Jim Cramer Blog

Atos Origin (Euronext Paris: ATO), an international IT services company, and NYSE Euronext (NYSE Euronext: NYX) today announced their agreement in principle for NYSE Euronext to acquire the 50% stake in AtosEuronext Market Solutions (AEMS) owned by Atos Origin.
Upon successful completion of this transaction and subject to the prior information and consultation of all relevant employee representative bodies, NYSE Euronext would re-acquire ownership of the NSC cash trading and LIFFE CONNECT® derivatives trading platform technology and all of the management and development services surrounding these platforms as well as AEMS’s third-party exchange technology business. Atos Origin would acquire the third-party Clearing & Settlement and Capital Markets businesses from AEMS.
Such transactions would result in a payment of €275 million (US$400 million) from NYSE Euronext to Atos Origin1 and of €20 million (US$29 million) from Atos Origin to AEMS.
This agreement in principle follows a longstanding, successful relationship between Atos Origin and Euronext, and allows the two companies to focus on their core businesses, given recent trends in their respective industries. Both parties will extend their historical relationship, Atos Origin becoming NYSE Euronext’s preferred supplier in integration and outsourcing IT services.
It is expected that the contemplated re-integration of the technology businesses within Atos Origin and NYSE Euronext will be completed by the end of the summer in 2008.

Labels: NYSE Euronext Inc., NYX

The decline of floor trading at the New York Stock Exchange has helped its parent company, NYSE Euronext (NYX) because overall volume has shot up, increasing the value of its shares, according to weekly financial publication Barron's.Barron's said that only 6 percent of all NYSE trades are now handled by floor specialists. At the same time, the publication said, overall trading volume -- which includes the NYSE Arca electronic market - rose 27 percent. The decline of floor trading has helped it increase trading volume, Barron's said.
Disclosure: We own options calls on NYX

Labels: NYSE Euronext Inc., NYX

The Fuel is Greener: Deere (DE), Monsanto (MON), Bunge (BG), Mosaic (MOS), Agrium (AGU), Potash (POT)
When looking at the agriculture bull market, Cramer urged investors to think energy and not food. As oil prices rise, the pressure to develop alternative fuels from soybeans and corn will increase. This has been good news for farming stocks such as Deere, Bunge and Monsanto and especially fertilizer companies, Agrium, Potash and Mosaic. "All of these gains have been driven by demand," Cramer said and sees years of upside in this sector. However, since many agriculture stocks have already increased substantially, Cramer would wait for a decline before buying many of them.
Still Time for NYSE Euronext (NYX)
While NYX has been the worst performing stock Cramer has seen in 26 years in the business, he would stay with it. His thesis for owning the stock is unchanged and the only reason NYX went down is because "it was just going down…. Even though you hate owning it, nothing fundamental has changed for the company underneath it." In fact, NYX keeps beating estimates, its fundamentals are better than they were at the beginning of the year, and Cramer thinks this bear raid on NYX can't last forever.
Sitting on the Fed Fence: Kroger (KR), Costco (COST)
Cramer advised a wait and see strategy concerning the Fed meeting on Tuesday. A quarter point cut in rates could lead to recession fears and may bring some stocks down. On the other hand, a half a point cut could be a buying opportunity for banks tech and industrials. If it weren’t for the meeting, Cramer would suggest buying Costco and Kroger ahead of their earnings reports, but now he recommends waiting before making a move.
Meet the Mutual Fund Manager: Ron Muhlenkamp of Muhlenkamp (MUHLX) with stocks: Altria (MO), Devon Energy (DVN), Cemex (CX)
Cramer said investing in a mutual fund is really an investment in the fund’s manager, and invited Ron Muhlenkamp to discuss his strategy of finding good companies at low prices, particularly names others don’t recognize yet or like. He discussed MO, one of the fund’s holdings and said there is room to grow for DVN and CX.
Published By SeekingAlpha

Labels: AGU, BG, COST, CX, DE, DVN, Jim Cramer, KR, Mad Money, MO, MON, MOS, MUHLX, NYSE Euronext Inc., NYX, POT

