Friday, July 25, 2014

Windstream Holdings - Barchart's Chart of the Day

Windstream Holdings (WIN) is the Barchart Chart of the Day.  The telephone communications stock has a Trend Spotter buy signal, a Weighted Alpha of 35.70+, gained 29.14 % in the last year and paid a 9.69% dividend.

The Chart of the Day belongs to Windstream Holdings (WIN).  I found the stock by sorting today's New High list for new high frequency in the last month, then used the Flipchart feature to review the charts.  Since the Trend Spotter signaled a buy on 7/7 the stock is up 4.29%.

WIN offers advanced network communications, including cloud computing and managed services, to businesses. The company also offers broadband, phone and digital TV services to consumers primarily in rural areas. Windstream Holdings, Inc., formerly known as Windstream Corporation, is based in Little Rock, Arkansas.


The status of Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read.

Barchart technical indicators:

  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 17 new highs and up 3.87% in the last month
  • Relative Strength Index 71.90%
  • Barchart computes a technical support level at 10.28
  • Recently traded at 10.46 with a 50 day moving average of 9.87
Fundamental factors:
  • Market Cap $6.23 billion
  • P/E 36.86
  • Dividend yield 9.69%
  • Revenue expected to decrease 1.60% this year and another .60% next year
  • Earnings estimated to decrease 11.40% this year, increase by 29.00% next year but compound at a negative rate of 2.60% fr the next 5 tears
  • Wall Street analysts are all over the place with 2 strong buy, 1 buy, 7 hold, 3 under perform and a sell recommendation on the stock
Watch this one carefully and exit at the 100 day moving average

REIT's Rule the Mid Caps

Today I used Barchart to sort the S&P 400 Mid Cap Index stocks to find the stocks with the most frequent new highs in the last month and I was surprised how may REITs were at the top of the list.  Among them were Camden Property Trusts (CPT), Supervalu (SVU), Weingarten Realty Investors (WRI), American Campus Communities (ACC) and Alexandria Real Estate Equities (ARE):

Camden Property Trust (CPT)


Barchart technical indicators:
  • 72% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 2.82% in the last month
  • Relative Strength Index 60.51%
  • Barchart computes a technical support level at 73.19
  • Recently traded at 72.86 with a 50 day moving average of 70.99


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above ts 20, 50 and 100 day moving averages
  • 14 new highs and up 21.87% in the last month
  • Relative Strength Index 73.69%
  • Barchart computes a technical support level at 8.20
  • Recently traded at 9.36 with a 50 day moving average of 8.01


Barchart technical indicators:
  • 64% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 14 new highs and up 2.28% in the last month
  • Relative Strength Index 57.68%
  • Barchart computes a technical support level at 33.65
  • Recently traded at 33.59 with a 50 day moving average of 32.51


Barchart technical indicators:
  • 88% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 13 new highs and up 4.11% in the last month
  • Relative Strength Index 61.98%
  • Barchart computes a technical support level at 40.09
  • Recently traded at 40.00 with a 50 day moving average of 38.86


Barchart technical indicators:
  • 88% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 13 new highs and up 2.29% in the last month
  • Relative Strength Index 61.64%
  • Barchart computes a technical support level at 78.73
  • Recently traded at 78.88 with a 50 day moving average of 77.08










