Tuesday Watch

Night Trading

• Asian indices are -2.75% to -1.75% on average.
• Asia Ex-Japan Investment Grade CDS Index 158.0 +9.0 basis points.
• S&P 500 futures -1.65%.
  
• NASDAQ 100 futures -1.45%.

Morning Preview Links

Earnings of Note
Company/Estimate

• (FLO)/.43
• (DSW)/.51
• (CBRL)/.58
• (AZO)/3.59
• (MDT)/.88

Economic Releases
9:00 am EST

• S&P/Case-Shiller US HPI YOY% for 1Q is estimated to rise +3.2% versus a -2.5% decline in 4Q.

10:00 am EST

• Consumer Confidence for May is estimated to rise to 58.5 versus a reading of 57.9 in April.
• The House Price Index for March is estimated unch. versus a -.2% decline in February.

Upcoming Splits

• (EW) 2-for-1
  

Other Potential Market Movers

• The Fed's Bernanke speaking, Fed's Plosser speaking, Fed's Bullard speaking, Treasury Secretary Geithner speaking, 2-Year Treasury Note Auction, Richmond Fed Manufacturing Index, weekly retail sales reports, ABC Consumer Confidence reading, (NICE) analyst day, (FLEX) analyst day, (MFE) analyst meeting, Stephens Spring Investment Conference, BofA Merrill Services Conference, UBS Global Oil & Gas Conference and the UBS Electronic Payments Summit could also impact trading today.
  

BOTTOM LINE: Asian indices are sharply lower, weighed down by financial and technology shares in the region. I expect US stocks to open lower and to maintain losses into the afternoon. The Portfolio is 50% net long heading into the day.