NYSE Euronext (NYX) Chief Executive Officer, Duncan L. Niederauer, on his first international trip since becoming the company’s CEO, will host the official grand opening of the company’s representative office in Beijing, China on Tuesday, Dec. 11, 2007. Joining Mr. Niederauer for this historic ceremony will be senior Chinese and U.S. government officials, CEOs of several NYSE-listed Chinese companies, and other invited guests.
“It is an honor for the NYSE to be the first foreign exchange to have approval to open a representative office in Beijing, and we greatly appreciate the opportunity to officially open our office in Beijing and to further strengthen our relationship with the People’s Republic of China and its business community,” Mr. Niederauer said. “We especially want to thank the China Securities Regulatory Commission for their ongoing support and the outstanding Chinese enterprises that we are privileged to list on the NYSE.”
On Sept. 4, 2007, the New York Stock Exchange was announced as the first foreign exchange to gain approval by the China Securities Regulatory Commission (CSRC) to open a representative office in Beijing. The new office will be occupied by the company’s staff and will become the NYSE’s center of operations for advancing the company’s brand and service to its listed companies in China.

Labels: NYSE Euronext Inc., NYX

Merrill Lynch & Co. has tapped New York Stock Exchange head John Thain to lead the world's largest brokerage through the unfolding credit market turmoil that threatens Wall Street's biggest investment houses, according to published reports Wednesday.
The Wall Street Journal and the New York Post are reporting that Thain, 52, has been selected to become Merrill's chairman and chief executive. There were reports that NYSE's board met during the day, and that an announcement could come later this afternoon.
Spokesmen for the NYSE and for Merrill declined to comment.
Thain, who is credited with remaking the NYSE into the world's first truly global exchange, is no stranger to the investment world. He started out on the bond desk at Goldman Sachs Group Inc. and left the firm as its chief operating officer.

Labels: NYSE Euronext Inc., NYX

Wednesday's show began with Cramer discussing who he thinks is to blame for the 361 point drop on the Dow. His answers were Supermodel Gisele Bundchen and New York Attorney General Andrew Cuomo. Gisele recently announced that she doesn't want to be paid in dollars any more since it is weak, and then a Chinese official followed up with a statement this morning that they might sell some of their dollar reserves. Cramer doesn't think that this announcement from China is true. Cuomo then announced that he will probe Washington Mutual to see if they forced appraisers to inflate their estimates so they could make loans. Cramer believes that this will scare mortgage lenders and make them require higher down payments, which is the last thing the lenders need.

Cramer then went to the phonelines. The first caller asked about hedging the dollar by investing in international mutual funds, and Cramer said he thinks 20% of your portfolio should be foreign. The second caller asked about Nasdaq (NADQ), and Cramer thinks that CME (CME) and NYSE-Euronext (NYX) are better plays on the increased volatility in the market, but said that he likes Nasdaq as well.

The CEO of NRG Energy (NRG) was on the show since Cramer thinks that nuclear energy is the cleanest way to generate electricity. They talked about the company’s plans for nuclear plants, as well as their other coal based plants.

Cramer came back from the lightning round and talked with Herbalife (HLF) CEO Michael Johnson about the outstanding quarter they just reported as well as allegations of unethical behavior at the company. Johnson said that they do not believe they are guilty of any wrongdoing, and that they will investigate and correct any issues they find. He then talked about their international growth and new sales plans they have.

Cramer then did a follow up on Nastech Pharmaceutical (NSTK), a recommendation he made last week. The stock was down $5 today because Proctor & Gamble (PG) terminated an agreement with them, and Cramer had the CEO, Stephen Quay, on the show to explain why people should not sell the stock. Quay said that they will do a new trial soon and expect to find a new partner after that. Cramer said that you should hold onto it now if you already bought it, but said he will take the blame for a screw-up on this one.

Labels: CME, CNBC, HLF, Jim Cramer, Mad Money, Mad MOney Recap, nadq, NRG, NYX

It was a roller-coaster ride for stocks to end the trading week, as Wall Street weighed a solid jobs report with soaring oil prices and a troubled financial sector that continues to battle credit concerns. The Dow bounced off its lows to close higher for the day finishing at 13,595. Meanwhile, the Nasdaq and S&P each rebounded from earlier lows to close at 2,810 and 1,510, respectively. Oil prices rose on the session to close the week at $95.58 a barrel for December delivery. Treasury prices and gold both gained in trading, with gold ending at $808.50 on the day. The dollar fell against the euro, but rose against the yen.
On the economic front, a report from the U.S. labor department showed that employers increased payrolls by a surprisingly strong 166,000 jobs in October, the biggest jump in five months, and nearly double what analysts were expecting. The improved labor report did little to boost Wall Street confidence, however, as investors continued to struggle with rising commodity costs, a weak financial sector, and news that the Fed may pause its rate cutting trend on inflation concerns.
In earnings news, Chevron (NYSE: CVX - News) reported a drop in third-quarter profit as tighter U.S. refining margins took a toll. The nation's second-largest oil company said net income fell in the quarter to $3.72 billion, or $1.75 per share, versus $5.02 billion, or $2.29 per share, last year. Quarterly revenue also declined to $55.17 billion from $54.21 billion a year ago. On average, analysts were expecting earnings of $2.07 per share on revenue of $58.29 billion. Chevron's stock was down -0.6% in trading.
Health insurer Cigna (NYSE: CI - News) said third-quarter net income increased to $365 million, or $1.28 per share, up 22% from $298 million, or 92 cents per share, a year ago. Adjusted income excluding special items was $323 million, or $1.14 per share, versus $268 million, or 83 cents per share, last year. Total revenue in the quarter was $4.41 billion, up from $4.14 billion in the 2006 period. Analysts were looking for EPS of 94 cents on revenue of $4.41 billion. Shares of Cigna were down -3.5% for the day, however, as the company predicted full-year 2008 earnings per share of $4.00-$4.20, missing analyst expectations of $4.23 per share.
NYSE Euronext (NYSE: NYX - News) reported a 279% increase in profit for the third quarter. The company announced Q3 net income of $258 million, or 97 cents per share, up from $68 million, or 43 cents per share, last year. Excluding one-time costs, the company said it earned $202 million, or 76 cents per share. Revenue in the quarter jumped to $1.2 billion from $602 million in the prior year. Analysts had predicted a profit of 73 cents per share on revenue of $823.5 million. The stock fell -0.5% on the day.
In other corporate news, several media sources reported that Citigroup's (NYSE: C - News) board of directors has called an emergency meeting for this weekend. Although the meeting's agenda was not immediately clear, it is widely speculated that the topic of future write-downs may be discussed as well as the future of CEO Chuck Prince.
By the BullMarket.com Staff

Labels: C, CI, CVX, NYX

Here are 7 stocks for traders for Friday from TradingMarkets.com:
Electronic Arts (NasdaqGS:ERTS - News) beat earnings on Thursday with $0.27 EPS over an expected $0.20 EPS. ERTS's PowerRating (for Traders) is 5.
Bebe Stores (NasdaqGS:BEBE - News) missed earnings expectations on Thursday afternoon, with $0.16 EPS versus a consensus of $0.17 EPS. BEBE's PowerRating (for Traders) is 5.
Verisign (NasdaqGS:VRSN - News) also missed earnings, with $0.26 EPS versus expectations of $0.27 EPS. VRSN's PowerRating (for Traders) is 6.
Chevron (NYSE:CVX - News) reports earnings on Friday before the market opens, with analysts looking for $2.05 EPS. CVX's PowerRating (for Traders) is 6.
When Duke Energy (NYSE:DUK - News) reports quarterly earnings tomorrow morning, analysts will be watching for $0.39 EPS. DUK's PowerRating (for Traders) is 4.
International Paper (NYSE:IP - News) is looking to report $0.57 EPS on Friday morning before the market opens. IP's PowerRating (for Traders) is 4.
Analysts are watching for NYSE Euronext (NYSE:NYX - News) to report $0.72 EPS on Friday before the market opens. NYX's PowerRating (for Traders) is 5.

Labels: BEBE, CVX, DUK, ERTS, Hot Stocks, IP, NYSE Euronext Inc., NYX, VRSN

Exchange operator NYSE Euronext and BIDS Holdings LP, a broker-dealer and operator of a trading system, said Tuesday they plan a joint venture to improve execution quality and access to liquidity in block trading.
The joint venture will be open to all New York Stock Exchange members and accessible through BIDS trading platform. BIDS will also become a NYSE member. The joint venture will operate as a facility of the NYSE.
"We welcome this partnership with NYSE Euronext and expect that the joint venture will address the current inefficiencies in block trading such as market fragmentation," Tim Mahoney, chief executive of BIDS' trading platform, said in a statement.

Labels: BIDS Holdings, NYSE Euronext Inc., NYX

At the close of trading today, someone jumped in at 3:59 and bought 25m+ shares. Could this be index funds who automatically include this stock in their portfolio because of their recent inclusion into the S&P 500? I have never seen a volume surge such as this. On average the stock trades 4.5m+ shares per day. Before this block was snatched up today, 24m+ shares changed hands. It was a 100% increase in volume in one minute. Additionally, this 25m block equates to 10% of the shares outstanding and will make the stock more volatile. Now, any kind of news will move this stock significantly. I'm looking at the earnings call in early November. If NYX beats Wall Street's consensus, you can expect the stock to move back up to its yearly trading highs of $110.
Disclaimer: We own 7 Jan '07 100 calls of NYSE Euronext.

Labels: NYSE Euronext Inc., NYX

Standard & Poor's said Thursday exchange operator NYSE Euronext Inc. will replace hotel owner Hilton Hotels Corp. Inc. in the S&P 500 after the market closes Oct. 24.
Hilton is being acquired by private-equity firm Blackstone Group in a deal expected to close on or around that date.
The index also said NYSE Euronext will replace retailer Limited Brands Inc. in the S&P 100. Limited's market capitalization is now about $7.9 billion, which ranks it 100th in the list.
Standard & Poor's added that Titanium Metals Corp., which produces metal for the aerospace and other industries, will replace eye-care products maker Bausch & Lomb Inc. in the S&P 500 on a date yet to be announced.

Labels: NYSE Euronext, NYX

Cramer continued his Back to School Tour today at Georgia Tech. He began by talking about InterContinental Exchange (ICE), which is up 131% since Cramer recommended it last March, and he thinks it still has room to go up since it profits off the volatility in the commodity markets. Cramer also thinks that this exchange might be bought out by NYSE EuroNext (NYX) which will bail him out of his NYX recommendation, which has been killing him all year. He believes NYX could pay up to $200 per share for the company. Cramer then took some questions from the audience. The first question was about exchanges investing in China, and Cramer said that he thinks Coca-Cola (KO) and Yum! Brands (YUM) are the best ways to play China.
Cramer then interviewed the CEO of Coca-Cola (KO), and they talked about the earning prospects for the stock and its international growth plans. Cramer is bullish on the stock, and is a fan of the CEO.
After the lightning round Cramer went over some stock picks with the Georgia Tech investment club. Nokia (NOK): Cramer thinks this stock is a winner. Grant Prideco (GRP): Cramer likes TransOcean (RIG), Halliburton (HAL), Schlumberger (SLB) and National Oilwell Varco (NOV) are better stocks. J Crew (JCG): Cramer said to back up the truck and buy this stock. Fossil (FOSL): Cramer doesn't like it as much as J Crew, and that he is worried about retailers that have had good runs recently.
Finally, Cramer ended the show by spending some time talking to students about the stock market and the economy.

Labels: Georgia Tech, GRP, HAL, Jim Cramer, KO, Mad Money, Mad MOney Recap, NYX, RIG, SLB, YUM

The following commentary will be based on the valuation or undervaluation of NYSE Euronext (NYX). This stock has been beaten down over the past six months off its year high of $112. As the stock was falling, several analysts came out with various downgrades and diminished their price targets. I believe this stock hit its low in early September when it hit $70 a share. Since that time the stock has announced record volume at the exchange in September. Along with that, there have recently been numerous upgrades and price increases. The list of major holders of this stock is mind blowing. It’s funny because I remember Goldman Sachs constantly downplaying this stock saying it is way overvalued. If you look below, they are the 8th largest shareholder. Talk it down and buy it up.

TOP INSTITUTIONAL HOLDERS

Holder Shares % Out Value Reported
ATTICUS CAPITAL LP 14,989,209 5.68 $1,103,505,566 30-Jun-07

KINETICS ASSET MANAGEMENT INC. 12,874,740 4.88 $947,838,358 30-Jun-07

AXA 11,297,174 4.28 $831,697,949 30-Jun-07

HORIZON ASSET MANAGEMENT, INC./NY 10,002,378 3.79 $736,375,068 30-Jun-07

General Atlantic LLC 8,061,704 3.05 $593,502,648 30-Jun-07

JENNISON ASSOCIATES LLC 7,228,767 2.74 $532,181,826 30-Jun-07

Credit Suisse/ 6,965,154 2.64 $512,774,637 30-Jun-07

GOLDMAN SACHS GROUP INC 5,872,449 2.22 $432,329,695 30-Jun-07

Third Point LLC 4,849,700 1.84 $357,034,914 30-Jun-07

Barclays Global Investors UK Holdings Ltd 4,515,927 1.71 $332,462,545 30-Jun-07


The float available is scant, so any type of announcement such as a merger will send the stock to the moon. And, I do believe there will be more consolidation in the industry. NYSE has to continue to be able to compete with the electronic exchanges such as the Nasdaq who has recently acquired the Boston Stock Exchange. My gut tells me it will be a name like the ICE (Intercontinental Exchange). This acquisition will give the NYSE a solid chunk of a futures exchange which it is now lacking. As it turns out, ICE also reported record trading volume in September. NYX also has the best growth in the exchange industry. Their quarterly growth (yoy) is 105% compared to the industry average of 17.8%. The growth of this company is almost impossible to gauge because they are constantly actively pursuing new mergers all over the world. They already have strategic positions in Asia which we all know will continue to be some of the most traded markets in the world. This 105% growth is a low estimate at this point in time. It seems silly not to invest in this stock at these levels.
Disclosure: We own option calls on NYX.

Labels: NYSE Euronext, NYX

NYSE Euronext (NYSE Euronext: NYX) reported strong transaction volume in U.S. and European trading operations for September 2007, complemented by excellent listings activity and robust market quality.
Average daily volumes of 2.5 billion shares handled(1) on NYSE Group in September 2007 resulted in year-over-year gains of 4.1% while 1.3 million average daily transactions(2) were recorded on Euronext cash markets during the month, up 66.8% year-over-year. Liffe registered its busiest September ever, with trading up 46.1% from a year-ago. Total volume for equity options trading on NYSE Arca Options increased 53.3% year-over-year, while average daily volume in Sept. improved by 61.4% year-over-year.
NYSE Euronext, with six cash equities and six derivatives exchanges, is the leading and most diversified global exchange group.

NYSE Group's exchanges reported 2.5 billion shares handled per day in September, up 4.1% year-over-year. Average daily handled volume in 2007 was up 15.8% since the beginning of the year.
-NYSE Group's operations in NYSE-listed securities reported 2.0 billion shares handled per day, up 9.3% from the same month last year with total volume in 2007 up 19.3% year-to-date.
NYSE Group's operations in ETF trading reported 264 million shares handled daily, up 49.2% from the same period last year with total volume in 2007 up 56.6% year-to-date.
-In September, the New York Stock Exchange (NYSE) and NYSE Arca, Inc. (NYSE Arca) announced new strategic pricing for equities transactions for customers, effective Oct. 1. Developed to offer attractive rates to all customers using NYSE Group exchanges, this new pricing schedule has no volume tiers, and offers the highest rebate and the lowest take fees among major U.S. exchanges.
-On September 21, the New York Stock Exchange processed new 30-minute and 60-minute trading volume records for the first hour of trading with 704 million shares traded during the first half-hour and 805 million shares traded in the first hour.
Disclosure: We own option calls on NYX.

