US : Pre Market News – 02 Feb 2017

Thu Feb 02 2017
Nikki Bailey (1332 articles)

PREMARKET WORLD NEWS

Mar E-mini S&Ps (ESH17 -0.25%) are down -0.25% and European stocks are down -0.12%. The BOE, as expected, kept its benchmark rate unchanged at 0.25% and maintained its asset purchase target at 435 billion pounds following today’s policy meeting. European bank stocks are weaker, led by a 5% drop in Deutsche Bank, after it reported quarterly revenue that missed consensus. Asian stocks settled mostly lower: Japan -1.22%, Hong Kong -0.57%, China closed for holiday, Taiwan -0.20%, Australia -0.14%, Singapore -0.76%, South Korea -0.40%, India +0.30%. Japan’s Nikkei Stock Index fell to a 1-week low as weakness in USD/JPY undercut exporter stocks. Mar WTI crude (CLH17 +0.37%) is up +0.56% at a 3-week high on heightened geopolitical tensions after the U.S. said it’s putting Iran “on notice” for testing ballistic missiles. Apr COMEX gold (GCJ17 +1.25%) is up +1.29% at a 3-week high as the dollar index tumbled to a 2-1/2 month low.

The dollar index (DXY00 -0.23%) is down -0.35% at a 2-1/2 month low after the Fed failed to provide forward guidance on future interest rate increases following Wednesday’s FOMC meeting. EUR/USD (^EURUSD) is up +0.33% at a 1-3/4 month high on speculation the ECB may have to taper QE after Eurozone PPI rose more than expected. USD/JPY (^USDJPY) is down -0.74%.

Mar 10-year T-note prices (ZNH17 +0.09%) are up +3 ticks.

Eurozone Dec PPI rose +0.7% m/m and +1.6% y/y, stronger than expectations of +0.5% m/m and +1.2% y/y with the +1.6% y/y gain the largest year-on-year increase in nearly 4 years.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) Jan Challenger job cuts (Dec +42.2% y/y), (2) weekly initial unemployment claims (expected -9,000 to 250,000, previous +22,000 to 259,000) and continuing claims (expected -37,000 to 2.063 million, previous +41,000 to 2.100 million), (3) Q4 non-farm productivity (expected +1.0%, Q3 +3.1%) and Q4 unit labor costs (expected +1.9%, Q3 +0.7%), (4) USDA weekly Export Sales.

Notable S&P 500 earnings reports today include: Amazon (consensus $ 1.36), Visa (0.78), Motorola Solutions (1.86), Chipotle (0.56), Amgen (2.79), Merck (0.89), Intl Paper (0.72), CME Group (1.09), ConocoPhillips (0.41).

U.S. IPO’s scheduled to price today: Kimbell Royalty Partners (KRP), IC Power Pte Ltd (ICP), Ramaco Resources (METC).

Equity conferences: none.

PREMARKET U.S. STOCKS

Facebook (FB +2.23%) is up over 1% in pre-market trading after it reported Q4 adjusted EPS of $ 1.41, higher than consensus of $ 1.31.

Symantec (SYMC -1.09%) dropped over 2% in after-hours trading after it said it sees Q4 non-GAAP revenue between $ 1.07 billion-$ 1.09 billion, below consensus of $ 1.10 billion.

Tractor Supply (TSCO -1.76%) rallied over 3% in after-hours trading after it reported Q4 EPS of 94 cents. stronger than consensus of 92 cents.

Shutterfly (SFLY +0.86%) sank 15% in after-hours trading after it reported Q4 EPS of $ 263, weaker than consensus of $ 2.82, and said it sees Q1 revenue of $ 185 million-$ 190 million, below consensus of $ 199.2 million.

Qorvo (QRVO +0.53%) slid 7% in after-hours trading after it said it sees Q4 adjusted revenue of $ 610 million-$ 650 million, below consensus of $ 718.1 million.

Cadence Design Systems (CDNS -0.81%) rose over 2% in after-hours trading after it said it sees Q1 revenue of $ 470 million-$ 480 million, above consensus of $ 462.2 million.

MetLife (MET -0.17%) lost 1% in after-hours trading after it reported Q4 operating EPS of $ 1.28, weaker than consensus of $ 1.35.

Lannett (LCI +2.73%) climbed 4% in after-hours trading after it reported Q2 adjusted EPS of 92 cents, better than consensus of 85 cents.

Cavium (CAVM +0.47%) rose 2% in after-hours trading after it reported Q4 adjusted EPS of 56 cents, higher than consensus of 54 cents.

