THE DAILY BRIEF

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Tuesday 12.01.2009

CURRENT MARKET SENTIMENT

It is back to business on The Street! The pivot, the indices are poised to make a go at
indices marched to 10346(Dow) and 10500 for the third time. With a positive ISM
1096(S&P) as Dubai’s effect waned. The Street Mfg Index expected, and short covering, the
has refocused its attention internally with a target within reach between the next two
positive yearly close. Having taken the weekly days.

PRISM CALL

The futures are pointing to a positive opening as the market brushed off the Dubai contagion effect.
There has been limited selling pressure hence buying on dips is the best strategy. Be aware Market
sentiment is positive despite questionable economic fundamentals.

ECONOMIC CALENDAR INDU & SPUZ TECHNICALS

TIME INDICATOR RANGE EXPECTATION PRIOR ACTUAL INDICES S2 S1 PIVOT R1 R2

10:00 ISM 53.5 to 54.8 55.7
am Manufacturing 56.2 INDU
(DOW) 10233 10262 10324 10387 10425
10:00 Pending Home -5.0% to -1.0% 6.1%
am Sales MoM 6.5% SPUZ
10:00 ISM Prices 60.0 to 65.0 65.0 (S&P) 1082 1086 1093 1102 1104
am Paid 67.0
10:00 Construction -2.8% to -0.5% 0.8%
am Spending MoM 0.5%
10:00 Pending Home -- 19.8%
am Sales YoY
Total Vehicle 10.10M 10.50M 10.45M
Sales to
11.10M
Domestic 7.60M to 7.80M 7.94M
Vehicle Sales 8.60M

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 FOREIGN MARKETS NEWS

MASI Masimo receives FDA

MARKET PRICE
 %
clearance for Masimo Rainbow
FTSE 5278.92 88.24 1.7 SET Acoustic Monitoring (26.36 )

DAX 5731.64 105.69 1.88 ENDP Endo Pharm tgt upped to

$24 at Wedbush ahead of
HANG SENG 22113.15 291.65 1.34
expected favorable Aveed
NIKKEI 9572.2 226.65 2.43 outcome before tomorrow's
PDUFA date (22.03 )
CHINA 3235.363 40.062 1.25
Cutting jobless will take time,
White House's Summers says -
DOW STOCKS TO WATCH COMMODITY PRICES Reuters.com

STRONG WEAK PGN Progress Energy staff

COMMODITY PRICE

recommendation viewed
IBM AA negatively – KeyBanc
OIL 77.95 0.67
CAT KFT CP Canadian Pacific makes
voluntary prepayment to
JPM MCD
GOLD 1192.7 10.40 Canadian defined benefit pension
AXP UTX plan (48.46 )

UK manufacturing activity slips

back – BBC
UPGRADES & DOWNGRADES
ADBE Adobe Systems initiated
STOCKS UPGRADED with a Hold at JMP Securities; tgt
BROKERAGE
$46 (35.08 )
COMPANY RATINGS CHANGE PRICE TARGET
FIRM
Limited (LTD) Soleil Sell » Hold $15.50 LLY Eli Lilly removed from
Conviction Sell list at Goldman;
BostonPrivate Fin Sun Trust Rbsn
Neutral » Buy $6.50 keeps Sell rating- Reuters
(BPFH) Humphrey
(36.73 )
KeyBanc Capital
Cabot (CBT) Hold » Buy $29
Mkts

Kinross Gold (KGC) JP Morgan Neutral » Overweight $24 ABT Abbott Labs removed from
Conviction Buy list at Goldman;
BB&T Corp (BBT) Citigroup Hold » Buy
keeps Buy rating- Reuters
Fifth Third (FITB) Citigroup Hold » Buy (54.49 )

Watsco (WSO) Piper Jaffray Underweight » Neutral $50 » $51 TGT Credit Suisse previews mall
anchors/mass merchant
STOCKS DOWNGRADED November sales; favors TGT,
COMPANY
BROKERAGE
RATINGS CHANGE PRICE TARGET
COST, and FDO
FIRM
NuVasive (NUVA) Brean Murray Buy » Hold 'Cyber Monday' sales appear
strong – WSJ
NuVasive (NUVA) JMP Securities Mkt Outperform » Mkt Perform

Netflix (NFLX) Merriman Buy » Neutral

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 EARNINGS

OVTI OmniVision beats by $0.11, beats on revs; guides Q3 EPS in-line, revs below consensus (13.96 +0.55)

U.S. Chain store sales declined 0.12% in Nov 28 week vs 0.0% in prior week, according to ICSC/Goldman Sachs

UTI Universal Technical Institute beats by $0.13, beats on revs (18.89 )

LDR Landauer, Inc. reports EPS in-line, beats on revs (56.88 )

WLP WellPoint issues updated guidance following the completion of NextRx sale to ESRX (54.03 ) Co issues in-
line guidance for FY09 (Dec), sees EPS of $5.86-5.92, excluding $3.54 net in non-recurring items, vs. $5.88 First
Call consensus; previous guidance was for EPS of $5.06-5.12.

COF Capital One: U.S. Treasury says starts secondary public offering of about 12.7 mln warrants to buy common
stock of Capital One Financial - Reuters (38.36 )

TECHNICAL ANALYSIS

Symbol S7 S6 S5 S4 S3 S2 S1 PIVOT R1 R2 R3 R4 R5 R6 R7
Sectors
SPX 1071.06 1075.26 1077.85 1082.05 1086.25 1087.55 1088.84 1093.04 1097.24 1098.54 1099.83 1104.03 1108.23 1110.82 1115.02
INDU 10122.06 10160.66 10184.51 10223.11 10261.71 10273.63 10285.51 10324.16 10362.81 10374.68 10386.61 10425.21 10463.81 10487.66 10526.26
NDX 1723.08 1730.72 1735.43 1743.07 1750.71 1753.07 1755.41 1763.06 1770.71 1773.06 1775.41 1783.05 1790.69 1795.40 1803.04
XBD 108.44 109.29 109.81 110.67 111.52 111.78 112.04 112.90 113.75 114.01 114.27 115.13 115.98 116.50 117.36
BKX 41.02 41.59 41.95 42.52 43.09 43.27 43.45 44.02 44.59 44.77 44.95 45.52 46.09 46.45 47.02
TRAN 3809.02 3832.30 3846.67 3869.95 3893.23 3900.42 3907.57 3930.88 3954.19 3961.35 3968.53 3991.81 4015.09 4029.46 4052.74
OIX 658.92 663.59 666.47 671.15 675.82 677.26 678.70 683.38 688.05 689.49 690.93 695.61 700.28 703.16 707.84
OSX 182.36 183.84 184.75 186.23 187.71 188.17 188.62 190.10 191.58 192.04 192.49 193.97 195.45 196.36 197.84
XNG 484.80 488.08 490.11 493.39 496.67 497.68 498.69 501.98 505.26 506.27 507.29 510.57 513.85 515.88 519.16
CYC 758.83 762.95 765.49 769.62 773.74 775.01 776.28 780.41 784.53 785.80 787.07 791.20 795.32 797.86 801.99
UTY 389.71 391.23 392.18 393.71 395.23 395.71 396.18 397.71 399.24 399.71 400.18 401.71 403.23 404.18 405.71
DRG 301.70 302.57 303.12 303.99 304.86 305.14 305.40 306.28 307.16 307.43 307.70 308.57 309.44 309.99 310.86
RLX 385.17 388.34 390.30 393.46 396.63 397.61 398.58 401.75 404.92 405.90 406.88 410.04 413.21 415.17 418.33

Tradeables

SPY 107.36 107.81 108.09 108.54 108.99 109.13 109.27 109.72 110.17 110.31 110.45 110.90 111.35 111.63 112.08
DIA 101.28 101.68 101.92 102.31 102.71 102.83 102.95 103.34 103.74 103.86 103.98 104.37 104.77 105.01 105.40
QQQQ 42.41 42.60 42.73 42.92 43.11 43.18 43.23 43.43 43.63 43.69 43.75 43.94 44.13 44.26 44.45
QLD 50.99 51.45 51.74 52.21 52.68 52.83 52.97 53.44 53.91 54.06 54.20 54.67 55.14 55.43 55.90
IWM 54.95 55.48 55.81 56.34 56.87 57.04 57.20 57.73 58.27 58.43 58.59 59.12 59.65 59.98 60.51
OIH 112.66 113.65 114.26 115.25 116.24 116.55 116.85 117.84 118.83 119.14 119.44 120.43 121.42 122.03 123.02
XLE 54.90 55.27 55.50 55.87 56.24 56.35 56.47 56.84 57.21 57.32 57.44 57.81 58.18 58.41 58.78
FAZ 17.05 17.62 17.96 18.53 19.10 19.27 19.44 20.01 20.58 20.75 20.92 21.49 22.06 22.40 22.97
FAS 64.28 66.14 67.29 69.15 71.01 71.59 72.16 74.02 75.88 76.46 77.03 78.89 80.75 81.90 83.76
SRS 7.23 7.56 7.76 8.09 8.42 8.52 8.62 8.95 9.28 9.38 9.48 9.81 10.14 10.34 10.67
SDS 35.20 35.49 35.67 35.96 36.25 36.34 36.43 36.72 37.01 37.10 37.19 37.48 37.77 37.95 38.24
USO 36.07 36.61 36.95 37.50 38.04 38.21 38.38 38.93 39.47 39.64 39.81 40.36 40.90 41.24 41.79
SKF 22.31 22.78 23.07 23.55 24.02 24.17 24.31 24.79 25.26 25.41 25.55 26.03 26.50 26.79 27.27

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