Monday, November 9th, 2009
Market Wrap-Up for November 9, 2009
China Natural Gas, Inc. (CHNG), Gulf Resources, Inc. (GFRE), and Caliper Life Sciences Inc. (CALP) are three featured story stocks as the markets moved higher on the day.
Featured Story Stocks
- China Natural Gas, Inc. [[CHNG]] – Shares of the Chinese natural gas distributor moved lower after it reported lower gross margins and net income in the third quarter. The company attributed the slowdown primarily to an increase in coal bed methane prices in the Henan Province as a result of increased competition in the area. Separately, a report today indicated that China may raise its natural gas prices by 20-30 percent in January.
- Gulf Resources, Inc. [[GFRE]] – Shares of the oil and gas chemical company moved sharply lower despite reporting sharply higher third quarter earnings. The company reported net income that more than doubled to $8.3 million, or $0.27 per share, on revenues that rose 57.6% to $27.67 million. The company also said that it expects to earn between $0.92 and $0.98 per share on revenues of $100 million and $105 million.
- Caliper Life Sciences Inc. [[CALP]] – Shares of the life sciences company moved sharply higher after it announced that its Caliper Discovery Alliances and Services unit had been awarded a new funding commitment for $1.8 million under its contract with the Environmental Protection Agency for the EPA’s ToxCast screening program.
Market Summary
U.S. markets rallied to new highs on Monday after the Group of 20 pledged to keep aid flowing to the world economy, increasing investor appetite for risk. The Dow Jones Industrial Average increased 203.5 points to a new 13-month higher of 10,226.94. Meanwhile, the S&P 500 rose 2.22% and the Nasdaq rose 1.97% to close higher on the day.
The markets were also helped by the dollar’s move lower during Monday’s session. The slide in the Greenback also helped jump commodity prices, denominated in U.S. dollars, and helped the materials sector lead the market. Crude oil moved up $2.00 to $79.43 per barrel, gold moved up $5.90 to $1,101.60 per ounce, and corn prices rose $19 to $386 per bushel.
Overseas markets also ended the day sharply higher. In Europe, the DJ Stoxx index moved up 2.03% on the day, while individual indices also rose. In Canada, the TSE moved up 2.1%, the CDNX moved up 1.11%, and the S&P/TSX 60 moved up 2.26%.
Written by David Breen
