Showing posts with label KN. Show all posts
Showing posts with label KN. Show all posts

Tuesday, April 26, 2016

MORNING CALL 4/26

MORNING CALL
OVERNIGHT MARKETS AND NEWS
Jun E-mini S&Ps (ESM16 +0.12%) are up +0.12% and European stocks are up +0.22% ahead of the start of the 2-day FOMC meeting that begins today. The market is not expecting any increase in interest rates at this meeting but will be looking for clues as when to the Fed may be considering another hike in rates. Energy producers are stronger as crude oil (CLM16 +1.01%) is up +0.89% and GBP/USD is up +0.52% at a 2-1/2 month high on speculation that Britain will vote to remain in the EU following the June 23 referendum. Asian stocks settled mixed: Japan -0.49%, Hong Kong +0.48%, China +0.61%, Taiwan +0.25%, Australia -0.30%, Singapore -0.19%, South Korea +0.32%, India +1.28%.
The dollar index (DXY00 -0.25%) is down -0.26%. EUR/USD (^EURUSD) is up +0.12%. USD/JPY (^USDJPY) is down -0.26%.
Jun T-note prices (ZNM16 -0.04%) are down -2.5 ticks at a 4-week low.

U.S. STOCK PREVIEW
Key U.S. news today includes: (1) Mar durable goods orders (expected +1.8% and +0.5% ex transportation, Feb -3.0% and -1.3% ex transportation), (2) Feb S&P/CaseShiller composite-20 home price index (expected +0.8% m/m and +5.5% y/y, Jan +0.8% m/m and +5.75% y/y), (3) prelim-Apr Markit services PMI (expected +0.7 to 52.0, Mar +1.6 to 51.3), (4) Apr Conference Board U.S. consumer confidence index (expected -0.3 to 95.9, Mar +2.2 to 96.2), (5) Apr Richmond Fed manufacturing survey (expected -10 to 12, Mar +26 to 22), (6) first day of the 2-day FOMC meeting, and (7) the Treasury's auction of $34 billion of 5-year T-notes.
There are 50 of the S&P 500 companies that report earnings today with notable reports including: Apple (consensus 2.00), eBay (0.45), Capital One (1.92), Procter & Gamble (0.82), AT&T (0.69), Chipotle (-1.05),
U.S. IPO's scheduled to price today: Yintech Investment Holdings (YIN), Red Rock Investments (RRR).
Equity conferences this week include: Nomura Retail and Restaurants Conference on Wed.
OVERNIGHT U.S. STOCK MOVERS
NXP Semiconductors (NXPI -1.24%) climbed over 2% in pre-market trading after it reported Q1 adjusted EPS of $1.14, higher than consensu sof $1.11.
Pioneer National Resources (PXD +0.23%) gained almost 3% in after-hours trading after it said it sees 2016 production growth of 12%, higher than a previous estimate of 10%.
Chemtura (CHMT +0.14%) was upgraded to 'Buy' from 'Hold' at BB&T Capital Markets with a 12-month price target of $37.
Spark Energy (SPKE -2.06%) was rated a new 'Outperform' at FBR Capital Markets with a 12-month price target of $27.
Express Scripts Holdings (ESRX +0.23%) fell over 2% in after-hour trading after it reported Q1 adjusted EPS of $1.22, right on consensus, but Q1 revenue of $24.8 billion was less than consensus of $25.2 billion.
Office Depot (ODP -1.13%) reported Q1 adjusted EPS of 10 cents, below consensus of 12 cents.
Ethan Allen Interiors (ETH -0.06%) rallied nearly 4% in after-hours trading after it reported Q3 adjusted EPS of 34 cents, better than consensus of 31 cents,
Canadian National Railway (CNI -1.05%) slipped nearly 5% in after-hours trading after it cut its full-year forecast and said it sees carloads down 4%-5%y/y.
Sanmina (SANM +0.82%) rose over 5% in after-hours trading after it reported Q2 non-GAP EPS of 63 cents, higher than consensus of 57 cents.
Artana Therapeutics (PETX -4.29%) climbed over 15% in after-hours trading after it entered into a licensing agreement with Eli Lilly's Elanco animal health unit.
Nabors Industries (NBR -4.34%) fell nearly 5% in after-hours trading after it reported Q1 operating revenue of $597.6 million, less than consensus of $633.4 million and said it sees margins deteriorating, particularly in the lower 48 U.S. states.
Knowles (KN -8.89%) surged over 20% in after-hours trading after it reported Q1 adjusted EPS of 8 cents, more than double consensus of 3 cents, and said it sees Q2 adjusted EPS of 8 cents-14 cents, above consensus of 8 cents.
Container Store Group (TCS -8.04%) jumped over 20% in after-hours trading after it reported Q4 adjusted EPS of 20 cents, right on consensus, but said comparable sales were up +0.2%, better than expectations of a -3.6% decline.
Ballard Power Systems (BLDP -2.11%) rallied over 15% in after-hours trading after it delivered a prototype PEM (proton exchange membrane) fuel cell propulsion modules to Boeing's Insitu unit for use in the ScanEagle unmanned aerial vehicle.

MARKET COMMENTS
June E-mini S&Ps (ESM16 +0.12%) this morning are up +2.50 points (+0.12%). Monday's closes: S&P 500 -0.18%, Dow Jones -0.15%, Nasdaq unchanged. The S&P 500 on Monday closed lower on negative carryover from a slide in European stocks after a gauge of German investor confidence unexpectedly declined. Stocks were also undercut by the unexpected -1.5% decline in U.S. Mar new home sales to 511,000 (weaker than expectations of +1.6% to 520,000).
June 10-year T-note prices (ZNM16 -0.04%) this morning are down -2.5 ticks at a 4-week low. Monday's closes: TYM6 -3.00, FVM6 -1.50. Jun T-notes on Monday fell to a 3-1/2 week low and closed lower on supply overhang amidst this week's $103 billion T-note auction package, the rise in the 10-year T-note breakeven inflation expectations rate to an 8-1/2 month high, and negative carryover from a fall in German bund prices to a 5-week low.
The dollar index (DXY00 -0.25%) this morning is down -0.251 (-0.26%). EUR/USD (^EURUSD) is up +0.0014 (+0.12%). USD/JPY (^USDJPY) is down-0.29 (-0.26%). Monday's closes: Dollar Index -0.274 (-0.29%), EUR/USD +0.0046 (+0.41%), USD/JPY -0.59 (-0.53%). The dollar index on Monday closed lower on weakness in USD/JPY as a slide in stocks boosted the safe-haven demand for the yen. The dollar was also hurt by strength in GBP/USD, which climbed to a 2-1/4 month high on increased hopes for Britain to remain within the EU ahead of June's referendum.
June WTI crude oil (CLM16 +1.01%) this morning is up +38 cents (+0.89%). June gasoline (RBM16 +0.88%) is up +0.0119 (+0.78%). Monday's closes: CLM6 -1.09 (-2.49%), RBM6 -0.0170 (-1.10%). Jun crude and gasoline on Monday closed lower on concern that the global crude oil glut will persist after Saudi Aramco said it will complete expansion of its Shaybah oilfield next month to boost its output capacity to 1.0 million bpd from 750,000 bpd currently. In addition, Iranian Oil Minister Zanganeh said Iran's oil production has increased by +1.0 million bpd since Jan and will continue to increase until Iran's pre-sanctions oil market share is regained.
GLOBAL EVENT CALENDAR04/26/2016
US0830 ETMar durable goods orders expected +1.8% and +0.5% ex transportation, Feb -3.0% and -1.3% ex transportation. Mar capital goods new orders nondefense ex-aircraft & parts expected +0.6%, Feb -2.5%.
0900 ETFeb S&P/CaseShiller composite-20 home price index expected +0.8% m/m and +5.5% y/y, Jan +0.8% m/m and +5.75% y/y.
0945 ETPrelim-Apr Markit services PMI expected +0.7 to 52.0, Mar +1.6 to 51.3. Apr Markit composite PMI, Mar +1.3 to 51.3.
1000 ETApr Conference Board U.S. consumer confidence index expected -0.3 to 95.9, Mar +2.2 to 96.2.
1000 ETApr Richmond Fed manufacturing survey expected -10 to 12, Mar +26 to 22.
1030 ETFOMC begins 2-day policy meeting.
1300 ETTreasury auctions $34 billion of 5-year T-notes.
CHI2130 ETChina Mar industrial profits, Feb -4.7% y/y.
2145 ETChina Apr Westpac-MNI consumer sentiment, Mar +6.8 to 118.1.
U.S. STOCK CALENDAR04/26/2016

CompanyTickerTimeEvent DescriptionPeriodEstimate
Baxter International IncBAX USBef-mktQ1 2016 Earnings ReleaseQ1 20160.292
Corning IncGLW USBef-mktQ1 2016 Earnings ReleaseQ1 20160.284
EI du Pont de Nemours & CoDD USBef-mktQ1 2016 Earnings ReleaseQ1 20161.036
Entergy CorpETR USBef-mktQ1 2016 Earnings ReleaseQ1 20161.192
Freeport-McMoRan IncFCX USBef-mktQ1 2016 Earnings ReleaseQ1 2016-0.172
Hershey Co/TheHSY USBef-mktQ1 2016 Earnings ReleaseQ1 20161.068
Eli Lilly & CoLLY USBef-mktQ1 2016 Earnings ReleaseQ1 20160.853
3M CoMMM USBef-mktQ1 2016 Earnings ReleaseQ1 20161.924
Procter & Gamble Co/ThePG USBef-mktQ3 2016 Earnings ReleaseQ3 20160.817
Ryder System IncR USBef-mktQ1 2016 Earnings ReleaseQ1 20161.048
PACCAR IncPCAR USBef-mktQ1 2016 Earnings ReleaseQ1 20160.959
Pentair PLCPNR USBef-mktQ1 2016 Earnings ReleaseQ1 20160.713
