Morning Call 10/9

Barchart Morning Call

Barchart.com - Mon Oct 9, 6:47AM CDT

OVERNIGHT MARKETS AND NEWS

Dec E-mini S&Ps (ESZ17 +0.19%) this morning are up +0.16% and European stocks are up +0.04% at a 4-1/2 month high on signs the global economic recovery can continue. German Aug industrial production jumped +2.6% m/m, the biggest increase in 6-years, and Eurozone Oct Sentix investor confidence rose +1.5 to 29.7, a 10-1/4 year high. Also, the crisis in Spain eased as Spain's IBEX Stock Index is up +0.67% after a senior member of the Catalan administration called for dialogue with Spain. Turkey's ISE Stock Index slumped -3.05% and the Turkish lira fell to an 8-1/2 month low against the dollar as a diplomatic spat between the two countries escalated after both the U.S. and Turkey suspended visa services for citizens looking to visit the other country. Asian stocks settled mostly higher: Japan, Taiwan and South Korea closed for holiday. Hong Kong -0.46%, China +0.76%, Australia +0.50%, Singapore +0.01%, India +0.10%. China's Shanghai Composite rallied to a 1-3/4 year high as it reopened following a week long holiday, although prices fell back from their best levels as real estate companies retreated after the Economic Information Daily said that new home sales declined in Beijing and Shanghai during the week-long National Day holiday.

The dollar index (DXY00 -0.14%) is down -0.12%. EUR/USD (^EURUSD) is up +0.14%. USD/JPY (^USDJPY) is down -0.02%.

Dec 10-year T-note prices (ZNZ17 +0.02%) are up +2.5 ticks.

The Eurozone Oct Sentix investor confidence rose +1.5 to 29.7, stronger than expectations of +0.3 to 28.5 and the highest in 10-1/4 years.

German Aug industrial production rose +2.6% m/m, stronger than expectations of +0.9% m/m and the biggest increase in 6-years.

Boston Fed President Rosengren said, "Low inflation readings have provided monetary policy makers the opportunity to take a more patient approach to removing accommodation than in recent recoveries, however, failing to respond to very tight labor markets with rates remaining negative in real terms could potentially risk unnecessarily shortening the economic recovery."

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) U.S. government offices and cash Treasury trading closed for Columbus Day but exchanges are open.

Notable Russell 1000 earnings reports today include: none.

U.S. IPO's scheduled to price today: none.

Equity conferences this week: Cerner Health Conference on Mon-Wed, HR Technology Conference on Tue-Fri, National HUBZone Conference on Thu.

OVERNIGHT U.S. STOCK MOVERS

E*TRADE Financial (ETFC -2.36%) was upgraded to 'Buy' from 'Neutral' at Bank of America/Merrill Lynch with a price target of $49.

Yelp (YELP +0.73%) was downgraded to 'Neutral' from 'Overweight' at Cantor Fitzgerald.

Morgan Stanley (MS +0.26%) was upgraded to 'Outperform' from 'Neutral' at Credit Suisse with a price target of $54.

Activision Blizzard (ATVI +0.25%) was downgraded to 'Market Perform' from 'Outperform' at Cowen.

Humana (HUM +0.63%) was downgraded to 'Neutral' from 'Overweight' at JP Morgan Chase.

Goldman Sachs (GS -0.02%) was downgraded to 'Neutral' from 'Outperform' at Credit Suisse.

Express Scripts Holdings (ESRX -2.58%) may open lower this morning after it was downgraded to 'Underperform' from 'Market Perform' at Raymond James.

Viacom (VIA -0.98%) slid over 3% in pre-market trading after it was downgraded to 'Sell' from 'Neutral' at Citigroup who said that Viacom faces the "acute" risk that Charter Communications will stop carrying its content.

Tesla (TSLA +0.44%) fell -0.5% in after-hours trading after CEO Musk tweeted that that the unveiling of its semi-truck would be pushed back to Nov 16 from Oct 26 as the company diverts resources to fix Model 3 bottlenecks and increase battery production for Puerto Rico.

Medtronic Plc (MDT +0.38%) fell 2% in after-hours trading when it said that its Q2 quarterly revenue and earnings would be hurt by $250 million from the impact of Hurricane Maria.

Pershing Square said it cut its stake in Mondelez (MDLZ +0.07%) to 4.97% from a 5.60% stake reported on Sep 27.

Morgan Stanley cut its passive stake in Blue Apron (APRN -1.32%) to 1.4% from a 5.31% stake reported in Aug 2.

MARKET COMMENTS

Dec S&P 500 E-mini stock futures (ESZ17 +0.19%) this morning are up +4.00 points (+0.16%). Friday's closes: S&P 500 -0.11%, Dow Jones -0.01%, Nasdaq +0.12%. The S&P 500 on Friday closed lower on the unexpected decline in U.S. Sep non-farm payrolls by -33,000, which was weaker than expectations of +80,000 and the biggest decline in 7 years. Stocks were also undercut by ramped up expectations for a Fed rate hike in December after U.S. Sep average hourly earnings rose +2.9% y/y, stronger than expectations of +2.6% y/y and the largest year-on-year increase in 8-1/4 years. There were also increased geopolitical tensions that fueled long liquidation in stocks after Russia's news agency reported that North Korea might test a long-range ballistic missile over the weekend.

Dec 10-year T-note prices (ZNZ17 +0.02%) this morning are up +2.5 ticks. Friday's closes: TYZ7 -4.00, FVZ7 -3.25. Dec 10-year T-notes on Friday tumbled to a 5-3/4 month nearest futures low and closed lower on the stronger-than-expected +2.9% y/y increase in U.S. Sep average hours earnings, the most in 8-1/4 years, which bolsters the case for a Fed rate hike in December. There was also an increase in inflation expectations after the 10-year T-note breakeven inflation rate rose to a 1-week high. T-notes recovered most of their losses on increased safe-haven demand after the Russian news agency reported that North Korea plans to test a long-range ballistic missile this weekend.

The dollar index (DXY00 -0.14%) this morning is down -0.11 (-0.12%). EUR/USD (^EURUSD) is up +0.0017 (+0.14%) and USD/JPY (^USDJPY) is down -0.02 (-0.02%). Friday's closes: Dollar Index -0.161 (-0.17%), EUR/USD +0.0019 (+0.16%), USD/JPY -0.17 (-0.15%). The dollar index on Friday fell back from a 2-1/4 month high and closed lower on increased safe-haven demand for the yen after Russia's news agency reported that North Korea would test a long-range missile over the weekend. The dollar was also undercut by dovish comments from Dallas Fed President Kaplan who said, "he's not there yet" on a Fed rate hike in Dec. The dollar rallied to a 2-1/4 month high early after U.S. Sep average hourly earnings rose +2.9% y/y, the largest year-on-year increase in 8-1/4 years, which was hawkish for Fed policy.

Nov crude oil (CLX17 +0.18%) this morning is down -1 cents (-0.02%) and Nov gasoline (RBX17 -0.91%) is -0.0179 (-1.15%). Friday's closes: Nov WTI crude -1.50 (-2.95%), Nov gasoline -0.0526 (-3.26%). Nov crude oil and gasoline on Friday closed lower with Nov crude at a 3-week low. Crude oil prices were undercut by updated weather forecasts that call for Tropical Storm Nate to move away from the bulk of the U.S. oil production rigs in the Gulf of Mexico before it makes landfall on the Gulf Coast Sunday. Crude oil prices were also undercut by the sharp decline in the crack spread, which reduces the incentive for refineries to purchase crude oil to refine into gasoline.

Metals prices this morning are mixed with Dec gold (GCZ17 +0.75%) +10.4 (+0.82%) at a 1-week high, Dec silver (SIZ17+0.83%) +0.16 (+0.95%) at a 1-1/2 week high and Dec copper (HGZ17 -0.12%) -0.005 (-0.17%). Friday's closes: Dec gold +1.7 (+0.13%), Dec silver +0.152 (+0.91%), Dec copper -0.0175 (-0.57%). Metals on Friday settled mixed. Precious metals prices were boosted by increased safe-haven demand after Russia's news agency reported that North Korea would test a ballistic missile over the weekend. Copper was boosted by the -2,675 MT decline in LME copper inventories to a 3-week low. Metals prices were undercut by the stronger-than-expected U.S. Sep hourly earnings report of +2.9% y/y that bolstered the case for a Fed interest rate increase at the Dec FOMC meeting.

GLOBAL EVENT CALENDAR10/09/2017

		Monday, Oct 9
US	n/a	U.S. government offices and cash Treasury trading closed for Columbus Day. Exchanges open.
		Tuesday, Oct 10
US	1000 ET	Minneapolis Fed President Neel Kashkari (voter) speaks at a regional economic conference hosted by his bank.
	1100 ET	USDA weekly grain export inspections.
	1600 ET	USDA crop conditions and progress report.
	2000 ET	Dallas Fed President Robert Kaplan (voter) speaks in a moderated Q&A at a Stanford Institute for Economic Policy Research Associates Meeting.

U.S. STOCK CALENDAR10/09/2017

Name	Ticker	Time	Description	Period	Estimate
Wal-Mart Stores Inc	WMT US		Investment Community Meeting Day - 1

MORNING CALL 5/12

MORNING CALL

Thursday, May 12th, 2016View Older Reports

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OVERNIGHT MARKETS AND NEWS

Jun E-mini S&Ps (ESM16 +0.57%) are up +0.60% and European stocks are up +0.95% as a +0.89% rally in Jun WTI crude oil (CLM16 +0.82%) to a 1-1/2 week high lifts energy producing stocks. Crude oil is higher after the IEA cut its global crude oil surplus estimate for the first half of 2016 to 1.3 million bpd from 1.5 million bpd forecast last month, citing robust demand in India and other emerging markets. European stocks rose despite an unexpected decline in Eurozone Mar industrial production. Asian stocks settled mixed: Japan +0.41%, Hong Kong -0.70%, China -0.04%, Taiwan-0.34%, Australia -0.24%, Singapore +0.46%, South Korea -0.30%, India +0.75%. Gains in Japanese stocks were held back by a -1.4% drop in Toyota after the automaker forecast its yearly profit will probably decline for the first time in 5 years.

The dollar index (DXY00 +0.26%) is up +0.26%. EUR/USD (^EURUSD) is down -0.27%% after Eurozone Mar industrial production unexpectedly fell. USD/JPY (^USDJPY) is up +0.73%.

Jun T-note prices (ZNM16 -0.17%) are down -7.5 ticks.

As expected, the BOE kept its benchmark rate unchanged at 0.50% and maintained its asset purchase target at 375 billion pounds following today's policy meeting. The BOE also cut its UK 2016 GDP forecast to 2.0% from a 2.2% estimate in Feb, citing uncertainty regarding next month's referendum on whether the UK will remain in the European Union.

Eurozone Mar industrial production unexpectedly fell -0.8% m/m, weaker than expectations of no change.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) weekly initial unemployment claims (expected -4,000 to 270,000, previous +17,000 to 274,000) and continuing claims (expected -1,000 to 2.120 million, previous -8,000 to 2.121 million), (2) Apr import price index (expected +0.6% m/m and -5.4% y/y, Mar +0.2% m/m and-6.2% y/y), (3) Cleveland Fed President Loretta Mester speaks on monetary policy and inflation dynamics at an event in Reichenau Island, Germany, (4) Boston Fed President Eric Rosengren delivers luncheon speech to the Great Concord Chamber in Concord, NH, (5) the Treasury auction of $15 billion of 30-year T-bonds, (6) Kansas City Fed President Esther George speaks about the U.S. economy to business and community leaders in Albuquerque, NM, and (7) USDA weekly Export Sales.

There are 6 of the Russell 1000 companies that report earnings today: Kohl's (consensus $0.37), Perrigo (1.72), Ralph Lauren (0.83), NVIDIA (0.41), Nordstrom (0.46), Symantec (0.22).

U.S. IPO's scheduled to price today: Oncobiologics (ONS), Cancer Prevention Pharmaceuticals (CPP), Acacia Communications (ACIA).

Equity conferences during the remainder of this week include: Bank of America Merrill Lynch Health Care Conference on Tue-Thu, Jefferies Technology, Media and Telecom Conference on Wed-Thu, Mitsubishi UFJ Oil & Gas Conference on Thu, Morgan Stanley Refining Corporate Access Day on Thu, RBC Capital Markets Aerospace & Defense Investor Day on Thu.

OVERNIGHT U.S. STOCK MOVERS

Jack in the Box (JACK -5.24%) jumped 11% in pre-market trading after it reported Q2 adjusted operating EPS of 85 cents, higher than consensus of 70 cents.

Berry Plastics Group (BERY +2.32%) was rated a new 'Buy' at Goldman Sachs.

Weight Watchers International (WTW -0.88%) climbed over 1% in after-hours trading after Oprah Winfrey was elected to a 2-year term on the company's board.

Janus Capital Group (JNS -2.05%) was downgraded to 'Market Perform' from 'Outpeform' at Wells Fargo Securities.

St. Jude Medical (STJ +0.23%) was downgraded to 'Neutral' from 'Buy' at UBS.

Kohl's (KSS -6.02%) slid over 4% in pre-market trading after it reported Q1 EPS of 31 cents, below consensus of 37 cents.

Owens-Illinois (OI +0.57%) was rated a new 'Sell' by Goldman Sachs.

SINA Corp/China (SINA +0.67%) dropped over 4% in after-hours trading after it reported a Q1 adjusted EPS loss of -4 cents, a wider loss than consensus of -3 cents.

Weibo (WB -0.43%) rose nearly 3% in after-hours trading after it reported Q1 adjusted EPS of 7 cents, better than consensus of 4 cents.

Spin Master (SNMSF +2.40%) reported Q1 adjusted EPS of 12 cents, double consensus of 6 cents.

CA Inc. (CA -0.63%) gained 3% in after-hours trading after it reported Q4 adjusted continuing operations EPS of 60 cents, higher than consensus of 57 cents, and said it sees fiscal 2017 adjusted EPS continuing operation of $2.51-$2.56, above consensus of $2.49.

Loxo Oncology (LOXO -5.36%) dropped over 4% in after-hours trading after it announced a public equity offering. Price, volume and terms have yet to be announced.

MARKET COMMENTS

June E-mini S&Ps (ESM16 +0.57%) this morning are up +12.25 points (+0.60%). Wednesday's closes: S&P 500 -0.96%, Dow Jones -1.21%, Nasdaq-0.93%. The S&P 500 on Wednesday closed lower on carryover weakness from a slide in European stocks on concern about the health of the European banking sector after ABN Amro Group NV reported a -13% decline in Q1 profits. U.S. stocks were also undercut by weakness in U.S. retail stocks led by a -15% plunge in Macy's, the largest U.S department store company, after it reported weaker-than-expected Q1 revenue and cut its profit forecast for this year.

June 10-year T-note prices (ZNM16 -0.17%) this morning are down -7.5 ticks. Wednesday's closes: TYM6 +4.00, FVM6 +0.25. Jun T-notes on Wednesday closed higher on increased safe-haven demand with the weakness in stocks and on strong demand for the Treasury's $23 billion 10-year T-note auction where indirect bidders, a proxy for foreign buyers, purchased a record 73.5% of the auction, higher than the 12-auction average of 60.7%.