Labels: NYSE Euronext, NYX

Ford (F): Cramer began Monday's show by recommending investors buy Ford. Thinks that it will profit off the fact that GM broke the unions with its latest negotiations and that it is selling some of its units. Jim then took a couple of phone calls. The first call was about Tata Motors (TTM), which Cramer likes, but he thinks is too expensive. The second caller asked about Toyota (TM). Cramer won't back Toyota because the weak dollar hurts their sales and the Japanese market is the worst in the world.
In the next segment, Cramer continued to talk about investing opportunities related to GM's success against the UAW. He looked off the beaten path and found American Axle and Manufacturing (AXL) since the company makes auto parts, and has a labor contract that ends in the near future.
Cramer then took some more phone calls. He was asked about Garmin (GRMN), which Cramer thinks fell too much, but he will be concerned about it once the Navteq (NVT) and Nokia (NOK) merger is completed next year. Another caller asked about Eaton (ETN), and Cramer said that it’s one of his favorite manufacturing stocks. The next caller asked about CarMax (KMX), and Cramer said that you should think about pulling the trigger in late November to avoid tax-loss selling.
After the lightning round, Cramer talked about a stock that went public this summer without much attention and considers it an overlooked IPO. His pick is Dolan Media (DM), which helps process mortgage defaults.
Mad Mail:
Cramer read emails about NYSE-EuroNext (NYX), which Cramer thinks he "blew it" when he recommended the stock. Boeing (BA): Despite past devastating news, Cramer believes in it. Siemens (SI): Cramer thinks is in great shape and that you should hold onto it.

Labels: AXL, BA, DM, ETN, F, GRMN, Jim Cramer, KMX, Mad Money, Mad MOney Recap, NOK, NVT, NYX, SI, TM, TTM

Here are 7 trading ideas for today. These lists come directly from the TradingMarkets Stock Indicators page and are based upon our latest quantitative research.
Bullish
5+ Consecutive Down Days: These are stocks that have closed down for five or more consecutive days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that close down for five or more days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Sigma Designs (NasdaqGM:SIGM - News). SIGM's PowerRating (for Traders) is 9.
5+ Consecutive Lower Lows: These are stocks that have made a lower low for five or more consecutive days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that make lower lows for five or more days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
J2 Global Communications (NasdaqGS:JCOM - News). JCOM's PowerRating (for Traders) is 6.
2-Period RSI Below 2: These are stocks that have a 2-period RSI reading below 2 and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving with a 2-period RSI reading below 2 have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Interoil Corporation (NYSE:IOC - News). IOC's PowerRating (for Traders) is 7.
Bearish
Laps Up 5% or More: These are stocks that lap up by 5% or more and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that lap up by more than 5% have shown negative returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
SLM Corporation (NYSE:SLM - News). SLM's PowerRating (for Traders) is 4.
5+ Consecutive Up Days: These are stocks that have closed up for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that close up for five or more days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge.
Advanced Medical Optics (NYSE:EYE - News). EYE's PowerRating (for Traders) is 2.
5+ Consecutive Higher Highs: These are stocks that have made a higher high for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that make higher highs for five or more days have shown negative returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
LSI Corporation (NYSE:LSI - News). LSI's PowerRating (for Traders) is 3.
Stocks Up 10% or More: These are stocks that have gained 10% or more over the past five days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that have gained 10% or more over the past five days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge.
NYSE Euronext (NYSE:NYX - News). NYX's PowerRating (for Traders) is 3.

