribers than expected. The results beat earnings estimates but missed on revenue. Sprint shares are trading over 6% lower in premarket action.
One 'Lettter' Stocks Offer Opportunity Several companies with single-letter ticker symbols currently offer potential for value investors, says George Putnam. The editor of The Turnaround Letter stock publication highlights a number of single-letter stocks that have been "beaten down pretty badly and now look particularly appealing." They include Agilent ('A'), Citigroup ('C'), Ford Motor ('F'), Kellogg ('K'), Macy's ('M'), NetSuite ('N'), Qwest ('Q'), Spring Nextel ('S') and AT&T ('T'). 'Singular' values: A, C, F, K, M, N, Q, S, T - BloggingStocks
August Trading Strategies August is traditionally one of the worst months for the market. Against an already volatile backdrop, Experts show you 12 ways to navigate the dog days of summer. http://www.marketwatch.com/newscommentary/tradingstrategies
"One group of stocks that has always intrigued us are those whose symbols have one letter," notes George Putnam. The editor of The Turnaround Letter explains, "Odd as this idea may at first seem, it actually makes some sense for a deep value investor. These are often old-line companies with well-known brand names. In some cases the single letter symbols were awarded many decades ago."
After reviewing the 19 stocks with single letter symbols (7 are currently unused), Putnam offers six that he says, have been "beaten down pretty badly and now look particularly appealing."'
"Agilent Technologies (NYSE: A), which makes electronic and bio-analytic measuring devices, was spun out of Hewlett-Packard in 1999. Revenues surged in 2000 as did the stock price, reaching a lofty 162.
"But the company subsequently suffered along with its customers in the communications and technology sectors. However, the financials are sound, including strong cash flow that is supporting a $2 billion share buyback, and management has been restructuring and realigning operations for long-term growth.
After seeing the above advertisement at the website of Sprint Nextel Corp. (NYSE: S), I can see why the Samsung Instinct has become Sprint's hottest-selling phone with 3G capability ever in just over a month on the market. Sprint has sure pulled out all the stops to ensure its would-be customers that this phone is every bit as capable as the vaunted iPhone 3G. In fact, you feel like you are watching a movie by visiting www.sprint.com and seeing the entire Samsung Instinct advertisement -- complete with helicopters and a Batman-esque feel.
But, what's significant about Sprint's online marketing campaign for the Instinct is the integration with Google, Inc.'s (NASDAQ: GOOG) YouTube. Notice the red callout in the above picture. Samsung Instinct owners are being encouraged to shoot a home movie that includes shots of the Instinct handset. If you do that and then notify Sprint, the company will pay you $20.
This is an interesting marketing angle, and it's one I've never seen before. Is this the kind of advertising we'll see from companies in the future? Sprint will be throwing out $20 bills to anyone who creates a viral video on YouTube with their product prominently featured. I suppose that's cheaper than national TV airtime and probably will reach the intended audience for the Instinct handset as effectively as possible (the YouTube generation). I have to give Sprint some credit here -- this is a great marketing idea and plan and will help it compete with the iPhone 3G.
What to Do With Your Investments in Today's Iffy Market When the financial world is panicking, you probably will, too. The best advice, though, is this: When you're nervous, don't actually do anything with your investments - and, most especially, don't throw all your money into whatever investment is soaring at the moment. What should you do about investments? - USATODAY.com Don't Put All Your Dollars in One Bank Spread your money among several banks, and several FDIC-insured accounts, to stay protected. Spread your money among several banks to stay fully protected - MarketWatch
It's no secret that Sprint Nextel Corp. (NYSE: S) has been losing hordes of customers in the last year as it continues to struggle with not only its dual-network business model but with retaining customers. Although rumors of another large wireless telecom company buying Sprint Nextel have surfaced recently, nothing has really panned out. However, the most serious rumor has now just shown up at the door.
South Korean wireless telecom giant SK Telecom is apparently in talks to buy the struggling U.S. wireless carrier according to reports this week. However, there have also been reports that the company just wants to "partner on technology" with Sprint. Whatever the outcome may be, Sprint trades at just over $9 per share at this time, so a merger attempt now would be timed right. Since SK Telecom's market value is only about half that of Sprint's, private financing was suggested as the tool that would make a deal possible. Sprint may have had recent problems, but it's still the third-largest carrier in the U.S. with over 52 million customers. That's nothing to sneeze at.
Then again, SK Telecom may only make a partial investment in Sprint (a technology partnership, perhaps), in case it can't come up with the financing sources for an outright purchase. Similar to German telecom giant Deutsche Telekom -- which owns U.S. carrier T-Mobile USA -- the South Korean company wants a major presence in the U.S. Considering the top five wireless carriers in the U.S., Sprint Nextel is by far the most likely to give it the needed presence as the other four in the top five are already accounted for.
Sun Microsystems (NASDAQ: JAVA) shares are trading nearly 8% higher in premarket action after announcing earnings forecast that was better analysts had expected.
