Friday Watch

Evening Headlines

Bloomberg:                    

• End of Covid Zero Threatens to Overwhelm China With Infections.
• China’s Carbon Market Falls Far Short of Making a Climate Impact.  
• UK Rents Rose Twice as Fast as Wages in the Past Year.
  
• Asian Stocks Climb With Focus on Inflation Data: Markets Wrap.  
• Oil Set for Steep Weekly Loss as Slowdown Concerns Loom Large.  
• JPMorgan, Charles Schwab Wary of Complacency in Credit Markets.
• Tesla to Shorten Shanghai Factory Shifts, Delay New Hires.
• Tesla's Troubles Pile Up While Musk Is Distracted With Twitter.
• US Questions Automakers in Probe of Potential Air-Bag Explosions.  
• Trump Among Five Targets as Jan. 6 Panel Weighs Criminal Referrals.
• FTC Seeks to Block Microsoft’s $69 Billion Activision Deal.  
• NY Times Staffers Become News With First Walkout in Four Decades.

Wall Street Journal:

• SEC Asks Public Companies to Detail Crypto Exposure.
• Americans Are Missing Out on Billions in Interest.
• The Housing Slowdown Is Wreaking Havoc on the Short-Term Rental Market.
• Foxconn Letter Prodded China to Ease Zero-Covid Rules.
• How to Survive the Next Market Crash.
• Three New Yorkers Ordered Cocaine From the Same Delivery Service. All Died From Fentanyl.
• Sam Bankman-Fried Says He Can’t Account for Billions Sent to Alameda.
• Federal Officials Trade Stock in Companies Their Agencies Oversee.

Fox News:

• LIVE UPDATES:Twitter files part 2 drops outlining 'secret blacklists'.

CNBC.com:

• FTC sues to block Microsoft’s acquisition of Activision Blizzard.
• House Financial Services doesn’t plan to subpoena Sam Bankman-Fried to testify at hearing on FTX.
• Lululemon shares fall after company offers weak holiday quarter guidance.
• Stocks making the biggest moves after hours: Lululemon, Costco and more.

MarketWatch:            

• Costco stock falls after hours as retailer’s earnings disappoint, online sales fall.
  
• Broadcom refuses to provide full-year outlook, cites limited visibility as it ‘scrubs’ backlog.

Zero Hedge:

• Ignore The Pundits, Don't Expect Big Declines In The Price Of Rent.
• Russia Releases 1st Footage Of Griner, Bout Prisoner Swap.
• House Passes Record $858 Billion Defense Policy Bill.
• Remote-Work Revolution Has Wiped Out $453 Billion In Commercial Real Estate Value.
• The Ongoing COVID Deceptions: How Ruling Elites Lied About Masks And Mask Mandates.
• Xi Inks Tens Of Billions In Deals With Saudis, From Huawei Cloud-Computing To Expanded Military Ties.
• State Attorneys General Say FedEx And UPS Help Feds Track Gun Sales.
• Project Veritas: Chicago Dean Brags About Giving Underage Students Sex Toys During Pride Month.
• Around 450,000 Homebuyers Are Now Underwater As 'Early' FHA Delinquencies Hit 2009 Levels.
• Porch Pirates Awash In Holiday Booty As Online Sales Top Records.
• Loudoun County School Board Fires Superintendent Over What Grand Jury Says Is 'Stunning Lack Of Openness'.
• DeSantis Raises $59 Million For Florida Hurricane Relief, Says Biden Denied Funds.
• US stocks gained with mild relief on a catalyst-lite session ahead of next week's plethora of key events - Newsquawk Asia-Pac Market Open.
• Texas Issues Subpoena To BlackRock For Pushing ESG Agenda.
• The Likelihood Of "Something Bad" Happening To Elon Musk Is High, According To Musk.
• Stocks and yields recover in quiet, pre-risk event trade - Newsquawk US Market Wrap.
• Crude Crushed As Jobs Data Signals Imminent US Recession.

Newsmax: 

• Pentagon Worried Viktor Bout to Return to Arms Trafficking.
• Rep. Waltz to Newsmax: Griner-for-Bout Hostage Swap a 'Victory' for Putin.
• A Detailed Look at Russia's Viktor Bout.

TheGatewayPundit.com:

• Ukraine Debt Relief Included in US Defense Bill Approved by US House – 176 Republicans Vote for the Bill.
• (VIDEO) TGP’s Jordan Conradson Joins Kari Lake To Discuss HUGE 9TH CIRCUIT WIN Against Maricopa County And Upcoming Election Lawsuit.
• House Passes Bill to Codify Same-Sex Marriage – Measure Heads to Biden’s Desk.
• Katie Hobbs Directs Arizonans to “Monitor Election Speech” Less than a Week After She Was Caught Working with Twitter to Silence Conservative Speech Online.
• CORRUPTION: Biden Bailing Out Central States Pension Fund After Government Told Them Not to Cut Benefits.
• Tucker Carlson Interviews Mom Who Raised Concerns Over Sexual Poster in Elementary School, Had Police Called on Her By High Ranking Military Official.
• Biden Climate Czar John Kerry Says American Taxpayer Money Should be Used to Pay Other Countries Climate Reparations (VIDEO).
• Former Marine Still Detained In Russia “Disappointed” Biden Admin Hasn’t Done More To Secure His Release – “I Don’t Understand Why I’m Still Sitting Here”.
• Joe Biden Turns His Back on Reporters, Ignores Questions About the Griner Swap For “Merchant of Death” (VIDEO).
• 6-Year-Old Canadian Kid Suddenly Dead After Suffering “Massive Stroke” – Doctor Diagnosed her with “Myocarditis due to the Flu”.
• Sen. Ron Johnson Hosts Historic Round Table Discussion on COVID Vaccines with Prominent Doctors Including Drs. McCullough, Malone, Cole, Risch, and Others.
• Celine Dion Cancels All 2023 Shows, Reveals She Has Rare, Incurable Neurological Disease (VIDEO).
• Mattel’s “American Girl” Publishes Book Pushing Puberty Blockers, Gender Transitioning To 3-12 Year Olds.

The Epoch Times:

• ‘It’s Not About Hunter Biden—It’s About Joe,’ Says ‘Laptop From Hell’ Author.
• PREMIERING 7:30PM ET: Miranda Devine: The Concerted Cover-Up of Biden Family Scandals—From the Laptop to China.

Twitter: 

• @stoolpresidente - Rant Alert - SBF Will Not Be Subpoenaed To Testify Regarding FTX Collapse? (video) 
• @bariweiss - THREAD: THE TWITTER FILES PART TWO. TWITTER’S SECRET BLACKLISTS.

OpenVAERS:

• VAERS US COVID Vaccine Adverse Event Reports. 903,327 Reports(+2,295 from prior week) Through November 25th, 2022.

SKirsch.com:

• Using the MGH numbers with our own VAERS queries, we have 247 cases per million doses from the MGH study divided by 5.97 cases per million doses from VAERS. 247/5.97 = 41. This suggests that the VAERS under-reporting factor (URF) is 41X.

Covid-19(Data, Maps, Graphs):

• Our World in Data:  New Global Covid-19 Cases(7-day rolling average graphs). New US Covid Hospital Admissions/ICU Admissions/Deaths
  
• FT.com:  Fully Vaccinated by Country(graph). Global Lockdown Stringency Index(map).
• Bloomberg.com:  International Travel Restrictions.  Case Graphs by State.
  
• NYTimes.com:  County Trends and Clusters. Local ICU Occupancy.
  
• Brown School of Public Health:  Covid Severity by State/County(map).  US Hospital Capacity(region).
  
• CovidActNow:  Covid Severity/Infection Rate by Metro Area.
  
• KFF:  US Vaccinations by Race/Ethnicity.
  
• Carnegie Mellon: Covid-Like Symptoms in Community. Covid Symptom Searches on Google. Covid-Related Dr.Visits.  Restaurant Visits. Wearing Masks. (graphs)
  
• Safegraph.com:  Commerce Patterns(graphs).

Night Trading 

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

• Asia Ex-Japan Investment Grade CDS Index 133.0 -1.0 basis point. 

• China Sovereign CDS 75.25 -1.0 basis point. 
• China Iron Ore Spot 109.5 USD/Metric Tonne +.4%.

• Bloomberg Emerging Markets Currency Index 47.89 +.12%.
• Bloomberg Global Risk-On/Risk Off Index  46.2 -.3%. 
• Bloomberg US Financial Conditions Index -.66 +2.0 basis points.
  
• Volatility Index(VIX) futures 24.7 unch.
• Euro Stoxx 50 futures +.08%.

• S&P 500 futures -.08%.

• NASDAQ 100 futures -.10%  

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• None of note
  

After the Close:

• None of note
  

Economic Releases

8:30 am EST

• PPI Final Demand MoM for Nov. is estimated to rise +.2% versus a +.2% gain in Oct.
• PPI Ex Food and Energy MoM for Nov. is estimated to rise +.2% versus unch. in Oct.
• PPI Final Demand YoY for Nov. is estimated to rise +7.2% versus an +8.0% gain in Oct.
  

10:00 am EST

• Wholesale Trade Sales MoM for Oct. is estimated to rise +.3% versus a +.4% gain in Sept.
• Univ. of Mich. Consumer Sentiment for Dec. is estimated to rise to 56.9 versus 56.8 in Nov.
• Univ. of Mich. 1Y Inflation Expectations for Dec. is estimated at +4.9% versus +4.9% in Nov.
  

12:00 pm EST

• 3Q Household Change in Net Worth.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The China inflation data  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 healthcare and technology 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.

Stocks Higher into Afternoon on China Re-Opening Hopes, Dollar Weakness, Less Earnings Outlook Pessimism, Tech/Medical Sector Strength

Broad Equity Market Tone:

• Advance/Decline Line: Substantially Higher
  

• Sector Performance: Almost Every Sector Rising
  

• Volume:  Around Average

• Market Leading Stocks: Performing In Line
  

Equity Investor Angst:

• Volatility(VIX) 22.2 -1.9%
• DJIA Intraday % Swing .63%
  
• Bloomberg Global Risk On/Risk Off Index 46.4 +1.8%

• Euro/Yen Carry Return Index 149.1 +.5%

• Emerging Markets Currency Volatility(VXY) 11.5 -1.6%

• CBOE S&P 500 Implied Correlation Index 43.3 -2.3% 

• ISE Sentiment Index 122.0 +7.0 points
  

• Total Put/Call .90 -26.2%

• NYSE Arms .90 -39.2%

Credit Investor Angst:

• North American Investment Grade CDS Index 82.0 -.33%
  

• US Energy High-Yield OAS 384.61 -1.7%
• Bloomberg TRACE # Distressed Bonds Traded 443.0 +5.0
  

• European Financial Sector CDS Index 101.51 +.29% 
• Credit Suisse Subordinated 5Y Credit Default Swap 446.9 +3.6%
  

• Italian/German 10Y Yld Spread 188.0 basis points +6.0 basis points
  

• Asia Ex-Japan Investment Grade CDS Index 133.28 +.23%
  

• Emerging Market CDS Index 236.08 -1.6%
  

• China Corp. High-Yield Bond USD ETF(KHYB) 27.05 -.96%

• 2-Year Swap Spread 31.5 basis points -.75 basis point
  

• TED Spread 46.5 basis points +3.5 basis points
  

• 3-Month EUR/USD Cross-Currency Basis Swap -32.25 basis points +.75 basis point
  
• MBS  5/10 Treasury Spread  146.0 +2.0 basis points
  
• Bloomberg US Agg CMBS Avg OAS 126.0 +2.0 basis points
  
• Avg. Auto ABS OAS 1.18 -1.0 basis point
  

Economic Gauges:

• Bloomberg Emerging Markets Currency Index 47.84 +.08%
• 3-Month T-Bill Yield 4.25% -2.0 basis points
  

• China Iron Ore Spot 109.70 USD/Metric Tonne +.6%
• Dutch TTF Nat Gas(European benchmark) 138.5 euros/megawatt-hour -7.2%

• Citi US Economic Surprise Index 17.5 -.7 point

• Citi Eurozone Economic Surprise Index 38.0 +.3 point\
  

• Citi Emerging Markets Economic Surprise Index -3.5 unch.
  
• S&P 500 Blended Forward 12 Months Mean EPS Estimate 230.31 +.07:  Growth Rate +11.3% unch, P/E 17.2 +.1
  
• Bloomberg US Financial Conditions Index -.66 +1.0 basis point
  
• Yield Curve -82.5 basis points (2s/10s) +1.75 basis points
• US Atlanta Fed GDPNow Forecast +3.37% unch.
  

• Cleveland Fed Inflation Nowcast Core PCE YoY +4.87% unch.: CPI YoY +7.49% unch.
  
• 10-Year TIPS Spread 2.29 +3.0 basis points
  
• Highest target rate probability for Feb. 1st FOMC meeting: 46.5%(+1.0 percentage point) chance of 4.75%-5.0%. Highest target rate probability for March 22nd meeting: 45.1%(-.3 percentage point) chance of 4.75%-5.0%.
  

