Stock futures are positive in early morning trade, indicating to a similar start for stocks amidst announcement of job cuts and upgrades for the Big Three.Oil actually rose above $60 a barrel today for the first time since early January. Geopolitical concerns, especially, tensions between Iran and the U.S. as well as cold temperatures boosted oil to above $60 before easing back a bit.
Alcatel-Lucent (NYSE:ALU) announced fourth-quarter earnings this morning, posting a €618 million ($802.84 million) loss and a planned job cut of 12,500 workers. While ALU shares were up in Paris following the announcement, they trade down about 1% in pre-market.
DaimlerChrysler AG (NYSE:DCX) announced today it has sold 7.5% of its shares in Airbus parent company EADS to a private investment group for approximately €1.5 billion ($1.95 billion) in cash. Meanwhile, the Detroit News also reported that the company will cut 7%, or 1,000 white-collar salaried jobs, primarily in Michigan.
The Big Three automakers were all upgraded this morning. Deutsche Bank upgraded General Motors Corp. (NYSE:GM) and Ford Motor Co. (NYSE:F) to buy from hold with new target prices of $11 $45 and $45 $11 respectively. Citigroup upgraded DaimlerChrysler (NYSE:DCX) to buy from hold just before the restructuring plan for Chrysler Group is unveiled.
Laidlaw International Inc. (NYSE:LI) shares are up more than 8.5% in pre-market about FirstGroup PLC said it agreed to buy the bus company in a 1.9 billion pound ($2.7 billion) deal or $35.25 a share, 11% above Thursday's closing price.
Meanwhile, Gateway Inc. (NYSE:GTW) shares are down nearly 8% in pre-market after reporting earnings yesterday after the close, meeting profit forecast but missing on revenues. The company plans to cut $20 million to $25 million in expenses and lay off more employees.
Laidlaw International Inc. (NYSE:LI) shares are up more than 8.5% in pre-market about FirstGroup PLC said it agreed to buy the bus company in a 1.9 billion pound ($2.7 billion) deal or $35.25 a share, 11% above Thursday's closing price.
Meanwhile, Gateway Inc. (NYSE:GTW) shares are down nearly 8% in pre-market after reporting earnings yesterday after the close, meeting profit forecast but missing on revenues. The company plans to cut $20 million to $25 million in expenses and lay off more employees.
Global Q&A: A rocky road, but profits ahead
Could oil go as low as $40?
Great news: Auto industry considering prepackaged bankruptcy 
