Weekly Scoreboard*

Indices

• S&P 500 2,179.98 +.50%

• DJIA 18,491.96 +.53%

• NASDAQ 5,249.89 +.59%

• Russell 2000 1,251.83 +1.11%

• S&P 500 High Beta 32.38 +.16%

• Goldman 50 Most Shorted 117.53 -.92% 

• Wilshire 5000 22,579.75 +.65%

• Russell 1000 Growth 1,050.46 +.28%

• Russell 1000 Value 1,048.72 +.92%

• S&P 500 Consumer Staples 560.25 +.89%

• Solactive US Cyclical 141.38 +.51%

• Morgan Stanley Technology 1,188.64 +.42%

• Transports 7,946.79 +1.56%

• Utilities 673.11 +.90%

• Bloomberg European Bank/Financial Services 79.57 +5.86%

• MSCI Emerging Markets 37.04 +.39%

• HFRX Equity Hedge 1,132.02 -.14%

• HFRX Equity Market Neutral 998.68 -.02%

Sentiment/Internals

• NYSE Cumulative A/D Line 270,565 +.75%

• Bloomberg New Highs-Lows Index 89 -10

• Bloomberg Crude Oil % Bulls 17.14 +82.73%

• CFTC Oil Net Speculative Position 341,288 -3.52%

• CFTC Oil Total Open Interest 1,787,891 +2.31%

• Total Put/Call .95 -8.65%

• OEX Put/Call .55 -38.20%

• ISE Sentiment 81.0 -25.0%

• NYSE Arms .74 -35.65

• Volatility(VIX) 11.98 -12.23%

• S&P 500 Implied Correlation 44.44 -3.78%

• G7 Currency Volatility (VXY) 10.05 -3.55%

• Emerging Markets Currency Volatility (EM-VXY) 9.77 -4.03%

• Smart Money Flow Index 19,485.19 -.16%

• ICI Money Mkt Mutual Fund Assets $2.724 Trillion -.38%

• ICI US Equity Weekly Net New Cash Flow -$4.572 Billion

• AAII % Bulls 28.2 -2.8%

• AAII % Bears 31.5 +6.3%

Futures Spot Prices

• CRB Index 179.99 -3.28%

• Crude Oil 44.44 -6.02%

• Reformulated Gasoline 130.16 -8.32%

• Natural Gas 2.79 -3.05%

• Heating Oil 140.96 -5.85%

• Gold 1,323.20 +.19%

• Bloomberg Base Metals Index 148.99 -.20%

• Copper 207.80 -.02%

• US No. 1 Heavy Melt Scrap Steel 209.33 USD/Ton unch.

• China Iron Ore Spot 59.39 USD/Ton +.44%

• Lumber 305.80 -3.47%

• UBS-Bloomberg Agriculture 1,123.18 -1.52%

Economy

• Atlanta Fed GDPNow Forecast +3.5% +10.0 basis points
• ECRI Weekly Leading Economic Index Growth Rate +8.1% unch.

• Philly Fed ADS Real-Time Business Conditions Index .0492 -17.86%

• S&P 500 Blended Forward 12 Months Mean EPS Estimate 127.61 +.22%

• Citi US Economic Surprise Index .6 -10.5 points

• Citi Eurozone Economic Surprise Index -4.1 -17.1 points

• Citi Emerging Markets Economic Surprise Index -4.90 -1.3 points

• Fed Fund Futures imply 68.0% chance of no change, 32.0% chance of 25 basis point hike on 9/21

• US Dollar Index 95.45 +.79%
• MSCI Emerging Markets Currency Index 1,534.50 -.62%

