Wednesday, May 31, 2006

Thursday Watch

Late-Night Headlines
- Ford Motor(F) will offer no-interest financing on almost all models, as well as up to $1,000 to pay for fuel.
- Copper may lead a drop in metal prices, falling by as much as 30%, as its surge to a record has outpaced demand, said Richard Elman, CEO of Noble Group Ltd., a supplier of commodities. “It’s fairyland: we think, ultimately, prices will come back to reality,” said Elman.
- Japan’s debt rating outlook was raised to “positive” from “stable” by Moody’s Investors Service, which said the country’s economic prospects have improved under Prime Minister Koizumi’s government.

South China Morning Post:
- China ordered an immediate ban on the approval of land for building villas and low-density housing.

- The US and Japan have heightened surveillance of North Korea because it is preparing to launch a long-range ballistic missile.

Late Buy/Sell Recommendations
- None of note

Night Trading
Asian Indices are +.25% to +.75% on average.
S&P 500 indicated +.11%.
NASDAQ 100 indicated +.08%.

Morning Preview
US AM Market Call
NASDAQ 100 Pre-Market Indicator/Heat Map
Pre-market Commentary
Before the Bell CNBC Video(bottom right)
Global Commentary
Asian Indices
European Indices
Top 20 Business Stories
In Play
Bond Ticker
Daily Stock Events
Macro Calls
Rasmussen Consumer/Investor Daily Indices
CNBC Guest Schedule

Earnings of Note
Company/EPS Estimate
- (BBOX)/.74
- (BF/A)/.54
- (CIEN)/.00
- (DG)/.16
- (HNZ)/.49
- (JTX)/1.62
- (PLL)/.38
- (NX)/1.08
- (VIP)/.71
- (WIND)/.04

Upcoming Splits
- (CBG) 3-for-1
- (GDI) 2-for-1
- (HOC) 2-for-1
- (UAG) 2-for-1
- (BRY) 2-for-1
- (MFC) 2-for-1

Economic Releases
8:30 am EST
- Final 1Q Non-farm Productivity is estimated to rise 3.9% versus prior estimates of a 3.2% gain.
- Final 1Q Unit Labor Costs are estimated to rise 1.8% versus prior estimates of a 2.5% gain.
- Initial Jobless Claims for last are estimated to fall to 320K versus 329K the prior week.
- Continuing Claims are estimated to fall to 2413K versus 2420K prior.

10:00 am EST
- Construction Spending for April is estimated to remain unchanged versus a .9% gain in March.
- Pending Home Sales for April are estimated to fall 1.0% versus a 1.2% decline in March.
- ISM Manufacturing for May is estimated to fall to 55.6 versus a reading of 57.3 in April.
- ISM Prices Paid for May is estimated to rise to 74.6 versus a reading of 71.5 in April.

10:30 am EST
- Bloomberg consensus estimates call for a weekly crude oil drawdown of 1,000,000 barrels. Gasoline supplies are estimated to rise by 1,400,000 barrels. Distillate inventories are expected to rise by 1,500,000 barrels. Refinery Utilization is estimated to rise .78%. Finally, natural gas supplies are expected to rise by 85 bcf.

- Total Vehicle Sales for May are estimated to fall to 16.5M versus 16.7M in April.

BOTTOM LINE: Asian indices are higher, boosted by exporting stocks in the region after the US dollar rose. I expect US equities to open modestly higher and to weaken into the afternoon, finishing mixed. The Portfolio is 50% net long heading into the day.

No comments: