Thursday, September 20, 2018

Friday Watch

Evening Headlines
Bloomberg:     
  • Asia Stocks Build on Rally; U.S. Treasuries Steady. Stocks in Asia look set to round out two strong weeks on a high after U.S. equities climbed to fresh records and concerns surrounding trade tensions showed signs of easing. Treasury yields held near the highest level this year, while the dollar slipped. Japan’s Topix index is on course for the best week in two years, while futures signaled gains when markets open in China and Hong Kong. Emerging-market assets continued to rally from recent lows. The sell-off in sovereign bonds has steadied in the past two days following this week’s rise above 3 percent for 10-year U.S.yields, something equity investors are taking in their stride amid optimism over earnings and economic growth. Japan’s Topix index gained 0.5 percent as of 9:04 a.m. in Tokyo, bringing this week’s advance to 4 percent. Australia’s S&P/ASX 200 Index gained 0.2 percent. South Korea’s Kospi index added 0.4 percent. Futures on Hong Kong’s Hang Seng Index advanced 0.7 percent. FTSE China A50 Index futures rose 0.4 percent. Futures on the S&P 500 Index held steady.  
Wall St. Journal:
Night Trading 
  • Asian equity indices are +.25% to +.75% on average.
  • Asia Ex-Japan Investment Grade CDS Index 83.25 +6.0 basis points. (new series
  • Asia Pacific Sovereign CDS Index 11.25 -.75 basis point.
  • Bloomberg Emerging Markets Currency Index 66.60 -.05%.
  • FTSE 100 futures +.25%.
  • S&P 500 futures +.02%.
  • NASDAQ 100 futures -.01%.
Morning Preview Links

Earnings of Note
Company/Estimate

Before the Open:
  • None of note
After the Close:
  • None of note
Economic Releases
9:45 am EST
  • The Preliminary Markit US Manufacturing PMI for September is estimated to rise to 55.0 versus 54.7 in August.
  • The Preliminary Markit US Services PMI for September is estimated to rise to 55.0 versus 54.8 in August.
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The Eurozone PMI report, (AVP) investor day and the (BX) investor day could also impact trading today.
BOTTOM LINE:  Asian indices are higher, boosted by financial and industrial shares in the region. I expect US stocks to open mixed and to rally into the afternoon, finishing modestly higher.  The Portfolio is 100% net long heading into the day.

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