This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

May 27 Premarket Briefing: 10 Things You Should Know

Updated from 6:04 a.m. EDT.

Here are 10 things you should know for Tuesday, May 27:

-- U.S. stock futures were rising Tuesday while European shares gained on hopes for easier monetary policy.

Asian stocks ended the session mixed. Japan's Nikkei 225 index rose 0.2%.

2. -- The economic calendar in the U.S. on Tuesday includes durable-goods order for April at 8:30 a.m. EDT, the Case-Shiller 20-city Index for March at 9 a.m., the FHFA Housing Price Index for March at 9 a.m., and consumer confidence for May at 10 a.m.

3. -- U.S. stocks on Friday (markets in the U.S. were closed Monday for Memorial Day) rose, with the S&P 500 closing above 1,900 for the first time ever after stronger-than-expected new home sales in April provided further evidence of a housing recovery.

The Dow Jones Industrial Average rose 0.38% to close at 16,606.27. The S&P 500 closed 0.42% higher at 1,900.53, breaking its record close of 1,897.45 on May 13. The Nasdaq gained 0.76% to 4,185.81.

Must Read: May 23 Premarket Briefing: 10 Things You Should Know

4. -- Pfizer (PFE - Get Report) pulled the plug on a takeover of British drugmaker AstraZeneca (AZN), in what would have been the largest deal in the pharmaceutical industry's history. 

The announcement came a week after AstraZeneca's board rejected a $119 billion buyout proposal from Pfizer of New York.

Pfizer had until 5 p.m. local time in London on Monday to extend a firm offer for AstraZeneca or declare its intent not to do so. Under U.K. law, Pfizer now can't make another offer for six months.

Pfizer shares rose 0.7% in premarket trading to $29.70. AstraZeneca shares fell 1.6% to $71.15.

5. -- Apple (AAPL - Get Report) is readying a new software platform that would turn the iPhone into a remote control for lights, security systems and other household appliances, as part of a move into the "Internet of things," the Financial Times reported.

Apple plans to take on rivals Google (GOOG) and Samsung and make a "big play" in the world of smart home technology at its Worldwide Developer Conference on June 2 in San Francisco, according to people familiar with the matter, the FT reported.

Apple's integrated system will make it easier to set up and control new "smart home" devices. Such a system was outlined in an Apple parent filing, published last November, the newspaper reported.

Apple shares rose 0.7% to $618.34 in premarket trading.

6. -- A change in wording on Federal Reserve forms earlier this year helped Bank of America (BAC) verify it had made a $4 billion error in calculating its capital, The Wall Street Journal reported, citing a person familiar with the matter, jeopardizing its plans for a stock buyback and a boost to its dividend.

Bank of America disclosed the mistake late last month. Staff began to suspect the bank had been miscalculating its regulatory capital when they prepared Bank of America's first-quarter filing with the Securities and Exchange Commission in April, the person said.

After those suspicions arose, they learned of the Fed's wording change -- a revision to instructions on computing regulatory capital that clarified which kinds of losses on debt securities a bank shouldn't exclude from its calculations, the Journal said.

That change confirmed for Bank of America that it had inadvertently been reporting an inflated amount of capital to regulators, the person said.

Bank of America shares rose 0.8% in premarket trading to $14.83.

7. -- Siemens (SI) is readying a formal offer for Alstom under which it would transfer its rail activities and less than 7 billion euros in cash to Alstom, its French rival, in exchange for its power assets, sources familiar with Siemens thinking told Reuters.

The offer under consideration put a slightly higher value on Alstom's energy activities than a rival bid from General Electric (GE), the sources said.

8. --  Intuit (INTU) agreed to buy bill-payment service Check Inc. for $360 million, The Wall Street Journal reported, according to two people familiar with the situation.

The deal is expected to be announced Tuesday.

9. -- AutoZone (AZO) reported on Tuesday fiscal third-quarter earnings of $8.46 a share, 1 cent ahead of estimates. Sales were $2.3 billion.

The stock rose 1% to $546.34 in premarket trading.

 -- Fox-Marvel's "X-Men: Days of Future Past" debuted with $91 million over the Memorial Day weekend, beating last weekend's No. 1 hit, the Warner Bros. sci-fi adventure "Godzilla," which earned $31.4 million in its second weekend, according to studio estimates.

>> Read More: American Air President: 'Don't Call Us Nickel and Dimers'

>>Read More: It's Time to Look Abroad to Enhance Your ETF Portfolio

-- Written by Joseph Woelfel

To contact the writer of this article, click here:Joseph Woelfel

To submit a news tip, send an email

Follow @josephwoe58


Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $118.16 -0.12%
PFE $33.41 2.00%
FB $106.26 1.90%
GOOG $761.14 2.50%
TSLA $234.59 1.90%


Chart of I:DJI
DOW 17,830.50 +110.58 0.62%
S&P 500 2,091.87 +11.46 0.55%
NASDAQ 5,130.8660 +22.20 0.43%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs