Stocks on the move [HOT-RTRS] Real-time Equity news [U E] [RESF/US] 
    U.S. stock market report [.N] 
1338 ET 16Oct2007-Amylin, Eli Lilly drop after Byetta alert 
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    Shares of Amylin Pharmaceuticals Inc <AMLN.O> drop more than 3 percent to 
$46.25 on the Nasdaq, while Eli Lilly and Co <LLY.N> shares fall 1.4 percent to 
$57.14 on the New York Stock Exchange, after U.S. health officials say in an 
alert issued on Tuesday that the companies' diabetes drug Byetta may be linked 
to cases of acute pancreatitis in some patients. 
    For more please double click [ID:nWAT008298] 
    Reuters Messaging rm://[email protected] 
1324 ET 16Oct2007-Home builders sink as housing woes mount 
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    Shares of U.S. home builders sink as investors grapple with more signs 
suggesting no let-up in the housing market slump, sending the Dow Jones home 
construction index <.DJUSHB> down 2.6 percent. 
    A report by the National Association of Home Builders shows that U.S. home 
builder sentiment sagged to a record low in October as borrowers faced 
difficulty getting mortgages from more stringent lenders, bloating the supply 
of unsold houses. 
    Worst losers include shares of upscale condominiums and single-family home 
builder WCI Communities Inc. <WCI.N>, down 4.5 percent at $6.43 on the New York 
Stock Exchange. Mortgage lenders also taking a hit, with shares of Countrywide 
Financial Corp <CFC.N> , down 2.3 percent at $17.92. 
    In a speech Monday night Federal Reserve Chairman Ben Bernanke said the 
housing downturn will exert a "significant" drag on the economy into next year. 
    Treasury Secretary Henry Paulson also said in a speech on Tuesday the 
housing downturn would hurt the economy for some time. 
    Reuters Messaging rm://[email protected] 
1212 ET 16Oct2007-GLOBAL MARKETS-Stocks fall as oil hits $88 a barrel 
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    U.S. stocks fell on Tuesday as oil prices rose above $88 a barrel, fanning 
worries about consumer spending and corporate profits, while bonds gained and 
the dollar weakened.  Outlooks from financial services companies, such as Wells 
Fargo & Co <WFC.N>, also weighed on stocks as they added to concerns about the 
credit squeeze. 
    For more please double click [ID:nN16385936] 
    Reuters Messaging rm://[email protected] 
1201 ET 16Oct2007-Paulson says strong dollar in U.S. interests 
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    U.S. Treasury Secretary Henry Paulson on Tuesday reiterated that he 
believed a strong dollar was in America's interests, in remarks aimed at his 
colleagues in the Group of Seven who will meet here on Friday. 
    For more please double click [ID:nWAT008283] 
    Reuters Messaging rm://[email protected] 
1108 ET 16Oct2007-Wall St falls on bank profits, oil worries 
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    U.S. stocks fell on Tuesday after disappointing earnings and outlooks from 
financial services companies such as Wells Fargo & Co <WFC.N> suggested 
problems from the credit squeeze will be prolonged. 
    Oil prices, which rose to a record on Middle East tensions, contributed to 
the stock market's gloom. 
    For more please double click [.N] 
    Reuters Messaging rm://[email protected] 
1031 ET 16Oct2007-Sell strangle on Intel earnings, advises Credit Suisse 
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    Sell a November strangle in Intel Corp <INTC.O> to capture the rich 
volatility premium, recommended Credit Suisse equity derivatives strategist 
Sveinn Palsson in a research note. Intel reports third-quarter results after 
the bell and CS analyst John Pitzer believes Intel earnings will come in at 
consensus ($0.31 EPS), Palsson said. A key factor that may weigh on Intel's 
post-earnings stock action is that it made a mid quarter pre-announcement last 
month which makes earnings more predictable and thus the market reaction will 
likely be less volatile. Intel's implied vol is still high while its 1-month 
realized vol fell to 17 percent. As a result, implied-realized vol spread 
widened to 15 percent. Selling a $25/$27.50 Nov strangle gives a $1 premium or 
3.9 percent yield in a month. 
    Reuters Messaging rm://[email protected] 
1028 ET 16Oct2007-NYMEX crude up again on geopolitics, weak dollar 
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    U.S. crude oil futures were up on Tuesday, but below a record high near $88 
reached in electronic trade. Turkey's troubles on its Iraqi border, a weak 
dollar and supply concerns heading into the Northern Hemisphere winter combined 
to lift prices. Crude futures approached $88 a barrel in electronic trade, 
posting a fresh record at $87.97. 
    For more, please double-click [ID:nN16344092]. 
    Reuters Messaging rm://[email protected] 
0934 ET -16Oct2007-S&P call imbalance points to bullish bias for expiration-ML 
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    A large call imbalance in the S&P 500 October index open options points to 
a positive return for expiration week, wrote Merrill Lynch derivatives 
strategist John Davi in his ML Global Index Volatility Daily report. October 
options go off the board on Oct. 19 after the close. As of the close of Oct 12, 
the S&P 500 front-month option contracts have a $68.3 billion delta (exercise 
probability) weighted open interest toward calls. Davi noted this is the 
largest call imbalance prior to a non-witching expiry since the firm started 
observations in Sept 1997. "Large call imbalances have historically produced 
positive returns for the index during expiry week," he said. 
    Reuters Messaging rm://[email protected] 
0905 ET 16Oct2007-Pimco's Gross sees equities "reasonably valued" 
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    Pimco's Bill Gross said on CNBC television that U.S. equities, trading at 
15 to 16 times earnings, are "reasonably valued," relative to interest rates. 
    For more, please double-click [ID:nNYG000787] 
    Reuters Messaging rm://[email protected] 
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