T Rowe Price Group IncTROW USBef-mktQ1 2016 Earnings ReleaseQ1 20161.032
Simon Property Group IncSPG USBef-mktQ1 2016 Earnings ReleaseQ1 20162.537
Lockheed Martin CorpLMT USBef-mktQ1 2016 Earnings ReleaseQ1 20162.602
Reynolds American IncRAI USBef-mktQ1 2016 Earnings ReleaseQ1 20160.503
DTE Energy CoDTE USBef-mktQ1 2016 Earnings ReleaseQ1 20161.49
Wyndham Worldwide CorpWYN USBef-mktQ1 2016 Earnings ReleaseQ1 20161.105
Whirlpool CorpWHR US6:00Q1 2016 Earnings ReleaseQ1 20162.684
Centene CorpCNC US6:00Q1 2016 Earnings ReleaseQ1 20160.719
Ingersoll-Rand PLCIR US6:30Q1 2016 Earnings ReleaseQ1 20160.367
Masco CorpMAS US7:00Q1 2016 Earnings ReleaseQ1 20160.262
Waters CorpWAT US7:00Q1 2016 Earnings ReleaseQ1 20161.234
McGraw Hill Financial IncMHFI US7:15Q1 2016 Earnings ReleaseQ1 20161.153
Parker-Hannifin CorpPH US7:30Q3 2016 Earnings ReleaseQ3 20161.445
FLIR Systems IncFLIR US7:30Q1 2016 Earnings ReleaseQ1 20160.321
Coca-Cola Enterprises IncCCE US8:00Annual General MeetingY 2016
EI du Pont de Nemours & CoDD US8:00Q1 2016 Earnings CallQ1 2016
Masco CorpMAS US8:00Q1 2016 Earnings CallQ1 2016
Pentair PLCPNR US8:00Q1 2016 Earnings CallQ1 2016
Baxter International IncBAX US8:30Q1 2016 Earnings CallQ1 2016
Corning IncGLW US8:30Q1 2016 Earnings CallQ1 2016
Hershey Co/TheHSY US8:30Q1 2016 Earnings CallQ1 2016
McGraw Hill Financial IncMHFI US8:30Q1 2016 Earnings CallQ1 2016
Procter & Gamble Co/ThePG US8:30Q3 2016 Earnings CallQ3 2016
Express Scripts Holding CoESRX US8:30Q1 2016 Earnings CallQ1 2016
Waters CorpWAT US8:30Q1 2016 Earnings CallQ1 2016
Centene CorpCNC US8:30Q1 2016 Earnings CallQ1 2016
Coach IncCOH US8:30Q3 2016 Earnings CallQ3 2016
Wyndham Worldwide CorpWYN US8:30Q1 2016 Earnings CallQ1 2016
American Electric Power Co IncAEP US9:00Annual General Meeting
Eli Lilly & CoLLY US9:00Q1 2016 Earnings CallQ1 2016
3M CoMMM US9:00Q1 2016 Earnings CallQ1 2016
Exelon CorpEXC US9:00Annual General Meeting
Citigroup IncC US9:00Annual General MeetingY 2016
Reynolds American IncRAI US9:00Q1 2016 Earnings CallQ1 2016
DTE Energy CoDTE US9:00Q1 2016 Earnings CallQ1 2016
Comerica IncCMA US9:30Annual General Meeting
Freeport-McMoRan IncFCX US10:00Q1 2016 Earnings CallQ1 2016
Ingersoll-Rand PLCIR US10:00Q1 2016 Earnings CallQ1 2016
International Business Machines CorpIBM US10:00Annual General MeetingY 2016
Kimco Realty CorpKIM US10:00Annual General MeetingY 2016
Wells Fargo & CoWFC US10:00Annual General MeetingY 2016
Whirlpool CorpWHR US10:00Q1 2016 Earnings CallQ1 2016
Pioneer Natural Resources CoPXD US10:00Q1 2016 Earnings CallQ1 2016
Entergy CorpETR US11:00Q1 2016 Earnings CallQ1 2016
Parker-Hannifin CorpPH US11:00Q3 2016 Earnings CallQ3 2016
PNC Financial Services Group Inc/ThePNC US11:00Annual General MeetingY 2016
Praxair IncPX US11:00Annual General MeetingY 2016
Ryder System IncR US11:00Q1 2016 Earnings CallQ1 2016
PACCAR IncPCAR US11:00Q1 2016 Earnings CallQ1 2016
FLIR Systems IncFLIR US11:00Q1 2016 Earnings CallQ1 2016
Simon Property Group IncSPG US11:00Q1 2016 Earnings CallQ1 2016
Lockheed Martin CorpLMT US11:00Q1 2016 Earnings CallQ1 2016
Centene CorpCNC US11:00Annual General MeetingY 2016
UDR IncUDR US13:00Q1 2016 Earnings CallQ1 2016
PACCAR IncPCAR US13:30Annual General Meeting
FMC CorpFMC US14:00Annual General MeetingY 2016
Capital One Financial CorpCOF US16:05Q1 2016 Earnings ReleaseQ1 20161.92
Robert Half International IncRHI US16:15Q1 2016 Earnings ReleaseQ1 20160.642
Edwards Lifesciences CorpEW US16:15Q1 2016 Earnings ReleaseQ1 20160.658
AT&T IncT US16:30Q1 2016 Earnings CallQ1 2016
Akamai Technologies IncAKAM US16:30Q1 2016 Earnings CallQ1 2016
Chipotle Mexican Grill IncCMG US16:30Q1 2016 Earnings ReleaseQ1 2016-1.054
Danaher CorpDHR US17:00ITC Final Decision Due in Instradent vs. Danaher Corp. Patent Case
Robert Half International IncRHI US17:00Q1 2016 Earnings CallQ1 2016
