Sara Lee (NYSE: SLE) closed at $10.54. Unilever (NYSE: UN) agreed to buy SLE's personal-care and European detergent unit for $1.88 billion. SLE's board of directors authorized a $1 billion share repurchase program. SLE October option implied volatility is at 39, November is at 38; near its 26-week average of 38 according to Track Data, suggesting non-directional price movement.

MSCI Brazil Index (NYSE: EWZ) is recently up 37 cents to $65.04 in pre-open trading. Brazil Bovespa Stock Index is up 0.1%. EWZ call option volume of 14,379 contracts compares to put volume of 22,765 contracts. EWZ October option implied volatility is at 37, October and January is at 38; below its 26-week average of 45, according to Track Data, suggesting decreasing price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

TheStreet.com's Jim Cramer says in the wake of an upgrade, FCX has to do a big equity offering.

What will Richard Adkerson do? I can tell you what the CEO of Freeport-McMoRan (NYSE: FCX) (Cramer's Take) ought to do in the wake of the Bank of America-Merrill Lynch upgrade to buy from sell. He ought to do the biggest darned equity offering in history.

I like Richard. He's candid, he's a great copper man, but he spent too much at the high on Phelps Dodge and wasn't prepared when copper prices plummeted as his balance sheet's simply not so hot. So he had to cut his dividend at the bottom, literally at the exact bottom.

Analyst upgrades:

• Jefferies upgraded VMware (NYSE: VMW) to Hold from Underperform on expectations June quarter revenue will be inline-to-slightly-better and negative revisions to September quarter revenue will not be as great as in the most recent two quarters. The firm raised its target on shares to $25 from $20.
  
• Citigroup upgraded Blue Nile (NASDAQ: NILE) to Buy from Hold on valuation following the recent pullback and believes expectations for Q2 are reasonable. The firm has a $50 price target on the stock.
  
• FBR Capital upgraded Bronco Drilling (NASDAQ: BRNC) to Market Perform from Underperform on valuation as it believes negative sentiment will ease. The firm raised its target on shares to $4 from $3.
• Unilever (NYSE: UL) was upgraded to Overweight from Neutral at JP Morgan.
  
• Posco (NYSE: PKX) was upgraded to Overweight from Equal Weight at Morgan Stanley.
  
• Gol Linhas Aereas (NYSE: GOL) was upgraded to Buy from Underperform at BofA/Merrill.

Perhaps oddly apropos for Father's Day: there's more news of the health effects of green tea; specifically, that compounds found in green tea may slow the growth of prostate cancer, the second leading cause of cancer death among American men.

Researchers have found that polyphenols, a green tea extract with antioxidant properties, lower the levels of proteins that tumors use to grow. While green tea may keep cancer from growing fast, they point out, it may not be able to shrink tumors. But it can be a good addition to traditional therapies such as chemotherapy or radiation.

I am the Global Editor at MoneyShow.com and each week I interview an investing expert. This week, I spoke with Cynthia Tusan, president of Strategic Global Advisors -- a woman-owned asset management firm -- who discusses her approach to global investing.

Q. Cynthia, your stated strategy is a fundamental, bottom-up approach, focusing on international companies. With that in mind, which are the three most important criteria that you use to determine whether a company's stock has the right stuff?

A. Our approach is both fundamental and quantitative, but we focus mainly on company-specific factors. Over the years we have consistently focused on four areas: valuation, growth, quality, and sentiment. For 2008, we were more active in looking at debt levels of companies and price momentum.

IBM (NYSE: IBM), the tech bellwether, reported quarterly results Tuesday after the close, surprising analyst with a 12% rise in profit. It also forecast 2009 earnings of at least $9.20 a share, compared to analyst expectations around $8.70 a share. Shares were up about 3.9% in premarket trading.

BHP Biliton (NYSE: BHP), the largest mining company in the world, said it would lay off 6% of its global workforce or 6,000 workers as a result of production cuts. Around 550 of them will be in the U.S. Shares declined nearly a percent in premarket trading.

Ericsson (NASDAQ: ERIC), the Swedish telecom equipment maker, announced a 31% profit drop and a 23% surge in sales. It also said it would cut 5,000 jobs in the attempt to save $1.2 billion in costs in 2009. Shares gained nearly 13.5% in premarket trading.

Many companies are due to report results on Wednesday: AMR Corp. (NYSE: AMR), UAL Corp. (NASDAQ: UAUA), BlackRock (NYSE: BLK) and Coach Inc. (NYSE: COH) and after the close, Apple Inc. (NASDAQ: AAPL) and eBay Inc. (NASDAQ: EBAY).

Apple Inc. (NASDAQ: AAPL) said it expects to earn $1.06 to $1.35 per share on sales from $9 billion to $10 billion in the first quarter, but analysts seem to expect more, estimating income of $1.39 per share on $9.74 billion in revenue, according to Thomson Reuters. Meanwhile, U.S. regulators are examining Apple's disclosures about Jobs' health problems to ensure investors weren't misled, according to Bloomberg sources. Shares gained about 1.3% in premarket trading.

