Thursday Watch

Night Trading 

• Asian equity indices are unch. to +1.0% on average.

• Asia Ex-Japan Investment Grade CDS Index 133.25 +6.5 basis points. 

• China Sovereign CDS 81.75 +2.5 basis points.
  

• Bloomberg Emerging Markets Currency Index 50.65 -.07%.  
• Bloomberg Global Risk-On/Risk Off Index 4,715.0 +116.0 points.
• Volatility Index(VIX) futures 29.05 +.14%.
• Euro Stoxx 50 futures -.32%.

• S&P 500 futures +.02%.

• NASDAQ 100 futures +.01%. 

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (ACN)/2.85
• (APOG)/.56
• (DRI)/2.21
• (FDS)/3.22
• (RAD)/-.70
  

After the Close:

• (BB)/-.06
• (CAMP)/-.03
• (FDX)/6.87
• (SWBI)/.67
  

Economic Releases

8:30 am EST

• The Current Account Balance for 1Q is estimated to widen to -$275.0B versus -$217.9B in 4Q.
• Initial Jobless Claims for last week is estimated to fall to 226K versus 229K the prior week. 
• Continuing Claims is estimated to rise to 1329K versus 1312K prior.

9:45 am EST

• S&P Global US Manufacturing for June is estimated to fall to 56.0 versus 57.0 in May.
• S&P Global US Services PMI for June is estimated to rise to 53.5 versus 53.4 in May.
• S&P Global US Composite PMI for June is estimated to fall to 52.8 versus 53.6 in May.

10:30 am EST

• Bloomberg consensus estimates call for a weekly crude oil inventory decline of -1,022,880 barrels versus a +1,956,000 barrel gain the prior week. Gasoline supplies are estimated to fall by -383,130 barrels versus a -710,000 barrel decline the prior week. Distillate inventories are estimated to fall by -60,250 barrels versus a 725,000 barrel decline the prior week. Finally, Refinery Utilization is estimated to rise by +.44% versus a -.5% decline prior.

11:00 am EST

• The Kansas City Fed Manufacturing Activity Index for June is estimated to fall to 15.0 versus 23.0 in May.

Upcoming Splits

• (FTNT) 5-for-1
  

Other Potential Market Movers

• The Fed's Powell testimony to House, Eurozone PMI report, bank stress test results and the weekly EIA natural gas inventory report could also impact global trading today.

US Equity Market Hours

• 9:30 am - 4:00 pm EST
  

BOTTOM LINE: Asian indices are mostly higher, boosted by financial and consumer 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 day.