Live Index – Wed, 07 May 2014 Premarket

June E-mini S&Ps (ESM14 +0.21%)this morning are down -0.03% and European stocks are down -0.22% at a 2-week low after earnings results from Societe Generals Sa and Fiat SpA missed estimates and after German Mar factory orders unexpectedly fell. On the positive side, European sovereign debt concerns receded after the 10-year yields on Italy’s, Ireland’s and Spain’s government bonds fell to record lows. Asian stocks closed lower: Japan -2.93%, Hong Kong -1.05%, China -0.93%, Taiwan -0.22%, Australia -0.83%, Singapore -0.28%, South Korea -1.07%, India -0.82%. Japan’s Nikkei Stock Index fell to a 2-week low, led by a drop in exporters, after the yen rallied to a 3-week high, which undercuts the earnings prospects for exporters. Commodity prices are mixed. Jun crude oil (CLM14 +0.85%) is up +0.77%. Jun gasoline (RBM14 -0.18%) is down -0.20% at a 1-month low. Jun gold (GCM14 +0.15%) is up +0.21%. July copper (HGN14 -0.69%) is down -0.43%. Agriculture and livestock prices are mixed. The dollar index (DXY00 +0.04%) is up +0.03%. EUR/USD (^EURUSD) is up +0.01%. USD/JPY (^USDJPY) is down -0.13% at a 3-week low. June T-note prices (ZNM14 +0.03%) are up +4.5 ticks ahead of Fed Chair Yellen’s testimony to the Joint Economic Committee of Congress.

German Mar factory orders unexpectedly fell -2.8% m/m, weaker than expectations of +0.3% m/m and the largest monthly decline in 16 months. On an annual basis, Mar factory orders rose +1.5% y/y, less than expectations of +4.3% y/y.

The China Apr HSBC composite PMI rose +0.2 to 49.5, the third consecutive month of contraction.

The UK Apr BRC shop price index fell -1.45 y/y, a larger drop than expectations of -0.8% y/y and the twelfth consecutive monthly decline.

The Japan Apr Markit/JMMA composite PMI fell -6.5 to 46.3, the slowest pace in 2-3/4 years.

Today’s Q1 non-farm productivity report is expected to be down -1.2%, worsening substantially from +1.8% in Q4. The Treasury today will sell $ 24 billion of 10-year T-notes. The Treasury will then conclude this week’s $ 69 billion quarterly refunding operation by selling $ 16 billion of 30-year T-notes on Thursday. There are 22 of the S&P 500 companies that report earnings today. Notable reports include Humana (consensus 1.96), Duke Energy (1.12), Transocean (1.02), Prudential Financial (2.25), and Devon Energy (1.26).

Equity conferences during the remainder of this week include: Robert W. Baird & Co. Growth Stock Conference on Tue-Wed, Bank of America Merrill Lynch Global Transportation Conference on Wed-Thu, Wells Fargo Industrial & Construction Conference on Wed-Thu, Jefferies Global Technology, Media & Telecom Conference on Tue-Thu, and Deutsche Bank Healthcare Conference on Wed-Fri.

Humana (HUM -0.30%) reported Q1 EPS of $ 2.35, well above consensus of $ 1.96.

Duke Energy (DUK -0.61%) reported Q1 EPS of $ 1.17, better than consensus of $ 1.12.

Southwest Gas (SWX -1.29%) reported Q1 EPS of $ 1.51, well below consensus of $ 1.69.

Marathon Oil (MRO -0.71%) reported Q1 adjusted EPS of 88 cents, well ahead of consensus of 72 cents.

Trimble Navigation (TRMB -0.88%) reported Q1 EPS of 39 cents, weaker than consensus of 42 cents.

Microchip Technology (MCHP -0.88%) reported Q4 EPS of 64 cents, higher than consensus of 61 cents.

GNC Holdings (GNC -1.00%) reported Q1 EPS of 75 cents, less than consensus of 76 cents, and then lowered guidance on fiscal 2014 EPS to $ 3.05-$ 3.10, below consensus of $ 3.20.

