The dollar strengthened slightly so far today, setting it up for a rise in the month of May, and oil was trading up as well. European stocks were trading slightly lower, as strong doubts linger over Greece's ability to meet its near-term debt obligations. Chinese stocks settled down, closing just 0.2% lower after yesterday's rout. U.S. stock index futures were trading off modestly.
In today's market rumorville roundup, we have a widely-quoted New York Post report that Intel (INTC) is nearing an agreement to buy Altera (ALTR) for approximately $15 billion, with an announcement expected in the next week. Altera was reported to have rejected a $54 per share bid from Intel a few months ago, but a weak quarter may have forced its hand to make a deal as Intel could go hostile.
Also being rumored is that Monsanto (MON) may make another run at Syngenta (SYT) after its $45 billion bid was rejected. The FT is reporting that Cellectis (CLLS) is in discussion with Pfizer (PFE) about a potential sale. Pfizer already owns 9.5% of the company as is looking to beef up its immune-oncology presence.
We expect biotech and pharmaceutical stocks to see some volatility, with the start of the American Society of Clinical Oncology (ASCO) annual meeting (May 29 through June 2), in Chicago.
Some earnings calls of note today include Big Lots (BIG) and Genesco (GCO).
At 8:30 a.m. ET, the market will get the highly anticipated first-quarter revised GDP report, with estimates looking for -0.9% vs. the first reading of 0.2%.
At 9 a.m., the Milwaukee ISM for May is released, with consensus at 50. At 9:45 a.m., we'll get the Chicago Purchasing Manager report for May, with estimates at 53.0.
At 10 a.m. the University of Michigan Sentiment report for May will be released and estimates are at 89.5.
Lastly, at 1 p.m. the market will receive the Baker Hughes rig count, which has shown improvements in its rate of decline.
Happy trading!
