Jun E-mini S&Ps (ESM17 -0.08%) this morning are trading slightly lower as the markets look ahead to the 2-day FOMC meeting that begins today and this coming Sunday’s French presidential election. European stocks are trading mildly higher by +0.22% after Monday’s holiday on positive earnings and a negotiation breakthrough on Greece. BP rallied more than 1% today after reporting favorable earnings. The UK FTSE is up +0.45% this morning on a +3.1 point increase to a 3-year high of 57.3 in the Markit April UK manufacturing PMI, which was stronger than market expectations for a -0.2 point decline to 54.0.
China’s Shanghai Composite index today fell -0.35% on continued concern about the government’s crackdown on leverage and on news that the China April Caixin manufacturing PMI fell by -0.9 to 50.3, which was weaker than market expectations of +0.1 point to 51.3. The Chinese markets were closed on Monday for the May Day holiday. However, the Nikkei index today rallied by +0.70% as the yen continued to fade on reduced safe-haven demand. Other Asian stock markets today closed mostly higher: Hong Kong +0.33%, Taiwan +0.70%, Australia -0.10%, Singapore +1.12%, South Korea +0.85%, India +0.01%.
The dollar index (DXY00 +0.01%) this morning is slightly lower by -0.04%, still consolidating near the lower end of the sell-off seen in the latter half of April. EUR/USD (^EURUSD) is up +0.0020 (+0.18%) and USD/JPY (^USDJPY) is up +0.39 at 112.23 (+0.35%). Jun 10-year T-note prices (ZNM17 -0.06%) this morning are down -2.5 ticks. T-note and T-bond prices continue to see weakness after Treasury Secretary Mnuchin on Monday said it “could absolutely make sense” for the U.S. to sell ultra-long bonds.
Key U.S. news today includes: (1) 2-day FOMC meeting begins, (2) Apr total vehicle sales (expected 17.10 million, Mar 16.53 million).
Notable S&P 500 earnings reports today include: Apple (consensus $ 2.02), Mastercard (0.95), Allstate (1.06), Cummins (1.81), ADM (0.62), CVS (1.10), Pfizer (0.67), Merck (0.83), Coach (0.44), PG&E (0.83), Emerson Electric (0.58).
U.S. IPO’s scheduled to price today: none.
Equity conferences: Deutsche Bank Health Care Conference on Wed-Thu, Macquarie Group Ltd Business Services Conference on Thu.
Cognex (CGNX +0.34%) lost nearly 2% in after-hours trading after it said it sees Q2 revenue of $ 165 million-$ 170 million, below consensus of $ 171.8 million.
Texas Roadhouse (TXRH -1.92%) jumped 10% in after-hours trading after it reported Q1 revenue of $ 567.7 million, higher than consensus of $ 560.7 million.
Luminex (LMNX +0.53%) rallied 16% in after-hours trading after it reported Q1 adjusted EPS of 28 cents, well above consensus of 16 cents, and then said it sees full-year revenue of $ 300 million-$ 310 million, above consensus of $ 301.4 million.
Span-America Medical Systems (SPAN -0.18%) surged 35% in after-hours trading after it was bought by Savaria for $ 80.2 million or about $ 29 a share.
Exelixis (EXEL +3.35%) rose 4% in after-hours trading after it reported an unexpected Q1 profit of 5 cents per share, better than consensus for a loss of -1 cent per share.
Chegg (CHGG +1.66%) climbed nearly 9% in after-hours trading after it reported Q1 adjusted EPS of 6 cents, double consensus of 3 cents, and then said it sees full-year Ebitda of $ 38 million-$ 40 million, higher than consensus of $ 34.6 million.
Taylor Morrison Home Corp (TMHC +4.55%) lost 3% in after-hours trading after it announced the commencement of an underwritten public offering of 10.0 million shares of its Class A common stock.
Corcept Therapeutics (CORT +1.36%) rallied over 8% in after-hours trading after it boosted its 2017 revenue outlook to $ 125 million-$ 135 million from a prior view of $ 120 million-$ 130 million.
Tenet Healthcare Corp (THC -2.04%) jumped 13% in after-hours trading after it reported a Q1 adjusted EPS loss of -27 cents, narrower than consensus for a loss of -52 cents, and then said it sees full-year adjusted EPS of $ 1.05 to $ 1.30, the midpoint above consensus of $ 1.13.
Harmonic (HLIT unch) tumbled over 15% in after-hours trading after it said it sees full-year EPS of 2 cents-16 cents, well below consensus of 24 cents.
Advanced Micro Devices (AMD +2.41%) dropped 9% in after-hours trading after it reported Q1 revenue of $ 984 million, weaker than consensus of $ 984.5 million.
Community Health Systems (CYH +0.12%) rose over 6% in after-hours trading after it reported Q1 adjusted EPS from continuing operations of 8 cents, higher than consensus of 6 cents.
Angie’s List (ANGI +0.17%) surged 40% in after-hours trading after IAC bought the company for $ 500 million, or $ 8.50 a share.
