2:30PM NY, U.S. MARKET MOVERS

Empire Resorts (NYNY: chart) operates the Monticello Raceway horse racing track in upstate New York, said it received approval from the governor of New York for a proposed casino to be built in Sullivan County. Empire Resorts shares shot up 25%.

Florida Rock Industries (FRK: chart) soared $19.65, or 42%, to $66.61. The company reached to a deal with Vulcan Materials (VMC: chart) to acquire the company for about $4.6 billion in cash and stock. The consideration values Florida Rock shares at about $68.03 each.

Fossil Inc. (FOSL: chart), watch and accessory company, earned $38.2 million, or 55 cents per share, in the fourth quarter, according to preliminary data. Because there is a chance that net income for past periods may be restated, the company did not provide a comparison to year-ago figures. Sales jumped 20.5% to $390.8 million against $324.2 million a year earlier. Shares went up 11.9%.

Keefe Bruyette & Woods (KBW: chart), public investment firm, said that its fourth-quarter profit tripled and increased to $25.4 million, or 87 cents per share, compared with $7.34 million, or 26 cents per share a year earlier. Revenue rose 32% to $120.2 million from $91.1 million a year ago on increased investment banking revenue, commissions and investment and advisory fees. Shares went up 13.3%.

Rock of Ages Corp. (ROAC: chart) fourth-quarter result was an improvement in the performance of company’s retail business, which delivered operating income of $890,000 compared to an operating loss of $555,000 for the fourth quarter of 2005. Revenue declined 9% to $23.38 million from $25.55 million for the fourth quarter of 2005. Shares went up 18.9%.

Smart & Final Inc. (SMF: chart), food warehouses operator, said its fourth-quarter profit dropped 45% because of higher costs that offset sales increases. Quarterly earnings fell to $5.1 million, or 16 cents per share, from $9.3 million, or 29 cents per share in the prior year quarter. Sales rose 8% to $491.4 million from $456.8 million in the fourth quarter of 2005. Shares of the company went up 13.4%.

TB Wood''s Corp. (TBWC: chart) jumped 44.7% after the company agreed to be acquired by Altra Holdings for $24.80 per share. Altra, which went public in December, said the boards of both companies approved the deal valued at about $92 million.

United Therapeutics Corp. (UTHR: chart), biotech drug developer, said that its net income grew to $55.5 million, or $2.42 per share, from $29.4 million, or $1.14 per share, in the year-ago period. The company attributed its earnings performance in the latest quarter to a tax benefit of $47.7 million. Revenue climbed 55% to $45.8 million versus $29.6 million a year ago. Shares went up 12.8%.

Vasco Data Security International Inc. (VDSI: chart) rose 70%, beating analysts'' estimates. Net income for the fourth quarter was $5.1 million, or 13 cents per share, compared with $3 million, or 8 cents per share, a year earlier. Revenue grew 44% over the same time last year to $25.2 million; analysts had expected $25.7 million. Shares climbed 20%.

BioMarin Pharmaceutical’ (BMRN: chart) shares plunged 13% after the biopharmaceutical company said its hypertension drug candidate failed to show any statistical difference from placebo in a study.

1:00PM NY, European markets closed lower on weaker oil and gas shares.
European stocks ended Tuesday session in the red, as weaker oil and gas shares offset positive sentiment generated by deal-inspired gains from Shire and Hanson. Shares of BP and Royal Dutch Shell slipped 1.2% as forecasts for warmer U.S. weather sent crude-oil futures down. Drugs company Shire rose 3.7% on news that it agreed to acquire New River Pharmaceuticals for about $2.6 billion in cash. Shares of U.K. construction company Hanson gained 2.9% as Vulcan Materials agreed to buy smaller U.S. aggregates company Florida Rock in a $4.6 billion cash-and-stock deal. EMI Group was a notable gainer, rallying 8.4% after it confirmed that it received a fresh approach from Warner Music Group. Among other stocks in focus, Volvo rose 1.5% after the Swedish truck maker said it launched a bid offer to buy Japanese rival Nissan Diesel for 7.5 billion Swedish krona ($1.1 billion). Volkswagen shares finished up 8% as the German auto maker posted strong profit in 2006. The U.K.''s FTSE 100 closed down 0.5% at 6,412.30, the German DAX 30 slipped 0.1% at 6,982.91 and the French CAC-40 index eased 0.5% at 5,713.45.

