Jun E-mini S&Ps (ESM16 +0.18%) are up +0.15% as stronger-than-expected Chinese May imports signals stabilization in China's economy, which may benefit global growth. Also, a rally in energy producing stocks has lifted the overall market as July WTI crude oil (CLN16 +1.23%) is up +1.33% at a 10-1/2 month high. A slide in the dollar index to a 1-month low has boosted most commodity prices with Aug COMEX gold (GCQ16 +0.74%) up +0.74% at a 2-week high. Gains were limited after the World Bank cut its 2016 U.S. and global GDP estimates. European stocks are down -0.49% as drugmakers led the overall market lower with Roche Holding AG and Novartis AG both down at least 1%. Asian stocks settled mixed: Japan +0.93%, Hong Kong -0.14%, China -0.30%, Taiwan +0.41%, Australia -0.02%, Singapore +0.50%, South Korea +0.88%, India +0.04%.
The dollar index (DXY00 -0.18%) is down -0.14% at a 1-month low. EUR/USD (^EURUSD) is up +0.18%. USD/JPY (^USDJPY) is down -0.29%.
Sep T-note prices (ZNU16 -0.04%) are down -1.5 ticks.
The World Bank cut its 2016 global GDP forecast to 2.4% from a January estimate of 2.9%, saying that downside risks have become more pronounced since the start of the year. The World Bank also cut its 2016 U.S. GDP estimate to 1.9% from a Jan estimate of 2.7%.
The China May trade balance widened to a surplus of +$49.98 billion, smaller than expectations of +$55.7 billion. May exports fell -4.1% y/y, weaker than expectations of -4.0% y/y. May imports fell -0.4% y/y, stronger than expectations of -6.8% y/y and the smallest decline in 19 months.
Key U.S. news today includes: (1) weekly MBA mortgage applications (previous -4.1% with purchase sub-index -4.7% and refi sub-index -3.9%), (2) Apr JOLTS job openings (expected -82,000 to 5.675 million, Mar +149,000 to 5.757 million), (3) Treasury auctions $20 billion of 10-year T-notes, and (4) EIA Weekly Petroleum Status Report.
There are 2 of the Russell 1000 companies that report earnings today: lululemon athletica (consensus $0.31), Brown-Forman (0.72).
U.S. IPO's scheduled to price today: none.
Equity conferences during the remainder of this week include: American Society of Clinical Oncology Annual Meeting on Mon-Thu, NAREIT REITWeek Investor Forum on Tue-Wed, Stephens Spring Investment Conference on Tue-Wed, Goldman Sachs Global Health Care Conference on Tue-Thu, Jefferies Global Health Care Conference on Tue-Thu, Baird Global Consumer, Technology and Services Conference on Tue-Thu, BioTechnology Industry Organization International Convention on Wed, Deutsche Bank Global Industrials and Materials Summit on Wed-Thu, Sandler O'Neill Global Exchange and Brokerage Conference on Wed-Thu, Gabelli & Company Movie & Entertainment Conference on Thu, Susquehanna Financial Group Energy and Industrials Conference on Thu.
Fiat Chrysler Automobiles NV (FCAU +3.85%) rose nearly 3% in pre-market trading after it was said to habe started talks on a partnership with Uber Technologies.
Lending Club (LC -7.38%) climbed over 3% in pre-market trading after a report that its former CEO and chairman has spoken to buyout firms and banks about a possible takeover of the company.
Lululemon (LULU -0.89%) reported Q1 EPS of 30 cents, below consensus of 31 cents, and said it expectd Q2 EPS of 36 cents-38 cents, below consensus of 39 cents.
Dave & Buster's Entertainment (PLAY +0.94%) rallied over 3% in pre-market trading after it reported Q1 adjusted EPS of 72 cents, higher than consensus of 59 cents, and then boosted its full-year revenue forecast to $983 million-$995 million from a March 29 estimate of $967 million-$987 million.
Verint Systems (VRNT +2.55%) slid over 1% in after-hours trading after it reported Q1 adjusted EPS of 46 cents, above consensus of 40 cents, but reported Q1 adjusted revenue of $249 million, below consensus of $250.7 million
Ardmore Shipping (ASC -0.61%) dropped over 8% in after-hours trading after it proposed a 7.5 million share public offering of common stock.
Lending Club (LC -7.38%) gained over 2% in after-hours trading after it was raised to 'Market Perform' at KBW.
VeriFone Systems (PAY +1.33%) sank 30% in after-hours trading after it reported Q2 adjusted EPS of 47 cents, weaker than consensus of 52 cents, and then cut its fiscal 2016 adjusted EPS estimate to $1.85 from a March 10 view of $2.21-$2.24.
