US : Pre Market News – 19 Oct 2016
Wed Oct 19 2016
Nikki Bailey (1044 articles)

US : Pre Market News – 19 Oct 2016

NEW YORK :

PREMARKET WORLD NEWS

Dec E-mini S&Ps (ESZ16 unch) are up +0.02% on a rally in energy producing stocks as the price of crude oil (CLX16 +1.29%) climbs +1.37% after API data released late yesterday showed U.S crude supplies declined -3.8 million bbl last week. Gains were limited and European stocks are down -0.2% after weaker-than-expected Chinese industrial output fuels global growth concerns. Also, technology stocks are weaker led by a nearly 5% decline in Intel in pre-market trading after it forecast weaker-than-expected Q4 revenue. Asian stocks settled mostly higher: Japan +0.21%, Hong Kong -0.38%, China +0.03%, Taiwan +0.67%, Australia +0.45%, Singapore +0.49%, South Korea +0.09%, India -0.24%. China’s Shanghai Composite eked out a 5-week high on speculation the government may boost stimulus measures after the pace of Chinese industrial production unexpectedly slowed.

The dollar index (DXY00 -0.07%) is down -0.16%. EUR/USD (^EURUSD) is unch. USD/JPY (^USDJPY) is down -0.47% at a 1-week low.

Dec 10-year T-note prices (ZNZ16 unch) are up +0.5 of a tick at a 2-week high.

China Sep industrial production rose +6.1% y/y, weaker than expectations of +6.4% y/y.

China Q3 GDP was unchanged for the second straight quarter at 6.7% y/y, right on expectations and the slowest pace of growth in 7-1/2 years.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) weekly MBA mortgage applications (previous -6.0% with purchase sub-index -2.6% and refi sub-index -8.0%), (2) Sep housing starts (expected +2.9% to 1.175 million, Aug -5.8% m/m to 1.142 million), (3) San Francisco Fed President John Williams (non-voter) speaks at Rutgers University, (4) Dallas Fed President Robert Kaplan (non-voter) takes part in a moderated Q&A at a luncheon sponsored by the Fort Worth Chamber of Commerce, (5) Fed Beige Book, (6) EIA Weekly Petroleum Status Report.

Notable S&P 500 earnings reports today include: Morgan Stanley (consensus $ 0.63), AMEX (-0.96), Halliburton (-0.06), Abbott Labs (0.58), Citrix (1.19), Kinder Morgan (0.16), eBay (0.44).

U.S. IPO’s scheduled to price today: Forterra (FRTA), iRhythm Technologies (IRTC).

Equity conferences during the remainder of this week include: none.

PREMARKET U.S. STOCKS

Intel (INTC +1.23%) is down nearly 5% in pre-market trading after it forecast Q4 revenue of $ 15.2 billion-$ 16.2 billion, and the midpoint trailed estimates of $ 15.9 billion.

Norwegian Cruise Line Holdings Ltd. (NCLH +2.08%) was downgraded to ‘Hold’ from ‘Buy’ at SunTrust.

EI du Pont de Nemours (DD +1.22%) was rated a new ‘Buy’ at Nomura with a 12-month target price of $ 78.

GoDaddy (GDDY +0.82%) was rated a new ‘Buy’ at Cantor Fitzgerald with a 12-month price target of $ 42.

Yahoo! (YHOO -0.26%) gained over 1% in after-hours trading after it reported Q3 adjusted EPS of 20 cents, higher than consensus of 14 cents.

Cree (CREE +1.61%) sold-off over 9% in after-hours trading after it reported Q1 adjusted EPS of 9 cents, below consensus of 11 cents, and forecast Q2 adjusted EPS continuing operations of 4 cents-10 cents, well below consensus of 14 cents.

Intuitive Surgical (ISRG +1.73%) fell 2% in after-hours trading on disappointment that it reported Q3 worldwide procedure growth of 14%, right on expectations.

Manhattan Associated (MANH +1.92%) tumbled 9% in after-hours trading after it lowered guidance on full-year revenue to $ 603 million-$ 609 million from a July view of $ 615 million-$ 620 million.

Interactive Brokers Group (IBKR +1.33%) lost almost 1% in after-hours trading after it reported Q3 comprehensive EPS of 30 cents, below consensus of 32 cents.

Meridian Bioscience (VIVO +0.27%) sank 10% in after-hours trading after it forecast fiscal 2017 adjusted EPS of 81 cents-85 cents, weaker than consensus of 91 cents.

Puma Biotechnology (PBYI +0.67%) dropped 5% in after-hours trading after it proposed an offering of $ 150 million of stock.

Sunesis Pharmaceuticals (SNSS -2.86%) slid nearly 7% in after-hours trading after it proposed an offering of common stock and preferred stock, although no size was given.

MARKET COMMENTS

Dec E-mini S&Ps (ESZ16 unch) this morning are up +0.50 of a point (+0.02%). Tuesday’s closes: S&P 500 +0.62%, Dow Jones +0.42%, Nasdaq +0.91%. The S&P 500 on Tuesday closed higher on carryover support from a rally in China’s Shanghai Composite to a 5-week high after China Sep aggregate financing, the broadest measure of credit, posted its biggest increase in 6 months. There was also strength in mining stocks and raw-material producers after gold and silver prices rose to 1-week highs. Stocks were also boosted by benign inflation pressures that may delay a Fed rate hike after U.S. Sep core CPI rose +0.1% m/m and +2.2% y/y, slightly weaker than expectations of +0.2% m/m and +2.3% y/y.

Dec 10-year T-notes (ZNZ16 unch) this morning are up +0.5 of a tick at a 2-week high. Tuesday’s closes: TYZ6 +5.50, FVZ6 +3.00. Dec 10-year T-notes on Tuesday rose to a 1-1/2 week high and closed higher on the smaller-than-expected increase in U.S. Sep core CPI, which bolsters the case for the Fed to delay an interest rate increase. T-notes were also boosted by the as-expected -2 point decline in the U.S. Oct NAHB housing market index to 63 from 65.

The dollar index (DXY00 -0.07%) this morning is down -0.158 (-0.16%). EUR/USD (^EURUSD) is unchanged. USD/JPY (^USDJPY) is down -0.49 (-0.47%) at a 1-week low. Tuesday’s closes: Dollar index +0.007 (+0.01%), EUR/USD -0.0019 (-0.17%), USD/JPY -0.02 (-0.02%). The dollar index on Tuesday closed little changed. The dollar index was undercut by the slightly weaker-than-expected U.S. Sep core CPI, which may push the Fed to further delay an interest rate increase. There was also strength in the British pound as GBP/USD climbed to a 1-week high after UK Sep CPI rose more than expected, which may limit further BOE easing moves.

Nov WTI crude oil (CLX16 +1.29%) this morning is up +69 cents (+1.37%) and Nov gasoline (RBX16 -0.35%) is down -0.0021 (-0.14%). Tuesday’s closes: Nov crude +0.35 (+0.70%), Nov gasoline +0.0101 (+0.68%). Nov crude oil and gasoline on Tuesday closed higher with Nov gasoline at a 1-3/4 month high. Crude oil prices were boosted by a weaker dollar and by IEA Executive Director Birol’s comment that OPEC’s plan to limit production is an “important development” and may see the market rebalancing “much sooner” than the end of 2017. Gains were limited on expectations for Wednesday’s EIA crude inventories to increase by +1.87 million bbl.

GLOBAL EVENT CALENDAR 10/19/2016
Wednesday, Oct 19
US0700 ETWeekly MBA mortgage applications, previous -6.0% with purchase sub-index -2.6% and refi sub-index -8.0%.
0830 ETSep housing starts expected +2.9% to 1.175 million, Aug -5.8% m/m to 1.142 million. Sep building permits expected +1.1% to 1.165 million, Aug +0.7% to 1.152 million.
0845 ETSan Francisco Fed President John Williams (non-voter) speaks at Rutgers University.
1030 ETEIA Weekly Petroleum Status Report.
1330 ETDallas Fed President Robert Kaplan (non-voter) takes part in a moderated Q&A at a luncheon sponsored by the Fort Worth Chamber of Commerce.
1400 ETFed Beige Book.
Thursday, Oct 20
US0830 ETWeekly initial unemployment claims expected +4,000 to 250,000, previous unch at 246,000. Weekly continuing claims expected +9,000 to 2.055 million, previous -16,000 to 2.046 million.
0830 ETOct Philadelphia Fed business outlook survey expected -7.5 to 5.3, Sep +10.8 to 12.8.
0830 ETUSDA weekly Export Sales.
1000 ETSep existing home sales expected +0.4% to 5.35 million, Aug -0.9% to 5.33 million.
1000 ETSep leading indicators expected +0.2%, Aug -0.2%.
1100 ETTreasury announces amount of 2-year T-notes (previous $ 26 billion), 2-year floating-rate notes (previous $ 14 billion), 5-year T-notes (previous $ 34 billion) & 7-year T-notes (previous $ 28 billion) to be auctioned Oct 25-27.
1300 ETTreasury auctions $ 5 billion 30-year TIPS.
U.S. STOCK CALENDAR 10/19/2016
CompanyTickerTimeEvent DescriptionPeriodEstimate
BB&T CorpBBT USBef-mktQ3 2016 Earnings ReleaseQ3 20160.711
M&T Bank CorpMTB USBef-mktQ3 2016 Earnings ReleaseQ3 20162.04
US BancorpUSB USBef-mktQ3 2016 Earnings ReleaseQ3 20160.833
Reynolds American IncRAI USBef-mktQ3 2016 Earnings ReleaseQ3 20160.641
Halliburton CoHAL US6:50Q3 2016 Earnings ReleaseQ3 2016-0.063
Dover CorpDOV US7:00Q3 2016 Earnings ReleaseQ3 20160.821
Morgan StanleyMS US7:00Q3 2016 Earnings ReleaseQ3 20160.627
St Jude Medical IncSTJ US7:15Q3 2016 Earnings ReleaseQ3 20161.014
Abbott LaboratoriesABT US7:30Q3 2016 Earnings ReleaseQ3 20160.581
Northern Trust CorpNTRS US7:30Q3 2016 Earnings ReleaseQ3 20161.091
BB&T CorpBBT US8:00Q3 2016 Earnings CallQ3 2016
St Jude Medical IncSTJ US8:00Q3 2016 Earnings CallQ3 2016
Amphenol CorpAPH US8:00Q3 2016 Earnings ReleaseQ3 20160.685
Seagate Technology PLCSTX US8:00Q1 2017 Earnings ReleaseQ1 20170.79
Navient CorpNAVI US8:00Q3 2016 Earnings CallQ3 2016
Genuine Parts CoGPC US8:30Q3 2016 Earnings ReleaseQ3 20161.277
Morgan StanleyMS US8:30Q3 2016 Earnings CallQ3 2016
Abbott LaboratoriesABT US9:00Q3 2016 Earnings CallQ3 2016
Halliburton CoHAL US9:00Q3 2016 Earnings CallQ3 2016
US BancorpUSB US9:00Q3 2016 Earnings CallQ3 2016
Reynolds American IncRAI US9:00Q3 2016 Earnings CallQ3 2016
Seagate Technology PLCSTX US9:00Q1 2017 Earnings CallQ1 2017
Dover CorpDOV US10:00Q3 2016 Earnings CallQ3 2016
Genuine Parts CoGPC US11:00Q3 2016 Earnings CallQ3 2016
M&T Bank CorpMTB US11:00Q3 2016 Earnings CallQ3 2016
Northern Trust CorpNTRS US12:00Q3 2016 Earnings CallQ3 2016
Amphenol CorpAPH US13:00Q3 2016 Earnings CallQ3 2016
Mattel IncMAT US16:05Q3 2016 Earnings ReleaseQ3 20160.708
Citrix Systems IncCTXS US16:05Q3 2016 Earnings ReleaseQ3 20161.194
Kinder Morgan Inc/DEKMI US16:05Q3 2016 Earnings ReleaseQ3 20160.156
eBay IncEBAY US16:15Q3 2016 Earnings ReleaseQ3 20160.44
FMC Technologies IncFTI US16:15Q3 2016 Earnings ReleaseQ3 20160.231
Xilinx IncXLNX US16:20Q2 2017 Earnings ReleaseQ2 20170.546
Kinder Morgan Inc/DEKMI US16:30Q3 2016 Earnings CallQ3 2016
Citrix Systems IncCTXS US16:45Q3 2016 Earnings CallQ3 2016
American Express CoAXP US17:00Q3 2016 Earnings CallQ3 2016
Mattel IncMAT US17:00Q3 2016 Earnings CallQ3 2016
Lam Research CorpLRCX US17:00Q1 2017 Earnings CallC3 2017
Xilinx IncXLNX US17:00Q2 2017 Earnings CallQ2 2017
Tractor Supply CoTSCO US17:00Q3 2016 Earnings CallQ3 2016
eBay IncEBAY US17:00Q3 2016 Earnings CallQ3 2016
American Express CoAXP USAft-mktQ3 2016 Earnings ReleaseQ3 20160.961
Lam Research CorpLRCX USAft-mktQ1 2017 Earnings ReleaseQ1 20171.776
Tractor Supply CoTSCO USAft-mktQ3 2016 Earnings ReleaseQ3 20160.658
SL Green Realty CorpSLG USAft-mktQ3 2016 Earnings ReleaseQ3 20161.503
United Rentals IncURI USAft-mktQ3 2016 Earnings ReleaseQ3 20162.424
Robert Half International IncRHI USQ3 2016 Earnings ReleaseQ3 20160.707
Nikki Bailey

Nikki Bailey

Nikki Bailey reports on US Stocks. She covers also economy and related aspects. She has been tracking US Stock markets for several years now. She is based in New York

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