Showing posts with label MIK. Show all posts
Showing posts with label MIK. Show all posts

Wednesday, March 8, 2017

MORNING CALL 3/8

Barchart Morning Call

OVERNIGHT MARKETS AND NEWS
Mar E-mini S&Ps (ESH17 -0.05%) this morning are down -0.05% and European stocks are down -0.15% as weakness in crude oil prices undercuts energy producing stocks. Apr WTI crude oil (CLJ17 -0.98%) is down -0.96% after API data late Tuesday showed U.S. crude inventories surged +11.6 million bbl last week. Mining stocks are also weaker as concern the Fed will raise interest rates at next week's FOMC meeting pressures precious metals prices with Apr COMEX gold (GCJ17-0.20%) down -0.20% and May COMEX silver (SIK17 -0.49%) down -0.60%, both at 1-month lows. On the positive side for European stocks, German Jan industrial production rose more than expected by the most in 5 months. Asian stocks settled mixed: Japan -0.47%, Hong Kong +0.43%, China -0.05%, Taiwan +0.16%, Australia -0.03%, Singapore +0.47%, South Korea +0.15%, India -0.34%. Losses in Chinese stocks were contained on signs of strength in domestic demand after China Feb imports surged +38.1% y/y. the biggest increase in 5-years.
The dollar index (DXY00 +0.12%) is up +0.09%. EUR/USD (^EURUSD) is down -0.06%. USD/JPY (^USDJPY) is up +0.03%.
Jun 10-year T-note prices (ZNM17 -0.20%) are down -7 ticks at a 1-1/2 month low ahead of the Treasury's $20 billion auction of 10-year T-notes later today.
German Jan industrial production rose +2.8% m/m, stronger than expectations of +2.7% m/m and the biggest increase in 5 months.
The China Feb trade balance fell to a deficit of -$9.15, billion less than expectations for a +$27.0 billion surplus and the largest deficit in 3-years. Feb exports unexpectedly fell -1.3% y/y, weaker than expectations of +14.0% y/y, and Feb imports rose +38.1% y/y, stronger than expectations of +20.0% y/y and the largest increase in 5-years.
U.S. STOCK PREVIEW
Key U.S. news today includes: (1) weekly MBA mortgage applications (previous +5.8% with purchase sub-index +6.5% and refi sub-index +5.1%), (2) Feb ADP employment change (expected +189,000, Jan +246,000), (3) revised Q4 non-farm productivity (expected +1.5%, previous +1.3%) and revised Q4 unit labor costs (expected +1.6%, previous +1.7%), (4) final-Jan wholesale inventories expected unrevised at -0.1%, (5) Treasury auctions $20 billion 10-year T-notes, (6) EIA Weekly Petroleum Status Report.
Notable Russell 1000 earnings reports today include: Valspar (consensus $0.73), Orbital ATK (1.47).
U.S. IPO's scheduled to price today: J. Jill Inc (JILL)
Equity conferences: Cowen and Company Health Care Conference on Mon-Wed, Deutsche Bank Media, Internet & Telecom Conference on Mon-Wed, Raymond James and Associates Institutional Investors Conference on Mon-Wed, RBC Capital Markets Financial Institutions Conference on Tue-Wed, Raymond James and Associates Institutional Investors Conference on Wed, Susquehanna Financial Group LLLP Semi Storage & Technology Conference on Thu, UBS Global Consumer & Retail Conference on Thu-Fri.