The dollar index (DXY00 +0.26%) this morning is up +0.244 (+0.26%). EUR/USD (^EURUSD) is down -0.0031 (-0.27%). USD/JPY (^USDJPY) is up +0.79 (+0.73%). Wednesday's closes: Dollar Index -0.467 (-0.50%), EUR/USD +0.0054 (+0.47%), USD/JPY -0.86 (-0.79%). The dollar index on Wednesday closed lower on strength in the currencies of the oil-exporting countries of Canada and Russia after the price of crude oil jumped +3%.

June WTI crude oil (CLM16 +0.82%) this morning is up +41 cents (+0.89%) at a 1-1/2 week high. June gasoline (RBM16 -0.13%) is up +0.0002 (+0.01%). Wednesday's closes: CLM6 +1.33 (+2.98%), RBM6 +0.0849 (+5.71%). Jun crude and gasoline on Wednesday posted 1-week highs and closed higher on a weaker dollar, the unexpected -3.41 million bbl decline in EIA crude inventories (vs expectations of +750,000 bbl), and the -0.3%drop in U.S. crude output in the week ended May 6 to a 1-1/2 year low of 8.802 million bpd.

GLOBAL EVENT CALENDAR05/12/2016

US	0830 ET	Weekly initial unemployment claims expected -4,000 to 270,000, previous +17,000 to 274,000. Weekly continuing claims expected-1,000 to 2.120 million, previous -8,000 to 2.121 million.
	0830 ET	Apr import price index expected +0.6% m/m and -5.4% y/y, Mar +0.2% m/m and -6.2% y/y.
	0830 ET	USDA weekly Export Sales.
	1100 ET	Cleveland Fed President Loretta Mester speaks on monetary policy and inflation dynamics at an event in Reichenau Island, Germany.
	1100 ET	Treasury announces amount of 10-year TIPS to be auctioned May 19.
	1145 ET	Boston Fed President Eric Rosengren delivers luncheon speech to the Great Concord Chamber in Concord, NH.
	1300 ET	Treasury auctions $15 billion 30-year T-bonds.
	1330 ET	Kansas City Fed President Esther George speaks about the U.S. economy to business and community leaders in Albuquerque, NM.
JPN	0030 ET	Japan Apr bankruptcies, Mar -13.15% y/y.
	0100 ET	Japan Apr eco-watchers survey current expected -1.4 to 44.0, Mar 45.4. Apr eco-watchers survey outlook expected -0.5 to 46.2, Mar 46.7.
GER	0200 ET	German Apr wholesale price index, Mar +0.3% m/m and -2.6% y/y.
EUR	0500 ET	Eurozone Mar industrial production expected unch m/m and +0.9% y/y, Feb -0.8% m/m and +0.8% y/y.
UK	0700 ET	BOE announces interest rate decision and asset purchase target, expected no change to the 0.50% benchmark rate or to the 375 billion-pound asset purchase target.

U.S. STOCK CALENDAR05/12/2016

Company	Ticker	Time	Event Description	Period	Estimate
Kohl's Corp	KSS US	Bef-mkt	Q1 2017 Earnings Release	Q1 2017	0.37
Perrigo Co PLC	PRGO US	6:00	Q1 2016 Earnings Release	Q1 2016	1.721
WW Grainger Inc	GWW US	8:00	April 2016 Sales and Revenue Call	2016
WW Grainger Inc	GWW US	8:00	April 2016 Sales and Revenue Release	2016
Perrigo Co PLC	PRGO US	8:00	Q1 2016 Earnings Call	Q1 2016
Principal Financial Group Inc	PFG US	8:00	Roadshow - Paris	Y 2016
Ralph Lauren Corp	RL US	8:00	Q4 2016 Earnings Release	Q4 2016	0.833
Ford Motor Co	F US	8:30	Annual General Meeting
Kohl's Corp	KSS US	8:30	Q1 2017 Earnings Call	Q1 2017
E*TRADE Financial Corp	ETFC US	8:30	Annual General Meeting	Y 2016
Ralph Lauren Corp	RL US	9:00	Q4 2016 Earnings Call	Q4 2016
EMC Corp/MA	EMC US	10:00	Annual General Meeting	Y 2016
Owens-Illinois Inc	OI US	10:00	Annual General Meeting
Cimarex Energy Co	XEC US	10:00	Annual General Meeting
Discover Financial Services	DFS US	10:00	Annual General Meeting	Y 2016
Apache Corp	APA US	11:00	Annual General Meeting	Y 2016
Exxon Mobil Corp	XOM US	11:00	Executive Compensation Update Call
Torchmark Corp	TMK US	11:00	Annual General Meeting	Y 2016
Transocean Ltd	RIG US	11:00	Annual General Meeting	Y 2016
Valero Energy Corp	VLO US	11:00	Annual General Meeting	Y 2016
CF Industries Holdings Inc	CF US	11:00	Annual General Meeting
Union Pacific Corp	UNP US	13:00	Annual General Meeting
Invesco Ltd	IVZ US	13:00	Annual General Meeting
Edwards Lifesciences Corp	EW US	13:00	Annual General Meeting
NVIDIA Corp	NVDA US	16:20	Q1 2017 Earnings Release	Q1 2017	0.407
Nordstrom Inc	JWN US	16:45	Q1 2017 Earnings Call	Q1 2017
Symantec Corp	SYMC US	17:00	Q4 2016 Earnings Call	Q4 2016
NVIDIA Corp	NVDA US	17:00	Q1 2017 Earnings Call	Q1 2017
Nordstrom Inc	JWN US	Aft-mkt	Q1 2017 Earnings Release	Q1 2017	0.456
Symantec Corp	SYMC US	Aft-mkt	Q4 2016 Earnings Release	Q4 2016	0.22
Dow Chemical Co/The	DOW US		Annual General Meeting
Host Hotels & Resorts Inc	HST US		Annual General Meeting
Norfolk Southern Corp	NSC US		Annual General Meeting - Proxy Fight
UDR Inc	UDR US		Annual General Meeting
AutoNation Inc	AN US		Annual General Meeting	Y 2016
Waste Management Inc	WM US		Annual General Meeting
Western Union Co/The	WU US		Annual General Meeting
CH Robinson Worldwide Inc	CHRW US		Annual General Meeting
Sempra Energy	SRE US		Annual General Meeting
Assurant Inc	AIZ US		Annual General Meeting
Zoetis Inc	ZTS US		Annual General Meeting	Y 2016

