Monday, July 30, 2018

Tuesday Watch

Evening Headlines
Bloomberg:  
  • Asia Stocks to Slip After Tech Rout; Dollar Falls. Asian futures pointed to a weaker open after the biggest technology shares led a retreat in U.S. stocks amid signs of investor fatigue with the sector. Government bonds declined ahead of a slew of central bank meetings. Futures on equity benchmarks in Japan, Hong Kong and Australia were all down. The Nasdaq Composite Index sank 1.4 percent, while losses on the S&P 500 Index were tempered by gains in banks and oil producers. The FANG cohort of tech megacaps tumbled almost 3 percent, led by Netflix Inc., leaving the group down more than 9 percent since Facebook Inc.’s disappointing earnings results last week. A retreat in the dollar helped oil climb past $70 a barrel. Futures on the Nikkei 225 Stock Average fell 0.2 percent in Singapore. Futures on the S&P/ASX 200 Index were less than 0.05 percent lower. Hong Kong’s Hang Seng Index futures declined 0.1 percent. S&P 500 Index futures rose less than 0.1 percent as of 7:06 a.m. in Tokyo.
Business Insider:
Night Trading 
  • Asian equity indices are -.5% to unch. on average.
  • Asia Ex-Japan Investment Grade CDS Index 79.75 +1.0 basis point. 
  • Asia Pacific Sovereign CDS Index 11.75 -1.0 basis point.
  • Bloomberg Emerging Markets Currency Index 70.12 -.01%.
  • FTSE 100 futures -.22%
  • S&P 500 futures +.07%.
  • NASDAQ 100 futures +.03%.
Morning Preview Links

Earnings of Note
Company/Estimate

Before the Open:
  • (AGCO)/1.28
  • (APTV)/1.36
  • (AMT)/1.64
  • (ADM)/.77
  • (BP)/.14
  • (CMI)/3.66
  • (ETN)/1.32
  • (FDP)/1.27
  • (HMC)/115.26
  • (IGT)/.36
  • (PFE)/.74
  • (RL)/1.36
  • (SNE)/74.56
  • (VMC)/1.35
After the Close:
  • (APC)/.58
  • (AAPL)/2.18
  • (BIDU)/2.59
  • (CAKE)/.81
  • (PZZA)/.55
  • (SMG)/2.58
  • (ZEN)/.00
Economic Releases 
8:30 am EST
  • Personal Income for June is estimated to rise +.4% versus a +.4% gain in May.
  • Personal Spending for June is estimated to rise +.4% versus a +.3% gain in May.
  • The PCE Core MoM for June is estimated to rise +.1% versus a +.2% gain in May.
  • The Employment Cost Index for 2Q is estimated to rise +.7% versus a +.8% gain in 1Q.
9:00 am EST
  • The S&P CoreLogic CS 20-City MoM for May is estimated to rise +.2% versus a +.2% gain in April.
9:45 am EST
  • The Chicago Purchasing Manager Index for July is estimated to fall to 62.0 versus a reading of 64.1 in June.
10:00 am EST
  • The Conference Board Consumer Confidence Index for July is estimated to fall to 126.0 versus 126.4 in June.
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The China Manufacturing PMI report, Eurozone GDP report, Eurozone CPI report, weekly US retail sales reports and the Keefe Bruyette Woods Community Bank Conference could also impact trading today.
BOTTOM LINE:  Asian indices are lower, weighed down by technology and industrial 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.

No comments: