Tue Sep 09 2014
Live Index (1451 articles)

Live Index – Tue, 09 Sep 2014 Premarket

PREMARKET WORLD NEWS

September E-mini S&Ps (ESU14 +0.07%) this morning are up +0.02% and European stocks are down -0.26%. The EU’s second package of economic sanctions against Russia was put on hold for a “few days” to allow for more time to assess the viability of a cease-fire and a peace plan in Ukraine, according to EU President Van Rompuy. Losses in European stocks were limited and the British pound recovered from a 9-1/2 month low against the dollar after UK Aug industrial production rose more than expected. GBP/USD also received support from comments from BOE Governor Carney who said “the point at which interest rates also begin to normalize is getting closer.” Asian stocks closed mixed: Japan +0.28%, Hong Kong and South Korea closed for holiday, China -0.16%, Taiwan +0.29%, Australia +0.55%, Singapore +0.23%, India -0.20%. Japanese exporters rallied and led the Nikkei Stock Index higher after the yen slumped to a 5-3/4 year low against the dollar, which boosts the earnings prospects of exporters. Commodity prices are mixed. Oct crude oil (CLV14 +1.36%) is up +0.85%. Oct gasoline (RBV14 +0.30%) is down -0.25%. Dec gold (GCZ14 +0.21%) is up +0.20%. Dec copper (HGZ14 -0.79%) is down 0.79%. Agriculture and livestock prices are mixed. The dollar index (DXY00 +0.12%) is up +0.09% at a new 13-3/4 month high. EUR/USD (^EURUSD) is down -0.07% at a 13-3/4 month low. USD/JPY (^USDJPY) is up +0.15% at a 5-3/4 year high. Dec T-note prices (ZNZ14 -0.28%) are down -10 ticks.

UK Aug industrial production rose +0.5% m/m and +1.7% y/y, better than expectations of +0.2% m/m and +1.3% y/y. Aug manufacturing production rose +0.3% m/m and +2.2% y/y, right on expectations.

Japan Aug consumer confidence unexpectedly fell -0.3 to 41.2, weaker than expectations of +0.8 to 42.3.

Japan Aug machine tool orders rose +35.6% y/y, the eleventh consecutive month of year-over-year increases.

The Japan Jul tertiary industry index was unchanged m/m, weaker than expectations of +0.2% m/m.

U.S. STOCK PREVIEW

Today’s July JOLTS U.S. job openings report is likely to post a new 13-1/3 year high of 4.7 million, an indication that the supply of new unfilled jobs has reached the highest level since February 2001. The Treasury today will sell $ 27 billion of 3-year T-notes, kicking off this week’s $ 61 billion coupon package. There are four Russell 1000 companies that report earnings today: John Wiley & Sons (consensus: $ 0.53), HD Supply Holdings 0.47, Palo Alto Networks 0.11 and Leidos Holdings 0.62.

Equity conferences the rest of this week include: Morgan Stanley Healthcare Conference on Mon-Wed, Barclays Global Financial Services Conference on Mon-Wed, D.A. Davidson Engineering & Construction Conference on Tue, KeyBanc Capital Markets Basic Materials & Packaging Conference on Tue, 4G World 2014/Tower & Small Cell Summit on Tue, Gabelli & Company Aerospace Conference on Tue, Gabelli Aircraft Suppliers Conference on Tue, Raymond James North American Equities Conference on Tue, Deutsche Bank dbAccess Technology Conference on Tue-Wed, RBC Capital Market Global Industrials Conference on Tue-Wed, UBS Best of Americas Conference on Tue-Thu, Latin Markets Mexico Energy Summit on Wed, Pareto Oil & Offshore Conference on Wed, Longbow Research – Industrial Manufacturing & Technology Investor Conference on Wed, Goldman Sachs Communacopia Conference on Wed-Fri, UBS Global Paper & Forest Products Conference on Thu, BIO Latin America Conference on Thu, and Credit Suisse Asian Technology Conference on Thu.

