Monday, August 20, 2018

Tuesday Watch

Evening Headlines
  • Asia Futures Mixed; Dollar Falls on Trump Remarks. Asian stocks are set for a mixed start amid a muted rise in U.S. equities and a weaker dollar on comments from U.S. President Donald Trump. Futures ticked lower in Japan and Hong Kong, were little changed in Australia and rose in China. The Shanghai Composite Index will be closely watched after its rebound Monday, as state-backed funds were seen buying stocks to stabilize the market. U.S. equities pared gains in the 15 minutes of trading after Reuters reported that Trump said China and Europe manipulate their currencies. Even with the pull back, the S&P 500 Index advanced for a third day to close within 15 points of a record. Trump also hit the dollar with separate comments lamenting the Federal Reserve’s interest-rate increases, while Treasuries advanced ahead of a meeting of central bankers later this week. Futures on the Nikkei 225 Stock Average fell 0.1 percent in Singapore. S&P/ASX 200 Index futures were little changed. Hong Kong’s Hang Seng Index futures were down 0.2 percent. CSI 300 Index futures rose 1 percent. Futures on the S&P 500 Index ticked less than 0.1 percent lower as of 7:02 a.m in Tokyo.  
Night Trading 
  • Asian equity indices are -.5% to +.5% on average.
  • Asia Ex-Japan Investment Grade CDS Index 81.75 -.5 basis point. 
  • Asia Pacific Sovereign CDS Index 11.0 unch.
  • Bloomberg Emerging Markets Currency Index 66.58 unch.
  • FTSE 100 futures -.46%
  • S&P 500 futures -.15%.
  • NASDAQ 100 futures -.23%.
Morning Preview Links

Earnings of Note

Before the Open:
  • (SJM)/1.78
  • (KSS)/1.64
  • (MDT)/1.11
  • (TJX)/1.05
  • (TOL)/1.03
After the Close:
  • (LZB)/.25
  • (MYGN)/.33
  • (RRGB)/.46
  • (URBN)/.77
Economic Releases 
  • None of note
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The Japan Machine Orders report, weekly US retail sales reports and the Raymond James SMid-Cap Growth Conference could also impact trading today.
BOTTOM LINE:  Asian indices are mostly lower, weighed down by healthcare and consumer shares in the region. I expect US stocks to open modestly lower and to rally into the afternoon, finishing mixed.  The Portfolio is 100% net long heading into the day.

No comments: