Friday Watch

Night Trading 

• Asian equity indices are -.25% to +.75% on average.

• Asia Ex-Japan Investment Grade CDS Index 62.0 -.75 basis point.

• China Sovereign CDS 31.75 -.25 basis point.

• Bloomberg Emerging Markets Currency Index 61.99 -.05%.
• Bloomberg Global Risk-On/Risk Off Index 1,410.0 +51.0 points.
• Volatility Index(VIX) futures 30.3 -.31%.
• FTSE 100 futures -.22%.

• S&P 500 futures -.22%.

• NASDAQ 100 futures -.34%.

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (BMI)/.43
• (BAH)/.83
• (CAT)/1.49
• (CVX)/.08
• (CHD)/.52
• (CL)/.76
• (LLY)/2.40
• (GNTX)/.50
• (HON)/2.00
• (JCI)/.41
• (LHX)/3.10
• (LYB)/1.33
• (PSX)/-.99
• (SAP)/1.56
• (WY)/.48
  

After the Close:

• None of note
  

Economic Releases

8:30 am EST

• The 4Q Employment Cost Index is estimated to rise +.5% versus a +.5% gain in 3Q.
• Personal Income for Dec. is estimated to rise +.1% versus a -1.1% decline in Nov. 
• Personal Spending for Dec. is estimated to fall -.4% versus a -.4% decline in Nov.
• The PCE Core MoM for Dec. is estimated to rise +.1% versus unch. in Nov.
  

9:45 am EST

• The MNI Chicago PMI for Jan. is estimated to fall to 58.5 versus 59.5 in Dec. 
  

10:00 am EST

• Pending Home Sales MoM for Dec. is estimated to fall -.5% versus a -2.6% decline in Nov. 
  

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The German GDP/Unemployment reports could also impact trading today.

Market Hours
Normal:

• 9:30 am - 4:00 pm EST
  

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