US Covid-19:

• 91 new infections/100K people(last 7 days total). 5.2%(+.0 percentage point) of 1/14/22 peak(1,740) +0/100K people from prior report.
  
• New Covid-19 patient hospital admissions per 100K population -77.2%(+0.0 percentage points) from peak 7-day avg. of 1/9/22 - 1/15/22
  

Overseas Futures:

• Nikkei 225 Futures: Indicating +86 open in Japan 
• China A50 Futures: Indicating +49 open in China

• DAX Futures: Indicating +9 open in Germany

Portfolio:

• Slightly Lower:  On losses in my index hedges and emerging market shorts
  

• Disclosed Trades:  Covered some of my (IWM)/(QQQ) hedges
  

• Market Exposure: Moved to 50% Net Long
  

Bear Radar

Style Underperformer:

• Large-Cap Value +.5%
  

Sector Underperformers:

• 1) Airlines -.7% 2) Energy -.7% 3) Electric Vehicles -.3%

Stocks Falling on Unusual Volume: 

• SAFE, GEF, SBGI, KYMR, LTHM, KRP, PDCE, CVI, CTLT, NEP, AVY, OXM, SOVO, SBOW, KFY, CUTR, EHAB, FLGT, CHEF, MRTX, LNC and GTLS
  

Stocks With Unusual Put Option Activity:

• 1) AES 2) MET 3) EMB 4) XRT 5) XHB
  

Stocks With Most Negative News Mentions:

• 1) DSGN 2) AVY 3) USB 4) CMP 5) GPS
  

Charts:

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

Bull Radar

Style Outperformer:

• Mid-Cap Growth +1.1%

Sector Outperformers:

• 1) Networking +3.8% 2) Digital Health +2.5% 3) Semis +2.2%

Stocks Rising on Unusual Volume:

• CIEN, RXDX, GMS, GME, OLLI, AI, MDB, HCP, DXCM and VEEV
  

Stocks With Unusual Call Option Activity:

• 1) EXPR 2) ADMA 3) AYX 4) LNC 5) SGEN

Stocks With Most Positive News Mentions:

• 1) CIEN 2) RENT 3) DIGP 4) CARG 5) RXDX
  

Charts:

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

Mid-Day Market Internals

NYSE Composite Index:

• Volume Running -4.1% Below 100-Day Average 
• 1 Sector Declining, 10 Sectors Rising
• 68.0% of Issues Advancing, 29.0% Declining
• 30 New 52-Week Highs, 48 New Lows
• 43.5%(+4.8%) of Issues Above 200-day Moving Average
• Average 14-Day RSI 55.0 unch.
  
• Bloomberg Global Risk-On/Risk-Off Index 46.2 +1.3%
  
• Russell 1000: Growth/Value 14,559.0 +.39%
  
• Vix 22.7 +.09%
• Total Put/Call .83 -31.9%
• TRIN/Arms .91 -37.8% 

Thursday Watch

Evening Headlines

Bloomberg:               

• Putin Calls Russian Nukes a Deterrent, Says War Risk Is Rising.
• China Is the Wild Card for Global Inflation in 2023.   
• China’s Yuan Faces Reality Check After Reopening-Driven Rally.  
• Netherlands Plans Curbs on China Tech Exports in Deal With US.
•   Brazil Holds Key Rate at 13.75% as Lula’s Spending Plan Adds to Inflation Risk.
• Peru Swears In Boluarte as President After Castillo ‘Coup’ Fails.
• Asian Stocks Feel the Weight of US Recession Fears: Markets Wrap.  
• Oil Edges Higher After Four-Day Retreat as Traders Look to China.
• Stock Reversal Shows How Fed’s Pivot May Come Too Late.   
• Ex-Theranos President Balwani Gets 13-Year Prison Term in Fraud Case.  
• Carvana Founder's Fortune Plunges 98% as Firm Burns Through Cash.   
• Elite Colleges Are Trying to Navigate a World Where the SATs Are Optional.

Wall Street Journal:

• TikTok Is Sued by Indiana, Accused of Misleading Users.
• What’s Going On With the Housing Market?
• Peru’s President Ousted After Attempting to Dissolve Congress.
• Apple Plans New Encryption System to Ward Off Hackers and Protect iCloud Data.
• The Pentagon Marches Off to Climate War. Biden’s new mandate on contractors adds green politics and costs to weapons.
• Accounting Red Flags Are Common Among Public Crypto Companies.
• FTX Hires Forensic Team to Probe Money Trail.
• Sister of Iran’s Supreme Leader Calls for Overthrow of His ‘Despotic Caliphate’.

