Morning Coffee Pre-Market Wall Street News

November Nonfarm Payrolls Expected to Decline. Employment data for November will be released this morning and economists expect payrolls to decline. Economists expect that only 85,000 nonfarm payrolls where created in November versus the 171,000 in October. The unemployment rate is expected to remain the same at 7.9%.

Downgrades

Prudential Financial (PRU): Sandler O’Neill lowered their rating from Buy to Hold. Pre-market: 52.85 +0.22 (0.42%)

Toronto Dominion Bank (TD): Scotia Capital lowered their rating from Outperform to Sector Perform. Pre-market: 82.19 +0.32 (0.39%)

Coverage Initiated

Bed Bath & Beyond (BBBY): Standpoint Research initiated coverage with a Buy rating and target price of $70.00. Pre-market: 58.21 +0.34 (0.59%)

Microchip (MCHP): Needham initiated coverage with a Buy rating and target price of $37.00.

PulteGroup (PHM): Topeka initiated coverage with a Buy rating. Pre-market: 16.27 -0.01 (-0.06%)

Toll Brothers (TOL): Topeka initiated coverage with a Hold rating.

KB Homes (KBH): Topeka initiated coverage with a Hold rating. Pre-market: 14.22 +0.05 (0.35%)

Lennar (LEN): Topeka initiated coverage with a Hold rating and target price of $33.00. Pre-market: 36.75 +0.46 (1.27%)

D.R. Horton (DHI): Topeka initiated coverage with a Hold rating. Pre-market: 18.91 +0.22 (1.18%)

Earning Reports

Smith & Wesson (SWHC): Reported EPS of $0.24 in-line with estimates. Pre-market: 11.27 +0.42 (3.87%)

Esterline Techs (ESL): Reported EPS of $1.97 beating estimates by +$0.41. Pre-market: 61.15 +0.50 (0.82%)

Markets: 
Futures at 8:32: Dow +0.51%. S&P +0.58%. Nasdaq +0.54%. Crude -0.02% to $86.23. Gold -0.14% to $1699.40.

Europe: London +0.28%. Paris +0.45%. Frankfurt +0.14%. 

Asia: Japan -0.19% to 9527. Hong Kong -0.26% to 22191. China +1.60% to 2062. India -0.32% to 19424.