The markets have put on a strong rally today as a lower number of new jobless claims have set the stage for some strong numbers on employment, due tomorrow from the US Department of Labor. The median estimate on non-farm payroll employment is a gain of 185,000 jobs. Retail sales reports for February were mostly higher as well, adding a bit more impetus to stocks.

The other, bigger driver was crude oil, which fell sharply to just more than $100/barrel at noon, but then turned back higher, most likely on dollar weakness. The US dollar managed to stave off a euro run at $1.40, but that level is definitely in danger. Gold gave back some of yesterday's gains, finishing down at $1,416.00, off about 1.5%.

Here are the numbers for late afternoon trading today:

Dow Jones 12,258.20 +191.40 (1.59%)
S&P 500 1,330.97 +22.53 (1.72%)
Nasdaq 2,798.74 +50.67 (1.84%)

Continue reading Closing Bell: Good Jobs Data, Lower Oil, Stoke Stocks (GTEC, ASGR, USAT, AMLN, CQP)

Closing Bell: Good Jobs Data, Lower Oil, Stoke Stocks (GTEC, ASGR, USAT, AMLN, CQP) originally appeared on BloggingStocks on Thu, 03 Mar 2011 16:20:00 EST. Please see our terms for use of feeds.

Amylin Pharmaceuticals Inc. (NASDAQ: AMLN) caught an early morning boost after reporting positive results from its obesity drug trials. A mid-stage study of its pramlintide/metreleptin combination product revealed no significant side effects on a cardiovascular or neuropsychiatric level, and patients treated with the highest dose experienced much greater weight loss than those participants treated with a placebo.

AMLN was up more than 2% at its intraday peak, but the equity has since pulled back near the break-even line. The stock settled Wednesday below its 20-day moving average for the first time in more than a month, and it has been unable today to reclaim a foothold above this trendline. Meanwhile, stubborn resistance from the $14 region looms not far overhead.

Continue reading Despite positive trial results, Amylin Pharmaceuticals faces multiple headwinds

Despite positive trial results, Amylin Pharmaceuticals faces multiple headwinds originally appeared on BloggingStocks on Thu, 09 Jul 2009 14:40:00 EST. Please see our terms for use of feeds.

Amylin Pharmaceuticals (NASDAQ: AMLN) is scheduled to report its Q3 2007 earnings after today's market close. Analysts are predicting a loss of $0.42 per share, down significantly year-over-year and quarter-over-quarter. The company had a big miss last quarter, coming in 16% below expectations, earning just $0.42 per share.

Though the company has a long string of EPS losses on record, its previous earnings miss was back in Q1 2006. AMLN shares fell hard yesterday after the FDA warned that the company's diabetes drug Byetta may be linked to acute pancreatitis in some patients. This warning came too late to affect the most recent earnings, but could have a negative effect on the company's next quarter. If you think the stock won't rise by too much over the next few months, then now could be a good time to take a look at a bearish hedged trade on AMLN.

For a bearish hedged play on this stock, I would consider a January bear-call credit spread above the $65 range. A bear-call credit spread is an options position that combines the purchase and sale of call options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make a 6.4% return in 3 months as long as AMLN is below $65 at January expiration. AMLN would have to rise by more than 40% before we would start to lose money on this trade.

AMLN has not ever been above the mid-$50s, and has shown resistance just below $51 recently. This trade could be risky if AMLN posts a positive surprise tomorrow, but even if that happens, the recent warning from the FDA could keep investors wary of this stock over the coming weeks.

Meg Massie is an options analyst and writer at Investors Observer. DISCLOSURE: At publication time, Meg neither owns nor controls positions in AMLN.

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Amylin Pharmaceuticals (AMLN) earnings preview originally appeared on BloggingStocks on Wed, 17 Oct 2007 13:37:00 EST. Please see our terms for use of feeds.

Novo Nordisk drug data a 'positive surprise' originally appeared on BloggingStocks on Thu, 21 Jun 2007 12:10:00 EST. Please see our terms for use of feeds.