Labels: EYE, IOC, JCOM, LSI, NYSE Euronext, NYX, SIGM, Sigma Designs Inc., SLM

General Motors (GM): Hit with its first nationwide strike in 37 years, and the crew at Fast Money was focused on what it means to the market. Adami: has been consistently negative on GM and would rather own Ford (F). Macke agrees that GM is a sell, unless they take a huge hit on health care without giving job guarantees.
Online Ad Play: Microsoft (MSFT) made headlines today as rumors floated around Wall Street that the firm is planning on taking a 5% stake in Facebook.com. Kourosh Karimkhany, manager of wired digital at Conde Naste, sees Microsoft's play for Facebook as one for software development. Macke: time to get long MSFT. Najarian prefers ValueClick (VCLK) and Focus Media (FMCN). Tuesday will be a big day for Microsoft as they will release the hyped up Halo 3 game which is predicted to be the biggest selling game ever.Macke proposes investors play Halo 3 with trades in Gamestop (GME) and Activison (ATVI). He advises getting out of Sony (SNE).
Drug Trade: The UBS health care industry conference could help jump start some of the pharmaceutical and biotech stocks this week. Adami suggests Pfizer (PFE). Najarian: Myraid Genetics (MYGN) and Quest Diagnostics (DGX). Macke: Johnson & Johnson (JNJ).
Burning Down the House: The homebuilders sector was annihilated on Monday, as investors fear more bad news is on the way when the government reports existing home sales data Tuesday. Adami advises not to trade this sector unless you have to. Finerman: stay away from WCI Communities (WCI) and Hovnanian (HOV).
Chartology: Technical analysis expert Jeff DeGraaf was on the show. DeGraaf likes the technology sector right now and he thinks it will outperform in the coming months. He feels positive about tech because the sector was strong in the summer when it normally tends to trade down. DeGraaf looked at Fedex (FDX) and the chart isn't showing bullish trends. Adami: doesn't like FDX until it trades above $121 and DeGraaf agreed. DeGraaf: loves the pattern in gold and continues to be bullish longer term on the yellow metal. He would look to buy gold on pullbacks.
Word on the Street: Target (TGT) lowered same-store sales on Monday. SABMiller reported an 11% jump in beer volumes on Monday. Macke likes Molson Coors (TAP). Najarian likes BHP Billiton (BHP) and copper and gold producer Freeport McMoRan (FCX).
Alternative Energy: NRG Energy (NRG) submitted its first application for a new US nuclear reactor in 30 years. Najarian would play this news with (BHP) Billiton and Cameco (CCJ). Finerman: Flowserve (FLS) and Adami likes Fluor Corp (FLR). Macke would just play NRG Energy (NRG). Trina (TSL) traded higher 8% as solar stocks were active with a major solar conference started. Najarian likes TSL.
Pops & Drops
Pops- Crocs (CROX) traded up 9%. Adami thinks a big short was forced to cover on Monday. He would take profits on CROX.
NYSE Euronext (NYX) traded up 2% off a JP Morgan upgrade. Finerman continues to be long this stock and she feels it has more room to run higher.
Las Vegas Sands (LVS) traded up 7% off a Jeffries upgrade. Macke says time to get out.
PrimeWest Energy Trust (PWI) exploded 32% on news that Abu Dhabi National Energy Co. bought them out. Finerman hopes we keep seeing deals like this.
EMC Corporation (EMC) traded up 8% after Citigroup and Bear Stearns upgraded the name. Adami still likes it.
Drops- AMR Corp (AMR) fell 14% after revenue forecasts missed Wall Street expectations. This drop took down all the airline companies for the day.
Harman (HAR) dropped 6% after the company said profits would miss Wall Street expectations. Finerman wouldn't touch it.
Adtran (ADTN) plunged 14% after the telecom company warned on 3rd quarter earnings and revenue. Macke suggests avoiding these guys on the telecom side.
Final Trade:
Finerman: likes NYMEX (NMX)
Najarian: ValueClick (VCLK).
Adami: Pfizer (PFE) for its cheap valuation.
Macke: Short Dow30 ProShares (DOG).