Duluth Holdings (DLTH -1.95%) dropped over 3% in pre-market trading after it reported Q1 sales of $68.6 million, below consensus of $69.7 million.
HealthEquity (HQY +2.26%) climbed over 4% in after-hours trading after it reported Q1 adjusted EPS of 15 cents, better than consensus of 13 cents, and then raised guidance on full-year adjusted EPS to 47 cents-49 cents from a March 22 view of 45 cents-47 cents.
Oxford Industries (OXM -0.47%) slipped over 7% in after-hours trading after it reported Q1 adjusted EPS continuing operations of $1.26, below consensus of $1.33, and then lowered its fiscal 2017 adjusted EPS view to $3.60-$3.80 from a March 23 estimate of $3.75-$3.95.
Flexion Therapeutics (FLXN -3.83%) tumbled over 11% in after-hours trading after it announced a $60 million offering of common stock.
June E-mini S&Ps (ESM16 +0.18%) this morning are up +3.25 points (+0.15%). Tuesday's closes: S&P 500 +0.13%, Dow Jones +0.10%, Nasdaq-0.23%. The S&P 500 on Tuesday rallied to a 10-1/2 month high and closed higher on carryover support from a rally in European stocks on positive European economic data after Eurozone Q1 GDP was revised upward and after German Apr industrial production rose more than expected. Stocks were also boosted by gains in energy-producers after crude oil prices climbed to an 8-month high.
September 10-year T-note prices (ZNU16 -0.04%) this morning are down -1.5 ticks. Tuesday's closes: TYU6 +2.50, FVU6 +2.00. Sep T-notes on Tuesday closed higher on positive carryover from a rally in German bunds as the 10-year bund yield fell to a record low 0.045%. T-notes also continued to receive support from the reduced prospects for a near-term Fed rate hike after Fed Chair Yellen on Monday refused to set any time line for when the Fed may raise rates again.
The dollar index (DXY00 -0.18%) this morning is down -0.134 (-0.14%) at a 1-month low. EUR/USD (^EURUSD) is up +0.0020 (+0.18%). USD/JPY (^USDJPY) is down -0.31 (-0.29%). Tuesday's closes: Dollar Index -0.074 (-0.08%), EUR/USD +0.0003 (+0.03%), USD/JPY -0.19 (-0.18%). The dollar index on Tuesday closed lower on continued bearishness after Fed Chair Yellen on Monday expressed concern about last Friday's payroll report and backed off her previous comment that a rate hike would be appropriate in "coming months." The dollar index was also undercut by strength in EUR/USD after Eurozone Q1 GDP was revised upward and after German Apr industrial production rose more than expected.
July WTI crude oil (CLN16 +1.23%) this morning is up +67 cents (+1.33%) at a 10-1/2 month high. July gasoline (RBN16 +1.18%) is up +0.0214 (+1.35%). Tuesday's closes: CLN6 +0.67 (+1.35%), RBN6 -0.0016 (-0.10%). July crude oil and gasoline on Tuesday settled mixed with July crude at an 8-month high. Crude oil prices were boosted by a weaker dollar and by continued support from Monday's news that Nigerian oil production has been slashed by 700,000-800,000 bpd by militant attacks on pipelines and installations. Crude oil prices were also boosted by expectations that Wednesday's weekly EIA report would show that U.S. crude oil inventories fell by -3.0 million bbls.
