Jun E-mini S&Ps (ESM17 +0.07%) this morning are down -0.05% at a 1-week low and European stocks are down -0.23% after the U.S. launched cruise missiles against Syrian airfields in retaliation from Syrian President Bashar al-Assad’s alleged poison gas attacks on civilians. President Putin of Russia, a Syrian ally, condemned the U.S. attack as an “act of aggression against a sovereign state” and suspended as accord with the U.S. designed to avoid incidents in Syrian airspace. Jun COMEX gold (GCM17 +0.92%) surged +1.03% to a 4-3/4 month high on increased safe-haven demand, while government bond markets rallied as the U.S. 10-year T-note yield fell to a 4-1/2 month low of 2.29%. Stocks recovered from their worst levels as energy producing companies rose with a +0.93% rally in May WTI crude oil (CLK17 +0.91%) to a 4-week high. Asian stocks settled mixed: Japan +0.36%, Hong Kong -0.03%, China +0.17%, Taiwan -0.25%, Australia +0.11%, Singapore +0.05% South Korea -0.16%, India -0.74%. Most Asian bourses shrugged off the U.S. missile strike on Syria as the rally in crude oil to a 4-week high boosted energy producing stocks and pushed China’s Shanghai Composite up to a 4-1/4 month high.

The dollar index (DXY00 +0.16%) is up +0.14%. EUR/USD (^EURUSD) is down -0.15% at a 3-week low after ECB Executive Board member Coeure said that the Syria situation is a “downside risk” to the Eurozone. USD/JPY (^USDJPY) is down -0.08% at a 1-1/2 week low as the Syrian situation boosted the safe-haven demand for the yen.

Jun 10-year T-note prices (ZNM17 +0.11%) are up +5.5ticks at a 5-week nearest-futures high.

The German Feb trade balance increased to a surplus of +19.9 billion euros, wider than expectations of +17.7 billion euros. Feb exports unexpectedly rose +0.8% m/m, stronger than expectations of -0.5% m/m. Feb imports fell -1.6% m/m, weaker than expectations of +0.2% m/m and the biggest decline in 11 months.

German Feb industrial production unexpectedly rose +2.2% m/m, stronger than expectations of -0.2% m/m.

Key U.S. news today includes: (1) President Trump and Chinese President Xi Jinping hold talks on Thu-Fri at Mar-a-Lago, Florida, (2) Mar non-farm payrolls (expected +180,000, Feb +235,000) and Mar unemployment rate (expected unch at 4.7%, Feb -0.1 to 4.7%), (3) Feb wholesale trade sales (Jan -0.1% m/m), (4) New York Fed President William Dudley speaks on the state of financial regulation and the potential for reform at an event in New York, (5) Feb consumer credit (expected +$ 15.000 billion, Jan +$ 8.794 billion), (6) Senate scheduled to vote on nomination of Neil Gorsuch as Supreme Court Justice.

Notable Russell 1000 earnings reports today include: Constellation Brands (consensus $ 1.36), RPM Intl (0.11), MSC Industrial Direct (0.90), CarMax (0.79), Lamb Weston (0.54).

U.S. IPO’s scheduled to price today:

Equity conferences: none.

Cruise missle maker Ratheon (RTN -0.43%) gained nearly 2% in pre-market trading following the U.S. cruise missle attack on Syria.

Wal-Mart (WMT -0.81%) was upgraded to ‘Outperform’ from ‘Market Perform’ at Telsy Advisory with a price target of $ 82.

FedEx (FDX -0.21%) was rated new ‘Buy’ at Loop Capital Markets with a 12-month target price of $ 234.

Jazz Pharmaceuticals Plc ({=JAZZ =}) was upgraded to ‘Buy’ from ‘Neutral’ at Janney Montgomery Scott LLC with a price target of $ 175.

WD-40 (WDFC -0.47%) dropped nearly 4% in after-hours trading after it reported Q2 EPS of 87 cents, weaker than consensus of 90 cents, and said it sees full-year net sales of $ 390 million-$ 395 million, below consensus of $ 395.7 million.

