The Hang Seng under paced the Nikkei today on news that the Chinese manufacturing sectored
continued to slow for its eighth straight month. The index lost 1.3% today with only Espirit Holdings and
China Resources Power Holding trading in the green but less than 1% each.

The European rally built on expectations of another round of stimulus came to its 4 day end today
after weak German and Chinese data and Bernanke’s speech yesterday putting an end to Fed bailout
hopes. The FTSE is down .7% with basic resources being the worst performing industry dropping 2.8% on
Chinese data showed it eighth straight contraction for the world largest consumer of metals.

The Rupee fell to a record low against the dollar today of 56.53 per USD, making it a good time to visit
India.

The commodities are starting out weak with natural gas trading up where crude, gold and silver are all
down.

Contributer Chris Rygh is currently pursuing his MBA in Wisconsin and has a passion for the Market.
Comments can be directed to ryghcw19@uww.edu

In Europe, Spanish 10-year yields dropped below the significant 7% level and the IBEX up 1.2%.

S&P 500 futures fell 4.00 points (-.30%) to 1346.50, Dow Jones Industrial average futures fell 25 points (-.20%) to 12737.00, and NASDAQ futures rose 2.75 points (.11%) to 2615.25.

Gold futures fell $22.7 (-1.40%) to $1600.50 and WTI crude futures fell $2.43 to $81.60.

Adobe (ADBE), among the biggest losers in the S7P 500 index fell 3.81% after weak demand forecasts for Europe.

Facebook (FB) fell back over 1% after reaching its highest level since May 25 yesterday.

Walgreen (WAG) declined 4%, after falling 5.9% yesterday when analysts downgraded the drugstore chain. WAG plans to buy European drugstore giant Alliance Boots for $6.7 billion.

ARNA was up 3.30% after hours last night and has gained 405.21% over the last quarter. The stock was trading at $10.11, up .41 points (4.23%) at 9:37 am CDT. Tuesday’s trading range was between $9.67 and $10.34.

The clinical stage biopharmaceutical company researches and develops drugs in the therapeutic areas of cardiovascular, nervous system, inflammatory, and metabolic diseases. They also develop treatment for diabetes, arthritis and multiple sclerosis. Arena Pharmaceuticals was founded in 1987 and based in San Diego, California.

The Hang Seng followed the speculation adding .5% however had a few hefty losses in the mix; China
Unicom dropped 3.88% and Hengan International Group lost 3.16%.

European stocks have been jumpy this morning from red to green as the FTSEurofirst currently stands
up .1%. Traders are nervous waiting for the Fed to announce further stimulus measures.

Disney Stock is up almost 1% in pre-trade with the opening of its new Cars Land in their California theme
park. This represents a $1.1B upgrade.

MBA Mortgage applications are up 13% to their highest in 6 months and the 30 yr fixed rate dropped to
3.78 (for conforming balances under 417,500).

Burger King will be traded on the NYSE under the ticker BKW.

Commodities are mixed prior to trading this morning with crude and gold just under and Natural gas and
Silver in the Green.

Contributer Chris Rygh is currently pursuing his MBA in Wisconsin and has a passion for the Market.
Comments can be directed to ryghcw19@uww.edu

Investors will be watching closely for hints that the central bank is prepared to intervene again in the U.S. economy, perhaps through additional purchases of government securities or a variation of an existing program set up to extend maturities of the central bank’s bonds.

In U.S. economic news, home building slowed in May but new permits reached their highest level since 2008, suggesting future demand for new houses.

In Europe, markets jumped as Spain’s borrowing costs eased off all-time highs. The Stoxx Europe 600 gained 1.6%, its biggest single-session gain in two weeks, to advance for the third session in a row.

Crude oil futures rose 0.9% to settle at $84.03 a barrel, while gold futures fell 0.2% to settle at $1622.20 a troy ounce. The U.S. dollar slipped against the euro and the yen. The yield on the benchmark 10-year Treasury note rose to 1.615%.

In corporate news, Oracle (ORCL) gained 3.1% after they reported that the fourth quarter profit had increased 7.5%. FedEx (FDX) rose 2.82% after the package delivery company reported that earnings had surpassed industry expectations. Finally, Facebook (FB) rose 1.6% and set its first four session win since its IPO.

Thomas Doherty is an undergraduate at Villanova University majoring in Finance and Economics. Thomas@KeeneOnTheMarket.com

Building permits had an increase of .057 million since last period’s .723 million number, and stronger than the expected .728 million.

Gold futures fell $5.00 to $1622.00 and WTI crude futures were up 74 cents to $84.01.

FedEx (FDX) rose over 3.5% as it reported a decline in profit, but ensuring that the international shipping company would significantly cut costs in the near future. FDX predicted earnings of $1.45 to $1.60 for the current quarter, a decrease of around 10 cents the original predicted value.

Microsoft Corp. (MSFT) gained almost 4% after releasing a new tablet that will compete with the iPad.

Financial stocks rallied as Jamie Dimon addressed the House Financial Services Committee. Bank of America (BAC) gained 5.03% after rumors that Julius Baer would buy their Merrill Lynch International Wealth Management business.

In energy stocks, Chesapeake Energy Corp. (CHK) rose 5.32% after investor Carl Icahn will name Vincent Intrieri as a director.

Falling on Wall Street, Walgreen (WAG) fell 5.96% after lower than expected quarterly profit, and news of a $6.7 billion acquisition of Alliance Boots.Barnes & Noble Inc. (BKS) lost 6% after reporting a larger than expected loss.

David Cornes holds a degree in economics from the University of Montana.

Francis is famous for transforming Target’s image through advertising, and was poached by Penney’s last October to start a new merchandising and marketing campaign. Francis turned Target into “the nation’s leading upscale discount store.” Last fall, JCP also acquired their present CEO Ron Johnson from Apple. Since Francis’ departure, Johnson announced that he would assume direct responsibility and oversight over Francis’ previous duties, merchandise and marketing. As of January 28, 2012, Penney’s had 1,102 department stores in 49 states and 49 in Puerto Rico.

David Cornes has a degree in economics from the University of Montana.