BARCHART MORNING CALL 7/25

OVERNIGHT MARKETS AND NEWS
Sep E-mini S&Ps (ESU14 -0.15%) this morning are mildly lower by -0.20% due to a -0.40% sell-off in the Euro Stoxx 50 index, a Russian rate hike and a -1.5% in the Russian Micex index, and some high profile earnings misses such as Amazon.com. Asian stocks today closed mixed: Japan +1.13%, Hong Kong +0.31%, China +1.05%, Taiwan -0.93%, Australia -0.08%, Singapore -0.11%, South Korea +0.29%, India -0.55%, Turkey -0.34%. Sep 10-year T-notes (ZNU14 -0.04%) this morning are down 1 tick. The dollar index (DXY00 +0.10%) is slightly higher by +0.08% while EUR/USD (^EURUSD) is down -0.11% and USD/JPY (^USDJPY) is up +0.06%.
Commodity prices are slightly higher by +0.06% this morning. Sep WTI crude oil (CLU14 -0.14%) is slightly lower by -0.04% but Sep gasoline (RBU14 +0.22%) is up +0.15%. Aug gold (GCQ14 +0.34%) is up +0.32%, Sep silver (SIU14 +0.37%) is up +0.47%, and Sep copper (HGU14 +0.08%) is up +0.18%. Grain, livestock, and softs prices are mixed.
Russian's central bank today unexpectedly raised its 1-week auction rate by 50 bp to 8.00% from 7.50%, the third such rate hike this year. The rate hike will cause further damage to the Russian economy, which is likely to see at least a mild recession. The Russian central bank billed the rate hike as designed to curb inflation, but it was designed as much to support the ruble and prevent a further capital outflow from Russia in response to the Ukraine and new sanctions. The Russian Micex stock index this morning is down -1.5%, erasing nearly all of the +1.8% recovery seen in the last 3 sessions. The U.S. yesterday said that Russia has been firing artillery across the border into Ukraine at Ukrainian military targets.
UK Q2 GDP rose by +0.8% q/q (+3.2% annualized), which was in line with market expectations and matched the Q1 growth rate. Q2 GDP was up +3.1% y/y. The report caused UK GDP to finally exceed the previous peak reached before the 2008 global financial crisis. GDP for all the G-7 countries has now exceeded their pre-crisis peaks except for Italy. The market consensus is that the UK economy in 2014 will grow by +3.0%, improving from +0.3% in 2012 and +1.75 in 2013 and the strongest growth rate since 2007.
Amazon is sharply lower by -10% in overnight trading after reporting a larger loss than expected.
The German Aug GfK consumer confidence index rose by +0.1 point to 9.0, which was slightly better than market expectations of unchanged at 8.9.
The German IFO business climate index fell by -1.7 points to 108.0 from 109.7 in June, which was weaker than market expectations for a -0.3 point drop to 109.4 and was the third drop in a row. The July IFO Expectations index fell by -1.4 points to 103.4, which was weaker than market expectations of -0.4 to 104.4. The report suggested that German business confidence is dropping in response to weaker German economic data and the Ukraine crisis.
Eurozone July M3 money supply rose by +1.5% y/y from +1.0% in May, which was stronger than market expectations of +1.2% y/y.
U.S. STOCK PREVIEW
Today’s June durable goods orders report is expected to show an increase of +0.5% and +0.5% ex-transportation. There are 11 of the S&P 500 companies that report earnings today with notable reports including: Moody's (consensus $1.02), Aon (1.20), AbbVie (0.76), DTE Energy (0.75). There are no equity conferences today.
Sep E-mini S&Ps this morning are mildly lower by -4.00 points (-0.20%) due to the -0.40% sell-off in the Euro Stoxx 50 index, a weak German IFO report, and a sharp sell-off in Amazon.com. The S&P 500 index on Thursday posted a new record high but then fell back to close little changed: S&P 500 +0.05%, Dow Jones -0.02%, Nasdaq -0.04%. Bullish factors included (1) strong Chinese, German, and Eurozone PMI reports, (2) ongoing optimism about Q2 earnings, and (3) the -19,000 decline in U.S. initial unemployment claims to a new 8-1/4 year low. Bearish factors included (1) the much weaker-than-expected U.S. June new home sales report and the -1.0 point decline to 56.3 in the U.S. July Markit PMI index, and (2) continued uncertainty about the extent of new sanctions against Russia.
OVERNIGHT U.S. STOCK MOVERS
  • All but one of the nine S&P 500 companies that have reported earnings this morning beat the consensus. The loser was DTE Energy (DTE +0.90%) ($0.73 vs $0.75 consensus). Notable companies that beat earnings today include: Stanley Black & Decker (SWK -1.56%) (1.43 vs 1.36), Tyco (TYC -0.24%) (0.54 vs 0.536), Aon (AON -0.12%) (1.25 vs 1.20), AEP (AEP +0.07%) (0.80 vs 0.75), Moody's (MCO +0.95%) (1.12 vs 1.02), and Xerox (XRX +0.47%) (0.27 vs 0.26).
  • Amazon.com (AMZN +0.13%) fell sharply by 10% late yesterday after reporting Q2 EPS of -27 cents, much worse than the consensus of -15 cents as management spent more money than expected building new services.
  • Visa (V +0.70%) late yesterday reported fiscal Q3 EPS of $2.17, better than the consensus of $2.10, although the stock fell -3% in late-afternoon trading.
  • Starbucks (SBUX +1.66%) late yesterday reported fiscal Q3 EPS of 67 cents, slightly better than the 66 cent consensus.
MARKET COMMENTS
Sep 10-year T-notes this morning are down 1 tick. Sep 10-year T-note futures prices on Thursday closed with fairly sharp losses on (1) the sharp drop in initial unemployment claims to an 8-1/4 year low as the improvement in the U.S. labor market may bring forward the Fed’s first rate hike, and (2) reduced safe-haven demand as global stocks remained generally strong despite the various geopolitical hot spots. Closes: TYU4 -12, FVU4 -7.75.
The dollar index this morning is slightly higher by +0.07 (+0.08%) while EUR/USD is down -0.0015 (-0.11%) and USD/JPY is up +0.06 (+0.06%). The dollar index on Wednesday closed little changed in response to mixed U.S. economic data. EUR/USD closed little changed but remained on the defensive on concern that the Ukraine-Russia crisis may yet undercut the European economy. Closes: Dollar index +0.04 (+0.05%), EUR/USD unchanged, USD/JPY +0.34 (+0.34%).
Sep WTI crude oil this morning is down -0.04 (-0.04%) and Sep gasoline is up +0.0041 (+0.15%). Aug crude and gasoline prices on Thursday closed lower: CLU4 -1.05 (-1.02%), RBU4 -0.0258 (-0.91%). Bearish factors included (1) carry-over weakness from Wed’s EIA report that showed a sharp +3.38 million rise in gasoline inventories, and (2) ongoing worries about world crude oil supplies as Libya starts to export crude oil again after a government agreement with rebels.
GLOBAL EVENT CALENDAR07/25/2014
US0830 ETJun durable goods orders expected +0.5% and +0.5% ex-transportation, May -0.9% and unch ex-transportation. June non-defense capital goods orders ex-aircraft expected +0.5%, May +0.7%.
1500 ETUSDA Jun Cattle on Feed.
GER0200 ETGerman Aug GfK consumer confidence expected unch at 8.9.
0400 ETGerman Jul IFO business climate expected -0.3 to 109.4, Jun 109.7. Jul IFO current assessment expected -0.3 to 114.5, Jun 114.8. Jul IFO expectations expected -0.4 to 104.4, Jun 104.8.
EUR0400 ETEurozone Jun M3 money supply expected +1.2% y/y and +1.0% 3-mo avg y/y, May +1.0% y/y and +0.9% 3-mo avg y/y.
UK0430 ETUK Q2 GDP expected +0.8% q/q and +3.1% y/y, Q1 +0.8% q/q and +3.0% y/y.
0430 ETUK May index of services expected +0.2% m/m and +1.0% 3-mo/3-mo, Apr +0.3% m/m and +0.9% 3-mo/3-mo.
U.S. STOCK CALENDAR07/25/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
Aon PLCAON USBef-mktQ2 2014 Earnings ReleaseQ2 20141.201
LyondellBasell Industries NVLYB USBef-mktQ2 2014 Earnings ReleaseQ2 20141.921
AbbVie IncABBV USBef-mktQ2 2014 Earnings ReleaseQ2 20140.759
DTE Energy CoDTE USBef-mktQ2 2014 Earnings ReleaseQ2 20140.754
Stanley Black & Decker IncSWK USBef-mktQ2 2014 Earnings ReleaseQ2 20141.364
Moody's CorpMCO USBef-mktQ2 2014 Earnings ReleaseQ2 20141.017
Tyco International LtdTYC USBef-mktQ3 2014 Earnings ReleaseQ3 20140.536
Xerox CorpXRX US7:00Q2 2014 Earnings ReleaseQ2 20140.261
Stanley Black & Decker IncSWK US8:00Q2 2014 Earnings CallQ2 2014
Tyco International LtdTYC US8:00Q3 2014 Earnings CallQ3 2014
Aon PLCAON US8:30Q2 2014 Earnings CallQ2 2014
Avery Dennison CorpAVY US8:30Q2 2014 Earnings ReleaseQ2 20140.794
Covidien PLCCOV US8:30Q3 2014 Earnings CallQ3 2014
American Electric Power Co IncAEP US9:00Q2 2014 Earnings CallQ2 2014
AbbVie IncABBV US9:00Q2 2014 Earnings CallQ2 2014
DTE Energy CoDTE US9:00Q2 2014 Earnings CallQ2 2014
Leggett & Platt IncLEG US9:00Q2 2014 Earnings CallQ2 2014
Xerox CorpXRX US10:00Q2 2014 Earnings CallQ2 2014
Principal Financial Group IncPFG US10:00Q2 2014 Earnings CallQ2 2014
LyondellBasell Industries NVLYB US11:00Q2 2014 Earnings CallQ2 2014
Charles Schwab Corp/TheSCHW US11:30Business Update Call
Moody's CorpMCO US11:30Q2 2014 Earnings CallQ2 2014
Avery Dennison CorpAVY US12:00Q2 2014 Earnings CallQ2 2014
Safeway IncSWY US16:30Annual General Meeting - M&A VoteY 2014
American Electric Power Co IncAEP USQ2 2014 Earnings ReleaseQ2 20140.754
Covidien PLCCOV USQ3 2014 Earnings ReleaseQ3 20141.006