|Wednesday, June 8|
|US||0700 ET||Weekly MBA mortgage applications, previous -4.1% with purchase sub-index -4.7% and refi sub-index -3.9%.|
|1000 ET||Apr JOLTS job openings expected -82,000 to 5.675 million, Mar +149,000 to 5.757 million.|
|1030 ET||EIA Weekly Petroleum Status Report.|
|1300 ET||Treasury auctions $20 billion of 10-year T-notes.|
|JPN||0030 ET||Japan May bankruptcies, Apr -7.08% y/y.|
|0100 ET||Japan May eco watchers survey current expected -0.1 to 43.4, Apr 43.5. May eco watchers survey outlook expected +0.4 to 45.9, Apr 45.5.|
|1950 ET||Japan Apr machine orders expected -3.0% m/m and -1.8% y/y, Mar +5.5% m/m and +3.2% y/y.|
|UK||0430 ET||UK Apr industrial production expected unch m/m and -0.4% y/y, Mar +0.3% m/m and -0.2% y/y.|
|0430 ET||UK Apr manufacturing production expected -0.1% m/m and -1.5% y/y, Mar +0.1% m/m and -1.9% y/y.|
|1901 ET||UK May RICS house price balance expected 35%, Apr 41%.|
|CHI||2130 ET||China May CPI expected +2.2% y/y, Apr +2.3% y/y. May PPI expected -3.2% y/y, Apr -3.4% y/y.|
|Thursday, June 9|
|US||0830 ET||Weekly initial unemployment claims expected +3,000 to 270,000, previous -1,000 to 267,000. Weekly continuing claims expected-1,000 to 2.171 million, previous +12,000 to 2.172 million.|
|0830 ET||USDA weekly Export Sales.|
|1000 ET||Apr wholesale inventories expected +0.1% m/m, Mar +0.1% m/m. Apr wholesale trade sales expected +1.1% m/m, Mar +0.7% m/m.|
|1300 ET||Treasury auctions $12 billion of 30-year T-bonds.|
|GER||0200 ET||German Apr trade balance expected +22.8 billion euros, Mar +26.2 billion euros. Apr exports expected -0.8% m/m, Mar +1.9% m/m. Apr imports expected +1.3% m/m, Mar -2.3% m/m.|
|0200 ET||German Apr current account balance expected +20.5 billion euros, Mar +30.4 billion euros.|
|0200 ET||German Q1 labor costs, Q4 +0.5% q/q and +2.1% y/y.|
|EUR||0300 ET||ECB President Mario Draghi speaks at an economic forum in Brussels.|
|JPN||0200 ET||Japan May machine tool orders, Apr -26.3% y/y.|
|1950 ET||Japan May PPI expected +0.1% m/m and -4.2% y/y, Apr -0.3% m/m and -4.2% y/y.|
|CHI||n/a||China May new yuan loans expected 750 billion yuan, Apr 555.6 billion yuan.|
|Teekay Corp||TK US||6/8/2016||Annual General Meeting||Y 2016|
|lululemon athletica Inc||LULU US||6/8/2016||Q1 2017 Earnings Release||Q1 2017||0.306|
|Brown-Forman Corp||BF/B US||6/8/2016||Q4 2016 Earnings Release||Q4 2016||0.719|
|American Airlines Group Inc||AAL US||6/8/2016||Annual General Meeting|
|Biogen Inc||BIIB US||6/8/2016||Annual General Meeting||Y 2016|
|Devon Energy Corp||DVN US||6/8/2016||Annual General Meeting||Y 2016|
|lululemon athletica Inc||LULU US||6/8/2016||Q1 2017 Earnings Call||Q1 2017|
|Skechers U.S.A. Inc||SKX US||6/8/2016||Analyst and Investor Meeting||Y 2016|
|Brown-Forman Corp||BF/B US||6/8/2016||Q4 2016 Earnings Call||Q4 2016|
|Freeport-McMoRan Inc||FCX US||6/8/2016||Annual General Meeting|
|Pfizer Inc||PFE US||6/8/2016||Analyst and Investor Call|
|United Continental Holdings Inc||UAL US||6/8/2016||Annual General Meeting|
|AMERCO||UHAL US||6/8/2016||Special Meeting|
|DSW Inc||DSW US||6/8/2016||Annual General Meeting|
|Allegion PLC||ALLE US||6/8/2016||Annual General Meeting||Y 2016|
|Target Corp||TGT US||6/8/2016||Annual General Meeting|
|Alphabet Inc||GOOGL US||6/8/2016||Annual General Meeting||Y 2016|
|Molson Coors Brewing Co||TAP US||6/8/2016||Investor Meeting||Y 2016|
|ServiceNow Inc||NOW US||6/8/2016||Annual General Meeting|
|Caterpillar Inc||CAT US||6/8/2016||Annual General Meeting|
|Public Service Enterprise Group Inc||PEG US||6/8/2016||Investor Meeting||Y 2016|
|Southwest Airlines Co||LUV US||6/8/2016||May 2016 Sales and Revenue Release - Traffic Results||2016|
|Clean Harbors Inc||CLH US||6/8/2016||Annual General Meeting||Y 2016|
|Ingram Micro Inc||IM US||6/8/2016||Annual General Meeting||Y 2016|
|AMC Networks Inc||AMCX US||6/8/2016||Annual General Meeting|
|Spirit Airlines Inc||SAVE US||6/8/2016||May 2016 Sales and Revenue Release - Traffic Results||2016|
|FleetCor Technologies Inc||FLT US||6/8/2016||Annual General Meeting|
|United Continental Holdings Inc||UAL US||6/8/2016||May 2016 Sales and Revenue Release - Traffic Results||2016|
|KAR Auction Services Inc||KAR US||6/8/2016||Annual General Meeting|
|CVR Energy Inc||CVI US||6/8/2016||Annual General Meeting|
|Groupon Inc||GRPN US||6/8/2016||Annual General Meeting|
|Diamondback Energy Inc||FANG US||6/8/2016||Annual General Meeting|
|GoDaddy Inc||GDDY US||6/8/2016||Annual General Meeting|