Tesla's new junk status, Valeant ups Allergan bid and L.A. has a basketball team for sale

Jeff Macke

Welcome back to the rally no one trusts. Stocks are slightly green pre-market, driven by little more than boredom and skeptics. The S&P 500 (^GSPC) tacked on another .6% yesterday but the Nasdaq (^IXIC) was where all the action was. Facebook (FB), Google (GOOG), and Tesla (TSLA) all rose more than 2%. Even the Russell 2000 (^RUT) got some love with a 1.4% gain. Here's what people are talking about as May races to the close.

Standard & Poors issued a B- or "junk" rating on Tesla's credit yesterday after the bell. Tesla raised $2.3 billion in March to fund its new "Gigafactory." In its note issued after the bell S&P said Tesla faced displacement risk and limited demand for its products. Interestingly S&P, which is normally paid for offering such views, graded Tesla pro-actively. Business has been a little slow since S&P missed the housing crisis then downgraded the U.S. in 2011

Valeant Pharmaceuticals (VRX) has sweetened its offer for Botox-maker Allergan (AGN), adding more cash and slightly upping the total pot. Valeant says it will now offer $58.30 in cash and a portion of stock for Allergan who's shares closed at $129.50 yesterday. That makes the total offer more than $49.5 billion, about 10% more than the original offer. Allergan says the new offer still substantially undervalues the company and vows to remain independent.

Finally Investment bank Guggenheim Partners and a group headed by David Geffen are said to be planning to bid for the Los Angeles Clippers as soon as Thursday. The group includes Oprah Winfrey and Oracle CEO Larry Ellison. Other potential bidders include former Microsoft (MSFT) CEO Steve Balmer and Apollo Global Management co-founder Antony Ressler. Sterling is said to be seeking $1.5 billion for the team. Look for him to get at least $2 billion, likely tax free. That'll teach him.

Click back to Yahoo Finance throughout the day for more on these and other stories.

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