MORNING COFFEE

Demonstrations Erupt In China. The Middle East is not the only place where violence is erupting in the streets.  In China a mob of protester took to the streets demonstrating against Japan and setting Japanese related businesses on fire. Both Toyota (TM) and Honda (HMC) said arsonists had set fire to their stores in the eastern port city of Qingdao. Additionally, Canon (CAJ) and Panasonic (PC) have announced that they will halt some China-based production due to employee safety concerns. In the U.S the Occupy Wall Street movement is expected to demonstrate in New York.

Upgrades

Moody’s (MCO): The Benchmark Company raised their rating from Hold to Buy and raised their target price from $43.00 to $51.00.

Downgrades

Hasbro (HAS): Stifel Nicolaus lowered their rating from Buy to Hold.

Discover Financial Services (DFS): Stifel Nicolaus lowered their rating from Buy to Hold.

Under Armour (UA): Argus lowered their rating from Buy to Hold and placed a target price of $60.00 on the company. Pre-market: 59.50 -0.53 (-0.88%)

Intel (INTC): Longbow lowered their rating from Buy to Neutral. Pre-market: 23.27 -0.10 (-0.43%)

International Paper (IP): Longbow lowered their rating from Buy to Neutral.

United States Steel (X): JPMorgan lowered their rating from Overweight to Neutral and lowered their target price from $43.00 to $29.00. Pre-market: 21.65 -0.70 (-3.13%)

Wells Fargo & Co. (WFC): Stifel Nicolaus lowered their rating from Buy to Hold. Pre-market: 35.80 -0.33 (-0.91%)

Coverage Initiated

Netflix (NFLX): Macquarie initiated covrage with an Underperform rating. Pre-market: 59.75 -0.77 (-1.27%)

Earning Reports

LDK Solar (LDK): Reported EPS of -$2.00 missing estimates by -$0.57. Pre-market: 1.19 -0.05 (-4.03%)

Markets:

Futures at 7:05: Dow -0.09%. S&P -0.30%. Nasdaq -0.11%. Crude -0.24% to $98.76. Gold -0.08% to $1771.00.

Europe: London -0.30%. Paris -0.65%. Frankfurt -0.32%. 

Asia: Japan closed. Hong Kong +0.14%. China -2.14%. India +0.42%.