Wednesday Watch

Night Trading 

• Asian equity indices are -.25% to +.25% on average.

• Asia Ex-Japan Investment Grade CDS Index 84.25 +3.0 basis points.

• China Sovereign CDS 48.75 +3.75 points.

• Bloomberg Emerging Markets Currency Index 61.82 +.05%.
• FTSE 100 futures +.29%

• S&P 500 futures +.41%.

• NASDAQ 100 futures +.38%.

Morning Preview Links

Earnings of Note 
Company/Estimate

Before the Open:

• (CHS)/-.12
• (GES)/-.91
• (RRGB)/-1.55
• (UNFI)/1.41

After the Close:

• (OXM)/-.10

Economic Releases 
8:30 am EST

• The CPI MoM for May is estimated unch. versus a -.8% decline in April.
• The CPI Ex Food and Energy MoM for May is estimated unch. versus a -.4% decline in April.
• Real Avg. Weekly Earnings YoY for May.
  

10:30 am EST

• Bloomberg consensus estimates call for a weekly crude oil inventory decline of -1,012,830 barrels versus a -2,077,000 barrel decline the prior week. Gasoline supplies are estimated to fall by -318,730 barrels versus a +2,795,000 barrel gain the prior week. Distillate inventories are estimated to rise by +3,408,640 barrels versus a +9,934,000 barrel gain the prior week. Finally, Refinery Utilization is estimated to rise by +.43% versus a +.5% gain prior.
  

2:00 pm EST

• The Monthly Budget Statement for May is estimated at -$585.0B versus -$207.8B in April.
• The FOMC is expected to leave the benchmark Fed Funds rate at 0.0-.25%.
  

Upcoming Splits

• None of note

Other Potential Market Movers

• The Mexican Industrial Production report, weekly MBA Mortgage Applications report and the Deutsche Bank Auto Industry Conference could also impact trading today.

Market Hours

Normal:

• 9:30 am - 4:00 pm EST
  

BOTTOM LINE: Asian indices are mostly higher, boosted by technology and consumer shares in the region. I expect US stocks to open mixed and to weaken into the afternoon, finishing modestly lower. The Portfolio is 50% net long heading into the day.