• Euro/Yen Carry Return Index 121.14 +1.74%

• Yield Curve 82.0 +3.0 basis points

• 10-Year US Treasury Yield 1.60% -3.0 basis points

• Federal Reserve's Balance Sheet $4.417 Trillion +.16%

• U.S. Sovereign Debt Credit Default Swap 26.21 -1.07%

• Illinois Municipal Debt Credit Default Swap 356.0 +.03%

• Western Europe Sovereign Debt Credit Default Swap Index 24.57 -.28%

• Asia Pacific Sovereign Debt Credit Default Swap Index 38.50 -4.41%
  

• Emerging Markets Sovereign Debt CDS Index 106.93 -2.27%
  

• Israel Sovereign Debt Credit Default Swap 68.0 1.45%

• Iraq Sovereign Debt Credit Default Swap 734.11 -14.32%

• Russia Sovereign Debt Credit Default Swap 214.66 -4.07%

• iBoxx Offshore RMB China Corporate High Yield Index 131.39 -.22%

• 10-Year TIPS Spread 1.48% -1.0 basis point
  

• TED Spread 52.0 +1.0 basis point

• 2-Year Swap Spread 24.5 +2.5 basis points

• 3-Month EUR/USD Cross-Currency Basis Swap -38.75 +1.0 basis point

• N. America Investment Grade Credit Default Swap Index 72.09 +3.39%

• America Energy Sector High-Yield Credit Default Swap Index 703.0 +2.14%

• European Financial Sector Credit Default Swap Index 87.76 -2.11%
  

• Emerging Markets Credit Default Swap Index 242.27 -.31%
  

• CMBS AAA Super Senior 10-Year Treasury Spread to Swaps 137.50 unch.
  

• M1 Money Supply $3.354 Trillion +.78%

• Commercial Paper Outstanding 981.30 -2.30%

• 4-Week Moving Average of Jobless Claims 263,000 -1,000

• Continuing Claims Unemployment Rate 1.6% unch.

• Average 30-Year Mortgage Rate 3.46% +3.0 basis points

• Weekly Mortgage Applications 545.20 +2.85%

• Bloomberg Consumer Comfort 43.4 -1.9 points

• Weekly Retail Sales +.4% +10.0 basis points

• Nationwide Gas $2.21/gallon unch.

• Baltic Dry Index 720.0 +.28%

• China (Export) Containerized Freight Index 694.59 -1.51%

• Oil Tanker Rate(Arabian Gulf to U.S. Gulf Coast) 22.50 -10.0%

• Rail Freight Carloads 270,012 +3.44%

Best Performing Style

• Small-Cap Value +1.1%

Worst Performing Style

• Large-Cap Growth +.3%

Leading Sectors

• Gaming +5.2%

• Oil Tankers +4.5%

• Hospitals +3.6%

• Papers +2.6%

• Social Media +2.6%

Lagging Sectors

• 3D Printing -.9% 

• Retail -1.1%

• Biotech -1.6%

• Education -2.3%

• Oil Service -2.8%

Weekly High-Volume Stock Gainers (19)

• PI, KPTI, PAHC, CFI, AIR, MATX, VRA, BLOX, MTRX, OXM, SBCF, GEF, BOX, SYRS, CHS, WRLD, ININ, SYNA and NLS

Weekly High-Volume Stock Losers (17)

• FIVE, DSW, HSY, HRB, NCS, FRED, PAY, CORE, SCSC, CYTK, AVAV, SCTY, GIII, VEC, ANF, GCO and DVAX

Weekly Charts

ETFs

• High-Volume Gainers

• High-Volume Losers

Stocks

• High-Volume Gainers

• High-Volume Losers

*5-Day Change

Morning Market Internals

NYSE Composite Index:

• Volume Running -1.0% Below 100-Day Average
• 8 Sectors Rising, 2 Sectors Declining
• 78.8% of Issues Advancing, 18.1% Declining
• 155 New 52-Week Highs, 7 New Lows
• 46.0% of Issues Above 200-day Moving Average
• Average 14-Day RSI 30.3%
• Vix 12.24 -9.2%
• Total Put/Call 1.06 +6.0%
• TRIN/Arms .69 -38.33%

Friday Watch

Evening Headlines

Bloomberg:  

• Asian Stocks Swing as Investors Avoid Risk Before Payrolls Data. Asian stocks fluctuated in a narrow range as investors avoided taking on risk before key U.S. payrolls data that may provide hints on the path of interest rates in the world’s largest economy. The MSCI Asia Pacific Index rose less than 0.1 percent to 138.39 as of 9:11 a.m. in Tokyo, after dropping less than 0.1 percent. The gauge of Asian companies has been in a holding pattern this week as investors turned their attention to the Friday payrolls data after Federal Reserve Chair Janet Yellen indicated the case for an interest-rate increase is getting stronger. Commodity shares fell as oil headed for its worst weekly drop in eight months on signs of a glut.
• Your Kitchen Appliances Are Watching You, Security Expert Warns. Your fridge is getting so smart, security-software maker Kaspersky Lab thinks you probably shouldn’t trust it. As makers of household appliances fill their machines with computer chips to make them smarter, consumers and privacy watchdogs should beware the data collected by these objects and how it’s used, Marco Preuss, a director on Kaspersky’s global research and analysis team in Europe, said at the IFA consumer electronics conference in Berlin. "A fridge is no longer only a fridge, it’s now also a sensor collecting private information,"Preuss said. "Vendors need to say what data they collected, where it’s stored and who’s using it, and regulators need to work on standards and requirements to make companies more transparent about this. It’s the only way to bring consumer trust back."

Wall Street Journal:

• Make Democrats Own ObamaCare. In the states that will determine control of the Senate, the health law is falling apart.

Zero Hedge:

• Georgetown To Grant Admission Preference To Slave Descendants. 
• New Hillary Emails Expose Bill Pushing Meetings With Foundation Donors, Requests For "Diplomatic Passports".
• Albert Edwards Sees Shades Of 2007 In The Biggest Risk Facing The US Consumer. (graph)
• "Life-Threatening" Hurricane Hermine To Hit Florida, Head For Tri-State.
• DHS Prepares For Nuke Attack With Massive Order For Radiation Detectors.
• Rutgers Defends 'Victims' Of Microaggressions, Microassaults, And Microinsults.
• Smith & Wesson(SWFC) Forecasts Record Quarterly Revenue As Earnings Soar 93%.
• Q2 Earnings Review – Hockey Stick Hopes Remain. (graph)
• "Death, Taxes, & A Disappointing August Jobs Data" - Why Tomorrow's Payroll Print Will Be A Farce.
• eVIXeration Rescues Stocks From Crude Carnage, Dismal Data, Auto Angst. (graph)

Business Insider:

• The world's biggest hedge fund expects a bust in China.
• 'It doesn't matter how tall of a wall you put up': Trump's border-wall plan is still full of holes.
• Russia is going to deploy a division of troops about 50 miles from the US.
• 11 reasons why people are flocking to Texas.
• We’re rapidly approaching that zero point of debt creation.
• China could be preparing for a paramilitary invasion in the East China Sea.
• Lululemon(LULU) same-store sales miss, stock plunges.
• Ford(F) says US auto sales have peaked.

Night Trading 

• Asian equity indices are -.50% to +.25% on average.
• Asia Ex-Japan Investment Grade CDS Index 113.75 +.75 basis point.
• Asia Pacific Sovereign CDS Index 38.5 +.25 basis point.
• Bloomberg Emerging Markets Currency Index 72.23 +.02%. 
• S&P 500 futures -.07%. 
• NASDAQ 100 futures -.02%.

Morning Preview Links

Earnings of Note
Company/Estimate 

• None of note

Economic Releases
8:30 am EST

• The Trade Deficit for July is estimated at -$41.5B versus -$44.5B in June.
• The Change in Non-Farm Payrolls for August is estimated to fall to 180K versus 255K in July.
• The Unemployment Rate for August is estimated to fall to 4.8% versus 4.9% in July.
• Average Hourly Earnings MoM for August are estimated to rise +.2% versus a +.3% gain in July.  

9:45 am EST

• The ISM New York.

10:00 am EST

• Factory Orders for July are estimated to rise +2.0% versus a -1.5% decline in June.
• Final Durable Goods Orders for July are estimated to rise +4.4% versus a prior estimate of a +4.4% gain.

Upcoming Splits 

• None of note

Other Potential Market Movers

• The Fed's Lacker speaking could also impact trading today.

BOTTOM LINE:  Asian indices are mostly lower, weighed down by financial and commodity 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.