Live Index – Mon, 02 May 2016 Premarket
Jun E-mini S&Ps (ESM16 +0.32%) are up +0.13% and European stocks are up +0.24% after a gauge of European Apr manufacturing activity was revised upward. Activity was subdued with markets in the UK and China closed today for May Day holidays. Mining stocks were higher with the price of gold (GCM16 +0.85%) up +0.86% at a 1-1/4 year high. Gains were limited as energy producers fell with the price of crude down -0.65% after Iraq reported its Apr crude exports rose +2.1% m/m to 3.36 million bpd, just below November’s record high of 3.365 million bpd. Asian stocks settled lower: Japan -3.11%, Australia -0.18%, South Korea -0.71%, India -0.66%. Stock markets in Hong Kong, China, Taiwan and Singapore were closed for holiday. Japan’s Nikkei Stock Index fell to a 2-1/2 week low as exporter stocks sold off after USD/JPY dropped to a fresh 1-1/2 year low, which reduces the earnings prospects of exporters. The slide in Japanese stocks boosted the safe-haven demand for government debt after the yield on Japan’s 20-year note slipped to a record low of 0.24%.
The dollar index (DXY00 -0.21%) is down -0.18% at a new 8-1/4 month low. EUR/USD (^EURUSD) is up +0.24% at a 6-1/2 month high. USD/JPY (^USDJPY) is up +0.10%.
Jun T-note prices (ZNM16 +0.05%) are up +2.5 ticks.
The Eurozone Apr Markit manufacturing PMI was revised upward to 51.7 from the originally reported 51.5.
The China Apr manufacturing PMI unexpectedly fell -0.1 to 50.1, weaker than expectations of +0.1 to 50.3.
Key U.S. news today includes: (1) Atlanta Fed President Dennis Lockhart’s introductory remarks at the Atlanta Fed financial markets conference, (2) final-Apr Markit U.S. manufacturing PMI (expected unch at 50.8, preliminary-April -0.7 to 50.8), (3) Apr ISM manufacturing index (expected -0.4 to 51.4, Mar +2.3 to 51.8), (4) Mar construction spending (expected +0.5% m/m, Feb -0.5% m/m), and (5) San Francisco President John Williams’ speech on a panel on “Systemic Risk: Inevitable or Preventable?” at the 2016 Milken Institute’s Global Conference.
There are 13 of the S&P 500 companies that report earnings today with notable reports including: Lowes (consensus $ 0.54), AIG (1.00), Edison Intl (0.88), General Growth Properties (0.35).
U.S. IPO’s scheduled to price today: none.
Equity conferences this week include: Eyeforpharma Philadelphia 2016 Summit on Mon-Tue, Deutsche Bank Health Care Conference on Wed-Thu, ACI Renewable & Bio-based Chemicals Summit on Wed-Thu.
Apollo Education Group (APOL +2.90%) surged 14% in pre-market trading after a consortium led by Apollo Global Management LLC increased its bid for the company to $ 1.14 billion.
Delta Air Lines (DAL -2.78%) gained 2% in pre-market trading as incoming CEO Ed Bastian takes over today.
Baker Hughes (BHI +1.04%) slipped nearly 3% in pre-market trading after Halliburton abandoned its $ 28 billion deal to merge with Baker Hughes on antitrust concerns.
Seagate Technology Plc (STX -19.07%) fell nearly 3% in pre-market trading after it was downgraded to ‘Underweight’ from ‘Neutral’ at JPMorgan Chase.
Kirby (KEX -0.33%) was upgraded to ‘Buy’ from ‘Hold’ at BB&T Capital Markets with a 12-month price target of $ 80.
United Technologies (UTX +0.13%) was downgraded to ‘Neutral’ from ‘Buy’ at Goldman Sachs.
Groupon (GRPN -18.28%) was downgraded to ‘Underperform’ from ‘Sector perform’ at RBC Capital Markets.
Synnex (SNX -1.61%) was downgraded to ‘Neutral’ from ‘Buy’ at Citigroup.
L-3 Communications (LLL +0.53%) was upgraded to ‘Buy’ from ‘Neutral’ at Goldman Sachs.
Tech Data (TECD -2.62%) was downgraded to ‘Sell’ from ‘Neutral’ at Citigroup.
Vale (VALE +0.89%) was upgraded to ‘Buy’ from ‘Hold’ at BB&T Capital Markets.
Antero Midstream Partners LP (AM +0.67%) was upgraded to ‘Outperform’ from ‘Neutral’ at Credit Suisse with a price target of $ 34.
Ollie’s Bargain Outlet Holdings (OLLI -1.01%) dropped nearly 2% in after-hours trading after it started a 10-million share secondary offering.
Acadia Pharmaceuticals (ACAD -0.31%) won FDA approval for its Nuplazid drug to treat hallucinations and delusions associated with Parkinson’s disease.
June E-mini S&Ps (ESM16 +0.32%) this morning are up +2.75 points (+0.13%). Friday’s closes: S&P 500 -0.51%, Dow Jones -0.32%, Nasdaq -0.52%. The S&P 500 on Friday sold off to a 2-1/2 week low and closed lower mainly because of weaker-than-expected U.S. economic reports. Those reports included the +0.1% increase in U.S. Mar personal spending (weaker than expectations of +0.2%), the -3.2 point decline in the Apr Chicago PMI to 50.4 (weaker than expectations of -1.0 to 52.6), and the unexpected -0.7 point decline in the final U.S. Apr University of Michigan consumer sentiment to 89.0 (weaker than expectations of +0.3 to 90.0 and the lowest in 7-months).
June 10-year T-note prices (ZNM16 +0.05%) this morning are up +2.5 ticks. Friday’s closes: TYM6 +3.50, FVM6 +3.00. Jun T-notes on Friday posted a 1-week high and closed higher on increased safe-haven demand with the sell-off in stocks and on the weaker-than-expected economic reports that included personal income, Chicago PMI and consumer sentiment.
The dollar index (DXY00 -0.21%) this morning is down -0.167 (-0.18%) at a new 8-1/4 month low. EUR/USD (^EURUSD) is up +.0027 (+0.24%) at a 6-1/2 month high. USD/JPY (^USDJPY) is up +0.11 (+0.10%). Friday’s closes: Dollar Index -0.743 (-0.79%), EUR/USD +0.0099 (+0.87%), USD/JPY -1.61 (-1.49%). The dollar index on Friday slumped to an 8-1/4 month low and closed lower on weaker-than-expected U.S. economic reports. In addition, USD/JPY fell sharply to a 1-1/2 year low after the BOJ failed to implement new stimulus at its policy meeting. Meanwhile, EUR/USD rallied to a 2-week high after Eurozone Q1 GDP expanded at a faster-than-expected pace.
June WTI crude oil (CLM16 -0.02%) this morning is down -30 cents (-0.65%). June gasoline (RBM16 +0.24%) is down -0.0007 (-0.04%). Friday’s closes: CLM6 -0.11 (-0.24%), RBM6 -0.0063 (-0.39%). Jun crude oil and gasoline Friday closed lower on the +484,000 bpd increase in OPEC Apr oil production to a record 33.217 million bpd and the slide in the S&P 500 to a 2-1/2 week low. Jun crude initially posted a 5-3/4 month high on Friday after the dollar index tumbled to an 8-1/4 month low.
|US||0850 ET||Atlanta Fed President Dennis Lockhart delivers introductory remarks at the Atlanta Fed financial markets conference.|
|0945 ET||Final-Apr Markit manufacturing PMI expected unch at 50.8, preliminary-April -0.7 to 50.8.|
|1000 ET||Apr ISM manufacturing index expected -0.4 to 51.4, Mar +2.3 to 51.8. Apr ISM new orders, Mar +6.8 to 58.3. Apr ISM employment, Mar -0.4 to 48.1. Apr ISM prices paid expected +0.5 to 52.0, Mar +13.0 to 51.5.|
|1000 ET||Mar construction spending expected +0.5% m/m, Feb -0.5% m/m.|
|1100 ET||USDA weekly grain export inspections.|
|1600 ET||USDA Weekly Crop Progress.|
|1730 ET||San Francisco President John Williams speaks on a panel on Systemic Risk: Inevitable or Preventable? at the 2016 Milken Institutes Global Conference.|
|JPN||0100 ET||Japan Apr vehicle sales, Mar -3.2% y/y.|
|GER||0355 ET||Revised German Apr Markit/BME manufacturing PMI, preliminary +1.2 to 51.9.|
|EUR||0400 ET||Revised Eurozone Apr Markit manufacturing PMI, preliminary -0.1 to 51.5.|
|1000 ET||ECB President Mario Draghi delivers keynote speech at the Asian Development Bank meeting in Frankfurt at a seminar on The Future of Financial Markets: A Changing View of Asia.|
|UK||n/a||UK markets closed for Early May Bank Holiday.|
|Helmerich & Payne Inc||HP US||Bef-mkt||Q2 2016 Earnings Release||Q2 2016||-0.236|
|Loews Corp||L US||Bef-mkt||Q1 2016 Earnings Release||Q1 2016||0.54|
|Sysco Corp||SYY US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||0.416|
|Diamond Offshore Drilling Inc||DO US||Bef-mkt||Q1 2016 Earnings Release||Q1 2016||0.272|
|Diamond Offshore Drilling Inc||DO US||8:30||Q1 2016 Earnings Call||Q1 2016|
|American Express Co||AXP US||9:00||Annual General Meeting||Y 2016|
|International Flavors & Fragrances Inc||IFF US||9:00||Annual General Meeting||Y 2016|
|Boeing Co/The||BA US||10:00||Annual General Meeting||Y 2016|
|Sysco Corp||SYY US||10:00||Q3 2016 Earnings Call||Q3 2016|
|Helmerich & Payne Inc||HP US||11:00||Q2 2016 Earnings Call||Q2 2016|
|Loews Corp||L US||11:00||Q1 2016 Earnings Call||Q1 2016|
|Edison International||EIX US||16:30||Q1 2016 Earnings Call||Q1 2016|
|NVIDIA Corp||NVDA US||17:00||ITC Final Decision Due in Samsung vs. Nvidia Patent-Infringement Case|
|American International Group Inc||AIG US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||0.999|
|Anadarko Petroleum Corp||APC US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||-1.156|
|FMC Corp||FMC US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||0.533|
|Owens-Illinois Inc||OI US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||0.399|
|Edison International||EIX US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||0.884|
|Vornado Realty Trust||VNO US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||1.216|
|General Growth Properties Inc||GGP US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||0.349|
|Extra Space Storage Inc||EXR US||Aft-mkt||Q1 2016 Earnings Release||Q1 2016||0.853|
|Aflac Inc||AFL US||Annual General Meeting||Y 2016|
|Eli Lilly & Co||LLY US||Annual General Meeting|
|Public Service Enterprise Group Inc||PEG US||Investor Meeting – Day 1||Y 2016|
|Cablevision Systems Corp||CVC US||Q1 2016 Earnings Release||Q1 2016||0.181|