Tuesday, September 27, 2022

Wednesday Watch

Night Trading 

  • Asian equity indices are -.5% to unch. on average.
  • Asia Ex-Japan Investment Grade CDS Index 169.0 -10.0 basis points. 
  • China Sovereign CDS 104.75 -5.25 basis points.
  • Bloomberg Emerging Markets Currency Index 47.14 unch.  
  • Bloomberg Global Risk-On/Risk Off Index 49.22 +.04%. 
  • Bloomberg US Financial Conditions Index -1.16 -6.0 basis points
  • Volatility Index(VIX) futures 31.0 -1.1%
  • Euro Stoxx 50 futures n/a.
  • S&P 500 futures +.26%.
  • NASDAQ 100 futures +.34%  
Morning Preview Links

Earnings of Note 
Company/Estimate 
 
Before the Open: 
  • (CTAS)/3.14
  • (PAYX)/.97
  • (THO)/3.85
After the Close:
  • (JEF)/.73
  • (MTN)/-2.88
Economic Releases
8:30 am EST
  • Advance Goods Trade Balance for Aug. is estimated at -$89.0B versus -$89.1B in Sept.
  • Wholesale Inventories MoM for Aug. is estimated to rise +.4% versus a +.6% gain in July.
  • Retail Inventories MoM for Aug. is estimated to rise +1.0% versus a +1.1% gain in July.
10:00 am EST
  • Pending Home Sales MoM for Aug. is estimated to fall -1.5% versus a -1.0% decline in July. 
  • Pending Home Sales YoY for Aug. is estimated to fall -24.5% versus a -22.5% decline in July.
10:30 am EST
  • Bloomberg consensus estimates call for a weekly crude oil inventory gain of +1,206,710 barrels versus a +1,141,000 barrel gain the prior week. Gasoline supplies are estimated to rise by +323,140 barrels versus a +1,570,000 barrel gain the prior week. Distillate inventories are estimated to rise by +212,000 barrels versus a +1,230,000 barrel gain the prior week. Finally, Refinery Utilization is estimated to fall by -.77% versus a +2.1% gain prior.
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The Fed's Powell speaking, Fed's Bowman speaking, Fed's Bullard speaking, German GFK Confidence report, 7Y T-Note auction, weekly MBA Mortgage Applications report and the (MDRX) investor day could also impact global trading today.
US Equity Market Hours
  • 9:30 am - 4:00 pm EST
BOTTOM LINE: Asian indices are modestly lower, weighed down by technology 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 25% Net Long heading into the day.

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