United Bancshares (UBSI -2.17%) will replace WhiteWave Foods in the S&P MidCap 400 before the open on Wednesday, April 12.

Oclaro (OCLR -5.36%) rose 5% in after-hours trading when it was announced that it will replace United Bancshares in the S&P 600 before the open on Wednesday, April 12.

PriceSmart (PSMT -0.16%) lost 1% in after-hours trading even after it reported Q2 EPS of 90 cents, right on expectations.

Luther King Capital said it boosted its stake in A.H. Belo (AHC -1.69%) to 5.2% from 4.8%.

AngioDynamics (ANGO -1.47%) announced a secondary offering of 2.35 million shares of common stock by selling stockholders.

Codexis (CDXS -1.06%) slid 3% in after-hours trading after it proposed a public offering of common stock, although no size was given.

Ryerson Holding (RYI -4.33%) rallied nearly 6% in after-hour trading after it said it sees Q1 net income of $ 12 million-$ 15 million, better than consensus of $ 10.3 million.

C&J Energy Services (CJ +4.98%) slumped 12% in after-hours trading after it announced a secondary public offering of 7 million shares of its common stock.

NeoPhotonics (NPTN -1.40%) dropped 6% in after-hours trading after CFO Ray Wallin said he will resign effective May 15.

VEON Ltd (VEON -0.50%) fell over 1% in after-hours trading when holder Telanor said it was offering 70 million shares of VEON via Citigroup and Morgan Stanley.

Jun E-mini S&Ps (ESM17 +0.07%) this morning are down -1.25 points (-0.05%) at a 1-week low. Thursday’s closes: S&P 500 +0.19%, Dow Jones +0.07%, Nasdaq +0.04%. The S&P 500 on Thursday closed higher on carry-over support from a rally in European stocks after ECB President Draghi signaled the ECB will continue with QE when he said, “a reassessment of the current monetary policy stance is not warranted at this stage.” There was also a rally in energy producers as crude oil climbed +1.08%.

Jun 10-year T-notes (ZNM17 +0.11%) this morning are up +5.5 ticks at a 5-week nearest-futures high. Thursday’s closes: TYM7 +2.50, FVM7 +1.00. Jun 10-year T-notes on Thursday closed slightly higher on reduced inflation expectations after the 10-year T-note breakeven inflation rate fell to a 2-week low. T-notes were also boosted by dovish comments from ECB President Draghi that signal the ECB will continue with QE, which is supportive for government bond prices. T-notes were undercut by the larger-than-expected decline in U.S. weekly initial unemployment claims to a 5-week low (-25,000 to 234,000) and reduced safe-haven demand with the rally in stocks.

The dollar index (DXY00 +0.16%) this morning is up +0.14 (+0.14%). EUR/USD (^EURUSD) is down -0.0016 (-0.15%) at a 3-week low and USD/JPY (^USDJPY) is down -0.09 (-0.08%) at a 1-1/2 week low. Thursday’s closes: Dollar index +0.11 (+0.11%), EUR/USD -0.0019 (-0.18%), USD/JPY +0.11 (+0.10%). The dollar index on Thursday closed higher on the larger-than-expected decline in U.S. weekly jobless claims to a 5-week low and on weakness in EUR/USD which fell to a 3-week low after ECB President Drahi signaled the ECB will continue with its QE program when he said, “we have not yet seen sufficient evidence to materially alter our assessment of the inflation outlook” and that “a reassessment of the current monetary policy stance is not warranted at this stage.”

May WTI crude oil prices (CLK17 +0.91%) this morning are up +48 cents (+0.93%) at a 4-week high and May gasoline (RBK17 +0.39%) is +0.088 (+0.51%) at a 1-1/2 year nearest-futures high. Thursday’s closes: May crude +0.55 (+1.08%), May gasoline +0.0143 (+0.83%). May crude oil and gasoline on Thursday closed higher on expectations that OPEC will extend its production cuts past June. The stronger dollar undercut oil prices.