Live Index – Fri, 23 Oct 2015 Premarket
December E-mini S&Ps (ESZ15 +0.99%) are up +0.38% and European stocks are up +1.79%, both at 2-month highs, as a rally in technology stocks leads the overall market higher. Amazon.com, Google and Microsoft are all up at least 7% in pre-market trading after they posted quarterly profits that beat expectations. M&A activity has given equities a boost as well with Cable & Wireless Communications Plc up 9% after it confirmed that it is in talks for a takeover by Liberty Global Plc. Asian stocks settled higher: Japan +2.11%, Hong Kong +1.34%, China +1.30%, Taiwan +0.76%, Australia +1.67%, Singapore +1.00%, South Korea +0.89%, India +0.67%. China’s Shanghai Composite closed higher as property stocks rose after China Sep new home prices increased in the most cities in 17 months. Japan’s Nikkei Stock index rallied up to a 1-1/2 month high, led by strength in technology stocks, and after a gauge of Japanese manufacturing activity expanded at the fastest pace in 19 months.
The dollar index (DXY00 +0.08%) is up +0.06% at a 4-week high. EUR/USD (^EURUSD) is down -0.13% at a 2-month low on carryover from ECB President Draghi’s comments on Thursday that the ECB may expand QE in December. USD/JPY (^USDJPY) is down -0.17%.
Dec T-note prices (ZNZ15 -0.30%) are down -8 ticks.
China Sep new home prices rose in more than half of the 70 cities monitored by the government, the most in 17 months. New-home prices rose in 39 cities compared with 35 in August, and home prices dropped in 21 cities, fewer than the 25 that fell in Aug.
The Eurozone Oct Markit composite PMI unexpectedly rose +0.4 to 54.0, stronger than expectations of -0.2 to 53.4.
The German Oct Markit/BME manufacturing PMI fell -0.7 to 51.6, weaker than expectations of -0.6 to 51.7 and the slowest pace of expansion in 5 months.
The Japan Oct Nikkei manufacturing PMI unexpectedly rose +1.5 to 52.5, stronger than expectations of -0.5 to 50.5 and the fastest pace of expansion in 19 months.
Key U.S. news today includes: (1) preliminary-Oct U.S. Markit manufacturing PMI (expected -0.4 to 52.7, Sep +0.1 to 53.1).
There are 10 of the S&P 500 companies that report earnings today with notable reports including: P&G (consensus $ 0.95), American Airlines (2.72), State Street (1.24), Royal Caribbean Cruises (2.71), DTE Energy (1.25), Whirlpool (3.29).
U.S. IPO’s scheduled to price today: NovaBay Pharmaceuticals (NBY).
Equity conferences during the remainder of this week include: none.
Amazon.com (AMZN +1.46%) jumped over 10% in after-hours trading after it reported an unexpected Q3 EPS profit of 17 cents, well above consensus of a -13 cent loss.
Google (GOOG +1.43%) surged 10% in after-hours trading after it reported Q3 EPS of $ 7.35, better than consensus of $ 7.20.
Microsoft (MSFT +1.76%) climbed over 8% in after-hours trading after it reported Q1 adjusted EPS of 67 cents, above consensus of 59 cents.
AT&T (T +1.07%) rose nearly 2% in after-hours trading after it reported Q3 EPS of 74 cents, higher than consensus of 69 cents, and then raised guidance on fiscal 2015 earnings to $ 2.68-$ 2.74, above consensus of $ 2.64.
LyondellBasell Industries NV (LYB +3.57%) reported Q3 EPS of $ 2.80, better than consensus of $ 2.57.
American Airlines Group (AAL +3.79%) reported Q3 EPS of $ 2.77, higher than consensus of $ 2.72.
Fortinet (FTNT +3.17%) slumped over 12% in after-hours trading after it reported Q3 EPS of 14 cents, above consensus of 12 cents, but then said it sees Q4 EPS of 18 cents-19 cents, below consensus of 21 cents.
Athenahealth (ATHN -4.26%) rose nearly 8% in after-hours trading after it reported Q3 EPS of 36 cents, better than consensus of 26 cents.
Capital One Financial (COF +1.71%) rose nearly 3% in after-hours trading after it reported Q3 EPS of $ 2.10, higher than consensus of $ 1.94.
LogMeIn (LOGM +2.39%) gained 3% in after-hours trading after it reported Q3 EPS of 46 cents, above consensus of 43 cents, and then said it sees Q4 EPS of 46 cents-47 cents, higher than consensus of 43 cents.
Maxim Integrated Products (MXIM -0.81%) dropped over 5% in after-hours trading after it lowered guidance on Q2 EPS to 29 cents-35 cents, below consensus of 42 cents.
Juniper Networks (JNPR -0.13%) rose over 5% in after-hours trading after it reported adjusted Q3 EPS of 57 cents, above consensus of 53 cents.
Pandora (P -0.36%) plunged over 15% in after-hours trading after it reported Q3 EPS of 10 cents, right on consensus, but then lowered guidance on fiscal 2015 revenue to $ 1.15-$ 1.16 billion from a July estimate of $ 1.175-$ 1.185 billion, below consensus of $ 1.18 billion.
Dec E-mini S&Ps (ESZ15 +0.99%) this morning are up +7.75 points (+0.38%) at a fresh 2-month high. Thursday’s closes: S&P 500 +1.66%, Dow Jones +1.87%, Nasdaq +2.03%. The S&P 500 on Thursday climbed to a 2-month high and closed sharply higher on carryover support from a rally in European stocks after ECB President Draghi suggested that the ECB may review additional stimulus measures at their December meeting to thwart downside risks to growth and inflation. Stocks also received a boost from the +4.7% increase in U.S. Sep existing home sales to 5.55 million, stronger than expectations of +1.5% to 5.39 million, and mostly positive Q3 company earnings results thus far.
Dec 10-year T-notes (ZNZ15 -0.30%) this morning are down -8 ticks. Thursday’s closes: TYZ5 +2.00, FVZ5 +2.00. Dec T-notes on Thursday closed higher on carryover support from a rally in German bunds to a 3-week high and the larger-than-expected decline in U.S. Sep leading indicators. T-notes were undercut by the rally in the S&P 500 to a 2-month high and the stronger-than-expected U.S. Sep existing home sales.
The dollar index (DXY00 +0.08%) this morning is up +0.060 (+0.06%) at a 4-week high. EUR/USD (^EURUSD) is down -0.0014 (-0.13%) at a 2-month low. USD/JPY (^USDJPY) is down -0.17%. Thursday’s closes: Dollar Index +1.343 (+1.41%), EUR/USD -0.023 (-2.03%), USD/JPY +0.76 (+0.63%). The dollar index on Thursday rose to a 3-week high and closed higher on weakness in EUR/USD which slumped to a 1-1/2 month low after ECB President Draghi hinted the ECB may need to expand QE in December. Also, there was a rally in USD/JPY to a 3-week high as a rally in stocks undercut the safe-haven demand for the yen.
Dec crude oil (CLZ15 +0.59%) this morning is up +3 cents (+0.07%) and Dec gasoline (RBZ15 +0.61%) is up +0.0025 (+0.19%). Thursday’s closes: CLZ5 +0.18 (+0.40%), RBZ5 +0.0294 (+2.29%). Dec crude oil and gasoline on Thursday settled higher on the rally in the S&P 500 to a 2-month high and on strength in gasoline as the crack spread rose to a near 2-week high, which may boost refinery demand for crude in order to increase gasoline production. Crude oil prices were undercut by the rally in the dollar index to a 3-week high.
|US||0945 ET||Preliminary Oct U.S. Markit manufacturing PMI expected -0.4 to 52.7, Sep +0.1 to 53.1.|
|1500 ET||USDA Sep Cattle on Feed.|
|JPN||0100 ET||Revised Japan Aug leading index CI, previous 103.5. Revised Aug coincident index, previous 112.5.|
|GER||0330 ET||German Oct Markit/BME manufacturing PMI expected -0.6 to 51.7, Sep 52.3. Oct Markit services PMI expected -0.2 to 53.9, Sep 54.1.|
|EUR||0400 ET||Eurozone Oct Markit manufacturing PMI expected -0.3 to 51.7, Sep 52.0. Oct Markit composite PMI expected 0.2 to 53.4, Sep 53.6.|
|American Airlines Group Inc||AAL US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||2.721|
|Cabot Oil & Gas Corp||COG US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||0.001|
|Procter & Gamble Co/The||PG US||Bef-mkt||Q1 2016 Earnings Release||Q1 2016||0.946|
|Ventas Inc||VTR US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||1.069|
|State Street Corp||STT US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||1.239|
|Royal Caribbean Cruises Ltd||RCL US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||2.709|
|DTE Energy Co||DTE US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||1.246|
|LyondellBasell Industries NV||LYB US||Bef-mkt||Q3 2015 Earnings Release||Q3 2015||2.567|
|Whirlpool Corp||WHR US||6:00||Q3 2015 Earnings Release||Q3 2015||3.289|
|VF Corp||VFC US||7:00||Q3 2015 Earnings Release||Q3 2015||1.117|
|American Airlines Group Inc||AAL US||8:30||Q3 2015 Earnings Call||Q3 2015|
|Procter & Gamble Co/The||PG US||8:30||Q1 2016 Earnings Call||Q1 2016|
|VF Corp||VFC US||8:30||Q3 2015 Earnings Call||Q3 2015|
|DTE Energy Co||DTE US||9:00||Q3 2015 Earnings Call||Q3 2015|
|Cabot Oil & Gas Corp||COG US||9:30||Q3 2015 Earnings Call||Q3 2015|
|State Street Corp||STT US||9:30||Q3 2015 Earnings Call||Q3 2015|
|Southwestern Energy Co||SWN US||10:00||Q3 2015 Earnings Call||Q3 2015|
|Ventas Inc||VTR US||10:00||Q3 2015 Earnings Call||Q3 2015|
|Whirlpool Corp||WHR US||10:00||Q3 2015 Earnings Call||Q3 2015|
|Royal Caribbean Cruises Ltd||RCL US||10:00||Q3 2015 Earnings Call||Q3 2015|
|Principal Financial Group Inc||PFG US||10:00||Q3 2015 Earnings Call||Q3 2015|
|LyondellBasell Industries NV||LYB US||11:00||Q3 2015 Earnings Call||Q3 2015|
|Harris Corp||HRS US||13:00||Annual General Meeting|