Crude oil prices dropped below $58 on forecasts of warmer weather in the northeastern U.S. Light, sweet crude March delivery slipped $1.42 to $57.97 a barrel. Heating oil lost 4 cents to $1.6337. Natural gas fell 2.5 cents to $7.478 per 1,000 cubic feet. London Brent slipped 47 cents to $57.67. The U.S. dollar was mixed against its major currency rivals. The euro was quoted at $1.3140, down from $1.3152. The dollar bought 120.16 yen, up from 119.52. The British pound was quoted at $1.9559, down from $1.9510. Gold in London traded at $657.70 per troy ounce, down from $670. In Zurich, the precious metal traded at $655.95, down from $668.80. Silver slipped to $13.73 from $13.99.


11:30AM U.S. stock markets turned higher on positive housing market comments.
Disappointing earnings from Home Depot and losses for energy companies amid falling oil prices kept U.S. stocks under pressure. However, market sentiment turned slightly positive after Federal Reserve governor''s encouraging assessment of the housing market. Wal-Mart (WMT: chart) provided support to the Dow after reporting higher-than-expected earnings, and issued a bullish forecast. Wal-Mart Stores posted Q4 net income rise of 95 cents per share, up from 87 cents a year ago. The company Q4 sales jumped 10.9% to $98.09 billion, but came in below the $99.95 billion forecast by analysts. The stock rose 2.8%.

Several multibillion-dollar merger deals were in the spotlight. Florida Rock Industries (FRK: chart) surged 42% after it agreed to be acquired by Vulcan Materials (VMC: chart) for $4.6 billion. In another deal of note, U.K. pharmaceuticals producer Shire plc (SHPGY: chart) rose 5% as it agreed to pay $2.6 billion in cash for New River Pharmaceuticals Inc. (NRPH: chart), sending its shares up 8.5%. Among stocks driven by analyst comments, JetBlu airways (JBLU: chart) fell 5.4% after Morgan Stanley cut the carrier to equal weight. By sector, oil, gold and semiconductor stocks led decliners, while airlines, transportation and utilities moved higher. In late morning trading, the Dow was up 6.57, or 0.05%, at 12,774.14, recovering from an earlier loss. The Standard & Poor''s 500 index was up 2.27, or 0.16%, at 1,457.81, and the Nasdaq composite index was up 9.09, or 0.365, at 2,505.40.


9:45AM U.S. stocks opened lower on weaker energy shares and Home Depot profit drop.
Wall Street opened lower on Tuesday, pressured by falling energy shares and disappointing earnings from Home Depot, which offset merger news and positive quarterly results from Wal-Mart Stores. Crude-oil futures declined amid forecasts for warmer weather in the northeastern U.S. Falling oil prices weighed on energy shares like Exxon Mobil (XOM: chart) and BP (BP: chart), both losing 1.1%. Blue-chip company Home Depot (HD: chart) fell 1% after the retailer reported 28% profit drop in Q4 due to a slowing activity in the home-building sector. Other companies weighing on the Dow included Intel Corp. (INTC: chart), down 1.4% and American Express (ADXP: chart), down 1%. However, Wal-Mart (WMT: chart) supported the Dow, rising 2.3% amid better-than-expected quarterly profit.

In merger-and-acquisition news, Vulcan Materials (VMC: chart), a producer of construction aggregates and materials, agreed to buy Florida Rock Industries (FRK: chart) in a $4.6 billion cash-and-stock deal. Shares of Florida Rock soared 42% on Tuesday morning. News of a merger deal between Sirius Satellite Radio (SIRI: chart) and XM Satellite Radio (XMSR: chart) failed to provide a lift to the sentiment. Sirius Satellite jumped 7%, while XM Satellite surged 11%. In early trading, the Dow Jones industrial average fell 37.41, or 0.29%, to 12,730.16. The Standard & Poor''s 500 index was down 4.74, or 0.33%, at 1,450.80, and the Nasdaq composite index was down 10.18, or 0.41%, to 2,486.13. Bonds fell, with the yield on the benchmark 10-year Treasury note rising to 4.70% from 4.69% late Friday.