Total System Services IncTSS US17:00Q1 2016 Earnings CallQ1 2016
Apple IncAAPL US17:00Q2 2016 Earnings CallQ2 2016
Capital One Financial CorpCOF US17:00Q1 2016 Earnings CallQ1 2016
eBay IncEBAY US17:00Q1 2016 Earnings CallQ1 2016
Edwards Lifesciences CorpEW US17:00Q1 2016 Earnings CallQ1 2016
Chipotle Mexican Grill IncCMG US17:00Q1 2016 Earnings CallQ1 2016
Aflac IncAFL USAft-mktQ1 2016 Earnings ReleaseQ1 20161.626
AT&T IncT USAft-mktQ1 2016 Earnings ReleaseQ1 20160.692
Public StoragePSA USAft-mktQ1 2016 Earnings ReleaseQ1 20162.194
Torchmark CorpTMK USAft-mktQ1 2016 Earnings ReleaseQ1 20161.063
Total System Services IncTSS USAft-mktQ1 2016 Earnings ReleaseQ1 20160.613
Apple IncAAPL USAft-mktQ2 2016 Earnings ReleaseQ2 20161.998
KLA-Tencor CorpKLAC USAft-mktQ3 2016 Earnings ReleaseQ3 20160.98
Cincinnati Financial CorpCINF USAft-mktQ1 2016 Earnings ReleaseQ1 20160.727
Equity ResidentialEQR USAft-mktQ1 2016 Earnings ReleaseQ1 20160.758
Realty Income CorpO USAft-mktQ1 2016 Earnings ReleaseQ1 20160.705
Boston Properties IncBXP USAft-mktQ1 2016 Earnings ReleaseQ1 20161.587
CH Robinson Worldwide IncCHRW USAft-mktQ1 2016 Earnings ReleaseQ1 20160.818
FirstEnergy CorpFE USAft-mktQ1 2016 Earnings ReleaseQ1 20160.759
eBay IncEBAY USAft-mktQ1 2016 Earnings ReleaseQ1 20160.446
Akamai Technologies IncAKAM USAft-mktQ1 2016 Earnings ReleaseQ1 20160.631
FMC Technologies IncFTI USAft-mktQ1 2016 Earnings ReleaseQ1 20160.299
Assurant IncAIZ USAft-mktQ1 2016 Earnings ReleaseQ1 20161.213
PerkinElmer IncPKI USAnnual General Meeting
EOG Resources IncEOG USAnnual General Meeting
Noble Energy IncNBL USAnnual General Meeting
BB&T CorpBBT USAnnual General Meeting
SunTrust Banks IncSTI USAnnual General Meeting
VF CorpVFC USAnnual General MeetingY 2016
Perrigo Co PLCPRGO USAnnual General Meeting
Apartment Investment & Management CoAIV USAnnual General Meeting
Affiliated Managers Group IncAMG USQ1 2016 Earnings ReleaseQ1 20162.922
Coach IncCOH USQ3 2016 Earnings ReleaseQ3 20160.414
Wynn Resorts LtdWYNN USQ1 2016 Earnings ReleaseQ1 20160.768
Teradata CorpTDC USAnnual General Meeting
Spectra Energy CorpSE USAnnual General Meeting
Posted by Jim Van Meerten at No comments:
Labels: , , , , , , , , , , , , , , , , , , ,

Tuesday, June 17, 2014

BARCHART MORNING CALL 6/17

OVERNIGHT MARKETS AND NEWS
September E-mini S&Ps (ESU14 +0.16%) this morning are up +0.03% and European stocks are up +0.04% ahead of the 2-day FOMC meeting that begins today. Stock gains were limited on concern over escalation of violence in Iraq after insurgents attacked the city of Baquba, 34 miles north of Baghdad. The AP reports that the U.S. may send a limited number of special-forces troops into Iraq that would be involved in training rather than direct combat. Another negative for European stocks was an unexpected decline in German investor confidence for a sixth month. Asian stocks closed mixed: Japan +0.29%, Hong Kong -0.42%, China -1.01%, Taiwan +0.41%, Australia -0.22%, Singapore -0.48%, South Korea +0.39%, India +1.31%. Chinese stocks closed lower after foreign direct investment in China unexpectedly fell in May by the most in 16 months. Debt concerns in China have also increased after data from Standard & Poor's showed Chinese borrowers had $14.2 trillion in debt at the end of 2013, the most of any country including the U.S. which had $13.1 trillion in company obligations. Commodity prices are mixed. July crude oil (CLN14 -0.60%) is down -0.63% on speculation that signs of violence in Iraq may not affect its oil supply. July gasoline (RBN14 -0.13%) is down -0.14%. Aug gold (GCQ14 -0.82%) is down -0.79%. July copper (HGN14 +0.18%) is up +0.38%. Agriculture and livestock prices are mixed. The dollar index (DXY00 +0.03%) is up +0.03%. EUR/USD (^EURUSD) is down -0.06%. USD/JPY (^USDJPY) is up +0.15%. Sep T-note prices (ZNU14 -0.05%) are down -0.5 of a tick.
