Sunday, December 15, 2019

Monday Watch

Today's Headlines
  • Asian Stocks Set to Open Mixed After Trade Deal. Asian stocks look set to start the week mixed after a partial U.S.-China trade deal yielded few details. The offshore yuan was firmer as China avoided extra tariffs. U.S. futures edged higher and Australian stocks opened with modest gains. Futures on Japanese equities were little changed. Washington and Beijing agreed to a first phase of a broader trade deal on Friday that will see China boost imports, including of American agricultural products, and the U.S. halving duties on $120 billion of Chinese goods. The U.S. has also delayed levies that were due to be imposed on Sunday, and China said it will suspend additional tariffs on certain American imports. Oil slipped back below $60 a barrel. Nikkei 225 futures were little changed in Chicago. Australia’s S&P/ASX 200 Index rose 0.4%. Hong Kong’s Hang Seng Index futures fell 0.7% earlier. S&P 500 Index futures rose 0.1%. The gauge was little changed Friday.
Wall Street Journal:
Zero Hedge:             
Night Trading
  • Asian indices are -.25% to +.25% on average.
  • Asia Ex-Japan Investment Grade CDS Index 60.25 -1.25 basis points.
  • China Sovereign CDS 34.75 unch.
  • Bloomberg Emerging Markets Currency Index 66.14 -.02%.
  • FTSE 100 futures +.72%.
  • S&P 500 futures +.19%.
  • NASDAQ 100 futures +.25%.

Earnings of Note
Before the Open:
  • None of note
After the Close:
  • (HEI)/.57
Economic Releases
8:30 am EST
  • Empire Manufacturing for Dec. is estimated to rise to 4.0 versus 2.9 in Nov.
9:45 am EST
  • The Preliminary Markit US Manufacturing PMI for Dec. is estimated to fall to 52.5 versus 52.6 in Nov.
  • The Preliminary Markit US Services PMI for Dec. is estimated to rise to 51.8 versus 51.6 in Nov.
10:00 am EST
  • The NAHB Housing Market Index for Dec. is estimated at 70.0 versus 70.0 in Nov.
4:00 pm EST
  • Net Long-Term TIC Flows for Oct.
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The Eurozone Services PMI report and the (AEIS) investor conference could also impact trading today.
BOTTOM LINE: Asian indices are slightly lower, weighed down by financial and consumer shares in the region. I expect US stocks to open mixed and to rally into the afternoon, finishing modestly higher.  The Portfolio is 75% net long heading into the week.

No comments: