Frontrunning: June 9
- Obama Considering Another Stimulus Tax Cut (New Republic)
- Taxes on the menu in debt-reduction talks (Reuters)
- Americans torn over debt limit (WaPo)
- Dimon Challenges Bernanke on Wall Street Regulation (Bloomberg)
- The Great Property Bubble of China May Be Popping (WSJ)
- Beige Book confirms break in supply chain(FT)
- Trichet May Play ECB Rate Card as Germany Risks Split on New Greek Rescue (Bloomberg)
- Slow growth to anchor Bank rates despite price pressure (Reuters)
- President Obama Authors The Economic Recovery That Isn’t (Forbes)
- New Cracks in Oil Cartel (WSJ)
- Syrians flee to Turkish border (FT)
- The Eurozone Needs a Plan B, as 'Quarantining' the Weak Is Too Costly (PIMCO)
- Eisman exits as FrontPoint shuts his fund-sources (Reuters)
- World Bank sees 9.3% growth for China (ChinaDaily)
- IMF Candidate Presses Case in China (WSJ)
- Buying More Time (Morgan Stanley)
European Economic Highlights
- Czech Republic GDP for Q1 0.9%mom 2.8%yoy.Previous 0.6%mom 2.5%yoy.
- Hungary GDP for Q1 0.7%mom 2.5%yoy.Previous 0.7%mom 2.4%yoy.
- Hungary Trade Balance for Apr EUR479.0mn – Lower than expected. Consensus EUR570.3mn; Previous EUR839.7mn.
- United Kingdom Trade Balance for Apr -£2.72bn – Higher than expected.Consensus -£2.95bn; Previous -£2.79bn (revised from -£3.00bn).
Global Highlights courtesy of Egan-Jones:
- China May passenger car sales fall 0.1% to 1.04M, CAAM says.
- Fed says economy grew at 'steady pace,’ slowed in four of its 12 districts.
- Gartner cuts view for 2011 PC sales to 9.3%, down from a March projection of 10.5%.
- Iceland to sell $1B in debt as default swaps reach pre-crisis low.
- Japan’s economy contracted 3.5%, less than previously estimated (-3.7%).
- OPEC oil accord breaks down after six nations block plan to boost output.
- Plosser sees inflation risk, unemployment falling through 2012.
- Whiting Petroleum lowers Q2 prodn guidance to 5.75-5.85 MMBOE (prev 6.15-6.35).
- Cerberus Capital is said to seek at least $4B for next buyout fund.
- Debit fee-cap delay rejected by US Senate; Visa, MasterCard shares fall.
- Dow Chemical to acquire Prairie Brand Seed; terms undisclosed.
- Exxon Mobil buys natural gas companies Phillips, TWP for $1.69B.
- FDA says Pfizer to stop sale of animal drug, 3-Nitro, after finding traces of arsenic.
- Greif beats by $0.07, beats on revs; reaffirms FY11 EPS guidance.
- Harbinger Capital, run by Philip Falcone, is facing at least $1B in redemptions.
- KKR said to seek a minority stake in ING unit amid GE, Capital One bids.
- McDonald's Corp.'s global same-store sales rose 3.1% in May.
- Men's Wearhouse beats by $0.04, reports revs in-line; guides Q2, FY12 EPS in-line.
- Pall Corp beats by $0.02, posts Q3 EPS of $0.72. Revs rose 15.2% to $709.8M.
- Schneider Electric buys China's Leader Harvest Power Technologies. Terms undisclosed.
- Texas Instruments lowered & narrowed its Q2 EPS f'cast to $0.51-0.55 and sales of $3.36-3.5B.
- Thor Industries posts Q3 EPS of $0.72 (cons $0.68); revs rose 25.3% to $852.1M.
- Valhi Inc signs contract to dispose of Texas low-level radioactive waste.
- Zynga is said to favor following LinkedIn with a 'low-float’ IPO strategy.
Economic Calendar: Data on Initial & Continuing Claims, Trade Balance & Wholesale Inventories to be released today.
Earnings Calendar: BF, BNHN, BRID, CHKE, HOKU, MTN, NSM, SJM, TITN.