MORNING CALL 1/22

MORNING CALL

Friday, January 22nd, 2016View Older Reports

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OVERNIGHT MARKETS AND NEWS

March E-mini S&Ps (ESH16 +1.44%) are up sharply by +1.48% and European stocks are up +2.75% on speculation central banks around the world will act to support the global economy. ECB President Draghi on Thursday hinted at expanding stimulus at next month's ECB meeting, while the Nikkei Asian Review reported today that the BOJ is considering additional easing at next week's BOJ meeting. Energy producers and mining stocks are higher with Chevron and Freeport-McMoRan both up over 2% in pre-market trading as the price of crude oil and copper rallied. Asian stocks settled higher: +5.88%, Hong Kong +2.90%, China +1.25%, Taiwan +1.20%, Australia +1.07%, Singapore +1.75%, South Korea +2.23%, India +1.98%. Chinese stocks rallied on speculation of further stimulus by the PBOC after China's vice president Li Yuanchao said the government is willing to intervene to tap down market volatility, while Japanese stocks surged as the yen fell to a 1-week low against the dollar, which boosted exporters.

The dollar index is up +0.22%. EUR/USD is down -0.39%. USD/JPY is up +0.41% at a 1-week high as he rally in global equities reduces the safe-haven demand for the yen.

Mar T-note prices are down -14.5 ticks.

The Nikkei Asian Review reported that the BOJ is considering steps to counter the hit to inflation from the recent plunge in crude oil. The BOJ meets on Jan 28-29 and the report bolsters speculation the BOJ will expand easing measures.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) Dec Chicago Fed national activity index (expected +0.15 to -0.15, Nov -0.13 to -0.30), (2) Markit preliminary-Jan U.S. manufacturing PMI (expected -0.2 to 51.0, Dec -1.6 to 51.2), (3) Dec existing home sales (expected +9.2% to 5.20 million, Nov -10.5% to 4.76 million), and (4) Dec leading indicators (expected -0.1%, Nov +0.4%).

There are 6 of the S&P 500 companies that report earnings today: GE (consensus $0.49), Kansas City Southern (1.10), SunTrust Banks (0.87), Synchrony Financial (0.63), Rockwell Collins (1.04), Legg Mason (0.70).

U.S. IPO's scheduled to price today: none.

Equity conferences during the remainder of this week: none.

OVERNIGHT U.S. STOCK MOVERS

Schlumberger (SLB +0.64%) gained almost 4% in pre-market trading after it reported Q4 adjusted EPS of 65 cents, better than consensus of 63 cents.

MetLife (MET +1.16%) was upgraded to 'Strong Buy' from 'Market Perform' at Raymond James with a 12-month price target of $56.

Dr Pepper Snapple (DPS -0.28%) was upgraded to 'Ourperform' from 'Underperform' at CLSA.

Boeing (BA +1.03%) fell over 1% in after-hours trading after it said it will cut its 747 production rate to 0.5/month from a planned 1.0/month.

Starbucks (SBUX +3.71%) fell over 3% in after-hours trading after it reported Q1 revenue of $5.37 billion, below consensus of $5.39 billion.

Maxim Integrated (MXIM -0.42%) rose nearly 2% in after-hours trading after it reported fiscal year Q2 revenue of $510.8 million, above consensus of $505.1 million.

Intuitive Surgical (ISRG +0.19%) climbed almost 1% in after-hours trading after it reported Q4 adjusted EPS of $5.89, well above consensus of $5.04.

American Express (AXP -0.62%) slipped over 4% in after-hours trading after it said it is targeting 2017 fiscal EPS at least $5.60, less than estimates of $5.96.

ResMed (RMD +0.52%) rose over 1% in after-hours trading after it reported Q2 adjusted EPS of 69 cents, higher than consensus of 66 cents.

Digi International (DGII +0.48%) fell over 9% in after-hours trading after it lowered guidance on Q2 profit continuing operations to 3 cents-7 cents, below consensus of 9 cents.

E*Trade Financial (ETFC -0.12%) dropped nearly 3% in after-hours trading after it reported total Q4 net revenue of $454 million, below consensus of $454.5 million.

8x8 Inc. (EGHT +1.27%) jumped over 5% in after-hours trading after it reported Q3 adjusted EPS of 5 cents, higher than consensus of 3 cents.