Kodiak Oil buy signals

Yesterday I added the Chart of the Day - Kodiak Oil (KOG)to the Barchart Van Meerten New High portfolio:


Barchart technical indicators:
  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 16 new highs and up 16.33% in the last month
  • Relative Strength Index 65.81%
  • Barchart computes a technical support level at 15.70
  • Recently traded at 15.91 Wit a 50 day moving average of 13.85


Thursday, July 24, 2014

Kodiak Oil - Barchart's Chart of the Day

Kodiak Oil (KOG) is the Barchart Chart of the Day.  The independent oil exploration and development stock has a Trend Spotter buy signal, a Weighted Alpha of 71.50+ and gained 69.79% in the last year.

The Chart of the Day belong to Kodiak Oil (KOG).  I found the stick by sorting today's New High List for new high frequency in the last month then used the Flipchart feature to review the stocks.  Since the Trend Spotter signaled a buy on 6/6 the stock gained 22.32%,

KOG is an independent energy exploration and development company. It is focused on exploring, developing and producing oil and natural gas primarily in the Williston Basin in the U.S. Rocky Mountains. Kodiak Oil & Gas Corp. is headquartered in Denver, Colorado.


The status of Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read.

Barchart technical indicators:

  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 16 new highs and up 16.33% in the last month
  • Relative Strength Index 65.81%
  • Barchart computes a technical support level at 15.70
  • Recently traded at 15.91 with a 50 day moving average of 13.85
Fundamental factors:
  • Market Cap $4.24 billion
  • P/E 23.68
  • Revenue expected to grow 32.30% this year an another 25.00% next year
  • Earnings estimated to increase by 33.90% this year, an additional 34.20% next year and continue to increase at an annual rate of 43.95% for the next 5 years
  • Wall Street analysts issued 4 strong buy, 9 buy and 9 hold recommendations on the stock
Watch the 50 and 100 day moving averages and bail at the 100 day moving average.

This Weeks Large Cap Winners

Today I used Barchart to sort the S&P 500 Large Cap Index stocks to see which ones were hitting the most frequent new highs in the last month.  The list includes Cisco Systems (CSCO), Kansas City Southern (KSU), Equity Residential (EQR), CBRE Group (CBG), and National-Oilwell (NOV):

Cisco Systems (CSCO)


Barchart technical indicators:
  • 56% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 16 new highs and up 3.97% in the last month
  • Relative Strength Index 59.36%
  • Barchart computes a technical support level at 25.43
  • Recently traded at 25.68 with a 50 day moving  average of 24.84


Barchart technical indicators:
  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 8.21% in the last month
  • Relative Strength Index 70.45%
  • Barchart computes a technical support level at 114.60
  • Recently traded at 115.71 with a 50 day moving average of 107.83


Barchart technical indicators:
  • 96% Barchart technical buy signal
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 5.42% in the last month
  • Relative Strength Index 72.84%
  • Barchart computes a technical support level at 64.88
  • Recently traded at 65.32 with a 50 day moving average of 62.59
CBRE Group (CBG)


Barchart technical indicators:
  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 14 new highs and up 6.16% in the last month
  • Relative Strength Index 75.15%
  • Barchart computes a technical support level at 32.99
  • Recently traded at 33.41 with a 50 day moving average of 31.00


Barchart technical indicators:
  • 96% Barchart technical buy signals'
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 14 new highs and up 7.23% in the last month
  • Relative Strength Index 73.87%
  • Barchart computes a technical support level at 84.61
  • Recently traded at 86.18 with a 50 day moving average of 79.98











Wednesday, July 23, 2014

Magnetek - Barchart's Chart of the Day

Magnetek (MAG) is the Barchart Chart of the Day.  The electronic component stock started an abrupt turn around in mid-March and now had a Trend Spotter buy signal, a Weighted Alpha of 46.30+ and gained 40.61% in the last year.