Hologic (HOLX +0.79%) lost 1% in after-hours trading after it said it sees fiscal 2017 adjusted EPS of $ 1.90-$ 1.94, below consensus of $ 1.94.

Axcelis Technologies (ACLS +2.96%) gained almost 4% in after-hours trading after it reported Q4 WPS of 13 cents, better than consensus of 10 cents, and then said it sees Q1 EPS of 20 cents-24 cents, above consensus of 18 cents.

CACI International (CACI +0.37%) rallied 5% in after-hours trading after it reported Q2 adjusted EPS of $ 2.30, well above consensus of $ 1.46.

Legg Mason ({=LM =}) dropped over 4% in after-hours trading after it reported Q3 EPS of cents, weaker than consensus of 64 cents.

Brooks Automation (BRKS +1.55%) rose over 3% in after-hours trading after it reported Q1 adjusted EPS of 25 cents, better than consensus of 20 cents.

Manitowoc (MTW +0.44%) fell 5% in after-hours trading after it reported Q4 net sales of $ 378.2 million, below consensus of $ 390.2 million.

Electro Scientific Industries (ESIO unch) surged 14% in after-hours trading after it reported Q3 revenue of $ 33.8 million, better than expectations of $ 30 million.

Civeo Corp. (CVEO +1.69%) tumbled 11% in after-hours trading after it announced a public offering of 20 million shares of common stock.

MARKET COMMENTS

Mar E-mini S&Ps (ESH17 -0.25%) this morning are down -5.75 points (-0.25%). Wednesday’s closes: S&P 500 +0.03%, Dow Jones +0.14%, Nasdaq +0.70%. The S&P 500 on Wednesday closed slightly higher on the U.S. Jan ADP employment report of +246,000 (stronger than expectations of +168,000 and the largest increase in 7 months) and on the +1.5 point increase in the U.S. Jan ISM manufacturing PMI to 56.0 (stronger than expectations of +0.5 to 55.0 and the fastest pace of expansion in 2 years). The tech sector saw strength led by a 6% rally in Apple, after it reported stronger-than-expected quarterly earnings results.

Mar 10-year T-notes (ZNH17 +0.09%) this morning are up +3 ticks. Wednesday’s closes: TYH7 -4.50, FVH7 -2.50. Mar 10-year T-notes on Wednesday closed lower on the stronger than expected Jan ADP employment report of +246,000 (the fastest pace in 7 months) and the Jan ISM manufacturing report that expanded at its fastest pace in 2 years (+1.5 to 56.0).

The dollar index (DXY00 -0.23%) this morning is down -0.353 (-0.35%) at a 2-1/2 month low. EUR/USD (^EURUSD) is up +0.0035 (+0.33%) at a 1-3/4 month high. USD/JPY (^USDJPY) is down -0.84 (-0.74%). Wednesday’s closes: Dollar index +0.129 (+0.13%), EUR/USD -0.0029 (-0.27%), USD/JPY +0.45 (+0.40%). The dollar index on Wednesday closed higher on signs of strength in the U.S. economy after the Jan ISM manufacturing index expanded at the fastest pace in 2 years and the U.S. Jan ADP employment report showed a strong increase of +246,000.

Mar WTI crude oil prices (CLH17 +0.37%) this morning are up +30 cents (0.56%) at a 3-week high and Mar gasoline (RBH17 -0.20%) is +0.0013 (+0.08%). Wednesday’s closes: Mar crude +1.07 (+2.03%), Mar gasoline +0.0290 (+1.87%). Mar crude oil and gasoline on Wednesday closed higher on the stronger-than-expected Jan ISM manufacturing index and ADP reports and on the -1.25 million bbl decline in crude supplies at Cushing, delivery point of WTI futures. On the bearish side, EIA crude inventories rose +6.47 million bbl versus expectations of +3.0 million bbl.

GLOBAL EVENT CALENDAR 02/02/2017
Thursday, Feb 2
US0730 ETJan Challenger job cuts, Dec +42.2% y/y.
0830 ETWeekly initial unemployment claims expected -9,000 to 250,000, previous +22,000 to 259,000. Weekly continuing claims expected -37,000 to 2.063 million, previous +41,000 to 2.100 million.
0830 ETQ4 non-farm productivity expected +1.0%, Q3 +3.1%. Q4 unit labor costs expected +1.9%, Q3 +0.7%.
0830 ETUSDA weekly Export Sales.
Friday, Feb 3
US0830 ETJan non-farm payrolls expected +175,000, Dec +156,000. Jan private payrolls expected +170,000, Dec +144,000. Jan manufacturing payrolls expected +4,000, Dec +17,000. Jan unemployment rate expected unch at 4.7%, Dec +0.1 to 4.7%.
0830 ETJan avg hourly earnings expected +0.3% m/m and +2.8% y/y, Dec +0.4% m/m and +2.9% y/y. Jan avg weekly hours all-employees expected unch at 34.3 hours, Dec unch at 34.3 hours.
0915 ETChicago Fed President Charles Evans (voter) speaks on economic conditions and monetary policy at a Prairie State College Economic Breakfast in Olympia Fields, IL.
0945 ETRevised Jan Markit services PMI, prelim-Jan +1.2 to 55.1.
1000 ETJan ISM non-manufacturing PMI expected +0.4 to 57.0, Dec +0.4 to 56.6.
1000 ETDec factory orders expected +0.7%, Nov -2.4% and +0.1% ex-transportation.
U.S. STOCK CALENDAR 02/02/2017
CompanyTickerTimeEvent DescriptionPeriodEstimate
Ball CorpBLL USBf-mktQ4 2016 Earnings ReleaseQ4 20160.84
Eaton Corp PLCETN USBf-mktQ4 2016 Earnings ReleaseQ4 20161.101
EQT CorpEQT USBf-mktQ4 2016 Earnings ReleaseQ4 2016-0.049
ConocoPhillipsCOP USBf-mktQ4 2016 Earnings ReleaseQ4 2016-0.403
Ryder System IncR USBf-mktQ4 2016 Earnings ReleaseQ4 20161.409
Snap-on IncSNA USBf-mktQ4 2016 Earnings ReleaseQ4 20162.416
Xcel Energy IncXEL USBf-mktQ4 2016 Earnings ReleaseQ4 20160.437
Delphi Automotive PLCDLPH USBf-mktQ4 2016 Earnings ReleaseQ4 20161.594
Becton Dickinson and CoBDX US6:00Q1 2017 Earnings ReleaseQ1 20172.117
Boston Scientific CorpBSX US6:30Q4 2016 Earnings ReleaseQ4 20160.286
Cigna CorpCI US6:30Q4 2016 Earnings ReleaseQ4 20161.735
Harris CorpHRS US6:30Q2 2017 Earnings ReleaseQ2 20171.374
Merck & Co IncMRK US6:45Q4 2016 Earnings ReleaseQ4 20160.887
Estee Lauder Cos Inc/TheEL US6:45Q2 2017 Earnings ReleaseQ2 20171.172
Xylem Inc/NYXYL US6:55Q4 2016 Earnings ReleaseQ4 20160.647
International Paper CoIP US6:58Q4 2016 Earnings ReleaseQ4 20160.715
Marsh & McLennan Cos IncMMC US7:00Q4 2016 Earnings ReleaseQ4 20160.836
IDEXX Laboratories IncIDXX US7:00Q4 2016 Earnings ReleaseQ4 20160.509
CME Group IncCME US7:00Q4 2016 Earnings ReleaseQ4 20161.094
Philip Morris International IncPM US7:00Q4 2016 Earnings ReleaseQ4 20161.102
CMS Energy CorpCMS US7:30Q4 2016 Earnings ReleaseQ4 20160.289
L Brands IncLB US7:30January 2017 Sales and Revenue Call2017
Parker-Hannifin CorpPH US7:30Q2 2017 Earnings ReleaseQ2 20171.388
Becton Dickinson and CoBDX US8:00Q1 2017 Earnings CallQ1 2017
Boston Scientific CorpBSX US8:00Q4 2016 Earnings CallQ4 2016
Merck & Co IncMRK US8:00Q4 2016 Earnings CallQ4 2016
Ralph Lauren CorpRL US8:00Q3 2017 Earnings ReleaseQ3 20171.636
MetLife IncMET US8:00Q4 2016 Earnings CallQ4 2016
Cigna CorpCI US8:30Q4 2016 Earnings CallQ4 2016
Harris CorpHRS US8:30Q2 2017 Earnings CallQ2 2017
Marsh & McLennan Cos IncMMC US8:30Q4 2016 Earnings CallQ4 2016