Cardiovascular Systems (CSII -2.35%) slumped over 20% in after-hours trading after it lowered guidance on Q3 revenue to $40.5 million-$42.0 million, below consensus of $45.8 million.

MARKET COMMENTS

Mar E-mini S&Ps (ESH16 +1.44%) this morning are up sharply by +27.50 points (+1.48%). Thursday's closes: S&P 500 +0.52%, Dow Jones +0.74%, Nasdaq +0.15%. The S&P 500 on Thursday closed higher on strength in energy producers as crude oil prices rose and on carryover support from a rally in European equities after ECB President Draghi said that downside risks have increased and the ECB may need to boost stimulus measures at next month's policy meeting. On the bearish side, U.S. weekly jobless claims unexpectedly rose +10,000 to a 6-1/4 month high of 293,000, indicating a weaker labor market than expected.

Mar 10-year T-notes (ZNH16 -0.35%) this morning are down -14.5 ticks. Thursday's closes: TYH6 -6.50, FVH6 -2.00. Mar T-notes on Thursday closed lower on a rebound in stock prices that reduced safe-haven demand for T-notes. T-notes saw support from (1) carryover support from a rally in German bunds to a 2-3/4 month high after ECB President Draghi hinted at additional stimulus at next month's ECB meeting, and (2) the unexpected increase in U.S. weekly jobless claims to a 6-1/4 month high.

The dollar index (DXY00 +0.26%) this morning is up +0.214 (+0.22%). EUR/USD (^EURUSD) is down -0.0042 (-0.39%). USD/JPY (^USDJPY) is up +0.48 (+0.41%) at a 1-week high. Thursday's closes: Dollar Index -0.035 (-0.04%), EUR/USD -0.0016 (-0.15%), USD/JPY +0.76 (+0.65%). The dollar index on Thursday jumped to a 1-1/2 month high but fell back and closed little changed. The dollar received a boost as EUR/USD fell to a 2-week low on signs the ECB may expand stimulus after ECB President Draghi said that "downside risks have increased" and that the ECB will consider its options at next month's policy meeting. Meanwhile, USD/JPY saw some reduced safe-haven demand for the yen after the stock market rallied.

Mar crude oil (CLH16 +4.94%) this morning is up +$1.58 a barrel (+5.35%) and Mar gasoline (RBH16 +4.08%) is up +0.0477 (+4.52%). Thursday's closes: CLH6 +1.50 (+5.29%), RBH6 +0.0201 (+1.93%). Mar crude oil and gasoline on Thursday closed higher on comments from ECB President Draghi who said the ECB may bolster stimulus measures next month and on short-covering after crude oil prices plunged by over 22% in the past 2 weeks. Crude oil prices were undercut by the +3.98 million bbl increase in weekly EIA crude inventories, more than expectations of +2.5 million bbl, and the +4.563 million bbl increase in EIA gasoline supplies to a 15-3/4 year high of 245 million bbl.

GLOBAL EVENT CALENDAR01/22/2016

US	0830 ET	Dec Chicago Fed national activity index expected +0.15 to -0.15, Nov -0.13 to -0.30.
	0830 ET	USDA weekly Export Sales.
	0945 ET	Preliminary U.S. Jan Markit manufacturing PMI expected -0.2 to 51.0, Dec -1.6 to 51.2.
	1000 ET	Dec existing home sales expected +9.2% to 5.20 million, Nov -10.5% to 4.76 million.
	1000 ET	Dec leading indicators expected -0.1%, Nov +0.4%.
	1500 ET	USDA Dec Cold Storage.
	1500 ET	USDA Jan Cattle on Feed.
GER	0330 ET	German Jan Markit/BME manufacturing PMI expected -0.2 to 53.0, Dec 53.2.
	0330 ET	German Jan Markit services PMI expected -0.5 to 55.5, Dec 56.0.
EUR	0400 ET	Eurozone Jan Markit manufacturing PMI expected -0.2 to 53.0, Dec 53.2. Jan Markit composite PMI expected 0.2 to54.1.
UK	0430 ET	UK Dec retail sales ex auto fuel expected -0.3% m/m and +3.5% y/y, Nov +1.7% m/m and +3.9% y/y.
	0430 ET	UK Dec retail sales including auto fuel expected -0.3% m/m and +4.4% y/y, Nov +1.7% m/m and +5.0% y/y.
	0430 ET	UK Dec public sector net borrowing expected +10.0 billion pounds, Nov +13.6 billion pounds.

U.S. STOCK CALENDAR01/22/2016

Company	Ticker	Time	Event Description	Period	Estimate
General Electric Co	GE US	Bef-mkt	Q4 2015 Earnings Release	Q4 2015	0.494
Kansas City Southern	KSU US	Bef-mkt	Q4 2015 Earnings Release	Q4 2015	1.101
SunTrust Banks Inc	STI US	Bef-mkt	Q4 2015 Earnings Release	Q4 2015	0.867
Synchrony Financial	SYF US	Bef-mkt	Q4 2015 Earnings Release	Q4 2015	0.633
Rockwell Collins Inc	COL US	6:30	Q1 2016 Earnings Release	Q1 2016	1.044
Legg Mason Inc	LM US	7:00	Q3 2016 Earnings Release	Q3 2016	0.7
SunTrust Banks Inc	STI US	8:00	Q4 2015 Earnings Call	Q4 2015
General Electric Co	GE US	8:30	Q4 2015 Earnings Call	Q4 2015
Legg Mason Inc	LM US	8:30	Q3 2016 Earnings Call	Q3 2016
Synchrony Financial	SYF US	8:30	Q4 2015 Earnings Call	Q4 2015
Kansas City Southern	KSU US	8:45	Q4 2015 Earnings Call	Q4 2015
Schlumberger Ltd	SLB US	9:00	Q4 2015 Earnings Call	Q4 2015
Rockwell Collins Inc	COL US	9:00	Q1 2016 Earnings Call	Q1 2016
Legg Mason Inc	LM US		Investor Day	Y 2016

BARCHART MORNING CALL 10/20

BARCHART MORNING CALL

Monday, October 20th, 2014View Older Reports

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OVERNIGHT MARKETS AND NEWS

December E-mini S&Ps (ESZ14 -0.12%) this morning are down -0.07% after IBM missed on Q3 revenue estimates and European stocks are down -1.28% as SAP SE dropped over 5% after it cut its full-year profit forecast and Royal Philips slid over 4% after it reported Q3 sales and profits that were weaker-than-expected. Asian stocks closed higher: Japan +3.98%, Hong Kong +0.20%, China +0.53%, Taiwan +1.77%, Australia +0.91%, Singapore +0.42%, South Korea +1.69%, India +1.23%. Japanese stocks rallied sharply after the Nikkei newspaper reported that Japan's $1.2 trillion Government Pension Investment Fund will increase its allocation target for local stocks to about 25% from the current 12%. Chinese stocks gained after a government official said the PBOC is planning to inject about 200 billion yuan ($32.7 billion) into banks to help them prepare for year-end liquidity needs and as Communist leaders gather for a plenum that may further economic and social reforms in an attempt to spur economic growth. Commodity prices are mixed. Nov crude oil (CLX14 +0.35%) is up +0.05%. Nov gasoline (RBX14 +0.03%) is down -0.14%. Dec gold (GCZ14 +0.51%) is up +0.30%. Dec copper (HGZ14 -0.92%) is down -1.03%. Agriculture prices are lower on speculation dry weather in the Midwest sped up the pace of the U.S. harvest. The dollar index (DXY00 -0.03%) is up +0.03%. EUR/USD (^EURUSD) is up +0.20%. USD/JPY (^USDJPY) is down -0.02%. Dec T-note prices (ZNZ14 -0.07%) are down -2 ticks.
German Sep PPI was unchanged m/m and down -1.0% y/y, right on expectations. German producer prices have now held steady or fallen for 10 consecutive months and the -1.0% y/y drop was the largest year-over-year decline in 8 months.
The UK Oct Rightmove house prices rose +2.6% m/m, the largest increase in 5 months, and on an annual basis rose +7.6% y/y.
Japan Sep nationwide department store sales fell -0.7% y/y, the sixth consecutive month of year-over-year declines.
The Japan leading index CI was revised upward to 104.4 from the originally reported 104.0. The Aug coincident index was revised downward to 108.3 from the originally reported 108.5, the lowest level in 13 months.

U.S. STOCK PREVIEW

There are no U.S. economic reports today.  There are 10 of the S&P 500 companies that report earnings today:  Apple (consensus $1.30), IBM (4.32), Gannett (0.55), Genuine Parts (1.24), Halliburton (1.10), Hasbro (1.45), VF Corp (1.10), Texas Instruments (0.71), Chipotle (3.83), Zions Bancorporate (0.44).  Equity conferences this week include:  LME Metals Seminar 2014 on Monday, and Latin Markets Private Wealth Latin America and the Caribbean Forum on Thu.

OVERNIGHT U.S. STOCK MOVERS

International Business Machines (IBM +1.23%) reported Q3 EPS of $3.68, well below consensus of $4.32.
Halliburton (HAL +2.79%) reported Q3 EPS of $1.19, better than consensus of $1.10.
Hasbro (HAS -0.66%) reported Q3 EPS of $1.46, higher than consensus of $1.45.
E-Trade (ETFC +1.21%) was upgraded to 'Conviction Buy' from 'Buy' at Goldman Sachs.
Freeport McMoRan (FCX +0.33%) was upgraded to 'Neutral' from 'Sell' at Citigroup.
Newmont Mining (NEM -1.41%) was upgraded to 'Buy' from 'Neutral' at Citigroup.
Cliffs Natural (CLF -8.00%) downgraded to 'Sell' from 'Neutral' at Citigroup.
Swift Transport (SWFT +4.02%) was upgraded to 'Buy' from 'Neutral' at Citigroup.
Anerican International Group (AIG +2.75%) rose over 1% in pre-market trading after Deutsche Bank AG upgraded the stock to 'Buy' from 'Hold.'
Longview Asset reported a 9.97% stake in General Dynamics (GD +2.56%) .
RA Capital reported a 8.3% passive stake in TG Therapeutics (TGTX unch) .
Advanced Technology Ventures VIII reported an 11.8% stake in Calithera Biosciences (CALA +7.13%) .

