Stock market news today, June 11, 2014: The Dow Jones Industrial Average today looks to continue its momentum, after it closed at another record high - its 10th of the year - on Tuesday. The Dow was down most of the day, but rallied in the last hour. U.S. crude oil futures flirted with $105 per barrel.
Here's what you should know to make your Wednesday profitable:
The Biggest IPO of 2014: FOX Business reports that Chinese online giant Alibaba Group Holding Ltd. is in the process of planning its initial public offering "roadshow" for late July. The company is likely to undergo its initial public offering pricing during the first week in August, according to reports. The news comes on the same day that Reuters reported that Alibaba is set to purchase mobile browser giant UCWeb. The deal will be the largest Internet merger in the nation's history.
Tax Troubles Ahead: The European Commission has opened three separate investigations into tax agreements between Ireland and Apple Inc. (Nasdaq: AAPL), Starbucks Corp. (Nasdaq: SBUX) and the Netherlands, and Fiat Finance and Trade and Luxembourg.
Google's Next Buy: In an effort to boost its Internet offerings around the world, Google Inc.(Nasdaq: GOOG, GOOGL) will purchase satellite image provider Skybox Imaging for $500 million in an all-cash deal. The deal will improve Google Maps service and will help boost the company's goal to provide Internet access to the two-thirds of the earth that lack services.
OPEC Sets a Price: The Organization of Petroleum Exporting Countries (OPEC) announced this morning that it will maintain its official production target of 30 million barrels a day for the fifth consecutive meeting of its member nations. According to reports, OPEC nations are content with a price range of $100 to $110 per barrel.
Take a Picture: Sports camera company GoPro Inc. has priced its initial public offering between $21 to $24 per share, valuing the company at up to $3 billion. Trading under the Nasdaq "GPRO," the company would raise $427.2 million if it hit the top end of this pricing range.
Today's Economic Calendar: A light schedule features the EIA Petroleum Status Report, the U.S. Treasury budget, and MBA purchase applications.
Banks Behaving Badly: Numerous reports indicate that the talks between the U.S. Justice Department and Bank of America Corp. (NYSE: BAC) have broken down. The bank's latest settlement offer was a little more than $12 billion, far less than the $17 billion the agency is expecting. The agency's figure would be the largest settlement in banking history.
The Global Slowdown: The World Bank said this morning that a harsh U.S. winter and geopolitical problems in Ukraine will rattle global growth. The institution slashed its annual global growth to 2.8% for the year, from its 3.2% forecast in January.
Earnings Reports: Stay tuned for earnings reports from H&R Block Inc. (NYSE: HRB), Restoration Hardware Holdings Inc. (NYSE: RH), Optical Cable Corp.(NYSE: OCC), Nathan's Famous Inc.(Nasdaq: NATH), and Kayne Anderson MLP Investment Co. (NYSE: KYN).
Full U.S. Economic Calendar June 11, 2014
MBA Purchase Applications at 7 a.m.
Quarterly Services Survey at 10 a.m.
EIA Petroleum Status Report at 10:30 a.m.
10-Yr Note Auction at 1 p.m.
Treasury Budget at 2 p.m.
The European Central Bank has just entered uncharted waters and is attempting to employ "unconventional" policies to kick-start the economy. But no matter what happens, we'll make money... here's how.
Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.