OVERNIGHT U.S. STOCK MOVERS
Caterpillar (CAT +0.28%) is down nearly 3% in pre-market trading after a report commissioned by the government and reviewed by the NYT accuses the company of tax and accounting fraud.
Urban Outfitters (URBN -1.05%) was downgraded to 'Market Perform' from 'Outperform' at William Clair & Co.
Michaels Cos. (MIK +2.29%) was upgraded to 'Buy' from 'Neutral' at Bank of America/Merrill Lynch with a price target of $28.
Armstrong World Industries (AWI -1.61%) slid 1% in after-hours trading after a 5.25 million share block was offered at $44.90-$45.40 via Deutsche Bank.
Skyworks Solutions (SWKS -0.42%) was rated a new 'Outperform' at Wells Fargo Securities.
Anadarko Petroleum (APC -0.14%) lost nearly 2% in after-hours trading after it said it sees 2017 capital expenditures (CAPEX) of $4.5 billion-$4.7 billion, more than consensus of $4.4 billion.
H&R Block (HRB -0.62%) jumped 7% in after-hours trading after it reported Q3 revenue of $451.9 million, higher than consensus of $427.4 million.
Bojangles' Inc. (BOJA -1.99%) dropped almost 8% in after-hours trading after it said it sees full-year revenue of $560 million-$569 million, less than consensus of $587.8 million.
Fox Factory Holding Corp. (FOXF unch) slid nearly 4% in after-hours trading after it announced a secondary public offering of 5.11 million shares.
Nimble Storage (NMBL +46.28%) was downgraded to 'Sector Weight' from 'Overweight' at Pacific Crest Securities.
Editas Medicine (EDIT +1.24%) fell nearly 6% in after-hours trading after it reported a Q4 EPS loss of -$1.10, much wider than consensus of -58 cents.
Aerovironment (AVAV +0.50%) rallied 5% in after-hours trading after it reported Q3 gross margin of 36.0%, better than consensus of 26.9%.
Health Insurance Innovations (HIIQ -3.61%) tumbled 12% in after-hours trading after it announced a secondary public offering by selling stockholders, although no size was given.
ZAGG Inc. (ZAGG -1.64%) climbed over 6% in after-hours trading after it said it sees full-year net sales of $470 million-$500 million, above consensus of $455.8 million.
MARKET COMMENTS
Mar E-mini S&Ps (ESH17 -0.05%) this morning are down -1.25 points (-0.05%). Tuesday's closes: S&P 500 -0.29%, Dow Jones -0.14%, Nasdaq -0.17%. The S&P 500 on Tuesday closed lower on the U.S. Jan trade deficit of -$48.5 billion, the biggest in 4-3/4 years, which is negative for Q1 GDP. There was also weakness in pharmaceutical stocks on speculation the Trump administration will soon unveil steps to lower drug prices after President Trump tweeted that he's working on a "new system where there will be more competition in the drug industry."
Jun 10-year T-notes (ZNM17 -0.20%) this morning are down -7 ticks at a 1-1/2 month low: Tuesday's closes: TYM7 -4.50, FVM7 -4.00. Jun T-notes on Tuesday closed lower on the OECD's projection for global growth this year to increase to 3.3% from 3.0% last year and on supply pressures as the Treasury auctions $56 billion of T-notes and T-bonds this week. Losses were limited as a slide in stocks boosted the safe-haven demand for T-notes.
The dollar index (DXY00 +0.12%) this morning is up +0.09 (+0.09%). EUR/USD (^EURUSD) is down -0.0006 (-0.06%). USD/JPY (^USDJPY) is up +0.03 (+0.03%). Tuesday's closes: Dollar index +0.17 (+0.17%), EUR/USD -0.0016 (-0.15%), USD/JPY +0.09 (+0.08%). The dollar index on Tuesday closed higher on weakness in EUR/USD after German Jan factory orders fell -7.4% m/m, the biggest decline in 8-years.
Apr WTI crude oil prices (CLJ17 -0.98%) this morning are down -51 cents (-0.96%) and Apr gasoline (RBJ17 +0.60%) is +0.0099 (+0.59%). Tuesday's closes: Apr crude -0.06 (-0.11%), Apr gasoline +0.0075 (+0.45%). Apr crude oil and gasoline on Tuesday settled mixed. Crude oil prices were boosted by comments from Iraq Oil Minister Al-Luaibi who said "it's likely" that OPEC will need to extend its production cuts, and by supply disruptions after rebels seized Libya's Es Sider terminal, the country's biggest oil port, which may reduce Libya's oil output of 700,000 bpd. Crude oil prices were undercut by a stronger dollar and expectations that Wednesday's EIA data will show crude supplies rose +1.4 million bbl.