MARKET COMMENTS

Dec E-mini S&Ps (ESZ14 -0.12%) this morning are down -1.25 points (-0.07%). The S&P 500 index on Friday closed higher: S&P 500 +1.29%, Dow Jones +1.63%, Nasdaq +1.33%. Bullish factors included (1) carry-over support from a rally in European stocks on the prospects of additional ECB stimulus after ECB Executive Board member Coeure said the central bank will start “within the next days” to purchase assets in the new program to support the economy, (2) the +6.3% increase in U.S. Sep housing starts to 1.017 million, stronger etter than expectations of +5.4% to 1.008 million, and (3) the unexpected +1.8 point increase in the U.S. Oct University of Michigan consumer confidence to a 7-1/4 year high of 86.4, better than expectations of -0.6 to 84.0.
Dec 10-year T-notes (ZNZ14 -0.07%) this morning are down -2 ticks. Dec 10-year T-note futures prices on Friday closed lower. Closes: TYZ4 -13.00, FVZ4 -7.00. Negative factors included (1) the larger-than-expected increase in U.S. Sep housing starts, (2) the unexpected increase in the Oct University of Michigan U.S. consumer confidence index to a 7-1/4 year high, and (3) reduced safe-haven demand for T-notes after stocks rallied.
The dollar index (DXY00 -0.03%) this morning is up +0.024 (+0.03%). EUR/USD (^EURUSD) is up +0.0025 (+0.20%). USD/JPY (^USDJPY) is down -0.02 (-0.02%). The dollar index on Friday closed higher. Closes: Dollar index +0.155 (+0.18%), EUR/USD -0.00513 (-0.40%), USD/JPY +0.541 (+0.51%). Supportive factors included (1) signs of U.S. economic strength after Sep housing starts rose more than expected and the Oct University of Michigan U.S. consumer confidence unexpectedly rose to a 7-1/4 year high, and (2) weakness in EUR/USD on euro-negative comments from ECB Executive Board member Coeure who said the central bank will start “within the next days” to purchase assets in the new program to support the economy.
Nov WTI crude oil (CLX14 +0.35%) this morning is up +4 cents (+0.05%) and Nov gasoline (RBX14 +0.03%) is down -0.0032 (-0.14%). Nov crude and Nov gasoline on Friday settled higher. Closes: CLX4 +0.05 (+0.06%), RBXX4 +0.0218 (+0.99%). Bullish factors included (1) stronger-than-expected U.S. economic reports on Sep housing starts and U.S. consumer confidence, and (2) the rally in stocks which bolstered optimism in the economic outlook. A rally in the dollar index took energy prices off of their best levels.

GLOBAL EVENT CALENDAR10/20/2014

US	1100 ET	USDA weekly grain export inspections.
	1600 ET	USDA weekly crop progress.
JPN	0100 ET	Revised Japan Aug leading index CI, previous 104.5. Revised Aug coincident index, previous 108.5.
	0130 ET	Japan Sep nationwide department store sales, Aug -0.3% y/y.
GER	0200 ET	German Sep PPI expected unch m/m and -1.0% y/y, Aug -0.1% m/m and -0.8% y/y.
EUR	0400 ET	Eurozone Aug current account, Jul +32.3 billion euros (nsa).
CHI	2200 ET	China Sep industrial production expected +7.5% y/y, Aug +6.9% y/y.
	2200 ET	China Sep retail sales expected +11.7% y/y, Aug +11.9% y/y.
	2200 ET	China Q3 GDP expected +1.8% q/q and +7.2% y/y, Q2 +2.0% q/q and +7.5% y/y.

U.S. STOCK CALENDAR10/20/2014

Company Name	Company Ticker	Time	Event Description	Actual	Estimate
Gannett Co Inc	GCI US	Bef-mkt	Q3 2014 Earnings Release		0.55
Genuine Parts Co	GPC US	Bef-mkt	Q3 2014 Earnings Release		1.235
Hasbro Inc	HAS US	6:30	Q3 2014 Earnings Release	1.46	1.446
VF Corp	VFC US	7:00	Q3 2014 Earnings Release	1.08	1.096
Halliburton Co	HAL US	7:00	Q3 2014 Earnings Release	1.19	1.098
International Business Machines Corp	IBM US	7:04	Q3 2014 Earnings Release	3.68	4.317
International Business Machines Corp	IBM US	8:00	Q3 2014 Earnings Call
Hasbro Inc	HAS US	8:30	Q3 2014 Earnings Call
VF Corp	VFC US	8:30	Q3 2014 Earnings Call
Halliburton Co	HAL US	9:00	Q3 2014 Earnings Call
Gannett Co Inc	GCI US	10:00	Q3 2014 Earnings Call
Genuine Parts Co	GPC US	11:00	Q3 2014 Earnings Call
Texas Instruments Inc	TXN US	16:30	Q3 2014 Earnings Release		0.713
Chipotle Mexican Grill Inc	CMG US	16:30	Q3 2014 Earnings Release		3.833
Apple Inc	AAPL US	17:00	Q4 2014 Earnings Call
Chipotle Mexican Grill Inc	CMG US	17:00	Q3 2014 Earnings Call
Apple Inc	AAPL US	Aft-mkt	Q4 2014 Earnings Release		1.302
Zions Bancorporation	ZION US	Aft-mkt	Q3 2014 Earnings Release		0.435
Texas Instruments Inc	TXN US	17:30	Q3 2014 Earnings Call
Zions Bancorporation	ZION US	17:30	Q3 2014 Earnings Call