MORNING COFFEE

Netflix to raise rates. Reports say that Netflix is set to raise their subscription rates on those wanting both their by mail DVD service and their internet service from $10.00 a month to $16.00.  For those wanting to rent two DVD’s at a time the price will increase33% to $20.00 and for those wanting three DVD’s the new charge will be $24.00 per month a 20% increase. Initial reports say that for those wishing to only use their internet movie survive the fee will remain at $8.00 per month. Pre-market: 299.79 +8.52 (2.93%)

Upgrades

Marriott (MAR): Robert W. Baird raised their rating from Neutral to Outperform and raised their target price from $40.00 to $44.00. Pre-market: 37.57 +0.75 (2.04%)

Downgrades

News Corp. (NWSA): Argus lowered their rating from Buy to Hold. Pre-market: 15.30 -0.05 (-0.33%)

Coverage Initiated

Google (GOOG): JP Morgan initiated coverage with a Buy rating and target price of $660.00. Pre-market: 538.50 +4.49 (0.84%)

US Steel (X): Susquehanna initiated coverage with a Buy rating and target price of $58.00. Pre-market: 43.46 +0.32 (0.74%)

Laboratory Corp (LH): JP Morgan initiated coverage with a Neutral rating and target price of $105.00.

Teva Pharma (TEVA): Argus initiated coverage with a Buy rating and target price of $58.00. Pre-market: 49.20 +0.14 (0.29%)

MetroPCS (PCS): Kaufman Bros initiated coverage with a Buy rating and target price of $24.00.

Coverage Reiterated/Price Target Changed

Broadcom (BRCM): Auriga reiterated their Buy rating and lowered their target price from $47.00 to $41.00.

Earning Reports

Capital One (COF): Reported Q2 EPS of $1.97 beating estimates by +$0.20 on revenue of $3.99 billion. Pre-market: 51.48 -0.76 (-1.45%)

·         Futures at 7:00: Dow +0.4%. S&P +0.6%. Nasdaq +0.6%. Crude 0.0% at $97.40. Gold +0.75% to $1574.00.

·         Europe: London 0.0%. Paris +0.1%. Frankfurt +0.3%.

·         Asia: Japan +0.4% to 9963. Hong Kong +1.2% to 21927. China +1.5% to 2795. India +1.0% to 18596.