EFTA02137279.pdf

From: Sent: Tue 6/4/2013 9:52:50 AM Subject: Early Tour 6.4.13 Good Morning ... European Markets up 20-80 bps (Turkey +3.5%, Swiss +1.0%) ... ASX +0.26%, NKY +2.05%, KOSPI +0.00%, TWSE -0.12%, SHCOMP -1.17%, HSI +0.01% EUR 1.3081 (+0.03%) JPY 100.18 (-0.65%) EUR/JPY 131.03 (+0.67%) AUD 0.9654 (-1.20%) NZD 0.8011 (-0.96%) Spain 10yr 4.42% Italy 10yr 4.09% Portugal 5.66% Germany 10yr 1.55% Japan 10yr 0.88% US 10yr 2.12% Futures: Dow -11, Nasdaq +0, S&P -1 DXY $82.76 (+11c) Crude $92.99 (-46c) Gold $1403.30 (- $8.70) Copper +0.56% Silver -0.95% Asian market ended the day mixed as volumes remained light, although improved from yesterday's levels. Japan outperformed as the Nikkei recovered from an ugly start as it bounced off of the 13,000 level. The mega banks led the way higher following a MS sector upgrade overnight. Exporters lagged as the JPY traded with a 99 handle for most of the day, but it has weakened back > 100 again post close. Abe's speech on the "third arrow" of growth strategies and deregulation is scheduled for tomorrow. Australia ended at the highs after the RBA left rates unchanged as expected. China underperformed on light news flow as consumer names struggled on speculation demand for appliances will slow. European markets bid up in light volumes after the US rallied yesterday afternoon post the weak ISM and Japan finished higher as well. Turkey +3.5% recovers some of yesterday's -10.5% drawdown as the anti-government protests begin to calm down somewhat. Peripheral bond yields backing up this morning while US, Germany, Japan 10yr yields all tick higher. SPA's -1 handle = 1634 last. "'DG #'s pre-open, Trade Balance @ 8:30am, ISM New York © 9:45amm ***JPM Diversified Industries Conference today, China HSBC Services PMI tonight"' • SAIC 31% drop in Q1 earnings as govt spending cuts hurt company revenues (reaffirms) (trading - 2%) • Pershing Square to sell up to 7 million Canadian Pacific (CP) shares under new trading plan • General Motors (GM) to replace Heinz (HNZ) in the S&P 500 after the close of trading on June 6 EFTA_R1_00787009 EFTA02137279 • Heidrick & Struggles confirms reports it has been approached regarding possible sale of company • Microchip raised O1 eps & rev guidance as continue to see strong bookings (trading +6%) • UBS O'Connor cutting 16 of 46 positions at an equity fund & will triple a corp. credit fund from 5 to 15 • Kabel Deutschland: Vodafone revives evaluation of KD8 takeover according to WSJ article (trading • SCOR to acquire Generali US for €579M plus earnings adjustment thru closing date (SCR FP +2.9%) • Ahold Qtrevs inline, pretax & op income miss, boost share buyback by €1.56 with ICA cash (trading -0.80%) • Wolseley O3 mixed, LFL's rev growth solid in US & UK - Nordic, France and Central Europe weak (trading -4.1%) • BASF press release (Chinese investor days throughout week), plans €106 of Asian investment (trading -0.90%) • Astrazeneca takes $140M charge after deciding not to seek approval for arthritic drug fostamatinib (trading -0.20%) • STM's CEO Bozotti tells Figaro company seeking 5-10% order increase, positive for all regions (trading +5.0%) • Elan wins order from US judge temporarily blocking Royalty Pharma's hostile takeover (trading +0.70%) • Aryzta O3 update, revs in line, LFL's below, Food solid, maintains FY guidance (trading +2.6%) • Neopost O1 sales inline, reiterates sales forecasts of at least 5% for 2013 (trading -0.11%) • Rexel: Eurazeo sells 28 million shares for about E500M, price