Wednesday Watch

Night Trading 

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

• Asia Ex-Japan Investment Grade CDS Index 85.75 +1.25 basis points. 

• China Sovereign CDS 44.25 +.25 basis point.
  

• Bloomberg Emerging Markets Currency Index 52.83 -.04%. 
• Bloomberg Global Risk-On/Risk Off Index 2,479.0 +52.0 points.
• Volatility Index(VIX) futures 23.6 +.58%.
• Euro Stoxx 50 futures +.34%.

• S&P 500 futures +.05%.

• NASDAQ 100 futures +.06%. 

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (ABM)/.81
• (TTC)/.53
  

After the Close:

• (HEI)/.58
• (LEN)/4.15
• (NDSN)/2.10
  

Economic Releases

8:30 am EST

• The Empire Manufacturing Index for Dec. is estimated to fall to 25.0 versus 30.9 in Nov.
• Retail Sales Advance MoM for Nov. is estimated to rise +.8% versus a +1.7% gain in Oct.
• Retail Sales Ex Autos MoM for Nov. is estimated to rise +.9% versus a +1.7% gain in Oct.
• Retail Sales Ex Auto and Gas for Nov. is estimated to rise +.8% versus a +1.4% gain in Oct.
• The Import Price Index MoM for Nov. is estimated to rise +.6% versus a +1.2% gain in Oct.
• The Export Price Index MoM for Nov. is estimated to rise +.5% versus a +1.5% gain in Oct.
  

10:00 am EST

• Business Inventories for Oct. is estimated to rise +1.1% versus a +.7% gain in Sept.
• The NAHB Housing Market Index for Dec. is estimated to rise to 84.0 versus 83.0 in Nov.

10:30 am EST

• Bloomberg consensus estimates call for a weekly crude oil inventory decline of -1,651,200 barrels versus a -241,000 barrel decline the prior week. Gasoline supplies are estimated to rise by +2,358,300 barrels versus a +3,882,000 barrel decline the prior week. Distillate inventories are expected to rise by +1,187,500 barrels versus a +2,733,000 barrel gain the prior week. Finally, Refinery Utilization is estimated to rise +.44% versus a +1.0% gain prior.
  

2:00 pm EST

• The FOMC is expected to leave the benchmark Fed Funds Rate at 0.0-.25%.

4:00 pm EST

• Net Long-Term TIC Flows for Oct.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The FOMC presser, Debt ceiling deadline, UK CPI report, weekly MBA Mortgage Applications report, (LOW) 2022 financial outlook webcast, (ABM) investor day, (XP) investor day and the (LLY) investment community meeting could also impact global trading today.

US Equity Market Hours

• 9:30 am - 1:00 pm EST
  

BOTTOM LINE: Asian indices are modestly lower, weighed down by commodity and technology 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.