IDEXX Laboratories IncIDXX US8:30Q4 2016 Earnings CallQ4 2016
CME Group IncCME US8:30Q4 2016 Earnings CallQ4 2016
CMS Energy CorpCMS US9:00Q4 2016 Earnings CallQ4 2016
Unum GroupUNM US9:00Q4 2016 Earnings CallQ4 2016
Allstate Corp/TheALL US9:00Q4 2016 Earnings CallQ4 2016
Ralph Lauren CorpRL US9:00Q3 2017 Earnings CallQ3 2017
Philip Morris International IncPM US9:00Q4 2016 Earnings CallQ4 2016
Ameriprise Financial IncAMP US9:00Q4 2016 Earnings CallQ4 2016
Xylem Inc/NYXYL US9:00Q4 2016 Earnings CallQ4 2016
Delphi Automotive PLCDLPH US9:00Q4 2016 Earnings CallQ4 2016
Estee Lauder Cos Inc/TheEL US9:30Q2 2017 Earnings CallQ2 2017
QIAGEN NVQGEN US9:30Q4 2016 Earnings CallQ4 2016
Eaton Corp PLCETN US10:00Q4 2016 Earnings CallQ4 2016
International Paper CoIP US10:00Q4 2016 Earnings CallQ4 2016
Lincoln National CorpLNC US10:00Q4 2016 Earnings CallQ4 2016
Snap-on IncSNA US10:00Q4 2016 Earnings CallQ4 2016
Mid-America Apt CommunitiesMAA US10:00Q4 2016 Earnings CallQ4 2016
Xcel Energy IncXEL US10:00Q4 2016 Earnings CallQ4 2016
EQT CorpEQT US10:30Q4 2016 Earnings CallQ4 2016
Ball CorpBLL US11:00Q4 2016 Earnings CallQ4 2016
Micron Technology IncMU US11:00Analyst ConferenceY 2017
Parker-Hannifin CorpPH US11:00Q2 2017 Earnings CallQ2 2017
Ryder System IncR US11:00Q4 2016 Earnings CallQ4 2016
Torchmark CorpTMK US11:00Q4 2016 Earnings CallQ4 2016
Ferrari NVRACE US11:00Q4 2016 Earnings CallQ4 2016
Charles Schwab Corp/TheSCHW US11:30Investor and Analyst MeetingY 2017
ConocoPhillipsCOP US12:00Q4 2016 Earnings CallQ4 2016
Southern Copper CorpSCCO US12:00Q4 2016 Earnings CallQ4 2016
Rockwell Collins IncCOL US12:00Annual General MeetingY 2017
AvalonBay Communities IncAVB US13:00Q4 2016 Earnings CallQ4 2016
Amgen IncAMGN US16:00Q4 2016 Earnings ReleaseQ4 20162.79
Kimco Realty CorpKIM US16:01Q4 2016 Earnings ReleaseQ4 20160.38
Amazon.com IncAMZN US16:01Q4 2016 Earnings ReleaseQ4 20161.36
Visa IncV US16:05Q1 2017 Earnings ReleaseQ1 20170.783
Chipotle Mexican Grill IncCMG US16:10Q4 2016 Earnings ReleaseQ4 20160.559
PerkinElmer IncPKI US16:15Q4 2016 Earnings ReleaseQ4 20160.858
Chipotle Mexican Grill IncCMG US16:30Q4 2016 Earnings CallQ4 2016
Hanesbrands IncHBI US16:30Q4 2016 Earnings CallQ4 2016
PerkinElmer IncPKI US17:00Q4 2016 Earnings CallQ4 2016
Motorola Solutions IncMSI US17:00Q4 2016 Earnings CallQ4 2016
Amgen IncAMGN US17:00Q4 2016 Earnings CallQ4 2016
Mettler-Toledo International IncMTD US17:00Q4 2016 Earnings CallQ4 2016
Visa IncV US17:00Q1 2017 Earnings CallQ1 2017
Motorola Solutions IncMSI USAft-mktQ4 2016 Earnings ReleaseQ4 20161.855
Essex Property Trust IncESS USAft-mktQ4 2016 Earnings ReleaseQ4 20162.812
Apartment InvestmentAIV USAft-mktQ4 2016 Earnings ReleaseQ4 20160.599
Hartford Financial ServicesHIG USAft-mktQ4 2016 Earnings ReleaseQ4 20160.934
Mettler-Toledo International IncMTD USAft-mktQ4 2016 Earnings ReleaseQ4 20165.118
Hanesbrands IncHBI USAft-mktQ4 2016 Earnings ReleaseQ4 20160.576
Amazon.com IncAMZN US17:30Q4 2016 Earnings CallQ4 2016
L Brands IncLB USJanuary 2017 Sales and Revenue Release2017
Mallinckrodt PLCMNK USQ1 2017 Earnings ReleaseQ1 20171.798
Ferrari NVRACE USQ4 2016 Earnings ReleaseQ4 20160.537
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