Tuesday, December 03, 2019

Wednesday Watch

Night Trading 
  • Asian equity indices are -1.25% to -.5% on average.
  • Asia Ex-Japan Investment Grade CDS Index 65.75 +1.25 basis points.
  • China Sovereign CDS 40.25 +1.25 basis points.
  • Bloomberg Emerging Markets Currency Index  65.30 -.05%.
  • FTSE 100 futures +.06%.
  • S&P 500 futures +.02%.
  • NASDAQ 100 futures +.03%.

Earnings of Note 
Company/Estimate

Before the Open:
  • (CPB)/.71
  • (GIII)/1.94
  • (JW/A)/.65
After the Close:
  • (HOME)/-.02
  • (FIVE)/.17
  • (HRB)/-.92
  • (RH)/2.25
  • (SMTC)/.40
  • (SNPS)/1.13
Economic Releases

8:15 am EST
  • The ADP Employment Change for Nov. is estimated to rise to 135K versus 125K in Oct.
10:00 am EST
  • The ISM Non-Manufacturing Index for Nov. is estimated to fall to 54.5 versus 54.7 in Oct.
10:30 am EST
  • Bloomberg consensus estimates call for a weekly crude oil inventory decline of -1,486,310 barrels versus a +1,572,000 barrel gain the prior week. Gasoline supplies are estimated to rise by +1,469,750 barrels versus a +5,132,000 barrel gain the prior week. Distillate inventories are estimated to rise by +327,420 barrels versus a +725,000 barrel gain the prior week. Finally, Refinery Utilization is estimated to rise by +.84% versus a -.2% decline prior.
Upcoming Splits
  • None of note
Other Potential Market Movers
  • The Fed's Quarles speaking, Berenberg European Conference, Eurozone PMI report, weekly MBA Mortgage Applications report and the impeachment hearing could also impact trading today.
BOTTOM LINE: Asian indices are lower, weighed down by commodity and industrial shares in the region. I expect US stocks to open modestly lower and to rally into the afternoon, finishing modestly higher. The Portfolio is 100% net long heading into the day.

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