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Tiffany & Co. was downgraded to market perform from outperform at Cowen & Co. on concerns about global tourism. Cowen lowered the stock price target to $70 from $75. oliday sales in the Americas, which comprises 48% of the sales mix, were down 7% on weak foreign spending, Cowen wrote in a note published Monday, citing the company’s holiday sales report. Holiday sales in Asia-Pacific, 24% of the mix, were down 11%, with spending shifting out of Hong Kong and weakness in Singapore. And in Europe, which is 12% of the mix, holiday sales were down 4%, with tourism in major cities at risk. The report forecasts minimal growth in sales and earnings for 2016. Cowen analysts expect no same-store sales growth for the fiscal year. Still, Cowen believes the company will experience long-term global success. Signet Jewelers Ltd is Cowen’s choice in the sector because they target middle-income consumers and are gaining share in a fragmented market. Tiffany shares are down 1.6% in Monday trading and down 27.5% for the past year. Signet shares are up 1% in Monday trading and down 3.2% for the past year. The S&P is down 3.7% for the past 12 months.

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WASHINGTON (MarketWatch) — The U.S. Treasury does have the capability to prioritize principal and interest payments, the House Financial Services Committee said Monday, citing documents they subpoenaed which the Republicans say contradicts the testimony of Treasury Sec. Jack Lew and other White House officials. According to the committee, the New York Fed has run simulations since at least March 2011. During the debt-limit standoff of 2013, a New York Fed memo indicates the Treasury was making such a plan. “Treasury is adamant they will make P&I payments. Not considering possibility of missing debt payments,” the email says, according to the committee.

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Extreme Networks Inc.’s stock climbed 1.8% in early trade Monday, after the network infrastructure equipment seller was upgraded at Needham, which cited an attractive valuation. Analyst Alex Henderson raised his rating to buy, after being at hold since April 2015. He set a new stock price target at $3.75, which was 36% above Friday’s closing price of $2.76. Henderson wrote in a note to clients that he believes the stock is “too oversold,” as it plunged 30% in two days after the company reported on Thursday fiscal second-quarter results, which he described as “pretty good.” The stock had closed Friday at a five-month low after the selloff. “We believe Extreme is making the right decisions, demonstrating improvements in its go-to-market strategy, finishing significant investments in training and service capabilities, and is now poised to pivot top growth,” Henderson wrote.

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U.S. stocks began the week and the month on a sour note Monday with the Dow industrials giving up 123 points at the market open. The main indexes declined as oil prices marched lower and as China’s economy hit another bump. The S&P 500 opened 13 points, or 0.7%, lower at 1,927. The Dow Jones Industrial Average fell 123 points, or 0.7%, to 16,343. 54Meanwhile, the Nasdaq Composite began the day down 28 points, or 0.6%, at 4,586.

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Restoration Hardware Holdings Inc. was downgraded to market perform from overperform at Cowen & Co. based on concerns over slowed spending by high-end consumers. Cowen analysts say a decline in the S&P 500, which has lost 6.7% over the past three months, may be affecting the spending of its high-end customers. Cowen also sees risk in the uncertainty of the presidential election, the stronger U.S. dollar in light of Restoration Hardware’s big business in Miami, where 1/3 of its business goes to South America, and weakness in the Texas and Canada oil economies. “We acknowledge home-related spending on furniture, appliances, and mattresses has been one of the strongest areas of consumer spending, especially over holiday, but the increasing promotional pressure could signal the early innings of a slowdown,” analysts wrote. Cowen says Restoration Hardware was also very promotional in Dec. 2015, with extra days of 20% to 50% off all merchandise. Restoration Hardware shares are down 1.2% in premarket trading and down 40.2% for the past three months.

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TJX Companies , the parent company to off-price retailers T.J. Maxx, Marshalls and other brands, has named Ernie Herrman chief executive officer effective Jan. 31, the beginning of the company’s fiscal year. He replaces Carol Meyrowitz, who has been CEO since 2007. She will continue as chairman of the board, a position she’s held since June 2015, and assume the role of executive chairman of the company, a new title. The company’s board previously indicated their selection of Hermann as CEO on Oct. 7, 2015. He will continue as president of the company and member of the board of directors. TJX shares are inactive in premarket trading and up 8% for the past 12 months. The S&P 500 is down 2.7% for the same period.

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Luxury goods company Compagnie Financiere Richemont was downgraded to market perform from outperform at Cowen & Co. Compagnie Financiere Richemont brands include Cartier, Van Cleef & Arpels and Chloé. Analysts worry if difficult fourth-quarter conditions in Hong Kong and Macau continue into 2016, it will put pressure on the company’s stock. The Hong Kong/Macau region is “a meaningful-top driver with 16% group mix,” said a Cowen note published Monday. There’s also concern that high-end consumers in the U.S. and Europe won’t make up the shortfall for softness in Asia. Uncertainty based on the U.S. presidential election, losses on the S&P 500 (down 5.1% for the year so far) and the terrorist attacks in Paris are creating risk. And weak demand around the world for watches could lead to declines. Cowen cites Swiss Watch data that shows a 3.8% year-over-year decrease in watch exports in Dec. 2015.

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Shares of Twitter rose 8% in pre-market trade Monday after talk of a possible deal with venture capitalist Mark Andreessen and Silver Lake partner. CNBC cited The Information as first reporting the possible deal. Shares of Twitter have fallen 41% in the past three months, compared to the S&P 500’s drop of 7%.

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Alere Inc. shares surged almost 50% in premarket trade Monday, after Abbott Laboratories said it has agreed to buy the diagnostics company in a deal with an equity value of $5.8 billion. Abbott Labs said it will pay $56 per Alere share, or a 50% premium over Friday’s closing price. “The combination of Alere and Abbott will create the world’s premier point of care testing business and significantly strengthen and grow Abbott’s diagnostics presence,” Abbott Chief Executive Miles White said in a statement. The deal will immediately boost earnings per share and will be “significantly accretive” after that, said Abbott. The company is expecting to generate annual pretax synergies of about $500 million by 2019. Abbott shares were not yet active in premarket trade.

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Imax Corp. is dipping its toes into the TV world with an original content distribution deal with Discovery Communication Inc.’s flagship network Discovery Channel. The network will get 18 months of exclusive paid global TV rights for up to 10 Imax documentary films, according to a news release. Terms of the deal weren’t announced, but it includes a marketing partnership. The original Imax documentary films are to be released through the Imax Orginal Film Fund, created in 2014 to deliver educational documentaries for Imax’s museum, aquarium and science center partners. “Working with IMAX, we can provide audiences multiple global platforms to experience these important stories,” Discovery Channel Group President Rich Ross said in a statement.

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