GLOBAL EVENT CALENDAR03/08/2017
Wed, Mar 8
US0700 ETWeekly MBA mortgage applications, previous +5.8% with purchase sub-index +6.5% and refi sub-index +5.1%.
0815 ETFeb ADP employment change expected +189,000, Jan +246,000.
0830 ETRevised Q4 non-farm productivity expected +1.5%, previous +1.3%. Revised Q4 unit labor costs expected +1.6%, previous +1.7%.
1000 ETFinal-Jan wholesale inventories expected unrevised at -0.1%. Jan wholesale trade sales expected +0.5% m/m, Dec +2.6% m/m.
1030 ETEIA Weekly Petroleum Status Report.
1300 ETTreasury auctions $20 billion 10-year T-notes.
Thu, Mar 9
US0830 ETWeekly initial unemployment claims expected +15,000 to 238,000, previous -19,000 to 223,000. Weekly continuing claims expected -3,000 to 2.063 million, previous +3,000 to 2.066 million.
0830 ETFeb import price index expected +0.1% m/m and +4.3% y/y, Jan +0.4% m/m and +3.7% y/y.
0830 ETUSDA weekly Export Sales.
1200 ETUSDA WASDE Mar crop production.
1300 ETTreasury auctions $12 billion 30-year T-bonds.
U.S. STOCK CALENDAR03/08/2017

CompanyTickerTimeEvent DescriptionPeriodEstimate
Linde AGLIN GR0:30Y 2016 Earnings ReleaseY 16
Merck KGaAMRK GR1:00Y 2016 Earnings ReleaseY 166.28
Sekisui House Ltd1928 JP1:30Y 2017 Earnings ReleaseY 17 (Cons)
Sekisui House Ltd1928 JP1:30Y 2017 Earnings ReleaseY 17 (Par)
Staples IncSPLS USBef-mktQ4 2017 Earnings ReleaseQ4 170.25
Carrefour SACA FPBef-mktY 2016 Earnings ReleaseY 16
Signet Jewelers LtdSIG US7:00Q4 2017 Earnings ReleaseQ4 174.03
Aviva PLCAV/ LNY 2016 Earnings ReleaseY 16
Hyundai Motor Co005380 KSQ1 2017 Earnings ReleaseQ1 17 (Par)
Embraer SAEMBR3 BZY 2016 Earnings ReleaseY 16 (Cons)
Wm Morrison Supermarkets PLCMRW LNY 2017 Earnings ReleaseY 17
Old Mutual PLCOML LNY 2016 Earnings ReleaseY 16
Ulta Beauty IncULTA USAft-mktQ4 2017 Earnings ReleaseQ4 172.11
Empresas CMPC SACMPC CIAft-mktY 2016 Earnings ReleaseY 16

