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Global markets trade flat

Posted: 10 Sep 2015 11:58 PM PDT

The stock market's recent gyrations could feed into lower economic growth. (Photo by Spencer Platt/Getty Images) 574915823 ORIG FILE ID: 486174970

The stock market’s recent gyrations could feed into lower economic growth.

Asian stock markets lacked enthusiasm Friday and U.S. stock futures were modestly higher.

China's Shanghai composite index fell 0.1% while Japan's Nikkei 225 index was down 0.2%.

Dow, Nasdaq and S&P 500 index futures traded in a narrow range.

Traders remain focused on a two-day meeting of Federal Reserve policymakers next week. They are trying to anticipate when and how quickly the central bank will begin to raise interest rates from their historically low levels.

Wall street saw slight gains on Thursday.

You heard that right, John McAfee is running for president

Posted: 10 Sep 2015 04:12 PM PDT

 John McAfee, founder of McAfee Anti-Virus, talks about his latest venture, FutureTense, in Opelika, Ala. Michael A. Schwarz, USA TODAY contract photographer

John McAfee, founder of McAfee Anti-Virus, talks about his latest venture, FutureTense, in Opelika, Ala. Michael A. Schwarz  forUSA TODAY

John McAfee is running for president — he just said it on TV.

Earlier this week, Talking Points Memo said it had obtained an email from the sometimes-on-the-lam security-software pioneer, purportedly that he planned to make a bid for the White House.

Publicity stunt? Red herring?

At least in terms of the latter, nope.

McAfee told CNBC he filed the papers Tuesday, has “no idea” how much money his fledgling campaign has raised, and he’s “been working 22 hours a day talking to the press and trying to understand the chaos around me.”

It’s worth watching the interview.

But here are the highlights: What’s driving him to run? In essence, he’s a viral success.  “I have a very huge fan base. A funny video making fun of myself put out a year and a half ago got 6 million views. I don’t understand it myself.”

Plus, he’s an entrepreneur, quick witted (his words), and he’d make “an excellent president.” McAfee made his fortune for founding the Santa Clara-based anti-virus software maker that bears his name. After many detours, he landed in Tennessee, and founded  a start-up incubator on the Alabama-Georgia border.

On his politics: He’s worried about the erosion of American privacy and thanks Edward Snowden.

On his time in Belize, when reporters — including USA TODAY’s Nancy Trejos — spoke to him from a hidden retreat where he tried to dodge authorities’ questions about the death of his expatriate neighbor, he notes, “There were no murder allegations.”

Read: John McAfee breaks long silence in interview.

And on the other presidential candidates, such as Donald Trump and Hillary Clinton: They’re “brilliant.” Plus, “Hillary is a very gracious woman for putting up with Bill all these years.”

Envivio shares double after a deal to be bought by Ericsson

Posted: 10 Sep 2015 10:40 AM PDT

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Shares of Envivio more than doubled Thursday after Ericsson agreed to buy the telecom software company for $125 million.

Envivio shareholders will receive $4.10 a share in cash.

Shares were up 114%, or $2.16, to $4.06 in Thursday afternoon trading.

The deal is expected to close before the end of the year.

Envivio, based in San Francisco, develops video processing and delivery software. And its products will be rolled into Ericsson’s TV and media business, a unit that develops “cloud” technology for TV-anywhere video providers.

Lululemon shares tank 16%

Posted: 10 Sep 2015 10:14 AM PDT

Lululemon shares took a sharp dive Thursday despite a solid second quarter earnings report. Getty Images

Lululemon shares took a sharp dive Thursday despite a solid second-quarter earnings report. Getty Images.

Lululemon shares fell 16% Thursday after updating its third quarter guidance below analyst expectations.

The company expects earnings per share in the current quarter between 35 cents and 37 cents. Wall Street expected earnings per share of 43 cents.

The drastic drop comes despite a second-quarter earnings report in line with estimates.

The maker of stylish athletic wear reported earnings per share of 34 cents, narrowly beating analyst estimates of 33 cents. The company had net income of $47.7 million, down from $48.7 million in the year-ago quarter.

Sales at stores open at least a year increased 6%, with total net revenue for the quarter up 16% to $453 million.

The brand has been trying to broaden its appeal by expanding more into menswear and recently revamped its “pant wall” to better explain to confused customers how various styles are meant to fit. Lululemon is perhaps best known for its line of expensive, stretchy yoga pants that sell for around $100.

“Looking to the remainder of the year, our team is laser focused on meeting our strategic key goals: grow our global collective, relentlessly innovate our product lines and continue to create transformational experiences for our guests,” CEO Laurent Potdevin said in a statement. “As our momentum continues to build, we are excited by the progress made with our international expansion, the launch of our new women's pant wall last week, and successful brand-building events occurring around the globe.”