Labels: ATVI, CNBC, CROX, DGX, EMC, Fast Money, FDX, FMCN, GM, GME, HOV, JNJ, MSFT, MYGN, NYX, pfe, SNE, VCLK, WCI

In reviewing the financial documents of the financial facilitators NYSE Euronext (nyse: NYX), Franklin Resources (nyse: BEN), Bank of New York (nyse: BK), the growth in revenue and earnings for most of these companies has been astounding and appears to be accelerating. We are highly optimistic that pessimism and hedge strategies will continue to flourish.
As an aside, the world's various financial exchanges garner an incredible amount of press and discussion but are still, in our opinion, largely misunderstood. The typical financial analyst discusses market share rather than volume processed and focuses on the notions that new trading platforms will lower fees and that the NYSE and Nasdaq are allegedly engaged in a bitter competitive fight. In point of fact, lower fees as well as qualitative improvements, such as faster executions, invite more trading volumes, thereby expanding the entire market. Thus, irrespective of market share shifts, there has been no diminution of the NYSE's historical and fairly rapid volume growth. Irrespective of these dynamics, both have recently instituted fee increases.
Yet, there can only be upside for the NYSE, as it currently receives virtually nothing from the Internet-related companies. Imagine the repercussions of a NYSE-created financial Web site, in cooperation with Nasdaq, and which would offer the only real-time quotes available to the public. This could even be offered free of charge. The traffic that would be directed to this Web site would be enormous, as would the advertising revenue engendered. None of this information is available in the NYSE's financial statements. Nor does this potential change currently provide any economic benefit. This situation, however, is not likely to be a permanent condition. The economic implications of this issue are staggering.
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Labels: BEN, BK, NYSE Euronext, NYX

Shares of exchange operator NYSE Euronext rose Monday after JPMorgan Chase & Co. raised earnings estimates for the third quarter and full-year 2007 and 2008.
Shares of NYSE Euronext rose $3.76, or 4.9 percent, to $79.80.
JPMorgan Chase analyst Kenneth Worthington increased his earnings estimate for the third quarter to 75 cents per share, from 58 cents per share, because of "higher than expected cash equity volumes at NYSE and booming interest rate derivatives volumes at Liffe," the company's European commodities and derivatives exchange.
As markets add electronic trading capability, "algorithmic and other blackbox trades could send volumes materially higher," Worthington wrote in a note. Because of the potential for significant volume growth, JPMorgan Chase's estimates could be too low in 2007, Worthington said.

Labels: JP Morgan Chase and Co., JPM, NYSE Euronext Inc., NYX

Lundin Mining (LMC): Cramer began Friday's show by talking about LMC. The mining company extracts zinc, copper, nickel and lead, which Cramer thinks are near bottoms in price. He also thinks that the stock could be bought out for $15 per share. Although the company has had its ups and downs, Lundin now deserves "two thumbs up."
Horsehead Holdings (ZINC): Next, Cramer talked about ZINC; a zinc refiner that recently went public. Cramer feels that no one knows about the stock and that it should increase since many other metal stocks have gone up in price recently. He thinks this is another buyout target in the future. He said, "If Horsehead reaches $23, walk away."
The Mad Money Game Plan: Next week focused on Cramer's belief that high oil and a weak dollar are good for the market, contrary to popular belief. The stocks he specifically mentioned were Core Labs, (CLB), FMC Tech (FTI), and First Solar (FSLR).
Mad Mail: Cramer read an email that was very harsh, pointing out some of the stocks Cramer likes that have not done well recently. Cramer stated that he is willing to admit his mistakes. "My losses kill me," he said, especially since he owns a lot of these stocks for his charitable trust; such as Goldman Sachs (GS), NYSE Euronext (NYX), and Sears (SHLD).

Labels: FSLR, FTI, GS, Jim Cramer, Labels: CLB, LMC, Mad Money, Mad MOney Recap, NYX, SHLD, ZINC