The Chart of the Day is Magnetek (MAG).  I found the stock by sorting today's New High List for frequency of new highs in the last month then used the Flipchart feature to review the charts.  Since the Trend Spotter signaled another buy on 7/14 the stock gained 4.90%.

MAG manufactures digital power and motion control systems used in material handling, people moving, wireless communications and energy delivery. The Company is headquartered in Menomonee Falls, WI in the greater Milwaukee area and operates manufacturing plants in Pittsburgh, PA and Mississauga, Ontario, Canada as well as Menomonee Falls.


The status of Barchart's Opinion trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 10 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com web site when you read.

Barchart technical indicators:

  • Barchart technical buy signal 100%
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 16 new highs and up 10.56% in the last month
  • Relative Strength Index 24.21%
  • Barchart computes a technical support level at 24.21
  • Recently traded at 25.45 with a 50 day moving average of 23.00
Fundamental factors:
  • Market Cap $82.97 million
  • P/E 18.79
  • Earnings expected to increase 28.80% this year and another 31.70% next year
  • The analyst following the stock has a hold rating in place.
Very fast moving so strictly watch the 50 and 100 day moving averages

The9 Limited - Buy Signals

Today I added The9 Limited (NCTY) to the Barchart Van Meerten New High Portfolio for very positive price momentum:


Barchart technical indicators:
  • 88% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 17 new highs and up 60.85% in the last month
  • Relative Strength Index 90.11%
  • Bachart computes a technical support level at 3.24
  • Recently traded at 3.75 with a 50 day moving average of 2.51


5 Stocks with All Time Highs

This morning I used Barchart to sort yesterday's list of stocks hitting All Time Highs to see which ones hit the most frequent new highs in the last month, then used the Flipchart feature to review the charts.  The list included Macquire Infrastructure (MIC), National-Oilwell (NOV), New Source Energy (NSLP), Ball Corp (BLL), and Wellpoint Health Networks (WLP):

Macquire Infrastructure (MIC)


Barchart technical indicators:
  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 21.13% in the last month
  • Relative Strength Index 79.81%
  • Barchart computes a technical support level at 72.01
  • Recently traded at 73.04 with a 50 day moving average of 62.74


Barchart technical indicators:
  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 8.1% in the last month
  • Relative Strength Index 73.39%
  • Barchart computes a technical support level at 85.52
  • Recently traded at 86.03 with a 50 day moving average of 78.71


Barchart technical indicators:
  • 100% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 15 new highs and up 15.56% in the last month
  • Relative Strength Index 83.79%
  • Barchart computes a technical support level at 26.05
  • Recently traded at 27.03 with a 50 day moving average of 23.68
Ball Corp (BLL)


Barchart technical indicators:
  • 32% Barchart technical buy signal
  • Trend Spotter hold signal
  • 14 new highs and up 2.76% in the last month
  • Relative Strength Index 54.13%
  • Barchart computes a technical support level at 61.81
  • Recently traded at 63.24 with a 50 day moving average of 61.55


Barchart technical indicators:
  • 96% Barchart technical buy signals
  • Trend Spotter buy signal
  • Above its 20, 50 and 100 day moving averages
  • 14 new highs and up 6.24% in the last month
  • Relative Strength Index 72.43%
  • Barchart computes a technical support level at 114.21
  • Recently traded at 115.32 with a 50 day moving average of 108.57