PREMARKET U.S. STOCKS

Ralph Lauren (RL -0.23%) was upgraded to ‘Strong Buy’ from ‘Buy’ at ISI Group.

Total (TOT -2.26%) was upgraded to ‘Neutral’ from ‘Underperform’ at BofA/Merrill.

HD Supply (HDS -0.83%) reported Q2 adjusted EPS of 51 cents, better than consensus of 47 cents.

Leidos (LDOS -0.89%) reported Q2 EPS of 61 cents, less than consensus of 62 cents, and then lowered guidance on fiscal 2015 EPS view to $ 2.10-$ 2.30 from $ 2.35-$ 2.55, well below consensus of $ 2.47.

Dick’s Sporting Goods (DKS -0.46%) was downgraded to ‘Market Perform’ from ‘Outperform’ at Wells Fargo.

The U.S. airline sector, which includes United Continental (UAL +0.79%), Delta Air Lines (DAL -0.46%) and American Airlines (AAL +1.00%), were initiated with an ‘Overweight’ at Credit Suisse.

D.R. Horton (DHI +0.75%) and Lennar (LEN +0.44%) were both upgraded to ‘Overweight’ from ‘Neutral’ at JPMorgan.

Annie’s (BNNY -1.12%) surged over 30% in after-hours trading after General Mills (GIS -0.58%) said it will buy the company for $ 46 per share in cash or about $ 820 million.

Pep Boys (PBY +1.97%) dropped over 6% in after-hours trading afte rit reported Q2 EPS of 0 cents with items, well below consensus of 16 cents.

CHC Group (HELI -1.89%) reported a Q1 EPS loss of -46 cents, less than consensus of -47 cents.

Casey’s General Stores (CASY -0.54%) rose over 3% in after-hours trading after it reported Q1 EPS of $ 1.43, well above consensus of $ 1.24.

MARKET COMMENTS

Sep E-mini S&Ps (ESU14 +0.07%) this morning are up +0.50 of a point (+0.02%). The S&P 500 Index on Monday closed lower: S&P 500 -0.31%, Dow Jones -0.15%, Nasdaq +0.14%. Negative factors included (1) Chinese economic concerns after China Aug imports unexpectedly fell -2.4% y/y, weaker than expectations of +3.0% y/y and the biggest decline in 5 months, and (2) European economic concerns after the Eurozone Sep Sentix investor confidence dropped -12.5 points to -9.8, a bigger decline than expectations of -1.3 to 1.4 and the lowest in 14 months.

Dec 10-year T-notes (ZNZ14 -0.28%) this morning are down -10 ticks. Dec 10-year T-note futures prices on Monday closed lower. The main bearish factor for T-note prices is supply pressures with the Treasury set to auction $ 61 billion of T-notes and T-bonds this week starting with Tuesday’s $ 27 billion auction of 3-year T-notes. Losses were limited after Morgan Stanley reduced its year-end 10-year T-note yield forecast to 2.85% from 3.00%, citing global geopolitical concerns and weakness in the European growth outlook. Closes: TYZ4 -3.50, FVZ4 -4.75.

The dollar index (DXY00 +0.12%) this morning is up +0.078 (+0.09%) at a new 13-3/4 month high. EUR/USD (^EURUSD) is down -0.0009 (-0.07%) at a 13-3/4 month low and USD/JPY (^USDJPY) is up +0.16 (+0.15%) at a fresh 5-3/4 year high. The dollar index on Monday surged to a 13-3/4 month high and closed higher. Bullish factors included (1) weakness in EUR/USD which slumped to a 13-3/4 month low after the Eurozone Sep Sentix investor confidence fell more than expected to a 14-month low, and (2) a surge in USD/JPY to a 5-3/4 year high as the yen plunged against the dollar on signs the Japanese economy is weaker than anticipated after Japan Q2 GDP was revised lower to -7.1% q/q annualized, the biggest pace of contraction in 5 years. Closes: Dollar index +0.493 (+0.59%), EUR/USD -0.0054 (-0.42%), USD/JPY +0.989 (+0.94%).

