Live Index – Tue, 15 Apr 2014 Premarket
June E-mini S&Ps (ESM14 +0.19%) this morning are up +0.08% and European stocks are down -0.16%%. Global stock and commodity markets were under pressure after China’s money supply grew at the slowest pace on record last month, which risks a deeper slowdown in China’s economy. European stocks were also undercut after a gauge of German investor confidence fell for a fourth month in April to the lowest in 8 months. Ukraine began a military backed “anti-terrorist” operation in its eastern border region where militants have seized government buildings. Russia’s Micex Stock Index fell 1.4% and the ruble dropped to a 3-week low against the dollar as the EU and U.S. threaten further sanctions against Russia. Asian stocks closed mixed: Japan +0.62%, Hong Kong -1.60%, China -1.73%, Taiwan +0.67%, Australia +0.55%, Singapore +0.98%, South Korea -0.30%, India -0.64%. Commodity prices are mostly lower. May crude oil (CLK14 -0.87%) is down -0.91%. May gasoline (RBK14 -0.74%) is down -0.59%. Jun gold (GCM14 -1.67%) is down -1.79%. May copper (HGK14 -0.46%) is down -0.39%. Agriculture and livestock prices are mixed. The dollar index (DXY00 +0.14%) is up +0.17%. EUR/USD (^EURUSD) is down -0.17%. USD/JPY (^USDJPY) is down -0.01%. June T-note prices (ZNM14 -0.13%) are down -4.5 ticks.
The German Apr ZEW expectations of economic growth fell -3.4 to 43.2, a bigger decline than expectations of -1.6 to 45.0 and the lowest in 8 months. The Apr ZEW current situation jumped +8.2 to 59.5, better than expectations of +0.2 to 51.5 and the highest in 2-3/4 years.
UK Mar CPI rose +0.2% m/m and +1.6% y/y, right on expectations with the +1.6% y/y gain the slowest annual pace of increase in 4-1/3 years. The Mar core CPI rose +1.6% y/y, right on expectations and matched the slowest pace of increase in 4-3/4 years.
The UK Mar BRC sales like-for-like retail sales monitor fell -1.7% y/y, more than expectations of -1.0% and the biggest decline in 11 months.
China Mar new loans rose +1.050 trillion yuan, more than expectations of +1.0 trillion yuan. Mar M2 money supply, China’s broadest measure of money supply, rose +12.1% y/y, slower than expectations of +13.0% y/y and the slowest pace of growth since the PBOC began tracking the data in 1996.
Today’s March CPI report is expected to strengthen to +1.4% y/y from +1.1% y/y in Feb. Meanwhile, the March core CPI is expected to be unchanged from Feb at +1.6% y/y. Today’s Apr NAHB housing market index is expected to show a +3 point increase to 50, adding to the +1 point increase to 47 seen in March. Today’s April Empire manufacturing index is expected to show a +2.39 point increase to 8.00, adding to the +1.13 point increase to 5.61 seen in March.
There are 9 of the S&P 500 companies that report earnings today. Notable reports include Coca-Cola (consensus $ 0.44), Northern Trust (0.78), Johnson & Johnson (1.48), Yahoo (0.37), Intel (0.37), and Schwab (0.22). Equity conferences during the week include: Water Energy Technology and Environment Exhibition (WETEX) on Tue, Project Ara Developers Conference on Tue, and Bank of America Merrill Lynch Auto Summit Conference on Wed.
Morgan Stanley (MS +2.07%) was upgraded to ‘Buy’ from ‘Neutral’ at BofA/Merrill.
International Business Machines (IBM +1.32%) was downgraded to ‘Neutral’ from ‘Buy’ at Citigroup.
Coca-Cola (KO +0.26%) reported Q1 EPS of 44 cents, right on consensus, although Q1 revenue of $ 10.58 billion was higher than consensus of $ 10.55 billion.
Jeffries keeps its ‘Buy’ rating on Google (GOOG +0.36%) as it raises its price target on the stock to $ 700 from $ 650.
International Paper (IP +0.31%) downgraded to ‘Neutral’ from ‘Buy’ at Longbow.
PetSmart (PETM +2.23%) was downgraded to ‘Underperform’ from ‘Neutral’ at BofA/Merrill.
Comerica (CMA +0.70%) reported Q1 EPS of 74 cents, higher than consensus of 72 cents.
Sensient (SXT +1.02%) reported Q1 adjusted EPS of 71 cents, better than consensus of 66 cents, and then raised guidance on fiscal 2014 adjusted EPS to $ 2.92-$ 3.00 from $ 2.86-$ 2.94, above consensus of $ 2.92.
WebMD (WBMD +16.46%) was reinstated with a ‘Strong Buy’ at Raymond James wit a price target of $ 54.
Dean Foods (DF +0.53%) was initiated with a ‘Buy’ at BB&T with a proce target of $ 21.
OZ Management reported a 7.32% stake in Genco Shipping (GNK -3.65%) .
Pep Boys (PBY +0.67%) fell over 4% in after-hours trading after it reported a Q4 EPS loss of -6 cents with charge, well below consensus of a 5 cent profit.
June E-mini S&Ps (ESM14 +0.19%) this morning are up +1.50 points (+0.08%). The S&P 500 on Monday closed higher. Bullish factors included (1) the +1.1% rise in U.S. Mar retail sales, more than expectations of +0.9% and the largest monthly gain in 1-1/2 years, and the +0.7% rise in Mar retail sales ex autos, greater than expectations of +0.5% and the largest increase in 13 months, and (2) the rally in Citigroup, the third-biggest U.S. bank, after it reported an unexpected profit increase in Q1. Limiting strength in stocks was the escalation of tensions in Ukraine after clashes between Ukraine forces and pro-Russian gunmen killed a Ukrainian soldier and wounded five others. Closes: S&P 500 +0.82%, Dow Jones +0.91%, Nasdaq +0.81%.
Jun 10-year T-notes (ZNM14 -0.13%) this morning are down -4.5 ticks. Jun 10-year T-note futures prices on Monday posted a 1-1/4 month high after escalating tensions in Ukraine spurred increased safe-haven demand for Treasuries. T-note prices fell back and closed lower, however, after stocks rallied when U.S. Mar retail sales rose more than expected. Closes: TYM4 -6.50, FVM4 -5.50.
The dollar index (DXY00 +0.14%) this morning is up +0.132 (+0.17%). EUR/USD (^EURUSD) is down -0.0024 (-0.17%). USD/JPY (^USDJPY) is down -0.01 (-0.01%). The dollar index on Monday closed higher on speculation that the stronger-than-expected U.S. Mar retail sales report will keep the Fed on its QE3 tapering regime. EUR/USD fell back on signs the ECB may boost stimulus measures to contain strength in the euro after ECB President Draghi said that “the strengthening of the exchange rate requires further monetary stimulus.” Closes: Dollar index +0.277 (+0.35%), EUR/USD -0.00655 (-0.47%), USD/JPY +0.246 (+0.24%).
May WTI crude oil (CLK14 -0.87%) this morning is down -95 cents (-0.91%) and May gasoline (RBK14 -0.74%) is down -0.0180 (-0.59%). May crude and gasoline prices on Monday closed higher with May crude at a 1-1/4 month high. Supportive factors included (1) the larger-than-expected increase in U.S. Mar retail sales, which signals strength in the economy and in energy demand, and (2) concern that an escalation of tensions in Ukraine may disrupt energy shipments from Russia, the world’s biggest energy exporter. Closes: CLK4 +0.31 (+0.30%). RBK4 +0.0240 (+0.80%).
|US||0830 ET||Apr Empire manufacturing index expected +2.39 to 8.00, Mar +1.13 to 5.61.|
|0830 ET||Mar CPI expected +0.1% m/m and +1.4% y/y, Feb +0.1% m/m and +1.1% y/y. Mar CPI ex food & energy expected +0.1% m/m and +1.6% y/y, Feb +0.1% m/m and +1.6% y/y.|
|0830 ET||Atlanta Fed President Dennis Lockhart speaks at the Atlanta Feds Financial Markets Conference.|
|0845 ET||Fed Chair Janet Yellen delivers opening remarks at the Atlanta Feds Financial Markets Conference.|
|1000 ET||Apr NAHB housing market index expected +3 to 50, Mar +1 to 47.|
|1500 ET||Philadelphia Fed President Charles Plosser moderates a panel titled Adding Fuel to the Engine: Will More Private Liquidity Yield a Safer, More Efficient Financial System? at the Atlanta Feds 2014 Financial Markets Conference.|
|1600 ET||Boston Fed President Eric Rosengren speaks at Husson University in Bangor, ME.|
|2000 ET||Minneapolis Fed President Narayana Kocherlakota participates in a town hall forum in Fargo, ND.|
|JPN||0200 ET||Revised Japan Mar machine tool orders, previous +41.8% y/y.|
|UK||0430 ET||UK Mar CPI expected +0.2% m/m and +1.6% y/y, Feb +0.5% m/m and +1.7% y/y. Mar core CPI expected +1.6% y/y, Feb +1.7% y/y.|
|0430 ET||UK Mar RPI expected +0.3% m/m and +2.5% y/y, Feb +0.6% m/m and +2.7% y/y. Mar RPI ex mortgage interest payments expected +2.5% y/y, Feb +2.7% y/y.|
|0430 ET||UK Mar PPI input prices expected -0.2% m/m and -6.1% y/y, Fed -0.4% m/m and -5.7% y/y. Mar PPI output prices expected +0.1% m/m and +0.3% y/y, Feb unch m/m and +0.5% y/y. Mar core PPI output prices expected +0.1% m/m and +0.9% y/y, Feb +0.1% m/m and +1.1% y/y.|
|0430 ET||UK Feb ONS house prices expected +7.4% y/y, Jan +6.8% y/y.|
|GER||0500 ET||German Apr ZEW survey expectations investor confidence expected -1.6 to 45.0, Mar 46.6. Apr ZEW survey current situation expected +0.2 to 51.5, Mar 51.3.|
|EUR||0500 ET||Eurozone Feb trade balance, Jan +14.1 billion euros.|
|CHI||2200 ET||China Q1 GDP expected +7.3% y/y, Q4 +7.7% y/y|
|2200 ET||China Mar industrial production expected +8.8% year-to-date y/y, Feb +8.6% year-to-date y/y.|
|2200 ET||China Mar retail sales expected +11.9% year-to-date y/y, Feb +11.8% year-to-date y/y.|
|Company Name||Ticker||Time||Event Description||Period||Estimate|
|Charles Schwab Corp/The||SCHW US||Bef-mkt||March 2014 Sales and Revenue Release – Activity Report||2014|
|Coca-Cola Co/The||KO US||Bef-mkt||Q1 2014 Earnings Release||Q1 2014||0.441|
|Comerica Inc||CMA US||Bef-mkt||Q1 2014 Earnings Release||Q1 2014||0.721|
|Northern Trust Corp||NTRS US||Bef-mkt||Q1 2014 Earnings Release||Q1 2014||0.775|
|Johnson & Johnson||JNJ US||Bef-mkt||Q1 2014 Earnings Release||Q1 2014||1.477|
|Comerica Inc||CMA US||8:00||Q1 2014 Earnings Call||Q1 2014|
|Johnson & Johnson||JNJ US||8:30||Q1 2014 Earnings Call||Q1 2014|
|Coca-Cola Co/The||KO US||9:30||Q1 2014 Earnings Call||Q1 2014|
|Northern Trust Corp||NTRS US||10:00||Q1 2014 Earnings Call||Q1 2014|
|CSX Corp||CSX US||Aft-mkt||Q1 2014 Earnings Release||Q1 2014||0.372|
|Yahoo! Inc||YHOO US||Aft-mkt||Q1 2014 Earnings Release||Q1 2014||0.366|
|Intel Corp||INTC US||Aft-mkt||Q1 2014 Earnings Release||Q1 2014||0.369|
|Linear Technology Corp||LLTC US||Aft-mkt||Q3 2014 Earnings Release||Q3 2014||0.528|
|Public Service Enterprise Group Inc||PEG US||Annual General Meeting|
|Charles Schwab Corp/The||SCHW US||Q1 2014 Earnings Release||Q1 2014||0.22|
|Stanley Black & Decker Inc||SWK US||Annual General Meeting|
|Moody’s Corp||MCO US||Annual General Meeting|
|Whirlpool Corp||WHR US||Annual General Meeting|
|M&T Bank Corp||MTB US||Annual General Meeting|
|US Bancorp/MN||USB US||Annual General Meeting|