Bear Radar

Style Underperformer:

• Mid-Cap Growth -1.2%

Sector Underperformers:

• 1) Airlines -2.6% 2) Agriculture -2.2% 3) Social Media -1.9%

Stocks Falling on Unusual Volume: 

• GGAL, BMA, DESP, YPF, PAM, CCU, DXC, TSG, MELI, NKTR, TEO, TX, HSC, TRWH and QNST

Stocks With Unusual Put Option Activity:

• 1) JNK 2) STT 3) APA 4) VRAY 5) DXC

Stocks With Most Negative News Mentions:

• 1) LTHM 2) SNRC 3) UBER 4) VNTR 5)OXY

Charts:

• ETFs Falling on Unusual Volume
• Stocks Falling on Unusual Volume

Bull Radar

Style Outperformer:

• Large-Cap Growth -.4%

Sector Outperformers:

• 1) Gold & Silver +1.5% 2) Paper +.7% 3) Defense +.1%

Stocks Rising on Unusual Volume:

• IHRT, VGLT, RBA, FTCH, KLXE, AMAG, AMGN, AGS, SEDG, ROKU, PRSC, AXGN, NVRO, VAPO, CORR, CYRX, PUYI, HRC, APPN, MAG, NEU, SYY, BECN, SOLY and MAG

Stocks With Unusual Call Option Activity:

• 1) LQD 2) EXEL 3) DXC 4) APA 5) EWH

Stocks With Most Positive News Mentions:

• 1) ROKU 2) NWSA 3) AGS 4) AMGN 5) SYY

Charts:

• ETFs Rising on Unusual Volume
• Stocks Rising on Unusual Volume

Morning Market Internals

NYSE Composite Index:

• Volume Running -3.6% Below 100-Day Average
• 1 Sector Rising, 10 Sectors Declining
• 28.9% of Issues Advancing, 68.4% Declining
• 109 New 52-Week Highs, 181 New Lows
• 52.5% of Issues Above 200-day Moving Average
• Average 14-Day RSI 43.3%
• Vix 19.7 +9.4%
• Total Put/Call 1.15 +15.0%
• TRIN/Arms 2.19 +19.0%

Monday Watch

Today's Headlines

Bloomberg:

• Trump Is Making Xi’s Superpower 2050 Plan Tougher by the Day.  

• Tear Gas, Petrol Bombs Mar 10th Weekend of Hong Kong Protests.

• China Is Saving Stimulus for Trade War Winter as Yuan Weakens.  

• Italy’s Salvini Tells Richard Gere to Take Stranded Migrants to Hollywood on his Jet. 

• Stocks to Dip After U.S. Drop as Caution Reigns. Stocks in Asia looked set to kick off the week on a cautious note after U.S. equities retreated Friday amid trade-war concerns. Futures pointed to a lower start in Hong Kong and Australia, though trading may be limited in much of the Asia-Pacific region with markets shut on Monday in Japan, Singapore, India, Malaysia, Philippines and Thailand. The yen edged higher, extending moves seen at the end of last week as President Donald Trump said that planned trade talks with China could be called off. The S&P 500 Index fell 0.7% on Friday. Futures gained 0.1% as of 6:38 a.m. in Hong Kong. Futures on Hong Kong’s Hang Seng dipped 0.2%. Futures on Australia’s S&P/ASX 200 Index lost 0.3%.  

• Five Things You Need to Know to Start Your Day.  

• Dollar’s Dire Gains, Central Bank Pleas, China Stimulus: Eco Day.

Wall Street Journal:

• UPS Bets on Amazon, Despite Risk.

• Investors Ponder Negative Bond Yields.

• The U.S. Abandoned Iraq. Don’t Repeat History in Afghanistan.

• California Fostered America’s Tech Industry. It Is Becoming a Great Adversary.

• The Federal Minimum Wage Doesn’t Really Matter Anymore.

• Hong Kong Protesters Battle Police, Despite Beijing’s Warnings.

• Russia Protests Present New Challenge to Putin’s Dominance.

• Biden’s Gaffes Fuel Anxiety About Potency Against Trump.