BARCHART MORNING CALL 7/23

OVERNIGHT MARKETS AND NEWS
Sep E-mini S&Ps (ESU14 +0.18%) this morning are trading slightly higher by +0.18% on support from today's +0.63% rally in the Euro Stoxx 50 index and a further +0.2% upward rebound in Russian stocks. Asian stocks today closed mostly higher: Japan -0.10%, Hong Kong +0.80%, China +0.23%, Australia +0.60%, Singapore +0.72%, South Korea -0.11, India +0.47%, Turkey +0.38%. The dollar index (DXY00 -0.03%) is slightly lower by -0.03% this morning, while EUR/USD (^EURUSD) is up +0.03% and USD/JPY (^USDJPY) is down -0.05%. Sep T-note prices (ZNU14 +0.05%) are up 1 tick.
Commodity prices are little changed on net this morning. Sep WTI crude oil (CLU14 +0.14%) is up +0.02% and Sep gasoline (RBU14 -0.05%) is down -0.09%. Aug gold (GCQ14 +0.11%) is up +0.16%, Sep silver (SIU14 -0.01%) is up +0.10%, and Sep copper (HGU14 +0.05%) is down -0.31%. Grain prices are steady to slightly higher this morning. Livestock and softs are mixed.
The Russian Micex stock index today is up +0.2%, adding to Tuesday's gain of +1.55% for the second day of recovery after 6 straight losses totaling -7.7%. The EU is now waiting to see if Russia assists in an international investigation into last week's downing of the Malaysia Air passenger plane in deciding whether to launch sanctions that could include more limited access to the EU capital markets and restrictions on access to sensitive energy and defense technology. The markets were pleased with the EU's limited sanctions threat.
The Bank of England at its July 9-10 policy meeting voted 9-0 to leave its base rate unchanged at 0.50%, according to the minutes released today. The minutes also said that some Monetary Policy Committee members have started to argue that there are reduced risks from a rate hike due to strengthening economic growth. However, other members said that "although the domestic economy was growing at or above longer-term average rates, there was little indication of inflation pressures building." The minutes added, "A premature tightening in monetary policy might leave the economy vulnerable to shocks." The MPC is waiting for the BOE's release next month of the quarterly Inflation Report, which will provide more data on the amount of slack in the UK economy.
Spain's Q2 GDP improved slightly to +0.5% q/q from +0.4% q/q in Q1, which was slightly above market expectations of +0.4%. Spain's Q2 GDP on a year-on-year basis was up +1.0% y/y. Spain's GDP has now risen for four straight quarters, indicating that it was clearly emerged from the recession sparked by the global financial crisis and the Eurozone debt crisis. The Bank of Spain is forecasting that Spain's GDP growth rate will improve to +2.0% in 2015 from +1.3% in 2014, indicating expectations for lackluster economic growth in Spain.
U.S. STOCK PREVIEW
There are 37 of the S&P 500 companies that report earnings today with notable reports including: AT&T (consensus $0.63), Facebook (0.32), E-Trade (0.23), Boeing (1.98), Northrop Grumman (2.22), Dow Chemical (0.72), Delta Airlines (1.03), PepsiCo (1.23), Norfolk Southern (1.74), and Gilead Sciences (1.79). Equity conferences during the remainder of this week include: Wells Fargo Small Cell Symposium on Thu.
Sep E-mini S&Ps this morning are up +0.18% on support from today's +0.63% rally in the Europe Stoxx 50 index. The U.S. stock market on Tuesday rallied moderately with a new record high in the S&P 500 index: S&P 500 +0.50%, Dow Jones +0.36%, Nasdaq +0.71%. Bullish factors included (1) reduced concerns about the Russian-Ukraine situation after Russian separatists handed over the black boxes to Malaysian authorities and released the train with bodies of the victims, (2) the stronger than expected June existing home sales report of +2.6% to a new 8-month high, and (3) the stabilization of the June CPI report that took some tightening pressure off the Fed.







