US : Pre Market News – 14 Feb 2017

PREMARKET WORLD NEWS

Mar E-mini S&Ps (ESH17 -0.02%) are little changed, down -0.05%, and European stocks are up +0.07% ahead of this morning’s testimony from Fed Chair Yellen to the Senate Banking Committee on clues as to the direction of U.S. monetary policy. European stocks found support on strength in automakers on possible increased M&A activity after Peugeot SA said it was exploring an acquisition of General Motor’s European business. Gains in equities were held down after Eurozone Q4 GDP was revised downward and after the Eurozone Dec industrial production posted its biggest decline in 10 months. Asian stocks settled mostly lower: Japan -1.13%, Hong Kong -0.03%, China +0.03%, Taiwan +0.09%, Australia -0.09%, Singapore -1.26%, South Korea -0.34%, India -0.04%. Chinese stocks relinquished most of their gains on the prospects that increased inflation risks may prompt the government to tighten monetary policy after China Jan CPI rose at the fastest pace in 2-1/2 years and Jan PPI rose at the fastest pace in 5-1/3 years.

The dollar index (DXY00 -0.18%) is down -0.20%. EUR/USD (^EURUSD) is up +0.26%. USD/JPY (^USDJPY) is down -0.30%.

Mar 10-year T-note prices (ZNH17 -0.10%) are down -3.5 ticks.

Eurozone Q4 GDP was revised downward to +0.4% q/q and +1.7% y/y, weaker than expectations of +0.5% q/q and +1.8% y/y.

Eurozone Dec industrial production fell -1.6% m/m, weaker than expectations of -1.5% m/m and the biggest decline in 10 months.

The German Feb ZEW survey expectations of economic growth fell -6.2 to 10.4, weaker than expectations of -1.6 to 15.0 and a 4-month low.

China Jan CPI rose +2.5% y/y, stronger than expectations of +2.4% y/y and the fastest pace of increase in 2-1/2 years. Jan PPI rose +6.9% y/y, stronger than expectations of +6.5% y/y and the fastest pace of increase in 5-1/3 years.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) Jan PPI final demand (expected +0.3% m/m and +1.5% y/y, Dec +0.3% m/m and +1.6% y/y) and Jan PPI ex food & energy (expected +0.2% m/m and +1.1% y/y, Dec +0.2% m/m and +1.6% y/y), (2) Richmond Fed President Jeffrey Lacker (non-voter) speaks at the University of Delaware, (3) Fed Chair Yellen delivers semiannual monetary policy report to the Senate Banking Committee, (4) Dallas Fed President Robert Kaplan (voter) speaks at the Greater Houston Port Bureau luncheon.

Notable S&P 500 earnings reports today include: Noble Energy (consensus $ -0.10), HCP (0.57), Federal Realty Trust (1.44), Vornado Realty Trust (1.31).

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

Equity conferences: Credit Suisse Energy Summit on Mon-Wed, RSA Security Conference on Mon-Thu, Stifel Transportation and Logistics Conference on Tue-Wed, Goldman Sachs Technology and Internet Conference on Tue-Thu, Bank of America Merrill Lynch Insurance Conference on Wed-Thu, Leerink Partners Global Health Care Conference on Wed-Thu.

 

PREMARKET U.S. STOCKS

Goldman Sachs Group (GS +1.46%) was downgraded to ‘Market Perform’ from ‘Market Outperform’ at Vining Sparks with a target price of $ 255.

PulteGroup (PHM -0.46%) was upgraded to ‘Outperform’ from ‘Market Perform’ at FBR Capital Markets with a 12-month target price of $ 26.

Hostess Brands (TWNK -1.75%) was rated a new ‘Strong Buy’ at CL King with a 12-month target price of $ 20.

Quantena Communications (QTNA +3.82%) climbed 3% in after-hours trading after it reported Q4 adjusted EPS of 3 cents, better than consensus of 1 cent.

Brookdale Senior Living (BKD -2.05%) slid 3% in after-hours trading after it reported Q4 revenue of $ 1.21 billion, less than consensus of $ 1.22 billion.

Cornerstone OnDemand (CSOD -4.90%) rose 3% in after-hours trading after it reported Q4 billings of $ 156.3 million, higher than consensus of $ 135.5 million.