Fox News:

• Democrats want you to voluntarily give up your Second Amendment rights.
• AOC asked if she’s still using TikTok as security concerns reach fever pitch.

CNBC.com:

• ‘There is a slowdown happening’: Wells Fargo, BofA CEOs point to cooling consumer amid Fed hikes.
• Google, Oracle, Amazon, and Microsoft awarded $9 billion Pentagon cloud deals.
• House Financial Services doesn’t plan to subpoena Sam Bankman-Fried to testify at hearing on FTX. 
• Skyrocketing demand for ADHD meds is straining the U.S. health care system.

MarketWatch:          

• Opinion: Stock market worry for 2023: Quiet quitting and working from home are bad for companies’ productivity.
  
• Snap and other tech companies have a new edict for employees: Return to the office.  
• GameStop reports worse-than-expected quarterly loss, revenue decline.   
• Carvana stock tumbles 43%, books worst day on record as bankruptcy fears rev up.  
• Is the travel boom fading? Analysts are getting more skeptical about 2023.

Zero Hedge:

• Sam Bankman-Freed: Maxine Waters Won't Subpoena Prominent Democrat Donor To Testify At Tuesday Hearing On FTX Implosion.
• Democratic Rep Took Donations From Bankman-Fried, Lobbied Against Crypto Regulation, And Now Blames SEC For FTX's Collapse.
• AOC Under Investigation By House Ethics Committee.
• A Big Theory Of Boom And Bust.
• A New Drug Called "Tranq" Is Worsening Philadelphia's Already Out-Of-Control Drug Problem.
• Ted Cruz On Twitter Files Revelations: "This Was All About Weaponizing Big Tech".
• Russia's Oil Exports Nosedive Following Price Cap.
• The inverted Santa rally.
• Credit Card Debt Hits All-Time High Just As US Savings Rate Plummets To 17-Year Low.
• Orange Juice Futures Limit Up On Global Supply Squeeze.
• China Confirms It Is "Mystery" Massive Gold Buyer With First Official Purchase In 3 Years.
• US stocks were subdued amid disinflationary data and Russian President Putin's nuclear rhetoric - Newsquawk Asia-Pac Market Open.
• "Where Are Your Priorities?": Musk Lashes Out At SF Mayor After City Probes Twitter Setting Up Sleeping Areas For Employees.
• Zelensky Named Time's Person Of The Year, 15 Years After Putin.
• Has The Counter Revolution Arrived In The US?
• Risk subdued and havens bid on Putin threats and soft labour costs - Newsquawk US Market Wrap.
• Bonds & Bullion Jump, Big-Tech & The Buck Slump, Black Gold Dumps.

Newsmax: 

• Rep. Van Drew to Newsmax: Biden Remark on Skipping Border Visit Was 'Horrific'.

TheGatewayPundit.com:

•  Gov. DeSantis Seeks to Hold COVID Vaccine Makers ‘Accountable for Misleading the Public About the Vaccine’s Safety
• Woke Disney Is Back! New CEO Says Those in Power “Have an Extra Responsibility” to Promote Gun Control.
• BREAKING: Maricopa County Recorder Stephen Richer Colluded With Federal Agency, CISA, To Censor Election Critics – The Gateway Pundit Mentioned By Name.
• BREAKING: Gateway Pundit Was Right! — AZ Media PR Company Find Impossible Variant in Election Day Data – 25% of GOP Voters Flipped their Votes on Top GOP Candidates.
• CALL TO ACTION: DC Mayor Muriel Bowser Refuses To Allow J6 Political Prisoner Visitation…Even Computer Visitation After Nearly Two Years in DC Gulag.
• REMINDER: James Comey Praised His FBI Attorney James Baker, the Same Guy Fired Yesterday for Withholding Information at Twitter on Hunter Biden Laptop.
• RINO Members of MI Board of Canvassers MOCK Citizens Over Their LEGAL Request For Recount of 2022 Election: “I personally think this is a gigantic waste of time” [VIDEO].
• Shocking Video Shows 28-Year-Old Woman Drops Dead While Working Out at a Gym.
• EVIL IN OUR TIME: Soros is Funding 253 Leftist Groups to Influence Global Media and Push Their Anti-American Agenda on the Masses.
• Duke University Hospital Denies Life Saving Kidney Transplant to Dying 14-Year-Old Girl for Being Unvaccinated.
• Senator Tom Cotton to Woke Kroger CEO: “I’m Sorry That’s Happening to You. Best of Luck”.

The Epoch Times:

• 2 More Secret CCP Police Stations Discovered in LA, New York: Report.
• Indiana Sues TikTok for Endangering Children, Sending Data to China.

Twitter: 

• @ElAmerican_ - Hunter Biden Contacted the President of Chinese Company CEFC Asking for $10 Million.
• @songpinganq - JUST IN - Chinese government in Wuhan is still building new quarantine camps like crazy. (video) You still need a negative PCR test within 24 or 48 hours to enter many venues. This is Shenzhen city now: residents rushing to take daily PCR test to keep their green pass to be able to work and buy food in supermarkets...(video)
• @WallStreetSilv - Real global wages decline for the first time this century. Everything is fine. Economy is "strong". (graph)
• @C_Barraud - China's debt ratio hits record high at 3 times GDP - Nikkei.
• @ColumbiaBugle - Tucker Carlson: "Several Republican members of the Senate are trying to pass a Mass Amnesty before the new Republican Congress is seated next month. Leading that effort, and should become famous for this, is @SenThomTillis joined by Democrat @SenatorSinema." (video)

OpenVAERS:

• VAERS US COVID Vaccine Adverse Event Reports. 903,327 Reports(+2,295 from prior week) Through November 25th, 2022.

SKirsch.com:

• Using the MGH numbers with our own VAERS queries, we have 247 cases per million doses from the MGH study divided by 5.97 cases per million doses from VAERS. 247/5.97 = 41. This suggests that the VAERS under-reporting factor (URF) is 41X.

Covid-19(Data, Maps, Graphs):

• Our World in Data:  New Global Covid-19 Cases(7-day rolling average graphs). New US Covid Hospital Admissions/ICU Admissions/Deaths
  
• FT.com:  Fully Vaccinated by Country(graph). Global Lockdown Stringency Index(map).
• Bloomberg.com:  International Travel Restrictions.  Case Graphs by State.
  
• NYTimes.com:  County Trends and Clusters. Local ICU Occupancy.
  
• Brown School of Public Health:  Covid Severity by State/County(map).  US Hospital Capacity(region).
  
• CovidActNow:  Covid Severity/Infection Rate by Metro Area.
  
• KFF:  US Vaccinations by Race/Ethnicity.
  
• Carnegie Mellon: Covid-Like Symptoms in Community. Covid Symptom Searches on Google. Covid-Related Dr.Visits.  Restaurant Visits. Wearing Masks. (graphs)
  
• Safegraph.com:  Commerce Patterns(graphs).

Night Trading 

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

• Asia Ex-Japan Investment Grade CDS Index 134.0 +2.5 basis points. 

• China Sovereign CDS 76.25 -4.0 basis points. 
• China Iron Ore Spot 106.5 USD/Metric Tonne +.3%.

• Bloomberg Emerging Markets Currency Index 47.8 +.04%.
• Bloomberg Global Risk-On/Risk Off Index  45.7 +.3%. 
• Bloomberg US Financial Conditions Index -.66 unch.
  
• Volatility Index(VIX) futures 25.4 +.8%.
• Euro Stoxx 50 futures -.41%.

• S&P 500 futures -.36%.

• NASDAQ 100 futures -.44%  

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (CIEN)/.07
• (KFY)/1.41
  

After the Close:

• (AVGO)/10.29
• (CHWY)/-.06
• (COO)/3.11
• (COST)/3.16
• (DUCU)/.42
• (LULU)/1.96
• (FIZZ)/.34
• (RH)/4.69
• (MTN)/-3.29
  

Economic Releases

8:30 am EST

• Initial Jobless Claims for last week is estimated to rise to 230K versus 225K the prior week. 
• Continuing Claims is estimated to rise to 1618K versus 1608K prior.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Japan GDP report, weekly EIA natural gas inventory report, (UL) investor event, (AVY) fireside chat, (XOM) corporate plan update, (DCO) investor day, (HAS) fireside chat and the (EW) investor conference 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 financial and technology shares in the region. I expect US stocks to open mixed and to weaken into the afternoon, finishing modestly lower. The Portfolio is 25% net long heading into the day.