This morning the S&P 500 Index futures(ES H1) are trading higher by 5.00 points to $1331.25. The Asian markets rallied higher overnight. The important Chinese Shanghai Index soared again last night for a fifth consecutive trading session. When the Chinese markets rally it will usually benefit the commodities markets. Stocks that often benefit from a stronger Shanghai Index are Cliffs Natural Resources Inc. (NYSE:CLF), Southern Copper Corp. (NYSE:SCCO), and Freeport McMoRan Copper & Gold Inc. (NYSE:FCX). These and other leading commodity stocks could be in play this morning.
Merger news is front and center this morning as pharmaceutical giant Sanofi-Aventis agreed to buy Genzyme Corp. (NASDAQ:GENZ) for $20.1 billion. Last night, after the closing bell, Nelson Peltz’s Trian Group made $56.00 a share bid for Family Dollar Stores Inc (NYSE:FDO). Other stocks in this industry group that could be in play this morning are Dollar Tree Inc. (NASDAQ:DLTR), and Dollar General Corp. (NYSE:DG).
At 8:30 this morning the Producer Price Index(PPI) was released. The PPI for January declined to 0.8 percent. The Core PPI for January reported an increase to 0.5 percent from 0.2 percent in the prior month. Stock index futures remain unchanged after the data.
|S&P 500 Gainers & Losers||Price||% Change|
|Family Dollar Stores (FDO)||55.32||+25.84%|
|Deere & Company (DE)||96.48||+3.05%|