Thursday, December 3rd, 2015View Older Reports
Everything you need to know about the markets in one free daily newsletter.
You will also receive a free subscription to the Barchart family of newsletters.
OVERNIGHT MARKETS AND NEWS
December E-mini S&Ps (ESZ15 +0.49%) are up +0.56% and European stocks are up +1.22% before an expected expansion of ECB stimulus and before Fed Chair Yellen gives another speech later today. Gains in European automakers led the overall market higher as a -0.65% slide in EUR/USD (^EURUSD) to a 7-1/2 month low gives exporters a boost. On the negative side, mining stocks fell with Anglo American Plc at a 16-year low and BHP Billiton Ltd. near a 7-year low, as metals prices retreated with the price of gold (GCG16 -0.36%) down -0.40% to a new 5-3/4 year low. Asian stocks settled mixed: Japan +0.01%, Hong Kong -0.28%, China +1.35%, Taiwan -0.02%, Australia -0.58%, Singapore +0.01%, South Korea -0.78%, India-0.89%. China's Shanghai Composite moved higher for a fourth day on speculation that China will soon expand its stimulus measures.
The dollar index (DXY00 +0.42%) is up +0.40%. EUR/USD (^EURUSD) is down -0.65% at a 7-1/2 month low on anticipation the ECB will expand QE later today. USD/JPY (^USDJPY) is up +0.19%.
Eurozone Oct retail sales fell -0.1% m/m and rose +2.5% y/y, weaker than expectations of +0.2% m/m and +2.6% y/y.
U.S. STOCK PREVIEW
Key U.S. news today includes: (1) Nov Challenger job cuts (Oct -1.3% y/y), (2) weekly initial unemployment claims (expected +8,000 to 268,000, previous -12,000 to 260,000) and continuing claims (expected -17,000 to 2.190 million, previous +34,000 to 2.207 million), (3) final-Nov Markit services PMI (expected unch at 56.5, prelim-Nov +1.7 to 56.5) (4) Fed Chair Janet Yellen addresses the congressional Joint Economic Committee to discuss the economic outlook, (5) Oct factory orders (expected +1.4% and +0.2% ex transportation, Sep -1.0% and -0.6% ex transportation), (6) Nov non-manufacturing ISM (expected -1.1 to 58.0, Oct +2.2 to 59.1), and (7) Fed Vice Chair Stanley Fischer's keynote speech at a conference hosted by the Cleveland Fed and the Treasury’s Office of Financial Research.
There are 8 of the Russell 1000 companies report earnings today: Medtronic (consensus $1.00), Sears Holdings (-2.84), Dollar General (0.87), Michaels Cos (0.36), Toro (0.39), Cooper Cos (2.11), Ulta Salon (1.05), Kroger (0.39).
U.S. IPO's scheduled to price today: none.
Equity conferences during the remainder of this week include: Credit Suisse Global Industrials Conference on Tue-Thu, Credit Suisse Technology, Media & Telecom Conference on Tue-Thu, NASDAQ OMX Group, Inc. Investor Program on Wed-Thu, ASEAN Business Summit on Wed-Thu, Bank of America Merrill Lynch Leveraged Finance Conference on Thu.
OVERNIGHT U.S. STOCK MOVERS
Mallinckrodt PLC (MNK +1.23%) rose over 1% in pre-market trading after the stock was upgraded to 'Overweight' from 'Equalweight' at Morgan Stanley.
Disney (DIS -1.20%) boosted its semi-annual dividend to 71 cents a share from 66 cents.
Avago (AVGO -0.51%) climbed over 8% in pre-market trading after it reported Q4 adjusted EPS of $2.51, higher than consensus of $2.38.
Boyd Gaming (BYD +1.88%) gained over 1% in after-hours trading after Goldman Sachs upgraded the stock to 'Neutral' from 'Sell.'
Dollar General (DG -0.56%) reported Q3 EPS of 88 cents, better than consensus of 87 cents.
Dyax (DYAX -0.83%) jumped over 10% in after-hours trading after it said its deal to acquire Shire Pharmaceuticals International cleared an anti-trust review by the U.S. Federal Trade Commission.
Tilly's (TLYS +0.99%) dropped over 7% in after-hours trading after it reported Q3 adjusted EPS of 16 cents, above consensus of 14 cents, but then lowered guidance on Q4 EPS to 10 cents-12 cents, well below consensus of 21 cents.
PVH Corp. (PVH +1.26%) rallied over 3% in after-hours trading after it reported Q3 adjusted EPS of $2.66, better than consensus of $2.47.
Aeropostale (ARO +5.36%) slid nearly 3% in after-hours trading after it reported a Q3 adjusted EPS loss of -31 cents, a smaller loss than expectations of-34 cents, but then lowered guidance on Q4 EPS to a loss of -4 cents to -17 cents, below consensus of a 2 cent profit.