Fox News:

• JUSTIN HASKINS: Socialism could flip this state -- and election -- to Trump.

• 2020 Dems make costly promises on student loans, from free tuition to canceling all debt.

• Epstein’s removal from suicide watch an affront to his accusers, critics say.

CNBC:

• Amazon’s(AMZN) quest for constant growth is not leaving it with many friends — except for Wall Street.

• Why Boeing investors can look to Chipotle as a path through crisis and back to big stock returns.

• Goldman Sachs(GS) cuts growth forecast as trade war triggers recession fears.

Zero Hedge:        

• Chinese Banks No Longer Trust One Another As Repo Rates Skyrocket.

• Hong Kong Police Fire Tear Gas On Protesters In 10th Week Of Demonstrations.

• Former MCC Inmate Says Epstein Suicide Was 'Impossible'.

• Clinton Mentioned In Epstein Documents Just Hours Before Alleged 'Suicide'.

• In First Footage Of Kashmir Protests Under Lockdown, Live Fire Rings Out.

• The Tyranny Of The Socially Self-Righteous - A Coercive Green New Deal.

• Denmark's 3rd Largest Bank Is Now Paying People To Take Out A Mortgage.

• Great Migration: Wealthy Gen X-ers Are Moving To These States.

• Two Tiered System Of Justice: Top FBI Officials Escape Prosecution, While Others Pay Heavy Price.

• Like "Crack Cocaine For CFOs" - Aussie Construction Giant Collapses After Hidden-Debt Loophole Exposed.

• Attention Millennials: New Study Reveals E-Scooters Aren't As Green As They Seem.

• Federal Judges Are Waging War On The Fourth Amendment.

• JPMorgan: The Fed Will Need To Restart QE Soon.

Business Insider:

• Federal prosecutors confirm that the Epstein sex trafficking investigation will continue despite his death.

• Since 1990, Epstein has donated $147,426 to various Democrats and $18,250 to Republicans, according to the Center for Responsive Politics. 

• Tesla(TSLA) CEO Elon Musk said he supports Democratic presidential candidate Andrew Yang, calling universal basic income 'Obviously needed'. 

• The 10 biggest video games launching this holiday, from an all-new 'Pokémon' to the hotly-anticipated 'Death Stranding'.

• 12 former Facebook insiders who ditched the company and are now outspoken critics.

Vox:

• The conspiracy theories about the Clintons and Jeffrey Epstein’s death, explained.

Night Trading

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

• Asia Ex-Japan Investment Grade CDS Index 67.0 +.25 basis point.

• China Sovereign CDS 50.75 -.25 basis point.

• Bloomberg Emerging Markets Currency Index 66.23 -.03%.

• FTSE 100 futures +.49%.

• S&P 500 futures -.04%.

• NASDAQ 100 futures -.04%.

Morning Preview Links

Earnings of Note

Company/Estimate

Before the Open:

• (GOLD)/.09

• (SYY)/1.07

• (TSG)/.47

After the Close:

• None of note

Economic Releases

2:00 pm EST

• The monthly budget statement for July is estimated at -$120.0B versus -$8.5B in June.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Japan CPI report, Cowen Communications Infrastructure Summit, BTIG Biotech Conference and the Wells Fargo Tech Services Forum could also impact trading today.

BOTTOM LINE: Asian indices are slightly lower, weighed down by consumer and financial shares in the region. I expect US stocks to open modestly lower and to rally into the afternoon, finishing mixed.  The Portfolio is 75% net long heading into the week.

Weekly Outlook

• Wall St. Week Ahead by Reuters. 

• Weekly Market Outlook by Yahoo. (video)

• Global Economy Week by Bloomberg.

• Stocks to Watch Next Week by Seeking Alpha.

• Weekly Economic Calendar by Briefing.com.

BOTTOM LINE: I expect US stocks to finish the week mixed as European/Emerging Markets/US High-Yield Debt Angst, technical selling and China trade deal concerns offset earnings optimism, more dovish FOMC commentary and oil strength. My intermediate-term trading indicators are giving neutral signals and the Portfolio is 75% net long heading into the week.

Today's Headlines

Bloomberg:     

• China Ex-Central Bankers Warn of Long Currency War With U.S.

• Russia Says Five Died in Blast Where Radiation Spike Reported.

• Epstein Sent Girl to Governor and Senator for Sex, She Testified.

• The Complicated Orbit of Jeffrey Epstein. 

• Hedge Funds Bet on Oil Rally Just Before Saudis Give It a Boost.

• Hedge Funds Go All In on Gold as ‘Currency Wars’ Lift Haven Buys.

• Your Weekend Reading: Currency Markets Go for a Wild Ride.

Wall Street Journal:

• Moscow Antigovernment Rally Draws Tens of Thousands.

• SoftBank’s Bid to Build a Solar-Power Empire Founders.

• Hong Kong’s Millennial Dissidents.

• Telecom Giant Pushes Into Dangerous Areas.

• Hong Kong’s Protesters Test Riot Police With Cat-and-Mouse Tactics.

Barron's:

• Had bullish commentary on (AMZN), (ANET), (EQIX), (MRK), (AVGO), (TGT), (VZ), (SHW), (CVTA),(NOC), (DIS), (TTWO), (SHOP), (AMD) and (WY).

MarketWatch.com:

• Do not ignore these 5 bullish signs forming in the stock market, Tom Lee says.

Fox News:

• Disgraced financier found dead in jail cell, day after thousands of docs unsealed in defamation case.

• Maher finds ally in NBC newsman in hope for US economic tumble. 

• AG Barr wants answers to 'serious questions' in Jeffrey Epstein jail death amid bipartisan outrage.

CNBC:

• Investors who fear recession will miss out on record market gains, long-time bull Ed Yardeni predicts.

• Twitter(TWTR) reverses course, unlocks Mitch McConnell campaign account without removing violent video.

Zero Hedge: 

• Jeffrey Epstein Dead In Apparent Suicide.

• Epstein Documents Hit; Accuser Says Trump 'Didn't Partake In Any Sex With Any Of Us'.

• Farmageddon: Farm Loan Delinquencies And Bankruptcies Soar, Incomes Plunge.

• Why Is The Euro Rallying On Risk-Off?

• Brexit: Still More 'Remainer' Delusions.

• Women Allowed To Swim Topless In Barcelona After City Says It Would Be Sexist Not To.

• "Human Tragedy" On The "Diseased Streets" Of San Francisco: "Worse Than Slums In Brazil & India".

• Thanks To Technology, It Now Takes Only 10 Seconds To Steal New Cars.

• Kashmir Lockdown So Total That Many Still Don't Know Autonomy Was Revoked.

• Doxxing Trump Donors Is Just The Beginning.

• Studio Cancels Release Of Elite-Liberals-Hunting-Trump-Supporters Movie.

• Feds Investigate Connecticut Athletics For Letting Boys Compete With Girls.

• Chernobyl-Style Cover Up? Run On Iodine Pills After "Isotope Powered" Rocket Explosion In Russia.

• Deeply Negative Nominal Rates Are On Their Way.

• Watch "Blind" Robot Cheetah Climb Stairs Littered With Obstacles.

• Bunker Chaos: Global Shipping-Fuel Price Plunges Amid Slowdown Fears.

• HarmonyOS: Huawei Unveils Open-Source Android Alternative.

• NYC Businesses Struggling After $15 Minimum Wage Results In Layoffs, Understaffing.

• Despite "Really Beautiful Letter" To Trump, North Korea's Kim Test-Fires Missiles Again.

• US Stocks Shrug Off China Tensions But Bonds & Gold Soar Most In Years. 

Business Insider: 

• Police are searching for YouTube star Marina Joyce who has been missing for 10 days.

• WeWork's IPO filing will reportedly be revealed as soon as next week, giving us our best look yet at its business.

• Use this map to see if your local police department has access to Amazon Ring's unofficial surveillance network of video doorbells.

• ESPN just canceled a video game tournament broadcast in response to the mass shootings in El Paso and Dayton.

• 12 things you say that can immediately disqualify you in a job interview.

• Everything you need to know about New York City's mansion tax — and what it means for the luxury market.