MORNING COFFEE

Spain Will Miss Deficit Targets.  U.S. stock futures are lower after Spain’s Prime Minister said that his country will miss its deficit targets this year.  The announcement could risk sanctions for Spain from the European Union.

Upgrades

Staples Inc. (SPLS): Caris raised their rating from Average to Above Average. re-market: 15.51 +0.13 (0.83%)

Eli Lilly (LLY): JP Morgan raised their rating from Underweight to Neutral and placed a target price of $40.00 on the company. Pre-market: 39.45 +0.10 (0.25%)

Downgrades

ITT Corp (ITT): Janney Capital lowered their rating from Buy to Neutral and placed a target price of $27.00 on the company. Pre-market: 24.58 -0.29 (-1.17%)

JB Hunt Trans (JBHT): KeyBanc Capital Markets lowered their rating from Buy to Hold. Pre-market: 51.03 -1.06 (-2.03%)

BlackRock (BLK): Credit Suisse lowered their rating from Outperform to Neutral and raised their target price from $200.00 to $205.00. Pre-market: 196.28 -2.22 (-1.12%)

Aqua America (WTR): RW Baird Suisse lowered their rating from Outperform to Neutral. Pre-market: 22.11 0.00 (0.00%)

Monster Worldwide (MWW): UBS lowered their rating from Buy to Neutral and lowered their target price from $9.00 to $8.00. Pre-market: 7.71 -0.30 (-3.75%)

Fossil (FOSL): Citigroup lowered their rating from Buy to Neutral and lowered their target price from $135.00 to $114.00. Pre-market: 124.26 -2.03 (-1.61%)

Coverage Initiated

Medtronic (MDT): Northland Securities initiated coverage with a Market Perform rating and target price of $44.00.

Boston Scientific (BSX): Northland Securities initiated coverage with an Outperform rating and target price of $7.50. Pre-market: 6.07 -0.01 (-0.16%)

St. Jude Medical (STJ): Northland Securities initiated coverage with a Market Perform rating and target price of $46.00.

Boeing (BA): Maxim Group Securities initiated coverage with a Buy rating and target price of $90.00. Pre-market: 75.04 -0.04 (-0.05%)

Earning Reports

Foot Locker (FL): Reported EPS of $0.55 beating estimates by +$0.04. Pre-market: 30.00 +0.48 (1.63%)

Big Lots (BIG): Reported EPS of $1.75 beating estimates by +$0.02. Pre-market: 43.65 -0.84 (-1.89%)

Overstock.com (OSTK): Reported EPS of -$0.15 missing estimates by +$0.60. Pre-market: 6.32 -0.56 (-8.14%)

Markets: 
Futures at 9:11: Dow -0.16%. S&P -0.25%. Nasdaq -0.19%. Crude -0.40% to $108.40. Gold -0.53% to $1712.70. 

Europe: London -0.23%. Paris +0.05%. Frankfurt -0.12%. 

Asia: Japan +0.72% to 9777. Hong Kong +0.81% to 21562. China +1.43% to 2461. India +0.30% to 17637.