The German Jun ZEW survey of expectations for economic growth unexpectedly fell for a sixth month as it slipped -3.3 to 29.8, weaker than expectations of +1.9 to 35.0 and the lowest in 1-1/2 years. The Jun ZEW current situation survey unexpectedly rose +5.6 to 67.7, better than expectations of unch at 62.1 and the highest in 2-3/4 years.
Eurozone Q1 labor costs rose +0.9% y/y, the smallest increase since the data series began in 2009.
China May foreign direct investment unexpectedly fell -6.7% y/y, weaker than expectations of +3.2% y/y and the largest decline in 16 months.
UK May CPI unexpectedly fell -0.1% m/m and rose +1.5% y/y, less than expectations of +0.2% m/m and +1.7% y/y with the +1.5% y/y gain the smallest annual increase in 4-1/2 years. The May core CPI rose +1.6% y/y, less than expectations of +1.7% y/y and matched the smallest annual increase in 5 years.
U.S. STOCK PREVIEW
Today’s May CPI report is expected to be unchanged from April on a year-on-year basis at +2.0% y/y. Meanwhile, today’s May core CPI is expected to edge higher to +1.9% y/y from +1.8% in April. Today’s May housing starts report is expected to show a decline of -3.9% to 1.030 million following the +13.2% surge to 1.072 million seen in April. Meanwhile, today’s May building permits report is expected to show a decline of -0.9% to 1.050 million, giving back some ground after the +5.9% rise to 1.059 million seen in April. The FOMC at its 2-day meeting that begins today is unanimously expected to taper QE3 by another $10 billion to $35 billion. There are three of the Russell 1000 companies that report earnings today: John Wiley (consensus $0.68), FactSet (1.25), and Adobe (0.30).
Equity conferences this week include: Wall Street Journal CFO Network Annual Meeting on Mon-Tue, Canadian Telecom Summit 2014 on Mon-Wed, RBC Capital Markets Global Mining & Materials Conference on Tue, Sterne Agee Executive Summit on Tue, Deutsche Bank Global Consumer Conference on Tue-Wed, Wells Fargo Securities Healthcare Conference on Tue-Wed, Predictive Analytics World Conference on Tue-Thu, Jefferies Global Consumer Conference on Wed-Thu, Nomura Corporate Day on Wed, Citi CorpGlobal Water Conference on Thu, Goldman Sachs European Chemicals Vision Conference on Thu, J.P. Morgan Oil & Gas Corporate Access Day on Thu, Morgan Stanley China Industrials Summit on Thu, and Noia Conference 2014 on Thu.









OVERNIGHT U.S. STOCK MOVERS
SanDisk (SNDK +3.58%) was upgraded to 'Outperform' from 'Underperform' at CLSA.
The WSJ reports that AT&T (T -0.14%) will be the exclusive carrier for Amazon's (AMZN +0.41%) new smartphone.
Booz Allen (BAH -0.18%) was downgraded to 'Underperform' from 'Neutral' at BofA/Merrill.
Southwest (LUV -0.76%) was upgraded to 'Buy' from 'Hold' at Stifel with a price target of $30.
Domino's Pizza (DPZ -0.50%) was downgraded to 'Underperform' from 'Neutral' at BofA/Merrill.
Bloomberg reported that Apple (AAPL +1.01%) has defeated a patent infringement lawsuit over wireless network technology brought by Golden Bridge Technology.
DSW (DSW +0.22%) was upgraded to 'Buy' from 'Neutral' at Goldman Sachs.
SAB Capital Advisors reported a 6.1% passive stake in RCS Capital (RCAP +0.59%) .
Becker Drapkin reported a 8.7% passive stake in Hudson Technologies (HDSN +9.06%) .
Williams (WMB +18.74%) fell 1% in after-hours trading after it filed to sell $3 billion of common stock.
MARKET COMMENTS
Sep E-mini S&Ps (ESU14 +0.16%) this morning are up +0.50 of a point (+0.03%). The S&P 500 index on Monday closed higher. Bullish factors included (1) the unexpected +0.27 point increase in the Jun Empire manufacturing index to 19.28, better than expectations of -4.01 to 15.00 and the fastest pace of expansion in 4 years, and (2) the +0.6% increase in U.S. May industrial production, better than expectations of +0.5%. Bearish factors included (1) concern that escalation of violence in Iraq will force the U.S. to intervene, and (2) the IMF’s cut in its U.S. 2014 GDP forecast to 2.0% from April’s forecast of 2.8%. Closes: S&P 500 +0.08%, Dow Jones +0.03%, Nasdaq +0.12%.
Sep 10-year T-notes (ZNU14 -0.05%) this morning are down -0.5 of a tick. Sep 10-year T-note futures prices on Monday closed little changed. T-notes moved higher early in the session after the IMF lowered its U.S. 2014 growth forecast and said that “policy rates could afford to stay at zero for longer than the mid-2015 date currently foreseen by the markets.” T-notes fell back to near unchanged, though, on the stronger-than-expected Jun Empire manufacturing index and Jun NAHB housing market index. Closes: TYU4 +0.50, FVU4 -1.25.