Palo Alto Networks rises

Posted: 10 Sep 2015 09:08 AM PDT

People attend a presentation on hacking a city during the Black Hat conference Thursday, Aug. 6, 2015, in Las Vegas. The annual computer security conference draws thousands of hackers and security professionals to Las Vegas. (AP Photo/John Locher)

People attend a presentation on hacking a city during the Black Hat conference Thursday, Aug. 6, 2015, in Las Vegas. The annual computer security conference draws thousands of hackers and security professionals to Las Vegas. (AP Photo/John Locher)

Shares of online security firm Palo Alto Networks (PANW) rose 7% Thursday after shares were upgraded by analysts following better-than-expected quarterly results.

The company Wednesday reported an adjusted quarterly profit of 28 cents a share, beating expectations by 12%. Shares gained $12.53, or 7.6%, to $177.85 in early trading Thursday.

Stifel boosted its price target on the stock to $200 – up from $180 – on the strength of the quarterly results. Needham took its price target on the stock to $202 from $182.

Corporations determined to lock their systems down from hackers and other security breaches are turning to experts like Palo Alto. The company’s adjusted quarterly profit was up 154% from the same period a year ago.

Box shares up after topping earnings forecasts

Posted: 10 Sep 2015 06:10 AM PDT

Box staff at the company's IPO debut in January.

Box staff at the company’s IPO debut in January.

Shares of Box jumped nearly 2% in pre-market trading Thursday after the cloud storage company beat Wall Street forecasts for its second quarter earnings.

Box reported quarterly revenue of $73.5 million, easily topping analyst estimates of $69.8 million. Box also reported a quarterly loss of 28 cents per share, just beating forecasts.

Quarterly revenue was up 45% compared to the same time last year. The company also says it topped 39 million registered users.

“We continue to invest in our core platform while adding new products like Enterprise Key Management and Governance that augment our ability to capture demand in the broader enterprise content management market,” said Box CEO Aaron Levie in a statement.

After popping above $23 on its first day of trading in January, Box shares have steadily declined. They’re currently trading around the IPO price of $14.

Follow Brett Molina on Twitter: @brettmolina23.

(Want more tech stock news? Check out our regular column Tech Five).

Wall Street’s ‘swing era’ isn’t all sweet notes

Posted: 10 Sep 2015 03:44 AM PDT

ORG XMIT: NJTL105 Heidi Rosenau and Joe McGlynn of New York, participate in a six-hour 1920's style Swing Dance-Off competition to show off their signature dance moves and stamina in Atlantic City, N.J. on Saturday, Jan. 29, 2011. The dance competition is part of Atlantic Cityís ongoing commemoration of the city's rich history during the 1920s, and featured the music and dance styles of the 20s-40s. (AP Photo/Tim Larsen)

Wall Street has entered its own “swing era,” but the moves aren’t as high or sweet as back in the 20’s. Heidi Rosenau and Joe McGlynn of New York, participate in a six-hour 1920’s style Swing Dance-Off competition to show off their signature dance moves and stamina in Atlantic City, N.J. on Saturday, Jan. 29, 2011. (AP Photo/Tim Larsen)

Wall Street has entered its own version of the "swing era." But don't confuse it with the fun vibe of the jazz-inspired swing dance craze back in the 1920s, '30s and '40s. Wall Street’s swing era doesn’t always hit the high notes.

We're talking wild point swings in the Dow Jones industrial average, where daily swings of 100 points or more have become as common as a morning cup of joe or the sound of the opening bell ringing on Wall Street.

This week's post-holiday trading action has been all about wild swings — both up and down. On Tuesday, the Dow Jones industrial average climbed 390 points to kick off the week, as investors acted as if all was well in the world again, despite fears of an interest rate hike next week from the Federal Reserve and fears of a so-called “hard landing” in China.

But Wednesday an early 172-point rally morphed into a 239-point loss at the close. The 411-point swing came fast and furious, as investors reacted to Apple's much-hyped product event with a big yawn, dragging its shares down 2.2%. The doom-and-gloom crowd came in fast to sell.

The wild market is symptomatic of a confused investor class, unsure of the market's ultimate direction after next week's Federal Reserve policy meeting on interest rates — and wondering when the next bad economic data point will come from China. The Dow has closed up or down 100 points or more 13 of the past 15 trading days.

And it looks like investors should get used to the heightened volatility. In pre-market trading today, for example, the Dow was up more than 100 points before giving back some of the gains, and pointing just 50 points higher some three hours before Wall Street’s opening bell.

Until the Fed decides next week to hike rates or hold off — and until it is clear China has stabilized things on its end —Wall Street's "swing era" will continue.


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