range €17.25-17.35 (trading -0.40%) • Burckhardt (compressors) FY sales light, orders below, EBIT slight better, div of CHF 9 (trading - 0.30%) • Meda: DR saying banks putting together $5B loan to fund Sun Pharma potential takeout of Meda (trading +4.5%) • MAN SE says significant deterioration in the profit expectations of MAN Diesel & Turbo SE (trading - 1.0%) • Hermes CEO says no plan to take co. private in response to shareholder ? at AGM (trading - 0.43%) • Ryanair bought back 8 million shares yesterday @ €6.90/share = €55 million total (RYA LN +0.88%) • Eurozone April PPI -0.6% m/m versus estimate -0.2% (-0.2% y/y versus estimate +0.2%) EFTA_R1_00787010 EFTA02137280  • German new car registrations -9.9% in May, ex Porsche CFO convicted over loan in failed VW bid • Spain May net unemployment -98.3k vs est -50k (likely seasonal and well telegraphed by Rajoy) • UK construction returns to growth in May for time in 7 months (PMI Construction 50.8 vs est 49.8) • ECB is backing away from any "big bazooka" style intervention to revive lending within EMU (FT) • Bank for International Settlements (BIS) chief warns of exit from QE may not be smooth (link) • RBA leaves rates on hold at record low, says it has room to cut further, still thinks AUD remains high Leading European Sectors: Food/Bev +1.35%, Insurance +0.85%, Tech +0.81% Lagging European Sectors: Autos/Parts -0.81%, Basic Res -0.36%, Chemicals -0.08% GIII beats — VCRA appoints ceo — QLIK appoints cfo Secondaries (announced/priced): TTS, CG, ARRY (convert), SLCA, PBF, COB LN, RXL FP IPO's: Cellular Dynamics International (ICEL) files $57.3M IPO through JPMorgan US Key Research: • Roth initiates MOSY (buy), UBS initiates EPAM (buy), Topeka initiates CKP (buy) Baird initiates RPMNAL (neut's) & downgrades DIOD/FCS, Piper initiates ISIL (ow), • GS initiates MDRX (neut) & CERN (buy), Wells upgrades CMENVAC & initiates IART (mp) • RBC cuts CP CN/PVH, KBW cuts FDEF, BMO initiates EGN (op), Longbow initiates LSI (buy) Wells initiates SEAS/MPWR (op's) Europe Key Research: EFTA_R1_00787011 EFTA02137281 • Nomura initiate SCAB SS (b), MS downgrade SWEDA SS, DBK initiate EVK GY (h) GS initiate ALNT LN (b), upgrade GLE FP, restart KCO GY (s), removes ITE LN from cony buy list er JP downgrade DB1 GY, BofAML restart SMDR LN (n), Exane upgrade DG FP • HSBC downgrade SRP LN, SocGen downgrade UU/ LN, upgrade FCAM LN, Peel upgrade VP/ LN • CS downgrade DCG LN, initiate AUTN SW (op), DNB upgrade HEX NO, downgrade ELI1V FH Mainfirst downgrade BCHN SW, Nordea upgrade SDRL NO, BETSB SS, Akros downgrade REY IM Reporting Pre-Open: DG, AMWD, QIWI Reporting Post-Close: ALOG, AMBA, BOBE, BV, EXA, HOFT, MFRM, MIND, NCS, SHFL Economic Data: Trade Balance © 8:30am, ISM New York © 9:45am, IBD/TIPP Economic Optimism @ 10am Fed Speakers: Raskin © 11:30am (Washington DC), George © 1:30pm (Santa Fe), Fisher © 8pm (Toronto) Conferences: GSCO Lodging/Gaming/Rest/Leisure (NYC), RBC Global Energy (NYC), JPM China Summit (Beijing) Conferences: Jefferies Global Healthcare (NYC), Needham Internet & Digital Media (NYC), KBW Mortgage Finance (NYC) Conferences: RBC Communications, Tech, & Semiconductors (Boston), Stephens Spring Investment Conf (NYC) Conferences: Bofa Global Tech (SF), JPM Diversified Industries (NYC), Sofa Global Telecom (London) Analyst/Investor Days: BLOX, ENTG, INFA, Non-Deal Roadshows: BWS, COG, COST, CPLA, CVU, DCOM, DL, DTLK, ECHO, EMC, FBP, FISI, FLIR, GAME, HI, HIBB, LLY, MMYT, NWPX, OPAY, PANL, PGH, SIG, SONS, SRE, STBA, TXI, VPFG, VZ, WETF, WX, WY, VVYN, XPO, XRX, ZINC, HPY EFTA_R1_00787012 EFTA02137282 Shareholder Meetings: SZYM, SAP, GLF, VMED, IRWD, PRO, CTSH, BGCP, BPL, CSGP, INVE, MAKO, MWW, NBR, RPT, SRPT, SYNT, TGE, SGMS, WNR, ALCS, ARCC, EFII, INOD, RTK, BDMS, CONN, DEI, IPAS, KALU, KYTH, LINTA, VTUS, MOSY, LMCA, ALGT, KFS, RVM, ZNGA, ARII, DRCO, TFM, KIRK, LPNT, COLM, TSLA Equity/Mixed Shelfs: ROIC, EPD Other Newspaper Articles & Stories WSJ cautious: shareholders' vote on Elan's deals WSJ • US funds left bruised by heavy bond losses FT • ECB backs away from use of 'big bazooka' to boost credit FT • Brussels bank resolution blueprint sets up clash with Germany FT • Whitehall needs business lesson, says Browne FT • UK shale Eldorado — just off the M62 FT • French minister accuses Amazon of dumping FT • 'Iron discipline' call shows Labour looking to future not past FT • Erdogan blames Turkey protests on extremists as stocks plunge FT • Apple denies charges over ebook prices FT • White House unveils new Iran sanctions FT • Spread of discontent brings hope to Erdogan's political opponents FT • Brussels to recommend Latvia becomes 18th member of currency bloc FT • New York property Lex • Infosys: leadership call-up Lex • Turkey: violent mood swings Lex • Europe Is Losing the 4G Race WSJ • U.K. Lending Program Is Slow to Take Effect WSJ EFTA_R1_00787013 EFTA02137283 • Europe Floods Wreak Havoc WSJ • Europe Unclogs Its Runways to Combat Flight Delays WSJ • Weak Signs for U.S. Output WSJ • Oil Kaboom: Wildcatters vs. Activists WSJ • U.S. Door Swings Ajar to China IPOs WSJ • Uneven Gains Signal U.S. Car Demand Near Plateau WSJ • Co-op filled balance sheet hole with £1bn Bank of England loan The Times • Primark takes the plunge to sell online The Times • Mark Camey given dose of retail therapy as recovery starts to gain strength The Times • Power in pay stakes lies in the boardroom The Times • Stay calm. Turkey's not in meltdown The Times (Opinion) • America's future is Latino, Asian and liberal The Times (Opinion) • James Moore: Only a year on, and the shareholder rebellion looks like history already Independent (Comment) • Austerity is 'over for the rich, just starting for the poor' Telegraph • A coming boom in the eurozone periphery? (technical) Telegraph • Black market is 10pc of UK economy, says lEA Telegraph • You thought central bank money printing was at an end? Don't bet on it Telegraph • RBS could be nationalised under commission's plans Guardian Key Events This Week Wednesday: ADP employment, US non-manf ISM, Factory Orders, Fed Beige Book, Eurozone services PMI, ABE speaks Thursday: BOE& ECB rate decisions, Retail SSS, Earnings (CIEN) Friday: May Labor Report, Obamas meets China President Xi in California EFTA_R1_00787014 EFTA02137284 Key Events on the Horizon June 10-14 — Apples Worldwide Developer Conference (WWDC) in SF June 14 — Preliminary adds/deletes to the Russell indexes published after 6pm EST June 19 — FOMC rate decision June 21 — Updates to the lists of adds/deletes for the Russell Rebalance, EuroStoxx 600 adds/deletes on close June 28 — Russell Rebalance on the close July 1 — Mark Carney takes over as BOE Governor July 31 - FOMC rate decision September — German elections September 18 — FOMC rate decision 680 Washington Blvd 'Stamford, CT 06901 1 2 EFTA_R1_00787015 EFTA02137285 This e-mail and any files transmitted with it are confidential and intended only for the person or entity to which it is addressed. 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