Oct WTI crude oil (CLV14 +1.36%) this morning is up +79 cents (+0.85%) and Oct gasoline (RBV14 +0.30%) is down -0.0064 (-0.25%). Oct crude and gasoline prices on Monday closed lower for a third day with Oct crude at a 7-3/4 month low and Oct gasoline at a 2-1/2 week low: CLV4 -0.63 (-0.68%), RBV4 -0.0184 (-0.71%). Bearish factors included (1) the rally in the dollar index to a 13-3/4 month high, and (2) Chinese demand concerns after China Aug imports unexpectedly fell by the most in 5 months.

GLOBAL EVENT CALENDAR09/09/2014
US1000 ETJul JOLTS job openings expected 4.700 million, Jun 4.671 million.
1300 ETTreasury auctions $ 27 billion 3-year T-notes.
JPN0100 ETJapan Aug consumer confidence index expected +0.8 to 42.3, Jul 41.5.
0200 ETJapan Aug machine tool orders, Jul +37.7% y/y.
1950 ETJapan Aug PPI expected unch m/m and +4.1% y/y, Jul +0.3% m/m and +4.3% y/y.
1950 ETJapan Jul machine orders expected +4.0% m/m and +0.5% y/y, Jun +8.8% m/m and -3.0% y/y.
UK0430 ETUK Jul industrial production expected +0.2% m/m and +1.3% y/y, Jun +0.3% m/m and +1.2% y/y.
0430 ETUK manufacturing production expected +0.3% m/m and +2.2% y/y, Jun +0.3% m/m and +1.9% y/y.
CHIn/aChina Aug new yuan loans expected +700.0 billion yuan, Jul +385.2 billion yuan. Aug M2 money supply expected +13.5% y/y, Jul +13.5% y/y.
U.S. STOCK CALENDAR09/09/2014
Company NameTickerTimeEvent DescriptionPeriodEstimate
John Wiley & Sons IncJW/A USBef-mktQ1 2015 Earnings ReleaseQ1 20150.53
HD Supply Holdings IncHDS US6:00Q2 2015 Earnings ReleaseQ2 20150.468
Leidos Holdings IncLDOS US8:00Q2 2015 Earnings CallQ2 2015
HD Supply Holdings IncHDS US8:00Q2 2015 Earnings CallQ2 2015
SPX CorpSPW US9:00Investor and Analyst Meeting – Day 2Y 2014
Tyco International LtdTYC US9:00Extraordinary Shareholders Meeting – Reincorporation VoteY 2014
John Wiley & Sons IncJW/A US10:00Q1 2015 Earnings CallQ1 2015
Chico’s FAS IncCHS US10:00Analyst MeetingY 2014
Lions Gate Entertainment CorpLGF US10:00Annual General MeetingY 2014
Tableau Software IncDATA US12:00Analyst DayY 2014
Apple IncAAPL US13:00Special Media Event-Debut of Latest iPhones
Palo Alto Networks IncPANW US16:30Q4 2014 Earnings CallQ4 2014
Palo Alto Networks IncPANW USAft-mktQ4 2014 Earnings ReleaseQ4 20140.108
McDonald’s CorpMCD USAugust 2014 Sales and Revenue Release2014
Actavis plcACT USFDA Adcomm, nebivolol/valsartan fixed-dose combo, hypertension
Leidos Holdings IncLDOS USQ2 2015 Earnings ReleaseQ2 20150.619
Live Index

Live Index

Discussion

Rules of Discussion on Live Index

1. This forum is for discussion of financial markets. Please respect others view even if they are contrary to you.
2. Member's comments should lead to value addition in forum discussion.
3. If anyone is found making repetitive Explicit/Abusive/Racial comments, his account shall be banned and old posts will be deleted.