Wednesday, January 25, 2017

MORNING CALL 1/25

Barchart Morning Call

OVERNIGHT MARKETS AND NEWS
Mar E-mini S&Ps (ESH17 +0.32%) are up +0.26% at a new all-time nearest-futures high and European stocks are up +1.10% at a 1-week high on optimism over the global economic outlook. Mar COMEX copper (HGH17 -0.55%) climbed to a 1-3/4 month high in overnight trade before falling back as expectations for stronger economic growth fueled gains in commodity producing stocks. European bourses found support on strength in bank stocks and insurance companies, while the CBOE Volatility Index, or VIX, a gauge of fear in the equity market, fell to a 2-1/2 year low today. Positive Japanese trade data also gave global equity markets a boost after Japan Dec exports climbed +5.4% y/y, the biggest increase in 17 months. Mar WTI crude oil (CLH17 -0.92%) is down -0.96% after API data late Tuesday showed U.S. crude supplies rose +2.93 million bbl last week. Asian stocks settled mostly higher: Japan +1.43%, Hong Kong +0.43%, China +0.22%, Taiwan closed for holiday, Australia +0.38%, Singapore -0.07%, South Korea +0.32%, India +1.21%.
The dollar index (DXY00 -0.42%) is down -0.32%. EUR/USD (^EURUSD) is up +0.18%. USD/JPY (^USDJPY) is down -0.27%.
Mar 10-year T-note prices (ZNH17 +0.01%) are down -1.5 ticks.
ECB Executive Board member Lautenschlaeger said "all preconditions for a stable rise in inflation exist and I am optimistic that we can soon turn to the question of an exit" from the ECB's bond-buying program.
The German Jan IFO business climate unexpectedly fell -1.2 to 109.8, weaker than expectations of +0.3 to 111.3.
The Japan Dec trade balance widened to a surplus of 641.4 billion yen, larger than expectations of 281.1 billion yen. Dec exports rose +5.4% y/y, stronger than expectations of +1.1% y/y and the largest increase in 17 months. Dec imports fell -2.6% y/y, weaker than expectations of -0.8% y/y.
U.S. STOCK PREVIEW
Key U.S. news today includes: (1) weekly MBA mortgage applications (previous +0.8% with purchase sub-index -5.2% and refi sub-index +6.8%), (2) Nov FHFA house price index (expected +0.4%, Oct +0.4% m/m), (3) the Treasury auctions $15 billion of 2-year floating-rate notes and $34 billion of 5-year T-notes, (4) House and Senate Republicans begin a 3-day policy retreat in Philadelphia, (5) EIA Weekly Petroleum Status Report.
Notable S&P 500 earnings reports today include: Abbott Labs (consensus $0.65), Boeing (2.32), Citrix (1.50), eBay (0.54), AT&T (0.66).
U.S. IPO's scheduled to price today: App Dynamics (APPD), ObsEva (OBSV), AnaptysBio (ANAB).
Equity conferences: Hart Energy DUG Marcellus Utica Midstream Conference on Wed-Thu.
OVERNIGHT U.S. STOCK MOVERS
Boeing (BA +1.72%) climbed 1.5% in pre-market trading after it reported Q4 core EPS of $2.47, above consensus of $2.32.
Seagate Technology PLC (STX +2.94%) jumped 10% in after-hours trading after it reported Q2 adjusted EPS of $1.38, higher than consensus of $1.08, and said it sees fiscal 2017 EPS "at least" $4.50, above consensus of $3.77.
Discover Financial Service (DFS +0.87%) lost 1% in after-hours trading after it reported Q4 provision for loan losses of $579 million, up from $445 million in Q3.
Intuitive Surgical (ISRG +1.68%) rose 1% in after-hours trading after it reported Q4 adjusted EPS of $6.09, better than consensus of $5.98.
Capital One Financial (COF +2.14%) slipped nearly 2% in after-hours trading after it reported Q4 adjusted EPS of $1.45, weaker than consensus of $1.62.
Alcoa (AA +3.33%) gained over 2% in after-hours trading after it said it sees 2017 adjusted Ebitda ex-items $2.1 billion-$2.3 billion, up from $1.1 billion in 2016.
