Monday, May 25, 2020

Tuesday Watch

Today's Headlines
Bloomberg:       
  • Stocks Climb With U.S. Futures; Dollar Steady: Markets Wrap. Stocks in Europe and Asia gained along with American equity-index futures as investors weighed more signs of economies reopening around the world against the rise in U.S.-China tensions. The dollar was steady, and crude oil added to last week’s strong advance. Construction and industrial-goods shares led a broad advance in the Euro Stoxx Index. Bayer AG leaped almost 8% after Bloomberg reported it reached agreements to resolve some cancer lawsuits over its Roundup weedkiller. Contracts on all three major U.S. gauges rose more than 1%. In Asia, Hong Kong shares inched higher after Friday’s slump, following police clashes at the weekend with protesters marching against China’s move to crack down on dissent. Benchmarks in Tokyo and Sydney led advances in the region’s stocks. The Euro Stoxx Index gained 2.3%. Futures on the S&P 500 rose 1.2% as of 5:32 p.m. in New York. The MSCI Asia-Pacific Index climbed 0.9%. Japan’s Topix index advanced 1.7%. Hong Kong’s Hang Seng rose 0.1%.  
Wall Street Journal:
CNBC:
Zero Hedge: 
MarketWatch.com:
Night Trading
  • Asian indices are +.25% to +.75% on average.
  • Asia Ex-Japan Investment Grade CDS Index 107.25 +.75 basis point.
  • China Sovereign CDS 51.75 +4.25 basis points.
  • Bloomberg Emerging Markets Currency Index 59.48 -.01%.
  • FTSE 100 futures n/a.
  • S&P 500 futures +.95%.
  • NASDAQ 100 futures +.99%.

Earnings of Note
Company/Estimate

Before the Open:
  • (AMWD)/1.51
  • (PLAN)/-.14
  • (ATHM)/.75
  • (AZO)/12.90
  • (BAH)/.71
  • (HIBB)/.69
After the Close:
  • (HEI)/.39
  • (KEYS)/1.04
  • (VSAT)/.23
Economic Releases
8:30 am EST
  • The Chicago Fed National Activity Index for April.
9:00 am EST
  • The House Price Purchase Index for 1Q.
  • The FHFA House Price Index MoM for March is estimated to rise +.6% versus a +.7% gain in Feb.
  • The S&P CoreLogic CS 20-City MoM for March is estimated to rise +.3% versus a +.45% gain in Feb.
10:00 am EST
  • The Conference Board Consumer Confidence Index for May is estimated to rise to 87.3 versus 86.9 in April.
  • New Home Sales for April is estimated to fall to 493K versus 627K in March.
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The German GFK Consumer Confidence Index, Deutsche Bank Financial Services Conference, KeyBanc Industrials/Basic Materials Conference and the Cowen Tech/Media/Telecom Conference could also impact trading today.
Market Hours
Normal:
  • 9:30 am - 4:00 pm EST
BOTTOM LINE: Asian indices are modestly higher, boosted by commodity and technology shares in the region. I expect US stocks to open modestly higher and to weaken into the afternoon, finishing mixed.  The Portfolio is 50% net long heading into the week.

2 comments:

JC said...

Hey Gary,
We are right at the 200dma on the S+P. Do you think this is the real deal rally? Especially if we close and stay above the 200dma? Thank you for all of your work, been reading BTH for a LONG time.

Gary said...

Hey, I finally answered your prior comment JC. Sorry it took so long.
http://hedgefundmgr.blogspot.com/2020/05/tuesday-watch_18.html?showComment=1589848672631#c6852539119148917323