The Market In 5 Minutes: Netflix & Chill

This is a tool used by the Benzinga News Desk each trading day -- it's a look at everything happening in the market, in five minutes. Apply for daily AM access by clicking here or email minutes@benzinga.com.

Macro Focus

Futures for the Dow Jones Industrial Average dropped 15 points to 19,722.00, while the Standard & Poor’s 500 index futures fell 1.75 points to 2,264.75. Futures for the Nasdaq 100 index slipped 2.50 points to 5,052.00.

Oil prices traded higher as Brent crude futures gained 1.28 percent to trade at $54.61 per barrel, while US WTI crude futures also rose 1.16 percent to trade at $52.49 a barrel.

Initial Jobless Claims for Jan 13 234.0K vs 254.0K consensus estimate. Continuing Claims for Jan 6 2.05M vs 2.07M consensus estimate.

Housing Starts for Dec 1.23M vs 1.20M consensus estimate. Building Permits for Dec 1.21M vs 1.23M consensus estimate.

• San Francisco Federal Reserve Bank President John C. Williams is set to speak in Fairfield, Calif. at 10:00 a.m. ET.
• The Energy Information Administration’s weekly report on natural gas stocks is schedule for release at 10:30 a.m. ET.
• The EIA's weekly report on petroleum inventories will be released at 11:00 a.m. ET.
• Data on money supply for the recent week will be released at 4:30 p.m. ET.
• Federal Reserve Chair Janet Yellen is set to speak in Stanford, Calif. at 8:00 p.m. ET.

BZ News Desk Focus

• Netflix NFLX Reports Q4 Adj. EPS $0.15 vs $0.14 Est.; Q4 Domestic Net Sub Adds 1.93M, Int'l Sub Adds 5.12M
• Kinder Morgan KMI Reports Q4 EPS $0.08 vs. Est. $0.19, Rev. $3.389B vs. Est. $3.54B
• Sallie Mae SLM Reports Q4 EPS $0.15 vs $0.14 Est, NII $245.434M vs $238.25M Est
• Union Pacific UNP Reports Q4 EPS $1.39 vs. Est. $1.33, Rev. $5.2B vs. Est. $5.13B

Sell-Side Themes

Goldman Sachs issued several ratings changes, notably, Mobileye MBLY was upgraded to Buy and Target TGT was downgraded to Sell.

Sell-Side's Most Noteworthy Calls

• UBS downgraded Exxon Mobil XOM to Sell.
• Jefferies downgraded Autoliv ALV to Hold.
• Morgan Stanley upgraded Tesla TSLA to Overweight.
• UBS upgraded HP HPQ to Buy.
• HSBC started Comcast CMCSA and Charter CHTR at Buy.

Deal Talk

Shares of Mead Johnson MJN spiked higher on unconfirmed market chatter of a potential bid from Nestle NSRGF. Mead Johnson has been the subject of takeover chatter in the past, with France's Danone DANOY also mentioned as a potential suitor. Mead Johnson closed at $75.25 on Wednesday, up 5.33 percent.

The Aetna AET and Humana HUM deal hangs in limbo as John Bates, the Federal Judge appointed to oversee the case is yet to give a timeline for the final ruling even after the final hearing is over. The deadline, which has been pushed forward twice, now looms large, with February 15 less than a month away. Amid this uncertainty, Benzinga looked at the winners and losers of the tug-of-war between the companies concerned and the Department of Justice.

In The News

Business leaders in Davos, traditionally the high priests of globalization, are talking up the benefits of local production this week to shield themselves from Trump's criticism.

Keep an eye on Fannie FNMA and Freddie FMCC today. Investments tied to the foreclosure crisis are shaping up to figure prominently in the confirmation hearing for Steven Mnuchin, Donald Trump’s intended nominee for Treasury secretary.

Bonds backed by certain risky single-family mortgages topped $1 trillion for the first time in November as warnings increase for one corner of the housing market.

Blogosphere

Soccer's TV Addiction: "The word symbiosis conjures up cheerful images of unlikely animals paired by evolution for their common good: clownfish and sea anemones or oxpecker birds and rhinos. Yet the term also covers parasitic relationships when one species harms the other – think fleas and dogs. The partnership between England's top soccer league and the companies Sky Plc and BT Group Plc that screen its games every weekend belongs to the first category, for now at least."

Trending

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President Barack Obama will officially relinquish the Oval Office to President-elect Donald Trump tomorrow and Obama will be leaving office with his highest approval rating since his first year in office. Here’s a look at where Obama’s performance ranks among the 13 presidents to hold office since Gallup began tracking presidential approval ratings in 1937.