Phillips 66 Partners (PSXP +1.17%) was upgraded to 'Buy' from 'Neutral' by Citigroup, citing strong organic growth, ability to attract third-party revenue and compete with large non-sponsored MLPs.
Cree Inc (CREE -0.29%) rallied 4% in after-hours trading after it reported Q2 adjusted EPS of 20 cents, higher than consensus of 11 cents.
CA Technologies (CA +1.54%) fell over 2% in after-hours trading after it cut its full year adjusted EPS from continuing operations growth estimate to flat to up +2%, below a previous projection of up 2%-5%.
Bob Evans (BOBE -0.39%) jumped 15% in after-hours trading after it announce a sale of its restaurants to Golden Gate Capital for $565 million.
Concho Resources (CXO +2.24%) rose nearly 3% in after-hours trading after it sold a Permian Basin crude oil gathering system to Plains All-American for $1.2 billion.
Mercury Systems (MRCY +8.37%) lost 3% in after-hours trading after it announced a public offering of 5 million shares of common stock.
Newtek Business Services (NEWT +2.33%) dropped nearly 5% in after-hours trading after it announced a public offering of 1.5 million shares of common stock.
Michaels Cos. (MIK +0.65%) slid 2% in after-hours trading after it announced a secondary offering of 18 million shares of common stock.
MARKET COMMENTS
Mar E-mini S&Ps (ESH17 +0.32%) this morning are up +6.00 points (+0.26%) at a new all-time nearest-futures high. Tuesday's closes: S&P 500 +0.66%, Dow Jones +0.57%, Nasdaq +0.70%. The S&P 500 on Tuesday rallied to a fresh record high and closed higher on the +0.8 point increase in the U.S. Jan Markit manufacturing PMI o 55.1, stronger than expectations of +0.2 to 54.5 and the fastest pace of expansion in 1-3/4 years. In addition, mining stocks rallied after copper prices rose to a 1-week high and energy producers rallied as the price of crude oil rose +0.36%. Stocks were undercut by the -2.8% decline in U.S. Dec existing home sales to 5.49 million, weaker than expectations of -1.6% to 5.52 million.
Mar 10-year T-notes (ZNH17 +0.01%) this morning are down -1.5 ticks. Tuesday's closes: TYH7 -19.00, FVH7 -11.00. Mar 10-year T-notes on Tuesday closed lower on signs of strength in U.S. manufacturing that bolstered the case for additional Fed rate hikes after the Jan Markit manufacturing PMI rose +0.8 to a 1-3/4 year high of 55.1. T-notes were also undercut by reduced safe-haven with the rally in stocks and supply pressures as the Treasury auctions $103 billion of T-notes this week.
The dollar index (DXY00 -0.42%) this morning is down -0.32 (-0.32%). EUR/USD (^EURUSD) is up +0.0019 (+0.18%). USD/JPY (^USDJPY) is down -0.31 (-0.27%). Tuesday's closes: Dollar index +0.19 (+0.19%), EUR/USD -0.0034 (-0.32%), USD/JPY +1.08 (+0.96%). The dollar index on Tuesday closed higher on the stronger than expected U.S. Jan Markit manufacturing PMI report and the increase in T-note yields, which improved the dollar's interest rate differentials.
Mar WTI crude oil prices (CLH17 -0.92%) this morning are down -51 cents (-0.96%) and Mar gasoline (RBH17 -1.55%) is -0.0274 (-1.71%). Tuesday's closes: Mar crude +0.19 (+0.36%), Mar gasoline -0.0087 (-0.55%). Mar crude oil and gasoline on Tuesday settled mixed. Oil prices were boosted by signs that OPEC members are adhering to their production cut agreements after Iraq, OPEC's second-biggest producer, said it has already reduced crude output by 180,000 bpd and will cut its output by another 30,000 bpd by the end of the month. Crude oil prices were undercut by a stronger dollar and by expectations that Wednesday's EIA crude inventories will climb by 2.5 million bbl.