Pioneer Natural (PXD -0.07%) reported Q1 adjusted EPS of $ 1.26, higher than consensus of $ 1.06.

Live Nation (LYV -2.06%) reported a Q1 EPS loss of -16 cents, a much narrower loss than consensus of -35 cents.

Disney (DIS -0.23%) reports Q2 EPS ex-items of $ 1.11, better than consensus of 96 cents.

Groupon (GRPN -2.47%) fell 4% in pre-market trading even after it reported a Q1 adjusted EPS loss of -1 cent, a smaller loss than consensus of -3 cents.

First Solar (FSLR -1.42%) rose over 4% in pre-market trading after it reported Q1 EPS $ 1.10, nearly double consensus of 56 cents.

Activision Blizzard (ATVI -0.57%) reported Q1 adjusted EPS of 19 cents, almost double consensus of 10 cents.

Allstate (ALL -0.96%) reported Q1 EPS of $ 1.30, higher than consensus of $ 1.19.

Electronic Arts (EA -2.47%) surged over 15% in after-hours trading after it reported Q4 EPS of 48 cents, over four times higher than consensus of 11 cents, and then raised guidance on fiscal 2015 EPS to $ 1.85, well above consensus of $ 1.52.

Whole Foods (WFM -0.68%) sank over 15% in after-hours trading after it reported Q2 EPS of 38 cents, below consensus of 41 cents, and then lowered guidance on fiscal 2014 EPS to $ 1.52 – $ 1.56 from $ 1.58 – $ 1.65, below consensus of $ 1.61.

June E-mini S&Ps (ESM14 +0.21%) this morning are down -0.50 of a point (-0.03%). The S&P 500 index on Tuesday closed lower: S&P 500 -0.90%, Dow Jones -0.78%, Nasdaq -1.35%. Negative factors included (1) the OECD’s cut in its global 2014 GDP forecast for the second time in 6 months to 3.4% from November’s 3.6%, (2) the -$ 40.4 billion U.S. Mar trade deficit, which was wider than expectations of -$ 40.0 billion and was negative for Q1 GDP, and (3) geopolitical risks as violence escalated in Ukraine.

Jun 10-year T-notes (ZNM14 +0.03%) this morning are up +4.5 ticks. Jun 10-year T-note futures prices on Tuesday settled higher: TYM4 +2.00, FVM4 -0.25. Bullish factors included (1) the slide in stocks which boosted the safe-haven demand for Treasuries, and (2) strong demand for the Treasury’s $ 29 billion 3-year T-note auction that had a 3.40 bid cover ratio, better than the 12-auction average of 3.29.

The dollar index (DXY00 +0.04%) this morning is up +0.025 (+0.03%). EUR/USD (^EURUSD) is up +0.0001 (+0.01%). USD/JPY (^USDJPY) is down -0.13 (-0.13%) at a 3-week low. The dollar index on Tuesday tumbled to a 6-1/4 month low and closed lower. Dollar index -0.393 (-0.49%), EUR/USD +0.0052 (+0.38%), USD/JPY -0.46 (-0.45%). Bearish factors for the dollar included (1) the OECD’s cut in its U.S. 2014 GDP estimate to 2.6% from a Nov estimate of 2.9%, and (2) a rally in EUR/USD to a 1-3/4 month high after Eurozone Mar retail sales unexpectedly rose and the OECD raised its Eurozone 2014 GDP forecast to 1.2% from a Nov estimate of 1.0%.

Jun WTI crude oil (CLM14 +0.85%) this morning is up +77 cents (+0.77%). Jun gasoline (RBM14 -0.18%) is down -0.0059 (-0.20%) at a 1-month low. Jun crude and gasoline prices on Tuesday settled mixed. Crude prices closed higher on (1) the slide in the dollar index to a 6-1/4 month low, and (2) expectations that weekly EIA inventory data on Wed will show crude supplies fell to a fresh 4-1/2 year low at Cushing, OK, the delivery point of WTI futures. Gains were limited after the OECD cut its global 2014 GDP forecast, a sign of weaker energy consumption. Closes: CLM4 +0.02 (+0.02%). RBM4 -0.0234 (-0.80%).