OVERNIGHT U.S. STOCK MOVERS
  • Of the 13 of the S&P 500 companies that have reported earnings this morning, only two reported below-consensus EPS, i.e., Whirlpool (WHR +2.03%) (2.62 vs consensus of 2.91) and Praxair (PX +0.16%) (1.58 vs 1.59). Notable companies that have reported above-consensus earnings this morning include Dow Chemical (DOW +0.85%) (0.74 vs 0.72), PepsiCo (PEP -0.82%) (1.32 vs 1.23), Delta Airlines (DAL +1.43%) (1.04 vs 1.033), and General Dynamics (GD +0.17%) (1.88 vs 1.77).
  • Apple (AAPL +0.83%) fell late yesterday after after reporting third quarter results and fourth quarter guidance.
  • Microsoft (MSFT unch) recovered and rose more than 1% late yesterday after an initial dip on its earnings report. Microsoft's Q2 EPS of 55 cents was below the consensus of 60 cents due to expenses related to Microsoft's purchase of Nokia's mobile business in April.
  • Broadcom (BRCM +0.31%) (+3%) and Robert Half (RHI +0.73%) (+4%) rallied in after-hours trading yesterday after positive earnings results.
  • Ballard Power Systems (BLDP +0.24%) rallied near 3% late yesterday after news its received a purchase order from New Flyer Industries.
  • Xilinx (XLNX -0.37%) fell sharply by nearly 9% late yesterday after reporting earnings.
  • Deutsche Bank is down more than -2% today after news that the New York Fed in December sent a letter to the bank saying that regulators found that the bank's U.S. operations suffered from inadequate oversight.
MARKET COMMENTS
Sep 10-year T-notes this morning are up 1 tick. Sep 10-year T-note futures prices on Tuesday closed mildly higher due to ongoing safe-haven demand and technical buying. Closes: TYU4 +3.5, FVU4 +4.25.
The dollar index this morning is slightly lower by -0.03 points (-0.03%) while EUR/USD is up +0.0004 (+0.03%) and USD/JPY is down -0.05 (-0.05%). The dollar index on Tuesday closed moderately higher as EUR saw weakness as the markets wait for the shoe to drop on the extent of new sanctions on Russia. The dollar index was also supported by the stronger-than-expected U.S. existing home sales report. Closes: Dollar index +0.22 (+0.27%), EUR/USD -0.0058 (-0.43), USD/JPY +0.06 (+0.06%).
Sep WTI crude oil this morning is up +0.02 (+0.02%) and Sep gasoline is down -0.0027 (-0.09%). Aug crude and gasoline prices on Tuesday closed lower: CLU4 -0.47 (-0.46%), RBU4 -0.0107 (-0.37%). Bearish factors included expectations for a continued rise in gasoline inventories, bearish API figures, the rally in the dollar index, and long liquidation pressure after Monday’s rally.
GLOBAL EVENT CALENDAR07/23/2014
US0700 ETWeekly MBA mortgage applications, previous -3.6% with purchase sub-index -7.6% and refi sub-index -0.1%.
1030 ETEIA Weekly Petroleum Status Report.
UK0430 ETMinutes of the Jul 9-10 BOE policy meeting.
0600 ETUK Jul CBI reported sales expected +11 to 15, Jun 4.
EUR1000 ETEurozone Jul consumer confidence expected unch at -7.5.
JPN1950 ETJapan Jun trade balance expected -665.3 billion yen, May -910.8 billion yen. Jun exports expected +1.0% y/y, May -2.7% y/y. Jun imports expected +8.4% y/y, May -3.5% y/y.
2135 ETJapan Jul Markit/JMMA manufacturing PMI, Jun 51.5.
CHI2145 ETChina Jul HSBC flash manufacturing PMI expected +0.3 to 51.0, Jun +1.3 to 50.7.
U.S. STOCK CALENDAR07/23/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
Northrop Grumman CorpNOC USBef-mktQ2 2014 Earnings ReleaseQ2 20142.221
Praxair IncPX USBef-mktQ2 2014 Earnings ReleaseQ2 20141.587
Boeing Co/TheBA USBef-mktQ2 2014 Earnings ReleaseQ2 20141.982
Ryder System IncR USBef-mktQ2 2014 Earnings ReleaseQ2 20141.393
Thermo Fisher Scientific IncTMO USBef-mktQ2 2014 Earnings ReleaseQ2 20141.624
Dow Chemical Co/TheDOW USBef-mktQ2 2014 Earnings ReleaseQ2 20140.715
Biogen Idec IncBIIB USBef-mktQ2 2014 Earnings ReleaseQ2 20142.831