The dollar index (DXY00 +0.03%) this morning is up +0.023 (+0.03%). EUR/USD (^EURUSD) is down -0.008 (-0.06%). USD/JPY (^USDJPY) is up +0.15 (+0.15%). The dollar index on Monday closed lower as the IMF downgraded its U.S. 2014 GDP forecast. EUR/USD rebounded from early losses and closed higher after Bloomberg reported that two unnamed ECB officials said that the ECB is likely to refrain from any additional stimulus in coming months as it reviews bank balance sheets. Closes: Dollar Index -1.105 (-0.13%), EUR/USD +0.00368 (+0.27%), USD/JPY -0.204 (-0.20%).
July WTI crude oil (CLN14 -0.60%) this morning is down -67 cents (-0.63%). July gasoline (RBN14 -0.13%) is down -0.0043 (-0.14%). July crude and gasoline prices on Monday settled mixed. Bullish factors included (1) a weaker dollar, and (2) the stronger-than-expected Jun Empire manufacturing index and May industrial production. Negative factors included (1) the IMF’s cut in its U.S. 2014 GDP forecast to +2.0% from April’s forecast of +2.8%, and (2) a lack of disruption thus far to oil exports from southern Iraq, where 75% of the country’s oil output comes from. Closes: CLN4 -0.18 (-0.17%) RBN4 +0.0163 (+0.53%).
GLOBAL EVENT CALENDAR06/17/2014
US0830 ETMay CPI expected +0.2% m/m and +2.0% y/y, Apr +0.3% m/m and +2.0% y/y. May CPI ex food & energy expected +0.2% m/m and +1.9% y/y, Apr +0.2% m/m and +1.8% y/y.
0830 ETMay housing starts expected -3.9% to 1.030 million, Apr +13.2% to 1.072 million. May building permits expected -0.9% to 1.050 million, Apr +5.9% to 1.059 million.
1030 ETFOMC begins 2-day meeting.
JPN0200 ETRevised Japan May machine tool orders.
1950 ETJapan May trade balance expected -1.189 trillion yen, Apr -811.7 billion yen. May exports expected -1.3% y/y, Apr +5.1% y/y. May imports expected +1.8% y/y, Apr +3.4% y/y.
EUR0200 ETEurozone May new car registrations, Apr +4.6% y/y.
0500 ETEurozone Q1 labor costs, Q4 +1.4% y/y.
UK0430 ETUK May CPI expected +0.2% m/m and +1.7% y/y, Apr +0.4% m/m and +1.8% y/y. May core CPI expected +1.7% y/y, Apr +2.0% y/y.
0430 ETUK May RPI expected +0.2% m/m and +2.5% y/y, Apr +0.4% m/m and +2.5% y/y. May RPI ex-mortgage interest payments expected +2.6% y/y, Apr +2.6% y/y.
0430 ETUK May PPI input prices expected -0.1% m/m and -4.3% y/y, Apr -1.1% m/m and -5.5% y/y. May PPI output prices expected +0.1% m/m and +0.7% y/y, Apr unch m/m and +0.6% y/y.
0430 ETUK May PPI output core prices expected +0.1% m/m and +1.1% y/y, Apr unch m/m and +1.0% y/y.
GER0500 ETGerman Jun ZEW survey of expectations for economic growth expected +1.9 to 35.0, May 33.1. Jun ZEW survey current situation expected unchanged at 62.1.
CHI2130 ETChina May property prices.
U.S. STOCK CALENDAR06/17/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
Multiple CompaniesMDT US8:00Acquisition of Covidien plc by Medtronic, Inc Call
Multiple CompaniesMDT US8:00Acquisition of Covidien plc by Medtronic, Inc Call
Hill-Rom Holdings IncHRC US8:30Acquisition of TRUMPF Medicl by Hill-Rom Holdings Inc Call
SanDisk CorpSNDK US8:30Acquisition of Fusion-io by SanDisk Corporation Call
Multiple CompaniesLVLT US9:00Acquisition of tw telecom, Inc by Level 3 Communications, Inc.Call
Affiliated Managers Group IncAMG US9:00Annual General Meeting
Multiple CompaniesLVLT US9:00Acquisition of tw telecom, Inc by Level 3 Communications, Inc.Call
Williams Cos Inc/TheWMB US10:00Acquisition of Access Midstream Partners by The Williams Cos., Inc. Call
Knowles CorpKN US11:30Management Conference Call
Range Resources CorpRRC USCompany Investor Meeting
Principal Financial Group IncPFG USRoadshow - BostonY 2014
Alliance Data Systems CorpADS USMay 2014 Sales and Revenue Release - Performance Update2014
Posted by Jim Van Meerten at No comments:
Labels: , , , , , , , , , , , , , , , , ,

Wednesday, June 11, 2014

BARCHART MORNING CALL 6/11

OVERNIGHT MARKETS AND NEWS
June E-mini S&Ps (ESM14 -0.47%) this morning are down -0.40% and European stocks are down -0.64% after the World Bank cut its global 2014 GDP forecast to 2.8% from a Jan estimate of 3.2%. Also undercutting European stocks was a 4% drop in Airbus after Emirates airlines canceled a deal for $16 billion of A350 planes, the biggest-ever order cancelation. In addition, Lufthansa tumbled 14% after it lowered its earnings forecasts for this year and next. Asian stocks closed mostly lower: Japan +0.50%, Hong Kong -0.25%, China -0.02%, Taiwan +0.08%, Australia -0.29%, Singapore -0.11%, South Korea -0.01%, India -0.43%. Commodity prices are mixed. July crude oil (CLN14 +0.16%) is up +0.15% after Saudi Oil Minister Ali al-Naimi, speaking before OPEC's meeting in Vienna today, said that crude supply, demand and prices are good. July gasoline (RBN14 +0.67%) is up +0.43%. Aug gold (GCQ14 +0.25%) is up +0.18% at a 2-week high. July copper (HGN14 -0.41%) is down -0.44%. Agriculture and livestock prices are mixed ahead of the Jun WASDE crop production report later today. The dollar index (DXY00 -0.16%) is down -0.04%. EUR/USD (^EURUSD) is down -0.10%. USD/JPY (^USDJPY) is down -0.30% at a 1-week low. Sep T-note prices (ZNU14 +0.06%) are down -1.5 ticks.
