Live Index – Thu, 24 Apr 2014 Premarket

June E-mini S&Ps (ESM14 +0.31%) this morning are up +0.41% and European stocks are up +0.83% at 2-week highs after earnings results from Apple and Facebook beat analysts’ estimates. Another positive for European equities is the unexpected increase in German Apr IFO business confidence. Ukraine troops stepped up an offensive as they entered the eastern Ukraine town of Slovyansk and killed five pro-Russian separatists, while Russian President Putin said the use of force by Ukraine would have consequences. Asian stocks closed mixed: Japan -0.97%, Hong Kong +0.24%, China -0.19%, Taiwan -0.13%, Australia +0.24%, Singapore +0.80%, South Korea -0.05%, India closed for holiday. Commodity prices are mixed. Jun crude oil (CLM14 +0.35%) is up +0.41%. Jun gasoline (RBM14 +0.08%) is up +0.02%. Jun gold (GCM14 -0.81%) is down -0.58%. May copper (HGK14 +0.98%) is up +1.11% at a 1-1/2 month high after LME copper inventories tumbled -1,025 MT to a 17-1/2 month low. Agriculture and livestock prices are mixed. The dollar index (DXY00 -0.05%) is down -0.06%. EUR/USD (^EURUSD) is up +0.04%. USD/JPY (^USDJPY) is down -0.08%. June T-note prices (ZNM14 -0.09%) are down -4.5 ticks.

ECB President Draghi said that any worsening of the medium-term outlook for inflation in the Eurozone “would be the context for a more broad-based asset purchase program.”

The ECB reported that excess liquidity in the Eurozone financial system today declined to 92.9 billion euros, the lowest level since December, 2011. This may increase pressure on the ECB to expand its stimulus measures.

The German Apr IFO business climate unexpectedly rose +0.5 to 111.2, better than expectations of -0.3 to 110.4. Apr IFO current assessment rose +0.1 to 115.3, less than expectations of +0.4 to 115.6 but still the highest in 2 years. Apr IFO expectations unexpectedly rose +0.9 to 107.3, better than expectations of -0.6 to 105.8.

UK Apr CBI reported sales jumped +17 to 30, much better than expectations of +4 to 17

The Japan Mar corporate services price index rose +0.7% y/y, right on expectations.

Today’s weekly initial unemployment claims report is expected to show an increase of +11,000 to 315,000, adding to last week’s increase of +2,000 to 304,000. Meanwhile, continuing claims are expected to show an increase of +6,000 to 2.745 million after last week’s decline of -11,000 to 2.739 million. Today’s March durable goods orders report is expected to be solid with a headline increase of +2.0% and a +0.6% increase ex-transportation. That would follow the Feb report of +2.2% and +0.1% ex-transportation. The Treasury today will sell $ 29 billion of 7-year T-notes, concluding this week’s $ 96 billion T-note package.

There are 64 of the S&P 500 companies that report earnings today. Notable reports include Microsoft (consensus 0.63), Amazon ($ 0.23), Visa (2.18), UPS (1.08), Caterpillar (1.23), Starbucks (0.56), Verizon (0.87), Time Warner (1.67), GM (0.04), Nasdaq (0.71). There are no equity conferences during the remainder of this week.

Aetna (AET +0.29%) reported Q1 EPS of $ 1.98, well above consensus of $ 1.55.

Time Warner Cable (TWC +1.04%) reported Q1 EPS of $ 1.78, higher than consensus of $ 1.67.

Texas Instruments (TXN unch) reported Q1 EPS with items of 44 cents, higher than consensus of 41 cents.

Lam Research (LRCX unch) reported Q3 adjusted EPS of $ 1.26, better than consensus of $ 1.17.

Apple (AAPL -1.31%) jumped over 7% in after-hours trading after it reported Q2 EPS of $ 11.62, well above consensus of $ 10.18, and announced a 7-for-1 stock split.

Cheesecake Factory (CAKE -2.50%) reported Q1 adjusted EPS of 43 cents, below consensus of 49 cents, and then lowered guidance on fiscal 2014 EPS to $ 2.24-$ 2.33, below consensus of $ 2.36.

Flowserve (FLS -0.74%) reported Q1 EPS of 78 cents, better than consensus of 75 cents.

E-Trade (ETFC unch) reported Q1 EPS of 33 cents, higher than consensus of 23 cents.

Assurant (AIZ +0.36%) reported Q1 adjusted EPS of $ 1.68, stronger than consensus of $ 1.54.

Safeway (SWY -0.21%) reported Q1 EPS of 6 cents, well below consensus of 18 cents.

Chicago Bridge & Iron (CBI -0.88%) reported Q1 adjusted EPS of 87 cents, weaker than consensus of $ 1.10.

LSI Corporation (LSI +0.09%) reported Q1 EPS of 17 cents, better than consensus of 15 cents.

United Stationers (USTR +0.34%) reported Q1 adjusted EPS of 56 cents, weaker than consensus of 57 cents.

Stryker (SYK -0.44%) reported Q1 adjusted EPS of $ 1.06, below consensus of $ 1.08.

Facebook (FB -2.65%) rose over 5% in pre-market trading after it reported Q1 EPS of 34 cents, well above consensus of 24 cents.

Qualcomm (QCOM unch) reported Q2 adjusted EPS of $ 1.31, better than consensus of $ 1.22, and raised guidance on fiscal 2014 adjusted EPS view to $ 5.05-$ 5.25 from $ 5.00-$ 5.20.

June E-mini S&Ps (ESM14 +0.31%) this morning are up +7.75 points (+0.41%) at a 2-week high. The S&P 500 index on Wednesday closed lower. Bearish factors included (1) the unexpected -14.5% slide in U.S. Mar new home sales to an 8-month low of 384,000, weaker than expectations of a +2.3% increase to 450,000, and (2) concern over Chinese economic growth after the China Apr HSBC manufacturing PMI rose +0.3 to 48.3, the fourth month that manufacturing activity in China has contracted. Closes: S&P 500 -0.22%, Dow Jones -0.08%, Nasdaq -0.88%.

Jun 10-year T-notes (ZNM14 -0.09%) this morning are down -4.5 ticks. Jun 10-year T-note futures prices on Wednesday closed higher. Bullish factors included (1) the unexpected drop in U.S. Mar new home sales to the lowest in 8 months, and (2) increased safe-haven demand for T-notes on concern that tensions in Ukraine may escalate after Ukraine’s First Deputy Prime Minister said that the country’s security forces are seeking to eliminate all pro-Russian militias operating in the eastern part of the country. Closes: TYM4 +10.50, FVM4 +6.00.

The dollar index (DXY00 -0.05%) this morning is down -0.048 (-0.06%). EUR/USD (^EURUSD) is up +0.0005 (+0.04%). USD/JPY (^USDJPY) is down -0.08 (-0.08%). The dollar index on Wednesday closed lower. Negative factors included (1) the unexpected slide in U.S. Mar new home sales to the lowest in 8 months, and (2) strength in EUR/USD after the Eurozone Apr Markit composite PMI unexpectedly rose +0.9 to 54.0, better than expectations of -0.1 to 53.0 and the fastest pace of expansion in 2-3/4 years. Closes: Dollar index -0.041 (-0.05%), EUR/USD +0.00117 (+0.08%), USD/JPY -0.077 (-0.08%).

Jun WTI crude oil (CLM14 +0.35%) this morning is up +42 cents (+0.41%) and Jun gasoline (RBM14 +0.08%) is up +0.0006 (+0.02%). Jun crude and gasoline prices on Wednesday closed lower with Jun crude oil at a 2-week low. Bearish factors included (1) the +3.524 million bbl increase in weekly EIA crude inventories to 397.659 million bbl, the most since EIA data began in 1982, and (2) the +0.7% increase in U.S. crude oil production for the week ended Apr 18 to a 26-yr high of 8.36 million bpd. Declines in crude were limited after crude inventories at Cushing, OK, the delivery point of WTI futures, fell -788,000 bbl to a 4-1/2 yr low of 26.04 million bbl. Closes: CLM4 -0.31 (-0.30%). RBM4 -0.0042 (-0.14%).