Verint Systems (VRNT -0.96%) tumbled 5% in after-hours trading after it reported Q3 adjusted EPS of 78 cents, below consensus of 79 cents, and then lowered guidance on fiscal 2016 adjusted EPS to $3.30 from a September estimate of $3.45, below consensus of $3.46.
Synopsys (SNPS -0.91%) reported Q4 adjusted EPS of 67 cents, above consensus of 66 cents, but then lowered guidance on Q1 adjusted EPS to 60 cents-63 cents, below consensus of 72 cents.
American Eagle (AEO +0.25%) rose over 2% in after-hours trading after it reported Q3 adjusted EPS of 35 cents, better than consensus of 34 cents, and said it sees Q4 EPS of 40 cents-42 cents, in line with consensus of 41 cents.
Photronics (PLAB +0.81%) rallied over 5% in after-hours trading after it reported Q4 adjusted EPS of 25 cents, higher than consensus of 19 cents.
Box (BOX +3.28%) fell over 1% in after-hours trading after it reported Q3 adjusted loss of -31 cents, right on consensus, although Q3 revenue of $78.7 million was above consensus of $76.8 million.
MARKET COMMENTS
Dec E-mini S&Ps (ESZ15 +0.49%) this morning are up +11.75 points (+0.56%). Wednesday's closes: S&P 500 -1.10%, Dow Jones -0.89%, Nasdaq-0.63%. The S&P 500 on Wednesday posted a 4-week high but fell back and posted a 1-week low as energy stocks fell after the price of crude oil dropped to a 2-week low, and after hawkish comments from Fed Chair Yellen and Atlanta Fed President Lockhart that solidified expectations for a Fed interest rate increase later this month.
Mar 10-year T-notes (ZNH16 -0.07%) this morning are down -5.5 ticks. Wednesday's closes: TYH6 -7.50, FVH6 -6.75. Mar T-notes closed lower after the Nov ADP employment change rose +217,000, stronger than expectations of +190,000 and the biggest increase in 5 months and after comments from Fed Chair Yellen and Atlanta Fed President Lockhart reinforced expectations for the Fed to begin raising interest rates later this month.
The dollar index (DXY00 +0.42%) this morning is up +0.397 (+0.40%). EUR/USD (^EURUSD) is down -0.0069 (-0.65%) at a fresh 7-1/2 month low. USD/JPY (^USDJPY) is up +0.24 (+0.19%). Wednesday's closes: Dollar Index +0.198 (+0.20%), EUR/USD -0.0018 (-0.17%), USD/JPY +0.37 (+0.30%). The dollar index Wednesday surged to a 12-1/2 year high after Fed Chair Yellen said the U.S. economy is ready for an interest rate increase later this month, and on weakness in EUR/USD which sank to a 7-1/2 month on expectations for the ECB to expand QE Thursday after Eurozone Nov CPI rose less than expected.
Jan crude oil (CLF16 +1.38%) this morning is up +69 cents (+1.73%) and Jan gasoline (RBF16 +0.20%) is up +0.0084 (+0.65%). Wednesday’s closes: CLF6 -1.75 (-4.18%), RBF6 -0.0619 (-4.54%). Jan crude oil and gasoline on Wednesday closed sharply lower with Jan crude at a 2-week low and Jan gasoline at a 1-week low after the dollar index rallied to a 12-1/2 year high and after EIA crude inventories unexpected rose +1.18 million bbl to a 7-month high, more than expectations for a -800,000 bbl draw. Other bearish factors were the +0.4% increase in U.S. crude production to a 3-month high of 9.202 million bpd and the +428,000 bbl increase in crude stockpiles at Cushing, OK, delivery point of WTI futures, to a 6-month high.
GLOBAL EVENT CALENDAR12/03/2015
| US | 0730 ET | Nov Challenger job cuts, Oct -1.3% y/y. |
| 0830 ET | Weekly initial unemployment claims expected +8,000 to 268,000, previous -12,000 to 260,000. Weekly continuing claims expected-17,000 to 2.190 million, previous +34,000 to 2.207 million. | |
| 0830 ET | USDA weekly Export Sales. | |
| 0945 ET | Final-Nov Markit services PMI expected unch at 56.5, prelim-Nov +1.7 to 56.5. Final-Nov Markit composite PMI, prelim Nov +1.1 to 56.1. | |
| 1000 ET | Fed Chair Janet Yellen addresses the congressional Joint Economic Committee to discuss the economic outlook. | |
| 1000 ET | Oct factory orders expected +1.4% and +0.2% ex transportation, Sep -1.0% and -0.6% ex transportation. Revised Oct durable goods orders, prelim-Oct +3.0% m/m and +0.5% ex-transportation. | |
| 1000 ET | Nov non-manufacturing ISM expected -1.1 to 58.0, Oct +2.2 to 59.1. | |
| 1100 ET | Treasury announces amount of 3-year T-notes (previous $24 billion), 10-year T-notes (previous $24 billion) and 30-year T-bonds (previous $16 billion) to be auctioned Dec 8-10. | |
| 1310 ET | Fed Vice Chair Stanley Fischer delivers keynote speech at a conference hosted by the Cleveland Fed and the Treasurys Office of Financial Research. | |
| GER | 0355 ET | Revised German Nov Markit services PMI, preliminary +1.1 to 55.6. |
| EUR | 0400 ET | Revised Eurozone Nov Markit composite PMI, preliminary +0.5 to 54.4. |
| 0500 ET | Eurozone Oct retail sales expected +0.2% m/m and +2.6% y/y, Sep -0.1% m/m and +2.9% y/y. | |
| 0745 ET | ECB announces interest rate decision, expected 10 bp cut in the ECB deposit facility rate to -0.3% from -0.2%. | |
| 0830 ET | ECB President Mario Draghi holds press conference following ECB meeting. | |
| UK | 0430 ET | UK Nov Markit/CIPS services PMI expected +0.1 to 55.0, Oct 54.9. |
| JPN | 2030 ET | Japan Oct labor cash earnings expected +0.5%y/y, Sep +0.4% y/y. Oct real cash earnings, Sep +0.5% y/y. |
U.S. STOCK CALENDAR12/03/2015
| Company | Ticker | Time | Event Description | Period | Estimate |
|---|---|---|---|---|---|
| Sears Holdings Corp | SHLD US | Bef-mkt | Q3 2016 Earnings Release | Q3 2016 | -2.84 |
| Dollar General Corp | DG US | Bef-mkt | Q3 2016 Earnings Release | Q3 2016 | 0.872 |
| Michaels Cos Inc/The | MIK US | Bef-mkt | Q3 2016 Earnings Release | Q3 2016 | 0.362 |
| Sears Holdings Corp | SHLD US | 6:10 | Q3 2016 Earnings Call | Q3 2016 | |
| Medtronic PLC | MDT US | 6:45 | Q2 2016 Earnings Release | Q2 2016 | 1 |
| L Brands Inc | LB US | 7:30 | November 2015 Sales and Revenue Call | 2015 | |
| Medtronic PLC | MDT US | 8:00 | Q2 2016 Earnings Call | Q2 2016 | |
| Anthem Inc | ANTM US | 8:00 | Extraordinary Shareholders Meeting - M&A Vote | Y 2015 | |
| General Electric Co | GE US | 8:30 | Investor Meeting | Y 2015 | |
| Toro Co/The | TTC US | 8:30 | Q4 2015 Earnings Release | Q4 2015 | 0.387 |
| Aflac Inc | AFL US | 9:00 | Q4 2016 Guidance Call | Q4 2016 | |
| Cigna Corp | CI US | 9:00 | Extraordinary Shareholders Meeting - M&A Vote | Y 2015 | |
| PVH Corp | PVH US | 9:00 | Q3 2016 Earnings Call | Q3 2016 | |
| Xcel Energy Inc | XEL US | 9:00 | Investor Meeting | Y 2015 | |
| CBRE Group Inc | CBG US | 9:00 | Analyst Meeting | Y 2015 | |
| Marathon Petroleum Corp | MPC US | 9:00 | Analyst & Investor Day | Y 2015 | |
| Michaels Cos Inc/The | MIK US | 9:00 | Q3 2016 Earnings Call | Q3 2016 | |
| Skechers U.S.A. Inc | SKX US | 9:30 | Investor and Analyst Meeting | Y 2015 | |
| Kroger Co/The | KR US | 10:00 | Q3 2016 Earnings Call | Q3 2016 | |
| Principal Financial Group Inc | PFG US | 10:00 | Q4 2016 Guidance Call | Q4 2016 | |
| Dollar General Corp | DG US | 10:00 | Q3 2016 Earnings Call | Q3 2016 | |
| Toro Co/The | TTC US | 11:00 | Q4 2015 Earnings Call | Q4 2015 | |
| Alaska Air Group Inc | ALK US | 12:00 | Investor Day | Y 2015 | |
| TECO Energy Inc | TE US | 14:00 | Extraordinary Shareholders Meeting | Y 2015 | |
| Cooper Cos Inc/The | COO US | 17:00 | Q4 2015 Earnings Call | Q4 2015 | |
| Ulta Salon Cosmetics & Fragrance Inc | ULTA US | 17:00 | Q3 2016 Earnings Call | Q3 2016 | |
| Cooper Cos Inc/The | COO US | Aft-mkt | Q4 2015 Earnings Release | Q4 2015 | 2.107 |
| Ulta Salon Cosmetics & Fragrance Inc | ULTA US | Aft-mkt | Q3 2016 Earnings Release | Q3 2016 | 1.051 |
| Gap Inc/The | GPS US | November 2015 Sales and Revenue Release | 2015 | ||
| Kroger Co/The | KR US | Q3 2016 Earnings Release | Q3 2016 | 0.392 | |
| L Brands Inc | LB US | November 2015 Sales and Revenue Release | 2015 |
No comments:
Post a Comment