Thursday Watch

Night Trading 

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

• Asia Ex-Japan Investment Grade CDS Index 86.5 -2.75 basis points. 

• China Sovereign CDS 46.5 -3.5 basis points.
  

• Bloomberg Emerging Markets Currency Index 54.39 +.01%. 
• Bloomberg Global Risk-On/Risk Off Index 3,242.0 +25.0 points.
• Volatility Index(VIX) futures 23.83 -.99%.
• Euro Stoxx 50 futures -.12%.

• S&P 500 futures +.10%.

• NASDAQ 100 futures +.17%. 

Morning Preview Links

Earnings of Note 
Company/Estimate 

 

Before the Open: 

• (AAL)/-1.48
• (BKR)/.29
• (BKU)/.87
• (CTXS)/1.08
• (FITB)/.90
• (KEY)/.56
• (MTB)/3.26
• (RF)/.50
• (SAFM)/6.97
• (TRV)/3.86
• (UNP)/2.62
  

After the Close:

• (CSX)/.41
• (ISRG)/1.28
• (NFLX)/.82
• (PPG)/1.21
• (SIVB)/6.57
  

Economic Releases

8:30 am EST

• Initial Jobless Claims for last week are estimated to fall to 225K versus 230K the prior week.
• Continuing Claims are estimated to rise to 1563K versus 1559K prior.
• The Philly Fed Business Outlook Index for Jan. is estimated to rise to 19.0 versus 15.4 in Dec.
  

10:00 am EST

• Existing Home Sales for Dec. is estimated to fall to 6.43M versus 6.46M in Nov.

11:00 am EST

• Bloomberg consensus estimates call for a weekly crude oil inventory decline of -1,330.770 barrels versus a -4,553,000 barrel decline the prior week. Gasoline supplies are estimated to rise by +1,878,400 barrels versus a +7,961,000 barrel gain the prior week. Distillate inventories are estimated to fall by -826,100 barrels versus a +2,537,000 barrel gain the prior week. Finally, Refinery Utilization is estimated to fall by -.17% versus a -1.4% decline prior.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The China PBOC decision and the weekly EIA natural gas inventory report could also impact global trading today.

US Equity Market Hours

• 9:30 am - 4:00 pm EST
  

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