Wednesday, July 11, 2018

07-11-2018 - **Overnight Markets and News**

**Overnight Markets and News**

Sep E-mini S&Ps (ESU18 -0.68%) this morning are down -0.63% as global stock markets slide as the trade war between the U.S. and China escalates.  The U.S. said it plans to impose additional 10% tariffs on $200 billion of Chinese products after China failed to respond to concerns over unfair trade practices and China's abuse of American intellectual property.  U.S. Trade Representative Lighthizer said "China has not changed its behavior that puts the future of the U.S. economy at risk and rather than address our legitimate concerns, China has begun to retaliate against U.S. products.  There is no justification for such action."  China's Commerce Ministry said it would be forced to retaliate as the latest move by the U.S. was "totally unacceptable."  European stocks are down -1.13%, led by weakness in commodity producers and mining stocks with Sep COMEX copper (HGU18 -2.71%) down -2.69% at an 11-3/4 month low, on concern the escalation of trade tensions will harm economic growth and demand for commodities.  Asian stocks settled mostly lower: Japan -1.19%, Hong Kong -1.29%, China -1.76%, Taiwan -0.74%, Australia -0.68%, Singapore -0.79%, South Korea -0.59%, India +0.07%.  Asian stocks markets sold-off and the yuan fell to a 1-week low against the dollar after the U.S. said it will impose 10% tariffs on $200 billion of Chinese products.

The dollar index (DXY00 +0.19%) is up +0.25%.  EUR/USD (^EURUSD -0.25%) is down -0.26%.  USD/JPY (^USDJPY +0.19%) is up +0.21%.

Sep 10-year T-note prices (ZNU18 +0-070) are up +7 ticks on increased flight-to-safety demand as global equity markets decline.

Japan Jun PPI rose +0.2% m/m and +2.8% y/y, right on expectations with the +2.8% y/y gain the largest year-on-year increase in 6 months.

Japan May core machine orders fell -3.7% m/m, a smaller decline than expectations of -4.9% m/m.

The Japan May tertiary industry index unexpectedly rose +0.1% m/m, stronger than expectations of -0.3% m/m.



**U.S. Stock Preview**

Key U.S. news today includes: (1) weekly MBA mortgage applications (previous down -0.5% to 363.6 with the purchase sub-index up +0.5% to 245.5 and the refi sub-index down -2.0% to 996.0), (2) Jun PPI final demand (expected +0.2% m/m and +3.1% y/y, May +0.5% m/m and +3.1% y/y) and Jun PPI ex food & energy (expected +0.2% m/m and +2.6% y/y, May +0.3% m/m and +2.4% y/y), (3) revised May wholesale inventories (prelim-May +0.4%) and May wholesale trade sales (expected +0.5%, Apr +0.8% m/m), (4) EIA weekly Petroleum Status Report, (5) Treasury auctions $22 billion of 10-year T-notes, (6) New York Fed President John Williams (voter) speaks to business and community leaders in Brooklyn, NY.

Notable Russell 1000 earnings reports today include: Fastenal (consensus $0.66), MSC Industrial Direct (1.39), Bank of the Ozarks (0.89).

U.S. IPO's scheduled to price today: none.

Equity conferences during the remainder of this week: none.



**Overnight U.S. Stock Movers**

U.S. Cellular (USM -0.10%) was downgraded to 'Underweight' from 'Neutral' at JPMorgan Chase.

Boeing (BA +1.53%) slid -0.2% in after-hours trading after JetBlue said it was ordering 60 of Airbus's A220 jets, a rival of Boeing.

Facebook (FB -0.59%) was rated a new 'Buy' at Nomura Instinet with a price target of $228.

WD-40 (WDFC +1.22%) lost 2% in after-hours trading after it forecast full-year EPS of $4.05 to $4.10, the midpoint below consensus of $4.09.

Sempra Energy (SRE +1.44%) fell more than 2% in after-hours trading after it announced a proposed $1.1 billion public offering of common stock and mandatory convertible preferred stock offering.

AAR Corp (AIR +0.96%) dropped nearly 6% in after-hours trading after it said it sees fiscal 2019 EPS continuing operations of $2.50 to $2.80, the midpoint below consensus of $2,75.

Spotify (SPOT +1.69%) was rated a new 'Buy' at Nomura Instinet with a price target of $210.

Natera (NTRA +6.05%) slid 6% in after-hours trading after it announced the launch of a proposed follow-on public offering of $75 million in shares of its common stock.

Twitter (TWTR -0.88%) was rated a new 'Reduce' at Nomura Instinet with a price target of $31.

BioCryst Pharmaceuticals (BCRX unch) rallied 10% in after-hours trading after the merger with Idera Pharmaceuticals was called off after BioCryst shareholders voted against it.  Idera Pharmaceuticals IDRA fell -5% on the news.

VOXX International (VOXX +6.31%) tumbled more than 13% in after-hours trading after it reported Q1 fiscal sales of $100.9 million, weaker than consensus of $114 million.

ArQule (ARQL -8.07%) dropped 8% in after-hours trading after it said that it had commenced an underwritten public offering of its common stock, although no size was mentioned.

Versartis (VSAR -2.44%) jumped 12% in after-hours trading after it said its Phase 1 trial of its AVB-S6-500 met its safety and tolerability endpoints for the trial.
























General Advice Disclosure: Please note that the advice contained herein is general advice and is for the purposes of education only. The risk of loss in trading futures contracts, commodity options, stocks, stock options and forex currencies can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results. You are reminded that past performance is no guarantee or reliable indication of future results. It has not been prepared taking into account your particular investment objectives, financial situation and particular needs.You should therefore assess whether the advice is appropriate to your individual investment objectives, financial situation and particular needs. You should do this before making an investment decision based on this general advice. You can either make the assessment yourself or seek the help of a professional adviser. This commentary is not a recommendation to buy or sell, but rather a guideline to interpreting the specified indicators. This information should only be used by investors who are aware of the risk inherent in securities trading. The Vulcan Report accepts no liability whatsoever for any loss arising from any use of this expert or its contents.liability whatsoever for any loss arising from any use of this expert or its contents. For Related news and other stories please visit - http://www.wideawakenews.com/ For Related videos on our Youtube channel please visit - http://www.youtube.com/user/pulsescan72 Be Sure to register for faster updates and commentaries at - BLOG 1: - http://pulsescan.blogspot.com/ BLOG 2: - http://seekingalpha.com/instablog/466159-pulsescan72/ BULLS make money... BEARS make money.... PIGS get slaughtered! "TAKE WHAT YOU CAN .........GIVE NOTHING BACK"!!

No comments:

Post a Comment