Analyst upgrades:

• Canaccord upgraded Rio Tinto (NYSE: RTP) to Buy from Hold citing valuation following the severe price decline following BHP Billiton's (NYSE: BHP) dropped bid.
• UBS upgraded Itron (NASDAQ: ITRI) to Buy from Neutral citing valuation and defensive business mix.
• Jefferies upgraded shares of HealthSouth (NYSE: HLS) to Buy from Hold on valuation and maintains a $13.50 target.
• Melco PBL Entertainment (NASDAQ: MPEL) was raised to buy from Neutral at Goldman.
• PG&E (NYSE: PCG) was upgraded at Merrill Lynch to Buy from Neutral.
• HSBC Holdings (NYSE: HBC) was upgraded to Buy from Neutral at UBS.

Analyst downgrades:

TheStreet.com's Jim Cramer says comparisons will be so easy that companies with strong pricing will outperform.

These year-over-year declines in energy costs along with the inability of the Chinese market to fall much further are the two bright spots that long-term investing can give us. The notion that there are consumer-products companies that have put in price increases that for the most part are sticking and that the developing world could come back with lower rates, makes me feel that the Unilever (NYSE: UN) (Cramer's Take)/Procter (NYSE: PG) (Cramer's Take)/Colgate (NYSE: CL) (Cramer's Take) cohort could have a remarkable rally.

But not until after this current quarter, because the price decreases have been incredibly slow to come in and the dollar is so strong.

I key on those because frankly, oil looks like it is going to struggle to hold $50, and while that is a sure sign of a terrible recession coming, it is, alas, good news for the companies like Kellogg (NYSE: K) (Cramer's Take) and General Mills (NYSE: GIS) (Cramer's Take) that use energy and whose product pricing has held.

U.S. stock futures were much higher this morning, indicating markets could open with strong gains a day after the Federal Reserve cut rates by half a point to 1% and indicated further measures will be taken as necessary. While Wall Street ended mixed, global markets took this, as well as other measures central banks around the world have been taking, as a good sign and stocks in Asia and Europe rallied. However, at 8:30 a.m. this morning, advanced GDP for the third quarter will be released, and will likely show the economy has contracted for the first time. Economists expect GDP fell 0.5-0.6% in the quarter. Weekly jobless claims is also due at the same time.

Exxon Mobil Corp. (NYSE: XOM) - sometime before the opening bell, Exxon is scheduled to report third-quarter earnings. Much like other oil producers that have already reported, posting huge profits for the quarter due to record high oil prices, so is Exxon expected to report sharply higher profit.

Delta Air Lines (NYSE: DAL) - after the merger was approved Wednesday, Delta completed its $2.8 billion acquisition of Northwest Airlines (NYSE: NWA) on Wednesday to become the world's biggest carrier. Shares of both carriers surged 6% in after-hours.

A world without ice cream is unthinkable. But serving up frozen food in the U.S. in the middle of the summer (when we scream most loudly for ice cream) is creating greenhouse gases due to the hydroflourocarbons used in most refrigerators and freezers. Something must be done.

Enter Ben & Jerry's, whose parent, Unilever (NYSE: UL) has been working with Greenpeace, McDonald's (NYSE: MCD) and Pepsico, Inc. (NYSE: PEP) to develop more global-warming-friendly (or unfriendly?) freezers. The company will be rolling out the country's first HFC-free freezer in convenience stores and supermarkets across the U.S.; and as a bonus to your favorite ice cream outpost, the green freezers use about 10% less energy than their HFC-emitting cousins.

The new freezers use butane rather than HFC as a refrigerant and required special permission from the EPA; which has banned the use of butane and propane (which are used throughout Europe and Central and South America for refrigerators and freezers) because these hydrocarbons are flammable and are blamed for depleting the ozone layer. The 2,000 freestanding Ben & Jerry's freezers are just a test, and it may be eight to 10 years before the company is allowed to replace all of its 100,000 freezers nationwide.

While it will likely be an extremely moderate impact on expense reduction, the rollout of green freezers stands to underscore Ben & Jerry's ethical, do-gooder image in the mind of its consumers and give it yet another edge over rival Haagen-Dazs.

Analyst upgrades:

• Merrill upgraded shares of General Motors (NYSE: GM) and Ford (NYSE: F) to Neutral from Underperform on expectations for fundamentals to improve in 2009.
  
• Citigroup upgraded Chubb (NYSE: CB) and Travelers Group (NYSE: TRV) to Buy from Hold as they expect the company to benefit from the AIG (NYSE: AIG) fallout. The firm raised Chubb's target to $57 from $56 and Travelers Group's target to $51.50 from $49.50.
  
• Credit Suisse upgraded shares of SAP AG (NYSE: SAP) to Outperform from Neutral as they believe margin expansion can drive higher profitability.
• JetBlue (NASDAQ: JBLU) was upgraded to Buy from Hold at Argus.
• Goldman raised Merrill Lynch (NYSE: MER) to Neutral from Sell.
  
