US : Pre Market News – 02 Nov 2016
NEW YORK :
Dec E-mini S&Ps (ESZ16 -0.02%) are down -0.20% and European stocks are down -0.89% at a 2-week low on angst ahead of next Tuesday’s U.S. Presidential election. Most polls have tightened up following the latest FBI investigation into Presidential candidate Clinton’s emails, which have boosted the chances of a Donald Trump presidency. Crude oil prices (CLZ16 -1.50%) are down -1.71% at a 1-month low, which has undercut energy producing stocks, after API data late Tuesday showed U.S crude stockpiles increased by 9.3 million bbl last week. Asian stocks settled lower: Japan -1.76%, Hong Kong -1.45%, China -0.63%, Taiwan -1.44%, Australia -1.16%, Singapore -0.23%, South Korea -1.23%, India -1.25%. China’s Shanghai Composite fell to a 1-week low and Japan’s Nikkei Stock Index fell to a 1-1/2 week low on negative carryover from a slump in U.S. stocks Tuesday. Japanese stocks were also undercut as Sony slid to a 2-month low after it reported weaker-than-expected quarterly profits.
The dollar index (DXY00 -0.28%) is down -0.18% at a 3-week low. EUR/USD (^EURUSD) is up +0.24% at a 3-week high. USD/JPY (^USDJPY) is down -0.69% at a 1-week low.
Dec 10-year T-note prices (ZNZ16 +0.19%) are up +7.5 ticks ahead of the results of today’s FOMC meeting.
The German Oct unemployment change fell -13,000, stronger than expectations of -1,000 and the biggest decline in 6 months. The German Oct unemployment rate unexpectedly fell 0.1 to 6.0%, stronger than expectations of no change at 6.1% and the lowest since German reunification in 1991.
The Eurozone Oct Markit manufacturing PMI was revised upward to 53.5 from the originally reported 53.3, the fastest pace of expansion in 2-3/4 years.
Key U.S. news today includes: (1) weekly MBA mortgage applications (previous -4.1% with purchase sub-index -6.9% and refi sub-index -2.3%), (2) Oct ADP employment (expected +165,000, Sep +154,000), (3) Oct New York ISM (Sep +2.1 to 49.6), (4) FOMC announces interest rate decision after 2-day meeting (rates expected unchanged), and (5) EIA Weekly Petroleum Status Report.
Notable S&P 500 earnings reports today include: Facebook (consensus $ 0.97), ADP (0.76), Anthem (2.47), Time Warner (1.37), Sepra Energy (0.95), Allstate (1.26), AIG (1.20), Marathon Oil (-0.20), Whole Foods Market (0.24), Transocean (0.14), Prudential Financial (2.49), MetLife (1.13), Wynn Resorts (0.73), First Solar (0.76), among others.
U.S. IPO’s scheduled to price today: none.
Equity conferences during the remainder of this week include: Needham Next-Gen Storage Networking Conference on Wed, Goldman Sachs Industrials Conference on Wed-Thu, BancAnalysts Association of Boston Conference on Thu-Fri.
Pfizer (PFE -2.02%) was downgraded to ‘Hold’ from ‘Buy’ at Argus.
Brocade (BRCD +6.04%) jumped 7% in pre-market trading after Broadcom agreed to acquire the company for $ 5.9 billion.
Electronic Arts (EA -0.87%) rose 5% in after-hours trading after it reported Q2 adjusted EPS of 53 cents, higher than consensus of 43 cents, and said it sees fiscal 2017 GAAP EPS of $ 2.69, above consensus of $ 2.63.
Illumina (ILMN +2.47%) slid 2% in after-hours trading after it cut its full-year adjusted EPS estimate to $ 3.27-$ 3.32 from a July 26 estimate of $ 3.48-$ 3.58.
Gilead Sciences (GILD +0.60%) lost nearly 1% in after-hours trading after it reported Q3 adjusted EPS of $ 2.75, weaker than consensus of $ 2.85.
Tableau Software (DATA +3.04%) sank 10% in after-hours trading after it reported Q3 revenue of $ 206.1 million, weaker than consensus of $ 213.8 million and below the lowest estimate of $ 210 million.
Papa John’s International (PZZA -0.91%) gained over 3% in after-hours trading after it reported Q3 EPS of 57 cents, better than consensus of 50 cents, and then raised its 2016 EPS estimate to $ 2.46-$ 2.52 from an August 2 view of $ 2.35-$ 2.45.
Cerner (CERN -2.12%) fell nearly 6% in after-hours trading after it reported Q3 adjusted EPS of 59 cents, below consensus of 60 cents, and then said it sees 2017 revenue of $ 5.2 billion-$ 5.45 billion, below consensus of $ 5.44 billion.
Square (SQ -1.16%) rallied nearly 5% in after-hours trading after it raised its 2016 adjusted revenue estimate to $ 677 million-$ 680 million from a prior view of $ 655 million-$ 670 million.
Herbalife (HLF -2.57%) lost 1% in after-hours trading after it reported Q3 revenue of $ 1.12 billion, less than consensus of $ 1.14 billion.
Etsy (ETSY -0.23%) rose 4% in after-hours trading after it said it sees full-year revenue up at least 30%, below estimates of 32% and CFO Kristina Salen said she will leave the company May 2017 to pursue other opportunities.
U.S. Steel (X -3.26%) dropped 7% in after-hours trading after it reported Q3 adjusted EPS of 40 cents, well below consensus of 84 cents, and then cut its full-year adjusted Ebitda view to $ 475 million from a July 26 estimate of $ 850 million.
AveXis (AVXS +1.07%) jumped over 15% in after-hours trading after it said it will conduct a study of its AVXS-101 in spinal muscular atrophy Type 1 and evaluate motor milestones in patients.
Oclaro (OCLR +0.41%) rallied over 7% in after-hours trading after it reported Q1 adjusted EPS of 14 cents, higher than consensus of 10 cents, and said it sees Q2 revenue of $ 146 million-$ 154 million, above consensus of $ 138 million.
Adeptus Health (ADPT -10.79%) plunged over 40% in after-hours trading after it reported Q3 adjusted EPS of 6 cents, well below consensus of 54 cents, and then cut its 2016 adjusted Ebitda view to $ 70 million-$ 80 million from a July estimate of $ 110 million-$ 115 million.
Dec E-mini S&Ps (ESZ16 -0.02%) this morning are down -4.25 points (-0.20%). Tuesday’s closes: S&P 500 -0.68%, Dow Jones -0.58%, Nasdaq -0.72%. The S&P 500 on Tuesday slumped to a 3-3/4 month low and closed lower on the jump in the VIX volatility index to a 1-1/2 month high on concern the new FBI investigation into U.S. Presidential candidate Clinton’s emails may cause her to lose the presidential election to candidate Trump, which is seen as bearish for equities. Stocks were also undercut by the unexpected -0.4% decline in U.S. Sep construction spending, weaker than expectations of +0.5%. Stocks opened higher on reduced Chinese economic concerns after the China Oct manufacturing PMI unexpectedly rose +0.8 to 51.2, stronger than expectations of -0.1 to 50.3 and the fastest pace of expansion in 2-1/4 years. Stocks were also boosted by the +0.4 point increase in the U.S. Oct ISM to 51.9, stronger than expectations of +0.2 to 51.7.
Dec 10-year T-notes (ZNZ16 +0.19%) this morning are up +7.5 ticks. Tuesday’s closes: TYZ6 +5.50, FVZ6 +4.50. Dec 10-year T-notes on Tuesday erased early losses and closed higher on increased safe-haven demand due to the sell-off in stock prices. T-notes were undercut by concern that the FOMC on Tuesday will shift to even more hawkish language in their post-meeting statement even if they do not raise interest rates. T-notes were also undercut by the stronger-than-expected U.S. Oct ISM manufacturing index report and reduced global economic concerns after China Oct manufacturing PMI unexpectedly expanded at the fastest pace in 2-1/4 years.
The dollar index (DXY00 -0.28%) this morning is down -0.179 (-0.18%) at a 3-week low. EUR/USD (^EURUSD) is up +0.0027 (+0.24%) at a 3-week high. USD/JPY (^USDJPY) is down -0.72 (-0.69%) at a 1-week low. Tuesday’s closes: Dollar index -0.746 (-0.76%), EUR/USD +0.0074 (+0.67%), USD/JPY -0.67 (-0.64%). The dollar index on Tuesday sold off to a 1-1/2 week low and closed lower on the Atlanta Fed’s cut in its U.S. Q4 GDP estimate to 2.3% from 2.7% and on long liquidation ahead of Wednesday’s results of the FOMC meeting.
Dec crude oil prices (CLZ16 -1.50%) are down -80 cents (-1.71%) at a fresh 1-month low and Dec gasoline (RBZ16 -0.80%) is down -0.0188 (-1.27%). Tuesday’s closes: Dec crude -0.53 (-1.13%), Dec gasoline +0.0440 (+3.10%). Dec crude oil and gasoline on Tuesday settled mixed with Dec crude at a 1-month low and Dec gasoline at a 5-month high. Crude oil and gasoline prices were boosted by the sell-off in the dollar index to a 1-1/2 week low. Meanwhile, gasoline prices soared to a 5-month nearest-futures high on East Coast supply concerns after the closure of the Colonial Pipeline mainline in Alabama, the largest U.S. fuel pipeline, due to a fire and explosion in Alabama. Crude oil prices were undercut by the sell-off in the S&P 500 to a 3-3/4 month low and by expectations for Wednesday’s EIA crude inventories to increase by +1.5 million bbl.
|Wednesday, Nov 2|
|US||0700 ET||Weekly MBA mortgage applications, previous -4.1% with purchase sub-index -6.9% and refi sub-index -2.3%.|
|0815 ET||Oct ADP employment change expected +165,000, Sep +154,000.|
|0830 ET||Treasury announces amount of 3-year T-notes (previous $ 24 billion), 10-year T-notes (previous $ 20 billion) and 30-year T-bonds (previous $ 12 billion) to be auctioned Nov 8-10 in the Treasurys quarterly refunding.|
|0935 ET||Oct New York ISM, Sep +2.1 to 49.6.|
|1030 ET||EIA Weekly Petroleum Status Report.|
|1400 ET||FOMC announces interest rate decision.|
|Thursday, Nov 3|
|US||0730 ET||Oct Challenger job cuts, Sep -24.7% y/y.|
|0830 ET||Weekly initial unemployment claims expected -2,000 to 256,000, previous -3,000 to 258,000. Weekly continuing claims expected +4,000 to 2.043 million, previous -15,000 to 2.039 million.|
|0830 ET||Q3 non-farm productivity expected +2.1%, Q2 -0.6%. Q3 unit labor costs expected +1.2%, Q2 +4.3%.|
|0830 ET||USDA weekly Export Sales.|
|0945 ET||Final-Oct Markit U.S. services PMI expected unch at 54.8, prelim-Oct +2.5 to 54.8. Final-Oct Markit U.S. composite PMI, prelim-Oct +2.6 to 54.9.|
|1000 ET||Oct ISM non-manufacturing PMI expected -1.1 to 56.0, Sep +5.7 to 57.1.|
|1000 ET||Sep factory orders expected +0.2%, Aug +0.2% and unch ex-transportation.|
|Automatic Data Processing Inc||ADP US||Bef-mkt||Q1 2017 Earnings Release||Q1 2017||0.758|
|Clorox Co/The||CLX US||Bef-mkt||Q1 2017 Earnings Release||Q1 2017||1.418|
|TEGNA Inc||TGNA US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||0.583|
|Host Hotels & Resorts Inc||HST US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||0.361|
|Vulcan Materials Co||VMC US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||1.087|
|Welltower Inc||HCN US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||1.149|
|Henry Schein Inc||HSIC US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||1.654|
|Spectra Energy Corp||SE US||Bef-mkt||Q3 2016 Earnings Release||Q3 2016||0.258|
|TE Connectivity Ltd||TEL US||Bef-mkt||Q4 2016 Earnings Release||Q4 2016||1.196|
|Anthem Inc||ANTM US||6:00||Q3 2016 Earnings Release||Q3 2016||2.466|
|AmerisourceBergen Corp||ABC US||6:30||Q4 2016 Earnings Release||Q4 2016||1.228|
|Estee Lauder Cos Inc/The||EL US||6:45||Q1 2017 Earnings Release||Q1 2017||0.797|
|Delphi Automotive PLC||DLPH US||6:45||Q3 2016 Earnings Release||Q3 2016||1.429|
|Time Warner Inc||TWX US||7:00||Q3 2016 Earnings Release||Q3 2016||1.366|
|Zoetis Inc||ZTS US||7:00||Q3 2016 Earnings Release||Q3 2016||0.468|
|Facebook Inc||FB US||7:15||Canadian Club of Toronto Presents Managing Director, Jordan Banks|
|Allergan plc||AGN US||7:30||Q3 2016 Earnings Release||Q3 2016||3.557|
|Kroger Co/The||KR US||8:00||Investor Meeting||Y 2016|
|Dun & Bradstreet Corp/The||DNB US||8:00||Q3 2016 Earnings Call||Q3 2016|
|Automatic Data Processing Inc||ADP US||8:30||Q1 2017 Earnings Call||Q1 2017|
|Time Warner Inc||TWX US||8:30||Q3 2016 Earnings Call||Q3 2016|
|Allergan plc||AGN US||8:30||Q3 2016 Earnings Call||Q3 2016|
|Sempra Energy||SRE US||8:30||Q3 2016 Earnings Release||Q3 2016||0.953|
|Anthem Inc||ANTM US||8:30||Q3 2016 Earnings Call||Q3 2016|
|TE Connectivity Ltd||TEL US||8:30||Q4 2016 Earnings Call||Q4 2016|
|Verisk Analytics Inc||VRSK US||8:30||Q3 2016 Earnings Call||Q3 2016|
|Zoetis Inc||ZTS US||8:30||Q3 2016 Earnings Call||Q3 2016|
|Noble Energy Inc||NBL US||9:00||Q3 2016 Earnings Call||Q3 2016|
|Eversource Energy||ES US||9:00||Q3 2016 Earnings Call||Q3 2016|
|Spectra Energy Corp||SE US||9:00||Q3 2016 Earnings Call||Q3 2016|
|Delphi Automotive PLC||DLPH US||9:00||Q3 2016 Earnings Call||Q3 2016|
|Estee Lauder Cos Inc/The||EL US||9:30||Q1 2017 Earnings Call||Q1 2017|
|Host Hotels & Resorts Inc||HST US||10:00||Q3 2016 Earnings Call||Q3 2016|
|Vulcan Materials Co||VMC US||10:00||Q3 2016 Earnings Call||Q3 2016|
|Welltower Inc||HCN US||10:00||Q3 2016 Earnings Call||Q3 2016|
|Henry Schein Inc||HSIC US||10:00||Q3 2016 Earnings Call||Q3 2016|
|Pioneer Natural Resources Co||PXD US||10:00||Q3 2016 Earnings Call||Q3 2016|
|TEGNA Inc||TGNA US||11:00||Q3 2016 Earnings Call||Q3 2016|
|ONEOK Inc||OKE US||11:00||Q3 2016 Earnings Call||Q3 2016|
|Newfield Exploration Co||NFX US||11:00||Q3 2016 Earnings Call||Q3 2016|
|AmerisourceBergen Corp||ABC US||11:00||Q4 2016 Earnings Call||Q4 2016|
|Sempra Energy||SRE US||11:00||Q3 2016 Earnings Call||Q3 2016|
|Devon Energy Corp||DVN US||11:00||Q3 2016 Earnings Call||Q3 2016|
|Clorox Co/The||CLX US||13:30||Q1 2017 Earnings Call||Q1 2017|
|KLA-Tencor Corp||KLAC US||15:00||Annual General Meeting|
|Twenty-First Century Fox Inc||FOXA US||16:00||Q1 2017 Earnings Release||Q1 2017||0.441|
|Twenty-First Century Fox Inc||FOXA US||16:00||Q1 2017 Earnings Call||Q1 2017|
|Facebook Inc||FB US||16:00||Q3 2016 Earnings Release||Q3 2016||0.974|
|Allstate Corp/The||ALL US||16:15||Q3 2016 Earnings Release||Q3 2016||1.26|
|Hologic Inc||HOLX US||16:30||Q4 2016 Earnings Call||Q4 2016|
|Wynn Resorts Ltd||WYNN US||16:30||Q3 2016 Earnings Call||Q3 2016|
|First Solar Inc||FSLR US||16:30||Q3 2016 Earnings Call||Q3 2016|
|QUALCOMM Inc||QCOM US||16:45||Q4 2016 Earnings Call||Q4 2016|
|Adobe Systems Inc||ADBE US||17:00||Analyst Meeting||Y 2016|
|Whole Foods Market Inc||WFM US||17:00||Q4 2016 Earnings Call||Q4 2016|
|DaVita Inc||DVA US||17:00||Q3 2016 Earnings Call||Q3 2016|
|Facebook Inc||FB US||17:00||Q3 2016 Earnings Call||Q3 2016|
|American International Group Inc||AIG US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||1.196|
|Federal Realty Investment Trust||FRT US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||1.423|
|FMC Corp||FMC US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||0.589|
|Lincoln National Corp||LNC US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||1.617|
|Marathon Oil Corp||MRO US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||-0.195|
|Hologic Inc||HOLX US||Aft-mkt||Q4 2016 Earnings Release||Q4 2016||0.498|
|QUALCOMM Inc||QCOM US||Aft-mkt||Q4 2016 Earnings Release||Q4 2016||1.13|
|Whole Foods Market Inc||WFM US||Aft-mkt||Q4 2016 Earnings Release||Q4 2016||0.236|
|Transocean Ltd||RIG US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||0.144|
|Prudential Financial Inc||PRU US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||2.491|
|DaVita Inc||DVA US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||0.938|
|MetLife Inc||MET US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||1.129|
|Cimarex Energy Co||XEC US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||0.361|
|Wynn Resorts Ltd||WYNN US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||0.725|
|Equinix Inc||EQIX US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||3.173|
|CF Industries Holdings Inc||CF US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||-0.025|
|First Solar Inc||FSLR US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||0.764|
|American Water Works Co Inc||AWK US||Aft-mkt||Q3 2016 Earnings Release||Q3 2016||1.017|
|Equinix Inc||EQIX US||17:30||Q3 2016 Earnings Call||Q3 2016|
|Costco Wholesale Corp||COST US||21:00||October 2016 Sales and Revenue Release||2016|
|Alaska Air Group Inc||ALK US||October 2016 Sales and Revenue Release – Traffic Results||2016|
|Delta Air Lines Inc||DAL US||October 2016 Sales and Revenue Release – Traffic Results||2016|
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