Greek Rally Short Lived. Over the weekend the world waited as Greek citizens went to the poles. In the end, Greece's New Democracy party won 129 seats in the 300-seat parliament. Now they need to attempt to form a coalition. After the election the two pro-bailout parties hold 162 seats, providing a majority of 24 over the anti-austerity and anti-bailout party, that many feared would cause Greece to leave the EU if they gained a majority.
Markets initially rose on the news, but the party was short lived as yields on Spain's 10-year bonds rose +24 bps to an unsustainable 7.11%. The jump in yields was caused by a report that showed that non-performing loans held by the Spain's banks hit an 18-year high of 8.72% in April. In Italy yields are up +10.6 bps to 6.03%.
International Game Technology (IGT): CLSA raised their rating from Outperform to Buy and raised their target price from $18.00 to $18.40.
St Jude Medical (STJ): Lazard Capital raised their rating from Neutral to Buy. Pre-market: 35.99 +0.44 (1.24%)
KeyCorp (KEY): Evercore raised their rating from Underweight to Equal Weight.
Regions Financial (RF): Evercore raised their rating from Equal Weight to Overweight.
EOG Resources (EOG): UBS raised their rating from Neutral to Buy and raised their target price from $115.00 to $120.00.
Fastenal Co. (FAST): Longbow initiated coverage with a Neutral rating.
eBay Inc. (EBAY): Keefe Bruyette initiated coverage with an Outperform rating and target price of $50.00. Pre-market: 40.86 +0.19 (0.47%)
Noble Corp (NE): Raymond James lowered their rating from Strong Buy to Outperform and lowered their target price from $46.00 to $40.00.
ENSCO PLC (ESV): Raymond James lowered their rating from Strong Buy to Outperform and lowered their target price from $65.00 to $56.00. Pre-market: 43.50 -0.35 (-0.80%)
City National Corp (CYN): Evercore lowered their rating from Overweight to Equal Weight.
Tractor Supply (TSCO): KeyBanc lowered their rating from Buy to Hold.
Celgene (CELG): RBC Capital lowered their rating from Outperform to Sector Perform and lowered their target price from $74.00 to $72.00.
Futures at 7:19: Dow . S&P . Nasdaq -0.04%. Crude to $83.29. Gold to $1623.90.
Europe: London . Paris -0.10. Frankfurt .
Asia: Japan . Hong Kong . China . India .