Good morning from the business news desk of the Star Tribune.
Three major Minnesota companies are out with third quarter earnings this morning. The news:
U.S. Bancorp earnings per share of 76 cents were in line with expectations. Net income was flat. Net interest margin ticked downward to 3.43% from 3.59% a year ago.
St. Jude Medical net income rose 49% to $262 million. Company raised the lower end of its fourth quarter results guidance. Sales rose 1%, but were up 3% on a constant currency basis.
Piper Jaffray Cos. said net income was $7.6 million, but net income from continuing operations was $9.2 million, down from the comparable $14.5 million a year ago. Revenue fell 2.4%.
All three companies are holding conference calls with analysts this morning. We'll have stories developing through the day.
Investors are waiting to see what Senate leaders will come up with this morning to avoid a government default. Overnight, Asian markets were mixed, while Europe has been trading lower. U.S. futures signal a marginally higher open.
A few more details on the U.S. Bancorp results...
Net income was $1.468 billion, down slightly from $1.474 billion a year ago
Revenue was $4.89 billion, down 5.6% from a year ago. Mortgage banking revenue took the biggest hit, falling 37% to $328 million. Investors and analysts have been watching how higher mortgage rates have affected banks. Wells Fargo last week reported a 43% decline in mortgage revenue.
USB's net interest margin, as mentioned earlier, fell to 3.43% from 3.59% a year ago. Net interest margin was also 3.43% in the second quarter of this year.
USB set aside less money as loan loss provision in the quarter, $289 million, down 39% from a year ago.
Minnesota stocks in the news at the open
Piper Jaffray up 6.5%
St. Jude down 2.5%
Best Buy up 1.5%
US Bancorp up .33%
The yield on the 3-month T-bill has fallen back to .10% from .14% earlier this morning.
Sen. Majority Leader Harry Reid is on the floor announcing a deal...
Govt funded to Jan. 15, debt limit raised to Feb. 7
McConnell now on the Senate floor...
Cruz says he won't delay Senate vote.
WSJ reporting: Sen. John McCain says leadership on the compromise was “primarily from women in the Senate. I won’t comment on that further."
Finance & Commerce is reporting the Canadian Pacific Plaza tower in downtown Minneapolis has been sold for $51.5 million to a New York buyer.
White House spokesman Jay Carney is now holding a briefing.
From Politico White House writer Jennifer Epstein:
News from Vikings beat writer Chip Scoggins