Golar LNG Ltd (GLNG -1.97%) dropped 5% in after-hours trading after it announced a proposed offering of $ 350 million in convertible senior notes due 2022.

PDF Solutions (PDFS -0.62%) rallied 6% in after-hours trading after it reported Q4 revenue of $ 28.4 million, above consensus of $ 28.3 million.

Amkor Technology (AMKR +4.71%) tumbled nearly 10% in after-hours trading after it said it sees Q1 EPS of down -11 cents a share to up 5 cents, well below consensus of 14 cents.

Chegg (CHGG +2.92%) lost over 1% in after-hours trading after it reported Q4 adjusted EPS of 10 cents, below consensus of 11 cents.

Guidance Software (GUID +4.52%) climbed over 4% in after-hours trading after it reported Q4 adjusted EPS of 9 cents, above consensus of 6 cents.

Hibbett Sports (HIBB -0.60%) slumped 14% in after-hours trading after it reported preliminary Q4 comparable sales unexpectedly fell -2.2%, weaker than expectations of up +1.3%, and then said it sees 2018 EPS at $ 2.65-$ 2.85, below consensus of $ 3.06.

GigPeak (GIG +7.54%) jumped over 12% in after-hours trading after Integrated Devices said it will purchase the company for $ 250 million, or $ 3.08 a share.

MARKET COMMENTS

Mar E-mini S&Ps (ESH17 -0.02%) this morning are down -1.25 points (-0.05%). Monday’s closes: S&P 500 +0.52%, Dow Jones +0.70%, Nasdaq +0.58%. The S&P 500 on Monday climbed to a new record high and settled higher on a rally in bank and financial stocks on expectations that the Trump administration will cut banking regulations and scale back Dodd-Frank reforms, which could boost bank earnings. There was also a rally in commodity-producing stocks as the price of copper rose 0.54% to a 1-1/2 year high.

Mar 10-year T-notes (ZNH17 -0.10%) this morning are down -3.5 ticks. Monday’s closes: TYH7 -6.00, FVH7 -3.50. Mar 10-year T-notes on Monday closed lower on reduced safe-haven demand with the rally in the S&P 500 to a new all-time high and long liquidation pressure ahead of Tuesday’s semiannual monetary policy report to the Senate Banking Committee from Fed Chair Yellen.

The dollar index (DXY00 -0.18%) this morning is down -0.20 (-0.20%). EUR/USD (^EURUSD) is up +0.0028 (+0.26%). USD/JPY (^USDJPY) is down -0.34 (-0.30%). Monday’s closes: Dollar index +0.18 (+0.18%), EUR/USD -0.0045 (-0.42%), USD/JPY +0.52 (+0.46%). The dollar index on Monday rallied to a 3-week high and closed higher on strength in USD/JPY which climbed to a 2-week high as a rally in the S&P 500 to a new record high undercut the safe-haven demand for the yen.

Mar WTI crude oil prices (CLH17 +0.85%) this morning are up +40 cents (+0.76%) and Mar gasoline (RBH17 +1.39%) is +0.0188 (-1.22%). Monday’s closes: Mar crude -0.93 (-1.73%), Mar gasoline -0.0450 (-2.83%). Mar crude oil and gasoline on Monday closed lower on the rally in the dollar index to a 3-week high and on Friday’s news from Baker Hughes showing that active U.S. oil rigs rose to their highest number in 1-1/4 years.

 

 

