MORNING COFFEE

Fed Imposes New Bank Stress Test. The Fed has announced new bank stress tests in which banks will model a severe eurozone recession, a 6.9% decline in real GDP and a skyrocketing domestic unemployment rate.  Additionally, the six largest U.S. banks need to estimate losses "stemming from a hypothetical global market shock."

Downgrades

Patterson Cos. (PDCO): William Blair lowered their rating from Outperform to Market Perform.

Gilead Sciences (GILD): Argus lowered their rating from Buy to Hold.

Earning Reports

TiVo (TIVO): Reported EPS of -$0.21 beating estimates by +$0.04.

Pandora Media (P): Reported EPS of $0.02 beating estimates by +$0.03.

Markets: 
Futures at 7:00: Dow -0.6%. S&P -0.7%. Nasdaq -0.6%. Crude -1.6% to $96.47. Gold -0.5% to $1694.10. 

Europe: London -0.6%. Paris -0.1%. Frankfurt +0.6%. 

Asia: Japan closed. Hong Kong -2.1% to 17864. China -0.7% to 2395. India -2.3% to 15700.