Delta Air Lines IncDAL USBef-mktQ2 2014 Earnings ReleaseQ2 20141.031
Freeport-McMoRan IncFCX USBef-mktQ2 2014 Earnings ReleaseQ2 20140.518
General Dynamics CorpGD USBef-mktQ2 2014 Earnings ReleaseQ2 20141.77
TE Connectivity LtdTEL USBef-mktQ3 2014 Earnings ReleaseQ3 20140.988
Simon Property Group IncSPG USBef-mktQ2 2014 Earnings ReleaseQ2 20142.134
Air Products & Chemicals IncAPD US6:00Q3 2014 Earnings ReleaseQ3 20141.448
Whirlpool CorpWHR US6:00Q2 2014 Earnings ReleaseQ2 20142.913
PepsiCo IncPEP US7:00Q2 2014 Earnings ReleaseQ2 20141.23
EMC Corp/MAEMC US7:00Q2 2014 Earnings ReleaseQ2 20140.425
Norfolk Southern CorpNSC US8:00Q2 2014 Earnings ReleaseQ2 20141.736
PepsiCo IncPEP US8:00Q2 2014 Earnings CallQ2 2014
Thermo Fisher Scientific IncTMO US8:30Q2 2014 Earnings CallQ2 2014
ACE LtdACE US8:30Q2 2014 Earnings CallQ2 2014
EMC Corp/MAEMC US8:30Q2 2014 Earnings CallQ2 2014
TE Connectivity LtdTEL US8:30Q3 2014 Earnings CallQ3 2014
Norfolk Southern CorpNSC US8:45Q2 2014 Earnings CallQ2 2014
Dow Chemical Co/TheDOW US9:00Q2 2014 Earnings CallQ2 2014
Biogen Idec IncBIIB US9:00Q2 2014 Earnings CallQ2 2014
FMC Technologies IncFTI US9:00Q2 2014 Earnings CallC1 2014
General Dynamics CorpGD US9:00Q2 2014 Earnings CallQ2 2014
Air Products & Chemicals IncAPD US10:00Q3 2014 Earnings CallQ3 2014
Delta Air Lines IncDAL US10:00Q2 2014 Earnings CallQ2 2014
Freeport-McMoRan IncFCX US10:00Q2 2014 Earnings CallQ2 2014
Whirlpool CorpWHR US10:00Q2 2014 Earnings CallQ2 2014
Boeing Co/TheBA US10:30Q2 2014 Earnings CallQ2 2014
Praxair IncPX US11:00Q2 2014 Earnings CallQ2 2014
Ryder System IncR US11:00Q2 2014 Earnings CallQ2 2014
Nabors Industries LtdNBR US11:00Q2 2014 Earnings CallQ2 2014
Constellation Brands IncSTZ US11:00Annual General MeetingY 2014
Simon Property Group IncSPG US11:00Q2 2014 Earnings CallQ2 2014
Linear Technology CorpLLTC US11:30Q4 2014 Earnings CallQ4 2014
Northrop Grumman CorpNOC US12:00Q2 2014 Earnings CallQ2 2014
Amphenol CorpAPH US13:00Q2 2014 Earnings CallQ2 2014
QUALCOMM IncQCOM US16:00Q3 2014 Earnings ReleaseQ3 20141.213
Gilead Sciences IncGILD US16:05Q2 2014 Earnings ReleaseQ2 20141.794
Citrix Systems IncCTXS US16:05Q2 2014 Earnings ReleaseQ2 20140.607
F5 Networks IncFFIV US16:05Q3 2014 Earnings ReleaseQ3 20141.35
Gilead Sciences IncGILD US16:30Q2 2014 Earnings CallQ2 2014
F5 Networks IncFFIV US16:30Q3 2014 Earnings CallQ3 2014
AT&T IncT US16:30Q2 2014 Earnings CallQ2 2014
TripAdvisor IncTRIP US16:30Q2 2014 Earnings CallQ2 2014
Citrix Systems IncCTXS US16:45Q2 2014 Earnings CallQ2 2014
Tractor Supply CoTSCO US17:00Q2 2014 Earnings CallQ2 2014
CA IncCA US17:00Q1 2015 Earnings CallQ1 2015
E*TRADE Financial CorpETFC US17:00Q2 2014 Earnings CallQ2 2014
Varian Medical Systems IncVAR US17:00Q3 2014 Earnings CallQ3 2014
Facebook IncFB US17:00Q2 2014 Earnings CallQ2 2014
Tractor Supply CoTSCO USAft-mktQ2 2014 Earnings ReleaseQ2 20140.947
Crown Castle International CorpCCI USAft-mktQ2 2014 Earnings ReleaseQ2 20140.858
AT&T IncT USAft-mktQ2 2014 Earnings ReleaseQ2 20140.636
CA IncCA USAft-mktQ1 2015 Earnings ReleaseQ1 20150.602
Flowserve CorpFLS USAft-mktQ2 2014 Earnings ReleaseQ2 20140.924
Torchmark CorpTMK USAft-mktQ2 2014 Earnings ReleaseQ2 20141.027
Equifax IncEFX USAft-mktQ2 2014 Earnings ReleaseQ2 20140.943
E*TRADE Financial CorpETFC USAft-mktQ2 2014 Earnings ReleaseQ2 20140.231
Varian Medical Systems IncVAR USAft-mktQ3 2014 Earnings ReleaseQ3 20141.087
Macerich Co/TheMAC USAft-mktQ2 2014 Earnings ReleaseQ2 20140.84
TripAdvisor IncTRIP USAft-mktQ2 2014 Earnings ReleaseQ2 20140.605
Facebook IncFB USAft-mktQ2 2014 Earnings ReleaseQ2 20140.321
AvalonBay Communities IncAVB USAft-mktQ2 2014 Earnings ReleaseQ2 20141.664
Assurant IncAIZ USAft-mktQ2 2014 Earnings ReleaseQ2 20141.544
QUALCOMM IncQCOM US17:45Q3 2014 Earnings CallQ3 2014
Amphenol CorpAPH USQ2 2014 Earnings ReleaseQ2 20141.051