Friday, 23 September 2016

Global Markets & News-The Total Investment & Insurance Solutions

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23 September 2016

OVERNIGHT MARKETS AND NEWS

Dec E-mini S&Ps (ESZ16 -0.17%) are down -0.18% and Europeans stocks are down -0.54% as social media stocks decline. Twitter slid nearly 3% in pre-market trading after it was downgraded to 'Underperform' by RBC Capital Markets, Yahoo is down over 1% after it said at least 500 million users had their personal information stolen when its website was hacked in 2014, and Facebook is down nearly 2% in pre-market trading after it said it gave advertisers an inflated metric for the average time users spent watching a video. Crude oil prices (CLX16 -0.13%) briefly climbed to a 1-week high when Reuters reported that Saudi Arabia has offered to lower its own oil production if Iran agrees to freeze its oil output. However, crude oil prices fell back and are down % after it was reported that no deal was reached. Losses in European stocks were limited after Eurozone Sep Markit manufacturing PMI rose more than expected. Asian stocks settled mixed: Japan -0.32%, Hong Kong -0.31%, China -0.28%, Taiwan +0.53%, Australia +1.06%, Singapore +0.38%, South Korea +0.01%, India -0.36%.

The dollar index (DXY00 -0.01%) is down -0.04%. EUR/USD (^EURUSD) is up +0.11%. USD/JPY (^USDJPY) is down -0.03%.
Dec 10-year T-note prices (ZNZ16 +0.13%) are up +5.5 ticks.
The Japan Sep Nikkei manufacturing PMI rose +0.8 to 50.3, the fastest pace of expansion in 8 months.

The Eurozone Sep Markit manufacturing PMI unexpectedly rose +0.9 to 52.6, stronger than expectations of -0.2 to 51.5.

ECB Vice President Constancio said that "a low interest-rate environment for a long period of time creates risk, risks in general to financial stability." Those risks include imbalances in asset markets, too-rich valuations in some asset markets and pressure on profitability of financial institutions. The Total Investment & Insurance Solutions

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) preliminary-Sep Markit U.S. manufacturing PMI (expected unch at 52.0, Aug -0.9 to 52.0), (2) Dallas Fed President Robert Kaplan speaks at a moderated Q&A at the Texas Oil & Gas Association Lone Star Energy Forum, (3) USDA Aug Cold Storage, (4) USDA Aug Cattle on Feed.
Russell 1000 companies that report earnings today: none.
U.S. IPO's scheduled to price today: none.
Equity conferences today: none. The Total Investment & Insurance Solutions

OVERNIGHT U.S. STOCK MOVERS

Yahoo! (YHOO +0.02%) is down over 1% after it said at least 500 million users had their personal information stolen when its website was hacked in 2014.
Facebook (FB +0.11%) is down nearly 2% in pre-market trading after it said it gave advertisers an inflated metric for the average time users spent watching a video.
Transocean Ltd. (RIG +5.58%) was upgraded to 'Neutral' from 'Underperform' at Credit Suisse.

Wal-Mart (WMT +0.11%) was upgraded to 'Overweight' from Equalweight' at Barclays with a 12-month price target of $87.
Bats Global Markets (BATS +0.26%) surged over 20% in after-hours trading after people familiar with the matter said CBOE Holdings is in talks to acquire the company.

AAR Corp. (AIR +3.50%) rose 3% in after-hours trading after it reported Q1 EPS from continuing operations of 29 cents, better than consensus of 26 cents.
Twitter (TWTR +0.76%) fell over 2% in pre-market trading after it was downgraded to 'Underperform' from 'Sector Perform' at RBC Capital Markets.
Imperva (IMPV +0.91%) jumped over 10% in after-hours trading after a Bloomberg News report that the company has drawn interest from several companies including Cisco Systems and IBM.
8Point3 Energy Partners LP (CAFD -1.11%) slid over 2% in after-hours trading after it reported an offering of 7 million class A shares.
Glu Mobile (GLUU +0.45%) rose over 4% in after-hours trading after it said it extended a pact with Kardashian West's business, Kimsaprincess, and may make more Kim Kardashian games.

Novatel Wireless (MIFI +3.04%) surged over 25% in after-hours trading after it said it was in a pact to sell mobile broadband unit to T.C.L, Industries Holdings for $50 million.

Enphase Energy (ENPH +12.84%) plunged 18% in after-hours trading after it said it will cut 11% of its workforce and proposed a public offering of common stock. The Total Investment & Insurance Solutions

MARKET COMMENTS

Dec E-mini S&Ps (ESZ16 -0.17%) this morning are down -4.00 points (-0.18%). Thursday's closes: S&P 500 +0.65%, Dow Jones +0.54%, Nasdaq +0.77%. The S&P 500 on Thursday rallied to a 2-week high and closed higher on the unexpected -8,000 decline in U.S. weekly initial unemployment claims to 252,000 and on strength in technology stocks that pushed the Nasdaq Composite up to a record high. There was also a rally in energy and commodity producers after crude oil prices rose to a 2-week high and the copper prices jumped to a 5-week high.

Dec 10-year T-notes (ZNZ16 +0.13%) this morning are up +5.5 ticks. Thursday's closes: TYZ6 +8.50, FVZ6 +4.25. Dec 10-year T-notes on Thursday climbed to a 2-week high and settled higher on carryover support from Wednesday's FOMC decision to refrain from a rate hike and Thursday's weaker-than-expected U.S. Aug existing home sales and Aug LEI reports.

The dollar index (DXY00 -0.01%) this morning is down -0.035 (-0.04%). EUR/USD (^EURUSD) is up +0.0012 (+0.11%). USD/JPY (^USDJPY) is down-0.03 (-0.03%). Thursday's closes: Dollar index -0.212 (-0.22%), EUR/USD +0.0019 (+0.17%), USD/JPY +0.44 (+0.44%). The dollar index on Thursday fell to a 1-week low and closed lower on carryover weakness from Wednesday's FOMC meeting where Fed members scaled back their expectations for rate hikes this year and next year and the unexpected decline in U.S. Aug existing home sales to a 6-month low.


Nov WTI crude oil (CLX16 -0.13%) this morning is down -19 cents (-0.41%) and Nov gasoline (RBX16 -0.34%) is down -0.0124 (-0.90%). Thursday's closes: Nov crude +0.98 (+2.16%), Nov gasoline +0.0083 (+0.61%). Nov crude oil and gasoline on Thursday closed higher with Nov crude at a 1-week high. Crude oil prices were boosted by the slide in the dollar index to a 1-week low and by carry-over support from Wednesday's EIA data showing an unexpected -6.2 million bbl drawdown in EIA crude inventories to a 7-month low.The Total Investment & Insurance Solutions

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