The World Bank cut its 2014 global growth forecast to 2.8% from a Jan estimate of 3.2%. It also lowered its U.S. 2014 GDP forecast to 2.1% from a Jan estimate of 2.8% and cut its China 2014 GDP estimate to 7.6% from 7.7% estimated in Jan.
UK May jobless claims fell -37,400, more than expectations of -25,000, and Apr was revised to show a -28,400 decrease, more than the originally reported -25,100. The May claimant count rate fell -0.1 to 3.2%, right on expectations and the lowest in 5-1/2 years.
The UK Apr unemployment rate fell -0.2 to 6.6% for the 3-months ended Apr, a bigger decline than expectations of -0.1 to 6.7% and the lowest in 4-1/3 years.
The UK Apr average weekly earnings 3-month avg was +0.7% y/y, less than expectations of +1.2% y/y and the smallest increase in 13 months. UK Apr average weekly earnings ex-bonus 3-month avg rose +0.9% y/y, less than expectations of +1.2% y/y and the smallest increase in 6 months.
The Japan Q2 BSI large all industry business conditions tumbled to -14.6 from 12.7 in Q1. The Q2 BSI large manufacturing business conditions fell to -13.9 from 12.5 in Q1. Both fell to 3-year lows.
Japan May domestic CGPI rose +0.3% m/m and +4.4% y/y, more than expectations of +0.1% m/m and +4.1% y/y, with the +4.4% y/y gain the largest annual increase in 5-1/2 years.
U.S. STOCK PREVIEW
The Treasury today will sell $21 billion of 10-year T-notes. There is one of the Russell 1000 companies that report earnings today: H&R Block (consensus $3.23). Equity conferences during the remainder of this week include: Morgan Stanley Financials Conference on Tue-Wed, Piper Jaffray Consumer Conference on Tue-Wed, Goldman Sachs Global Healthcare Conference on Tue-Thu, William Blair Growth Stock Conference on Tue-Thu, Credit Suisse Future of Payments & Commerce Conference on Wed, Goldman Sachs North American Energy Summit on Wed, Mexico Capital Projects & Infrastructure Summit on Wed, 2nd Annual Mexico Capital Projects & Infrastructure Summit on Wed-Thu, Morgan Stanley Leveraged Finance Conference on Wed-Thu, Drexel Hamilton Aerospace and Defense Conference on Thu, and Robert W. Baird & Co. Inc. Utility & Infrastructure Symposium on Thu.








OVERNIGHT U.S. STOCK MOVERS
B. Riley kept its 'Sell' rating on Radio Shack (RSH -10.39%) and cut its price target on the stock to $0, saying a turnaround at RadioShack is unlikely given its balance sheet and limited cost cutting opportunities.
Stryker (SYK -0.47%) was upgraded to 'Buy' from 'Hold' at Argus.
Marvell (MRVL -0.07%) was upgraded to 'Buy' from 'Neutral' at Nomura.
Reynolds American (RAI -0.29%) was upgraded to 'Buy' from 'Neutral' at BofA/Merrill with a price target of $65.
Molson Coors (TAP +5.36%) was upgraded to 'Buy' from 'Underperform' at BofA/Merrill with a price target of $80.
Tiger Global Investments reported an 8% passive stake in Restoration Hardware (RH -0.94%) .
Covidien (COV -0.21%) announced U.S. FDA approval of its Apollo Onyx delivery micro catheter; the first detachable tip micro catheter available in the U.S.
Third Avenue reported a 16.36% passive stake in Spanish Broadcasting (SBSA +1.71%) .
Baker Bros. Advisors reported a 10.8% passive stake in Avanir (AVNR +2.43%) .
Sooner Holdings reported a 8.3% passive stake in Renewable Energy (REGI -0.38%) .
Ulta Salon (ULTA -0.12%) rose over 5% in after-hours trading after it reported Q1 EPS of 77 cents, better than consensus of 74 cents.