GLOBAL EVENT CALENDAR01/25/2017
Wednesday, Jan 25
US0700 ETWeekly MBA mortgage applications, previous +0.8% with purchase sub-index -5.2% and refi sub-index +6.8%.
0900 ETNov FHFA house price index expected +0.4%, Oct +0.4% m/m.
1030 ETEIA Weekly Petroleum Status Report.
1130 ETTreasury auctions $15 billion of 2-year floating-rate notes.
1300 ETTreasury auctions $34 billion of 5-year T-notes.
n/aHouse and Senate Republicans begin a 3-day policy retreat in Philadelphia.
Thursday
US0830 ETWeekly initial unemployment claims expected +13,000 to 247,000, previous -15,000 to 234,000. Weekly continuing claims expected -6,000 to 2.040 million, previous -47,000 to 2.046 million.
0830 ETDec wholesale inventories expected +0.1% m/m, Nov +1.0% m/m. Dec retail inventories, Nov +1.0% m/m.
0830 ETDec Chicago Fed national activity index expected +0.22 to -0.05, Nov -0.22 to -0.27.
0830 ETUSDA weekly Export Sales.
0945 ETJan Markit services PMI expected +0.5 to 54.4, Dec -0.7 to 53.9.
1000 ETDec new home sales expected -0.8% to 587,000, Nov +5.2% to 592,000.
1000 ETDec leading indicators expected +0.5%, Nov unch. LEI benchmark revisions.
1100 ETJan Kansas City Fed manufacturing survey expected -3 to 8, Dec +10 to 11.
1300 ETTreasury auctions $28 billion of 7-year T-notes.
n/aPresident Trump is scheduled to meet with House and Senate Republicans at their 3-day policy retreat in Philadelphia.
U.S. STOCK CALENDAR01/25/2017
CompanyTickerTimeEvent DescriptionPeriodEstimate
Progressive Corp/ThePGR USBef-mktQ4 2016 Earnings ReleaseQ4 20160.506
McCormick & Co Inc/MDMKC USBef-mktQ4 2016 Earnings ReleaseQ4 20161.276
Huntington Bancshares Inc/OHHBAN USBef-mktQ4 2016 Earnings ReleaseQ4 20160.222
TE Connectivity LtdTEL USBef-mktQ1 2017 Earnings ReleaseQ1 20171.003
Textron IncTXT US6:30Q4 2016 Earnings ReleaseQ4 20160.865
United Technologies CorpUTX US6:55Q4 2016 Earnings ReleaseQ4 20161.564
State Street CorpSTT US7:00Q4 2016 Earnings ReleaseQ4 20161.325
Rockwell Automation IncROK US7:00Q1 2017 Earnings ReleaseQ1 20171.449
Abbott LaboratoriesABT US7:30Q4 2016 Earnings ReleaseQ4 20160.646
Hess CorpHES US7:30Q4 2016 Earnings ReleaseQ4 2016-1.074
Boeing Co/TheBA US7:30Q4 2016 Earnings ReleaseQ4 20162.322
WW Grainger IncGWW US7:30Q4 2016 Earnings ReleaseQ4 20162.358
Freeport-McMoRan IncFCX US8:00Q4 2016 Earnings ReleaseQ4 20160.35
Illinois Tool Works IncITW US8:00Q4 2016 Earnings ReleaseQ4 20161.372
Norfolk Southern CorpNSC US8:00Q4 2016 Earnings ReleaseQ4 20161.362
Amphenol CorpAPH US8:00Q4 2016 Earnings ReleaseQ4 20160.72
Kinder Morgan Inc/DEKMI US9:00Analyst MeetingY 2017
McKesson CorpMCK US16:00Q3 2017 Earnings ReleaseQ3 20172.915
F5 Networks IncFFIV US16:00Q1 2017 Earnings ReleaseQ1 20171.938
Citrix Systems IncCTXS US16:05Q4 2016 Earnings ReleaseQ4 20161.495
Western Digital CorpWDC US16:15Q2 2017 Earnings ReleaseQ2 20172.125
eBay IncEBAY US16:15Q4 2016 Earnings ReleaseQ4 20160.535
Murphy Oil CorpMUR USAft-mktQ4 2016 Earnings ReleaseQ4 2016-0.162
AT&T IncT USAft-mktQ4 2016 Earnings ReleaseQ4 20160.66
Varian Medical Systems IncVAR USAft-mktQ1 2017 Earnings ReleaseQ1 20171.053
Lam Research CorpLRCX USAft-mktQ2 2017 Earnings ReleaseQ2 20172.196
QUALCOMM IncQCOM USAft-mktQ1 2017 Earnings ReleaseQ1 20171.181
Vertex Pharmaceuticals IncVRTX USAft-mktQ4 2016 Earnings ReleaseQ4 20160.297
Xilinx IncXLNX USAft-mktQ3 2017 Earnings ReleaseQ3 20170.49
SL Green Realty CorpSLG USAft-mktQ4 2016 Earnings ReleaseQ4 20161.433
United Rentals IncURI USAft-mktQ4 2016 Earnings ReleaseQ4 20162.296
Crown Castle International CorpCCI USAft-mktQ4 2016 Earnings ReleaseQ4 20161.111