GLOBAL EVENT CALENDAR 02/14/2017
Tuesday, Feb 14
US0830 ETJan PPI final demand expected +0.3% m/m and +1.5% y/y, Dec +0.3% m/m and +1.6% y/y. Jan PPI ex food & energy expected +0.2% m/m and +1.1% y/y, Dec +0.2% m/m and +1.6% y/y.
0850 ETRichmond Fed President Jeffrey Lacker (non-voter) speaks at the University of Delaware.
1000 ETFed Chair Yellen delivers semiannual monetary policy report to the Senate Banking Committee,
1300 ETDallas Fed President Robert Kaplan (voter) speaks at the Greater Houston Port Bureau luncheon.
Wednesday, Feb 15
US0700 ETWeekly MBA mortgage applications, previous +2.3% with purchase sub-index +1.8% and refi sub-index +2.2%.
0830 ETFeb Empire manufacturing survey general business conditions expected +0.3 to 6.8, Jan -1.1 to 6.5.
0830 ETJan CPI expected +0.3% m/m and +2.4% y/y, Dec +0.3% m/m and +2.1% y/y. Jan CPI ex food & energy expected +0.2% m/m and +2.1% y/y, Dec +0.2% m/m and +2.2% y/y.
0830 ETJan retail sales expected +0.1% and +0.4% ex autos, Dec +0.6% and +0.2% ex autos.
0915 ETJan industrial production expected unch, Dec +0.8%. Jan manufacturing production expected +0.2%, Dec +0.2%. Jan capacity utilization expected unch at 75.5%, Dec +0.6 to 75.5%.
1000 ETFed Chair Yellen delivers semiannual monetary policy report to the House Financial Services Committee.
1000 ETFeb NAHB housing market index expected unch at 67, Jan -2 to 67.
1000 ETDec business inventories expected +0.4%, Nov +0.7%.
1030 ETEIA Weekly Petroleum Status Report.
1200 ETBoston Fed President Eric Rosengren (non-voter) speaks at the New York Association for Business Economics luncheon.
1245 ETPhiladelphia Fed President Patrick Harker (voter) speaks on the economy at the La Salle University Annual Economic Outlook.
1915 ETNew York Fed President William Dudley (voter) has a moderated fireside chat at Cornell College of Business Annual New York City Predictions Event.
U.S. STOCK CALENDAR 02/14/2017
CompanyTickerTimeEvent DescriptionPeriodEstimate
Charles Schwab Corp/TheSCHW USBf-mktJanuary 2017 Sales Release – Activities Report2017
Martin Marietta Materials IncMLM USBf-mktQ4 2016 Earnings ReleaseQ4 20161.622
Discovery Communications IncDISCA US7:00Q4 2016 Earnings ReleaseQ4 20160.509
FLIR Systems IncFLIR US7:30Q4 2016 Earnings ReleaseQ4 20160.54
Dr Pepper Snapple Group IncDPS US8:00Q4 2016 Earnings ReleaseQ4 20161.055
Molson Coors Brewing CoTAP US8:30Q4 2016 Earnings ReleaseQ4 20160.853
Discovery Communications IncDISCA US8:30Q4 2016 Earnings CallQ4 2016
Noble Energy IncNBL US9:00Q4 2016 Earnings CallQ4 2016
Vornado Realty TrustVNO US10:00Q4 2016 Earnings CallQ4 2016
Dr Pepper Snapple Group IncDPS US10:00Q4 2016 Earnings CallQ4 2016
Molson Coors Brewing CoTAP US11:00Q4 2016 Earnings CallC4 2016
FLIR Systems IncFLIR US11:00Q4 2016 Earnings CallQ4 2016
Federal Realty Investment TrustFRT US12:00Q4 2016 Earnings CallQ4 2016
Molson Coors Brewing CoTAP US13:00Q4 2016 Earnings Call – Follow-Up SessionQ4 2016
Martin Marietta Materials IncMLM US14:00Q4 2016 Earnings CallQ4 2016
Agilent Technologies IncA US16:00Q1 2017 Earnings ReleaseQ1 20170.491
Devon Energy CorpDVN US16:15Q4 2016 Earnings ReleaseQ4 20160.209
Agilent Technologies IncA US16:30Q1 2017 Earnings CallQ1 2017
American International GroupAIG USAft-mktQ4 2016 Earnings ReleaseQ4 20160.313
Express Scripts Holding CoESRX USAft-mktQ4 2016 Earnings ReleaseQ4 20161.866
Equifax IncEFX USInvestor MeetingY 2017
TEGNA IncTGNA USQ4 2016 Earnings ReleaseQ4 20160.664
E*TRADE Financial CorpETFC USJanuary 2017 Sales Release – Activity Report2017
TechnipFMC PLCFTI USQ4 2016 Earnings ReleaseQ4 20160.258

You may also like...

Discussion on US : Pre Market News – 14 Feb 2017