Tuesday Watch

Evening Headlines

Bloomberg:              

• Investors Push Back on Emerging Asia’s Record Borrowing Spree.
• In Hong Kong, the Pedestrian Fences Are Political.  
  
• Australia Aluminum Sector in Fight For Survival, Industry Warns.
  
• U.S. Cases Up 0.5%; Brazil Chief Justice Infected: Virus Update.
  
• Asian Stocks Drift; China’s Yuan at Year High: Markets Wrap. Asian stocks drifted at the open Tuesday after snapping two weeks of declines Monday. The dollar maintained losses and the yuan was steady after rising to the highest this year. Japan’s stocks edged lower, while Australia and South Korea had modest gains. S&P 500 futures edged up after the benchmark gained Monday. The Nasdaq 100 Index broke a two-day slide. Oracle Corp. jumped over 4% on reports it beat Microsoft Corp. for the U.S. operations of TikTok. Immunomedics Inc. almost doubled after Gilead Sciences Inc. agreed to buy the cancer drugmaker for $21 billion. Positive vaccine comments from Pfizer Inc.’s CEO, which boosted Asian shares Monday, helped sentiment. Treasuries were flat. S&P 500 futures rose 0.1% as of 9:05 a.m. in Tokyo. The S&P 500 Index gained 1.3%. Topix index fell 0.5%. Australia’s S&P/ASX 200 Index rose 0.3%. South Korea’s Kospi index rose 0.3%. Hong Kong’s Hang Seng Index futures were little changed. 
• Oil Trapped Between Bearish Demand Outlook and Rallying Equities.
• New Japan Leader, Rich And Poor, Destination Inflation: Eco Day.
• Amateur Air Pollution Trackers Are Mapping Western Wildfire Smoke.
  
• Citigroup to Resume Cutting Jobs, Ending Pause During Pandemic.
• IPO Busy Season Arrives as Snowflake, JFrog Boost Listing Plans.
• Morgan Stanley Says a Stimulus Bust Delays Recovery Six Months.  
• George Washington Enrollment Drops 24% in Pandemic Setback.  
• Bill Gross Says Investors Should Play Defense as Stimulus Ebbs.

Wall Street Journal:

• The Campaign’s Key Half-Hour? Start of the First Debate.
• Covid-19 Test Maker Examines False-Positive Results in Nursing Homes.
• Biden of the Climate Apocalypse.
• Confessions of a New Gun Owner.
• Amazon to Hire 100,000 in U.S. and Canada.
• Regulators to Reprimand Citigroup for Failing to Improve Risk Systems.
• Biden Budget to Result in Highest Spending in Decades, Study Finds.

Fox News:

• How a contested election could lead to this scenario.
• Official could face firing for social media post on shooting of LA cops.
• Lawmaker calls for probe of 'exploitation of children' in Netflix movie.
  

CNBC.com:

• TikTok relying on Trump to back off original demand to sell U.S. business and approve Oracle deal. 
• Expect new iPad Air and Apple Watch 6 at Apple’s Tuesday event, analyst says. 

 MarketWatch.com:     

• There’s $120 billion worth of commercial property debt threatened by West Coast fires.
• Hedge-fund billionaire Steve Cohen agrees to buy N.Y. Mets from Wilpon family.

Zero Hedge:    

• BoJo Wins First Vote On Bill To Modify Brexit Deal, Infuriating Brussels.
• "Everyone In The City Was Ready For War" - Terrifying Eye-Witness Account Of The Kenosha Riots.
• 'Rogue' Chinese Virologist Joins Twitter, Publishes "Smoking Gun" Evidence COVID-19 Created In Lab.
• Exhaustive Pentagon Review Finds No Evidence For NYTimes' "Russian Bounties" Story.
• "Murphy's Law": New York May Follow New Jersey With Trading Tax Of Its Own.
• Sen. Hawley Urges Trump Administration To Reject TikTok Deal.
• Sunday Night Football Ratings Post "Steep Decline" Compared To Last Year.
• Sally Strengthens Into Category 2 Hurricane Ahead Of Landfall Tuesday.​
• Nikola Slides On Report SEC Is Examining Hindenburg's Fraud Allegations.  
• Netflix Backlash: Fury Over "Cuties" Sparks #CancelNetflix Movement.
• Robinhooders Discover 3x Levered ETFs.
• Small Caps, Big-Tech, & Bullion Bounce As Dollar Dives.
  

The Epoch Times:

• Senator Urges Additional Ban on Tencent-Owned Mobile App Over Security Threats.
• US Bars Imports of Cotton, Other Products Made With Forced Labor From Xinjiang.
  

Digital Blackboard:

• Daily New Cases by Region.

Worldometer:

• New Cases/Deaths by state.

Rt Covid-19:

• How fast virus is growing by state.

KFF:

• State Data(Tests/Hospitalizations).

Night Trading 

• Asian equity indices are -.5% to +.25% on average.

• Asia Ex-Japan Investment Grade CDS Index 58.0 -1.5 basis points.

• China Sovereign CDS 36.25 -.25 basis point.

• Bloomberg Emerging Markets Currency Index 60.67 unch.
• Bloomberg Global Risk-On/Risk Off Index 326.0 +18.0 points.
• Volatility Index(VIX) futures 31.35 -.08%
• FTSE 100 futures -.46%.

• S&P 500 futures -.13%.

• NASDAQ 100 futures -.16%.

Morning Preview Links

Earnings of Note 
Company/Estimate

Before the Open:

• (CBRL)/-.95
• (SINA)/.50
  

After the Close:

• (ADBE)/2.40
• (FDX)/2.69
• (HTZ)/-3.48
  

Economic Releases

8:30 am EST:

• Empire Manufacturing for September is estimated to rise to 6.7 versus 3.7 in August.
• The Import Price Index MoM for August is estimated to rise +.5% versus a +.7% gain in July.
• The Import Price Index Ex Petro MoM for Aug. is estimated to rise +.3% versus a +.2% gain in July.
• The Export Price Index MoM for Aug. is estimated to rise +.4% versus a +.8% gain in July.
  

9:15 am EST

• Industrial Production MoM for Aug. is estimated to rise +1.0% versus a +3.0% gain in July. 
• Capacity Utilization for Aug. is estimated to rise to 71.4% versus 70.6% in July.
• Manufacturing Production for Aug. is estimated to rise +1.3% versus a +3.4% gain in July.
  

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The President Trump ABC News Town Hall, German ZEW Index, US weekly retail sales reports, (AAPL) Event, (PTON) Investor/Analyst session, Raymond James Equities Conference, BofA Real Estate Conference, BofA Healthcare Conference, Cantor Fitzgerald Healthcare Conference, Goldman Communacopia Conference and the BofA Gaming/Lodging Conference could also impact trading today.

Market Hours
Normal:

• 9:30 am - 4:00 pm EST
  

BOTTOM LINE: Asian indices are mostly lower, weighed down by technology and industrial shares in the region. I expect US stocks to open mixed and to weaken into the afternoon, finishing modestly lower. The Portfolio is 50% net long heading into the day.