Live Index – Wed, 12 Mar 2014 Premarket
March E-mini S&Ps (ESH14 -0.19%) this morning are down -0.27% at a 1-week low and European stocks are down -1.26% over concern of an economic slowdown in China. Also undercutting European stocks was an unexpected -0.2% m/m decline in Eurozone Jan industrial production. Asian stocks closed mostly lower: Japan -2.59%, Hong Kong -1,65%, China +0.26%, Taiwan -0.20%, Australia -0.55%, Singapore -1.02%, South Korea -1.71%, India +0.14%. China’s Shanghai Stock Index tumbled to a 7-1/2 month low on concern that recent weak Chinese economic data on manufacturing and exports will make it difficult for China to reach the government’s 7.5% GDP target for this year. Japan’s Nikkei Stock Index fell over 2% to a 1-week low after Japan Feb consumer confidence tumbled to a 2-1/3 year low. Commodity prices are mixed. Apr crude oil (CLJ14 -1.43%) is down -1.20% at a 1-month low on expectations for EIA inventories to climb today for the eighth consecutive week. Apr gasoline (RBJ14 -0.66%) is down -0.64%. Apr gold (GCJ14 +0.96%) is up +0.82% at a 5-3/4 month high as concern the Ukraine crisis may escalate has boosted the safe-haven demand for gold. May copper (HGK14 -0.54%) slid -0.63% to an 8-1/2 month low on concern that an economic slowdown in China will further depress its demand for copper. Agriculture and livestock prices are mixed. The dollar index (DXY00 +0.05%) is up +0.06%. EUR/USD (^EURUSD) is up +0.04%. USD/JPY (^USDJPY) is down -0.30%. June T-note prices (ZNM14 +0.06%) are up +5.5 ticks.
Eurozone Jan industrial production unexpectedly fell -0.2% m/m, weaker than expectations of +0.5% m/m, although on an annual basis Jan industrial production rose +2.1% y/y, better than expectations of +1.9% y/y.
Japan Feb consumer confidence fell -2.2 to 38.3, a bigger decline than expectations of -0.5 to 40.0 and the lowest in 2-1/3 years.
Japan Q1 BSI large all industry business conditions rose to 12.7 from 8.3 in Q4. Q1 BSI large manufacturing business conditions rose to 12.5 from 9.7 in Q4.
The Japan Feb domestic CGPI unexpectedly fell -0.2% m/m, weaker than expectations of +0.2% m/m and the biggest decline in 16-months. On an annual basis, Feb domestic CGPI rose +1.8% y/y, less than expectations of +2.1% y/y.
The Japan Jan tertiary industry index Rose +0.9% m/m, better than expectations of +0.6% m/m and the most in 8-months.
The Treasury today will sell $ 21 billion of 10-year T-notes as part of this week’s $ 64 billion coupon package. There are three of the Russell 1000 companies that report earnings today: Williams-Sonoma (consensus $ 1.35), Kornos Worldwide (0.02), Dresser-Rand (1.28).
Equity conferences this week include: Deutsche Bank Media, Internet & Telecom Conference on Mon-Wed, CeBIT 2014 on Mon-Wed, Bank of America Merrill Lynch Consumer & Retail Conference on Tue-Wed, Piper Jaffray Technology, Media & Telecommunications Conference on Tue-Wed, J.P. Morgan Aviation, Transportation & Industrials Conference on Mon-Wed,
Barclays Global Healthcare Conference on Tue-Thu, Goldman Sachs Agribusiness Conference on Wed, Mitsubishi Oil & Gas Conference on Wed, Barclays Select Series US & EMEA Utilities Sector Update Conference on Wed, Citi Asset Management, Broker Dealer & Exchanges Conference on Wed, Citi Asset Management Conference on Wed, J.P. Morgan Gaming, Lodging, Restaurant & Leisure Management Access Forum on Wed-Thu,
UBS Global Consumer Conference on Wed-Thu, RBC Capital Market Consumer and Retail Conference on Wed-Thu, and Barclays Select Insurance Forum on Thu.
Express (EXPR -0.92%) reported Q4 EPS of 57 cents, weaker than consensus of 59 cents.
MRC Global (MRC -2.14%) was upgraded to ‘Buy’ from ‘Neutral’ at Longbow.
Toll Brothers (TOL -0.68%) and PulteGroup (PHM -0.35%) were both downgraded to ‘Neutral’ from ‘Outperform’ at Credit Suisse.
PharMerica (PMC -0.80%) was upgraded to ‘Outperform’ from ‘Neutral’ at Credit Suisse.
Deutsche Bank kept its ‘Buy’ rating on Delphi Automotive (DLPH +1.36%) and raised its price target on the stock to $ 90 from $ 75.
UBS kept its ‘Buy’ rating on Walgreen’s (WAG -0.39%) and raised its price target on the stock to $ 90 from $ 67.
Citigroup kept its ‘Buy’ rating on Las Vegas Sands (LVS -1.31%) and raised its price target for the shares to $ 97 from $ 92.50 citing strong growth trends in Macau and Las Vegas.
Reuters reported that China’s central bank, the PBOC, is prepared to cut bank reserve requirementsthe if growth slips below 7.5% towards 7%, citing sources involved in internal policy discussions.
Barron’s reported that the CEO of Ross Stores (ROST -0.15%) sold 150,673 shares of the company and two other Ross insiders sold shares as well for a total of 193.079 shares.
Riley Investment reported a 7.6% stake in STR Holdings (STRI -3.07%) .
Men’s Wearhouse (MW +4.71%) reported a Q4 adjusted EPS loss of -10 cents, a smaller loss than consensus of -13 cents.
Caesar’s (CZR +0.12%) reported a Q4 EPS loss of -$ 12.83, a much bigger loss than consensus of -$ 1.49 as Q4 revenue was $ 2.08 billion, weaker than consensus of $ 2.12 billion.
VeriFone (PAY -0.24%) climbed over 5% in after-hours trading after it reported Q1 EPS of 31 cents, higher than consensus of 27 cents.
Mar E-mini S&Ps (ESH14 -0.19%) this morning are down -5.00 points (-0.27%). The S&P 500 on Tuesday closed lower. Negatives for stocks included (1) weakness in commodity producers after crude prices fell to a 3-week low and copper tumbled to an 8-1/2 month low on Chinese demand concerns, and (2) concern about the crisis in Ukraine after Ukraine’s Interior Minister said his country may mobilize 20,000 troops to protect its borders. Supportive factors for stocks included (1) signs of strength in Europe after German Jan exports rose +2.2% m/m, stronger than expectations of +1.5% m/m and the most in 8 months, and (2) the +0.6% increase in U.S. Jan wholesale inventories, higher than expectations of +0.4%, which should boost Q1 GDP. Closes: S&P 500 -0.51%, Dow Jones -0.41%, Nasdaq 100 -0.40%.
Jun 10-year T-notes (ZNM14 +0.06%) this morning are up +5.5 ticks. Jun 10-year T-note futures prices on Tuesday closed higher after weakness in stocks boosted safe-haven demand for Treasuries. Gains were muted by supply pressures with $ 64 billion in Treasury auctions this week. Closes: TYM4 +3.50, FVM4 +2.75.
The dollar index (DXY00 +0.05%) this morning is up +0.051 (+0.06%). EUR/USD (^EURUSD) is up +0.0006 (+0.04%). USD/JPY (^USDJPY) is down -0.31 (-0.30%). The dollar index on Tuesday closed slightly lower. EUR/USD fell back on concern the Ukraine crisis may escalate after Ukraine’s Interior Minister said his country may mobilize 20,000 troops to protect its borders. Losses in EUR/USD were limited after German Jan exports rose by the most in 8 months, a sign of economic strength. Closes: Dollar index -0.032 (-0.04%), EUR/USD -0.00166 (-0.12%), USD/JPY -0.252 (-0.24%).
Apr WTI crude oil (CLJ14 -1.43%) this morning is down -$ 1.20 a barrel (-1.20%) at a 1-month low and Apr gasoline (RBJ14 -0.66%) is down -0.0191 (-0.64%). Apr crude and gasoline prices on Tuesday settled mixed. Apr crude slid to a 3-week low and closed lower on concerns over Chinese demand and expectations for weekly EIA crude inventories on Wed to rise by +2.0 million bbl, their eighth consecutive increase. Gasoline gained on the outlook for weekly EIA gasoline stockpiles to fall -1.8 million bbl as ongoing seasonal refinery maintenance curbs U.S. gasoline production. Closes: CLJ4 -1.09 (-1.08%), RBJ4 +0.0176 (+0.60%).
|US||0700 ET||Weekly MBA mortgage applications, previous +9.4% with purchase sub-index +9.4% and refi sub-index +9.6%.|
|1030 ET||EIA Weekly Petroleum Status Report.|
|1300 ET||Treasury auctions $ 21 billion10-year T-notes.|
|1400 ET||Treasury Secretary Lew testifies before the House Budget Committee on the fiscal 2015 budget.|
|JPN||0100 ET||Japan Feb consumer confidence expected -0.5 to 40.0, Jan 40.5.|
|1950 ET||Japan Jan machine orders expected +7.1% m/m and +18.9% y/y, Dec -15.7% m/m and +6.7% y/y.|
|EUR||0400 ET||ECB Executive Board members Peter Praet, Yves Mersch and Benoit Coeure speak at a conference in Frankfurt.|
|0600 ET||Eurozone Jan industrial production expected +0.5% m/m and +1.9% y/y, Dec -0.7% m/m and +0.5% y/y.|
|UK||2001 ET||UK Feb RICS house price balance expected 52%, Jan 53%.|
|Company Name||Ticker||Time||Event Description||Period||Estimate|
|Allegion PLC||ALLE US||8:00||Investor and Analyst Meeting||Y 2014|
|Analog Devices Inc||ADI US||9:00||Annual General Meeting|
|Dresser-Rand Group Inc||DRC US||9:00||Q4 2013 Earnings Call||Q4 2013|
|Sigma-Aldrich Corp||SIAL US||9:30||Analyst Meeting|
|ANSYS Inc||ANSS US||10:00||Investor Day||Y 2014|
|Williams-Sonoma Inc||WSM US||Aft-mkt||Q4 2014 Earnings Release||Q4 2014||1.354|
|Equifax Inc||EFX US||Investors Meeting – San Francisco||Y 2014|
|Franklin Resources Inc||BEN US||Annual General Meeting|
|Progressive Corp/The||PGR US||February 2014 Sales and Revenue Release||2014|
|Toll Brothers Inc||TOL US||Annual General Meeting|
|Concur Technologies Inc||CNQR US||Annual General Meeting|
|Kronos Worldwide Inc||KRO US||Q4 2013 Earnings Release||Q4 2013||0.021|
|Dresser-Rand Group Inc||DRC US||Q4 2013 Earnings Release||Q4 2013||1.277|