• NetLogic (NASDAQ: NETL) was upgraded to Buy from Neutral at Piper.

Analyst downgrades:

• JP Morgan downgraded Eli Lilly (NYSE: LLY) to Underweight from Neutral citing the company's early stage pipeline and generic competition.
  
• Merrill downgraded Unilever (NYSE: UL) to Neutral from Buy as they believe the incoming CEO is unlikely to bring a major restructuring or split up the company.

Starbucks (NASDAQ: SBUX) is teaming up with Unilever (NYSE: UL) to manufacture and distribute Starbucks-branded ice cream in the United States and Canada. Unilever also markets ice cream under brands including Ben & Jerry's, Breyers, Good Humor, Klondike and Popsicle.

The ice cream will be marketed as "super-premium" -- über expensive -- and will come in coffee flavors. Grocery stores have been selling Starbucks ice cream for more than a decade, but the new arrangement could lead to new flavors and varieties.

It's an interesting development given that since Howard Schultz returned as CEO, the company has been trumpeting a renewed focus on coffee. But with macroeconomic headwinds making a turnaround for the stores unlikely to occur anytime too soon, Starbucks is taking the opportunity to capitalize on its brand with opportunities outside of its stores. Starbucks stores do not currently sell ice cream and there are no plans to do so.

U.S. stock futures are pointing to further declines following a rough session where the Dow plunged 344 points and ahead of the jobs report mostly feared to show weakness in the labor market. Non-farm payroll is expected to show a job loss of 75,000 but the unemployment remain unchanged. Meanwhile, international markets sank following U.S. markets. Also affecting mood this morning is Goldman's call to sell Merrill Lynch.

Goldman Sachs downgraded Merrill Lynch & Co. (NYSE: MER) to Sell from Neutral and added the firm to its conviction sell list. MER stock is plunging 6.6% in pre-market trading. Goldman said valuation and the likelihood of further write-downs are the reasons. Goldman also lowered its third-quarter EPS forecast to a loss of $5.75 a share.

SanDisk (NASDAQ: SNDK) shares are shooting up 26% in pre-market trading after Samsung Electronics said it may buy the flash memory maker. There are no concrete announcements or details as to price yet.

And at Boeing (NYSE: BA), the company continues to negotiate with labor leaders to avert an expensive strike it cannot afford. Negotiators and mediators are trying to work to avert the strike voted for by the union during the 48 hour extension.

Analyst upgrades:

• Oppenheimer upgraded shares of Shanda Interactive (NASDAQ: SNDA) to Outperform from Perform following the company's better-than-expected quarter to reflect its growth acceleration in the casual games platform and margin improvements.
  
• SAIC (NYSE: SAI) was upgraded to Outperform from Market Perform following the solid Q2 report and guidance.
  
• Susquehanna upgraded Zumiez (NASDAQ: ZUMZ) to Positive from Neutral citing positive August comps, revised merchandising, easier comps, and solid financial position.
• Goldman Sachs upgraded Pharm Product Development (NASDAQ: PPDI) and Steel Dynamics (NASDAQ: STLD) to Buy from Neutral.
  
• Novellus (NASDAQ: NVLS) was raised to Overweight from Equal Weight at Morgan Stanley.

Analyst downgrades:

• Morgan Stanley downgraded the Semiconductor Capital Equipment sector to In-Line from Attractive citing optimistic expectations for Q4 orders following the recent bounce in stocks. The firm downgraded Lam Research (NASDAQ: LRCX) to Underweight from Overweight and KLA-Tencor (NASDAQ: KLAC) KLAC to Equal Weight from Overweight.

Stock futures were lower this morning as oil rose back above $110 a barrel and investors awaited a barrage of economic data due today including weekly oil inventories. Other economic indicators include data on employment, manufacturing and productivity. Also, retailers will be announcing August same-store sales. Overall, sales are expected to rise 2%. Meanwhile, the Bank of England and the European Central Bank are deciding their interest rate policy today, where the ECB could tighten.

The first of the retailers has already reported August sales. Wal-Mart Stores Inc. (NYSE: WMT) said sales increased 3% in August, beating its forecast. Seems discounts drew shoppers. WMT shares are up over 1% in pre-market.

Unfortunately for Boeing (NYSE: BA), The International Machinists and Aerospace Workers union, which represents nearly 27,000 machinists, voted to strike as they rejected Boeing's contract offer. The union, however, postponed the strike by 48 hours as the two parties go to mediation. Boeing will likely suffer from a strike at a time it's struggling to stand by its Dreamliner obligations. BA stock is down over 1% in pre-market.

BP PLC (NYSE: BP) shares stand to rise after it finally reached an agreement with its billionaire Russian partners have over TNK-BP. While BP remains with a 50% holding in the venture, it has made many concessions, including agreeing to have the CEO Dudley leave. Shares are up over 2% in pre-market.