On the side of the losers, Analog Devices (ADI: chart) dropped 8.6% after reporting a 14% profit decline and projecting current quarter earnings below market estimates. The Dow Jones was up 47.79 points, or 0.35%, at 13,587.74. The Standard & Poor''s 500 was up 6.05 points, or 0.40%, at 1,530.17. The Nasdaq Composite was up 8.64 points, or 0.33%, at 2,596.66.


9:30AM China rallies Wednesday, Japan, South Korea advance, HK declines.

Asian markets mostly advanced on Wednesday. Chinese Shanghai Composite index ended at 4,173.70, 1.5% higher. Among the advancers in Shanghai were China Vanke, the largest property developer by market value in the country, surged 4.9%, while Shanghai Lujiazui Finance & Trade Zone Development soared 4.6%. Financial firms rose on expectations of strong earnings. The Bank of China ended up 1.2% and Citic Securities gained 1.3%.

Chinese Shanghai Composite index ended at 4,173.70, 1.5% higher. Among the advancers in Shanghai were China Vanke, the largest property developer by market value in the country, surged 4.9%, while Shanghai Lujiazui Finance & Trade Zone Development soared 4.6%. Financial firms rose on expectations of strong earnings. The Bank of China ended up 1.2% and Citic Securities gained 1.3%.

In Japan, the Nikkei 225 added 0.1% to end at 17,705.12. Banks rose again after Tuesday gains tracking a strong earnings forecast from Sumitomo Mitsui Financial Group, with Mitsubishi UFJ Financial Group increasing 4.4% and Sumitomo Mitsui 4.5% higher after 5.7% jump on Tuesday. Among exporters, Toyota added 1.2% on expectations of a recent weakness in the yen which would improve its earnings.

Hong Kong Hang Seng index closed down 0.2% at 20,798.97. Other indices finished higher. Australian S&P/ASX 200 closed 0.3% higher at 6,355.10, Seoul Kospi edged up 0.2% to 1,646.59 and Singapore Straits Times index gained 0.5% to 3,559.01.

9:00AM Stock futures pointed to a higher opening, supported by deal speculations.

U.S. stock market futures moved higher on Wednesday after, boosted by speculations that Canada''s Alcan may involve rival aluminum producer Alcoa into a bidding war. Alcan is reportedly in talks with global mining concern BHP Billiton after rejecting an unsolicited takeover bid from Alcoa on Tuesday and said it is in discussions with third parties. Alcoa (AA: chart) gained 2.7% before the bell, while U.S.-listed shares of Alcan (AL: chart) were up 3.7%. In other deal news, Payless ShoeSource Inc. (PSS: chart) said it had agreed to acquire Stride-Rite Corp. (SRR: chart) for $800 million.

On the earnings news front, Target Corp. (TGT: chart) rose 3.7% before the bell after the discount retailer reported better-than-expected earnings. Medtronic (MDT: chart) rose 2.6% after the company posted quarterly earnings and revenue above analyst estimates. Analog Devices (ADI: chart) reported a 14% profit decline and projected current quarter earnings would come below market estimates. Abercombie & Fitch (ANF: chart) and Limited Brands (LTD: chart) are also due to report quarterly results. S&P 500 futures were up 6 points. Dow Jones industrial average futures rose 51 points, and Nasdaq 100 futures gained 6 points.


8:15AM Crescent Real Estate Equities agreed to be acquired by a unit of Morgan Stanley for about $6.5 billion including debt.

Real estate investment trust Crescent Real Estate Equities Co. (CEI: chart) announced on Tuesday it agreed to be acquired by a unit of Morgan Stanley for about $6.5 billion including debt. The real estate investment firm, Morgan Stanley Real Estate will buy the company for $22.80 per share, according to Crescent, which has about 102.8 million shares outstanding. The deal includes the assumption and refinancing of about $3.1 billion of the company''s outstanding and unconsolidated debt and redemption of some $440 million in preferred shares. Crescent said the purchase price is a 12% premium over its prior 30-day average closing share price and a 6% premium to Tuesday''s closing price of $21.62. The transaction is expected to complete by the third quarter.


8:30AM NY-7:30PM Sensex ends lower Wednesday on selling pressure in large-caps.

The Sensex on BSE finished Tuesday 90.46 points, or 0.63%, lower at 14,363.26.

The market-breadth was sharply negative with almost two decliners for every advancer. As 928 stocks advanced, 1,638 declined and only 76 stocks remained unchanged. Of the 30 stocks in the Sensex, 11 advanced, 18 declined and one stock remained unchanged. The turnover on BSE was Rs 5,290 crore, compared to Rs 5,180 crore on Tuesday. On NSE, the turnover was Rs 10,715.85 crore, lower than Rs 11,375.26 crore on Tuesday.


Economic news

Finance Minister P Chidambaram announced today that the new Direct Tax Code Bill is to be proposed in Parliament by this December.