Seagate (NYSE: STX) shares, however, dropped over 9% in after-hours trading Tuesday, after it forecast first quarter earnings below Street's estimates.
Sprint Nextel (NYSE: S) saw its shares jump 9.44% Tuesday. Reports say that SK Telecom is in talks with Sprint over potential deals.
Cleveland-Cliffs (NYSE: CLF) said it's going to buy Alpha Natural (NYSE: ANR) for $10 billion in cash and stock, putting a 35% premium on Alpha's stock. ANR shares are trading 27% higher in premarket action. CLF's, 4.5% lower.
In what I consider a strange move, Sprint Nextel Corporation (NYSE: S) said recently that it would begin offering more hybrid phones that work with the older Nextel Direct Connect walkie-talkie feature along with having voice service available with Sprint's current network. As many of you know, Sprint Nextel operates two completely incompatible wireless networks in the U.S. -- a reason oft cited as the main cause of the failure of Sprint and Nextel to fully merge.
Perhaps Nextel's network is the only reliable one for the much-needed walkie-talkie service that so many companies and industries rely on. If you're in construction, manual labor or field work, you most likely have experienced Nextel's walkie-talkie service at some point. But, it appears Sprint is indeed trying to keep its two networks separate instead of integrating both into a single, national network with a singular customer base.
Sprint deployed a replacement service to the Nextel walkie-talkie feature years ago called "Ready Link," but the service did not catch on with dedicated Nextel subscribers or even new Sprint subscribers at all. In fact, I would go as far as to say the only worth the older Nextel network has to Sprint at this point is the popularity of its Direct Connect service. Other than that, why on earth would Sprint just kill the Nextel brand and product and put it to rest once and for all? It's already written off almost the entire merger price anyway.
Today was nothing short of a wild trading day and despite the levels seen at the close it is still a toss up over whether the bulls or bears won today. Merrill Lynch has said that the commodities cycle may have peaked in the first half of this year. It noted that the S&P/GSCI commodity index was up roughly 41% during the first half of 2008, which is the largest gain since the index inception. This may have only been one factor, but oil fell as much as $9.00 per barrel in the biggest one-day dollar drop since 1991. We did even briefly see the VIX hit that magic 30.0 reading. Below are the unofficial closing bell levels:
Genentech, Inc. (NYSE: DNA) rose today despite a weak earnings report and despite it saying it was going to act like an old industrial company with a share buyback plan. Shares were up over 5% at $79.37 in todays final minutes.
Palm (NASDAQ: PALM), the failing smartphone company, has launched a new version of its Treo handset. According toThe Wall Street Journal, the new version of the product has newest Windows Mobile operating system, a GPS system and WiFi capability. It will run on the fast Sprint (NYSE: S) 3G network.
The new product is unlikely to help Palm, which trades at $5.42, down from a 52-week high of $19.23. For starters, the Treo will compete with another Sprint product, the well-regarded Samsung Instinct. The Apple (NASDAQ: AAPL) 3G iPhone is even more formidable competition. The fact that it sold one million units in its first three days on the market sucks a lot of demand for other products out of the market. And, why not throw in the RIM (NASDAQ: RIMM) BlackBerry.
Palm lost money last quarter. More importantly, the average price of its phones dropped sharply. Selling more handsets only helps so much when the yield-per-units is low.
The Treo may be a good product, but it comes into a crowded field that is already dominated by a few, very well-financed companies with more attractive offerings.
Sprint (NYSE:S) often shows up in customer services surveys as one of the least respected companies in America. That has caused a number of its cellular subscribers to drop service and take their business elsewhere.
To try to win back customers, Sprint's CEO is even going on TV. According toThe New York Times, "In the commercials, Mr. Hesse asks customers to e-mail him with complaints and to give Sprint another chance." Daniel R. Hesse is Sprint's new top man.
Hitting the airwaves with a new message hardly seems worth the time, or money.
Sprint may be able to get some customers back with its new Samsung Instinct phone, which has gotten good reviews. But, there is no evidence in polls about how subscribers view the company to indicate that the firm has become a symbol of an American cellular provider with happy customers.
Fix the problem. Stay off the tube.
Douglas A. McIntyre is an editor at 247wallst.com.
Boy, two 300-point rallies in one week. Oil's tank and some rectification in the financials in ARS issues were the breeding ground for a huge market day. Even a Russian military action in Georgia failed to kill the bulls. 
U.S. stock futures were mixed Wednesday morning after Tuesday's big rally. Bigger-than-expected losses at mortgage lender Freddie Mac, which caused it to cut dividends, as well as lower profit at Time Warner dampened mood on Wall Street. Meanwhile, oil held above $119 ahead of inventory report later today, but crude futures were slightly higher.
It's no secret that 
Slow approach to raising bank capital loses the race against write-offs
Cramer on BloggingStocks: The SEC's waffling will be deadly
How Fannie and Freddie will fail