United Natural Foods (UNFI -0.85%) reported Q3 EPS of 73 cents, right on consensus.
MARKET COMMENTS
June E-mini S&Ps (ESM14 -0.47%) this morning are down -7.75 points (-0.40%). The S&P 500 index on Tuesday settled mixed as profit-taking set in after the S&P 500 rose +7.8% in the past 2 months up to Monday’s all-time high. Losses in stocks were contained on optimism that Chinese economic growth can be sustained after the PBOC announced a -0.5 point cut in reserve requirements for some banks in a policy move aimed at supporting smaller companies and agriculture. Closes: S&P 500 -0.02%, Dow Jones +0.02%, Nasdaq +0.13%.
Sep 10-year T-notes (ZNU14 +0.06%) this morning are down -1.5 ticks. Sep 10-year T-note futures prices on Tuesday dropped to a 4-week low and closed lower. Bearish factors for T-notes included (1) supply pressures as the Treasury auctions $62 billion of T-notes this week, and (2) reduced safe-haven demand after stocks erased early losses and settled little changed. Closes: TYU4 -5.50, FVU4 -3.75.
The dollar index (DXY00 -0.16%) this morning is down -0.030 (-0.04%). EUR/USD (^EURUSD) is down -0.0014 (-0.10%). USD/JPY (^USDJPY) is down -0.31 (-0.30%). The dollar index on Tuesday closed higher. Supportive factors included (1) early weakness in stocks which boosted the safe-haven demand for the dollar, and (2) speculation that divergent monetary policies among global central banks will boost the dollar’s interest rate differentials versus the euro and yen as the Fed continues to taper QE3 while the BOJ and ECB expand their monetary stimulus measures. Closes: Dollar Index +0.167 (+0.21%), EUR/USD -0.00462 (-0.34%), USD/JPY -0.176 (-0.17%).
July WTI crude oil (CLN14 +0.16%) this morning is up +16 cents (+0.15%). July gasoline (RBN14 +0.67%) is up +0.0127 (+0.43%). July crude and gasoline prices on Tuesday closed lower. July crude posted a 3-1/4 month high on expectations that Wednesday’s weekly EIA inventory data will show crude stockpiles fell -1.5 million bbl. Prices fell back, however, and closed lower on bearish factors that included (1) a stronger dollar, and (2) reduced geopolitical concerns on the prospects for a cease-fire to be implemented in eastern Ukraine as peace talks continue between Russia and Ukraine. Closes: CLN4 -0.06 (-0.06%) RBN4 -0.0103 (-0.35%).
GLOBAL EVENT CALENDAR06/11/2014
US0700 ETWeekly MBA mortgage applications, previous -3.1% with purchase sub-index -3.6% and refi sub-index -2.9%.
1030 ETEIA Weekly Petroleum Status Report.
1200 ETJun WASDE crop production report.
1300 ETTreasury auctions $21 billion 10-year T-notes.
1400 ETMay monthly budget statement expected -$142.500 billion, Apr +$106.853 billion.
UK0430 ETUK May jobless claims change expected -25,000, Apr -25,100. May claimant count rate expected -0.1 to 3.2%.
0430 ETUK Apr avg weekly earnings expected +1.2% 3-mo avg y/y, Mar +1.7% 3-mo avg y/y. Apr weekly earnings ex-bonus expected +1.2% 3-mo avg y/y, Mar +1.3% 3-mo avg y/y.
0430 ETUK Apr ILO unemployment rate expected -0.1 to 6.7% 3-months through Apr.
1901 ETUK May RICS house price balance expected 52%, Apr 54%.
JPN1950 ETJapan Apr machine orders expected -10.8% m/m and +13.3% y/y, Mar +19.1% m/m and +16.1% y/y.
U.S. STOCK CALENDAR06/11/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
H&R Block IncHRB USBef-mktQ4 2014 Earnings ReleaseQ4 20143.233
Rayonier IncRYN US7:00Business Update Call
H&R Block IncHRB US8:30Q4 2014 Earnings CallQ4 2014
Caterpillar IncCAT US9:00Annual General MeetingY 2014
Triumph Group IncTGI US9:00Investor DayY 2014
Allegion PLCALLE US9:30Annual General Meeting
Teekay CorpTK US11:00Annual General MeetingY 2013
SeaWorld Entertainment IncSEAS US11:00Annual General Meeting
Knowles CorpKN US11:00Management Conference Call
NetSuite IncN US11:30Annual General MeetingY 2014
FireEye IncFEYE US13:00Annual General Meeting
Dick's Sporting Goods IncDKS US13:30Annual General MeetingY 2014
Target CorpTGT US14:30Annual General MeetingY 2014
Progressive Corp/ThePGR USMay 2014 Sales and Revenue Release2014
Alliant Energy CorpLNT USRoadshow-Day 2Y 2014
United Parcel Service IncUPS USRoadshow - GenevaY 2014
DreamWorks Animation SKG IncDWA USAnnual General Meeting
United Continental Holdings IncUAL USAnnual General Meeting
Zynga IncZNGA USAnnual General Meeting
Posted by Jim Van Meerten at No comments:
Labels: , , , , , , , , , , , , , , , , , , ,
Subscribe to: Posts (Atom)