Jun E-mini S&Ps this morning are trading slightly lower. Monday’s closes: S&P 500 +0.17%, Dow Jones -0.13%, Nasdaq +0.83%. The S&P 500 on Monday closed higher on the tentative Congressional agreement on a $ 1.1 trillion spending bill through the end of September, which averts a government shutdown. There was also strength in technology stocks that sent the Nasdaq Composite up to a new record high. Stocks were undercut by the U.S. Mar personal spending report of unchanged (weaker than expectations of +0.2%) and the -2.4 point drop in the Apr ISM manufacturing index to 54.8 (weaker than expectations of -0.7 to 56.5).
Jun 10-year T-note prices this morning are down -2.5 ticks. T-note and T-bond prices continue to see weakness after Treasury Secretary Mnuchin on Monday said it “could absolutely make sense” for the U.S. to sell ultra-long bonds. Monday’s closes: TYM7 -8.00, FVM7 -4.50. Jun 10-year T-notes on Monday closed lower on reduced safe-haven demand with the rally in stocks and the Congressional agreement to keep the U.S. government open through September.
The dollar index this morning is slightly lower by -0.04%, still consolidating near the lower end of the sell-off seen in the latter half of April. EUR/USD is up +0.0020 (+0.18%) and USD/JPY is up +0.39 at 112.23 (+0.35%). Monday’s closes: Dollar index +0.026 (+0.02%), EUR/USD +0.0004 (+0.04%), USD/JPY +0.35 (+0.31%). The dollar index on Monday closed slightly higher on the increase in T-note yields, which boosts the dollar’s interest rate differentials. The dollar also received a boost from yen weakness, which fell on reduced safe-haven demand.
June WTI crude oil prices are up +0.40 (+0.82%) at $ 49.24 as the market looks for Wednesday’s weekly EIA report to show a large -3.25 million bbl decline in U.S. oil inventories. June gasoline prices are up +0.0243 (+1.59%), and June heating oil is up +2.02 (+1.36%). Monday’s closes: Jun crude -0.49 (-0.99%), Jun gasoline -0.0209 (-1.35%). Jun crude oil and gasoline on Monday closed lower with Jun gasoline at a 2-month low. Crude oil prices were undercut by increased crude output in Libya after Libya’s National Oil Corp said Libya’s crude production rose to more than 760,000 bpd, the highest in 2-1/3 years. There was also negative carry-over from Friday’s data from Baker Hughes that showed a 9-rig increase in U.S. active oil rigs to a 2-year high of 697 rigs.
|Tuesday, May 2|
|US||1030 ET||FOMC begins 2-day policy meeting.|
|n/a||Apr total vehicle sales expected 17.10 million, Mar 16.53 million. Apr domestic vehicle sales expected 13.40 million, Mar 12.97 million.|
|Wednesday, May 3|
|US||0700 ET||Weekly MBA mortgage applications, previous +2.7% with purchase sub-index -1.0% and refi sub-index +7.2%.|
|0815 ET||Apr ADP employment change expected +178,000, Mar +263,000.|
|0830 ET||Treasury announces amount of 3-year T-notes (previous $ 24 billion), 10-year T-notes (previous $ 20 billion) and 30-year T-bonds (previous $ 12 billion) to be auctioned May 9-11 in the May quarterly refunding.|
|0945 ET||Revised Apr Markit services PMI expected unrevised at 52.5, prelim-Apr -0.3 to 52.5. Revised Apr Markit composite PMI, Mar -0.3 to 52.7.|
|1000 ET||Apr ISM non-manufacturing PMI expected +0.6 to 55.8, Mar -2.4 to 55.2.|
|1030 ET||EIA Weekly Petroleum Status Report.|
|1400 ET||FOMC announces interest rate decision; fed funds target range expected unchanged at 0.75%-1.00%.|
|Fidelity National Information Services Inc||FIS US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.823|
|Emerson Electric Co||EMR US||Bef-mkt||Q2 2017 Earnings Release||Q2 17||0.581|
|NRG Energy Inc||NRG US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||(0.284)|
|AMETEK Inc||AME US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.565|
|PG&E Corp||PCG US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.832|
|Pinnacle West Capital Corp||PNW US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.158|
|HCP Inc||HCP US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.484|
|Aetna Inc||AET US||06:00||Q1 2017 Earnings Release||Q1 17||2.347|
|Coach Inc||COH US||Bef-mkt||Q3 2017 Earnings Release||Q3 17||0.444|
|HCA Holdings Inc||HCA US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||1.795|
|Martin Marietta Materials Inc||MLM US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.49|
|Ecolab Inc||ECL US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.807|
|Eaton Corp PLC||ETN US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||0.878|
|Becton Dickinson and Co||BDX US||Bef-mkt||Q2 2017 Earnings Release||Q2 17||2.233|
|ConocoPhillips||COP US||Bef-mkt||Q1 2017 Earnings Release||Q1 17||(0.003)|
|Merck & Co Inc||MRK US||06:45||Q1 2017 Earnings Release||Q1 17||0.832|
|Pfizer Inc||PFE US||06:45||Q1 2017 Earnings Release||Q1 17||0.669|
|Xylem Inc/NY||XYL US||06:55||Q1 2017 Earnings Release||Q1 17||0.38|
|CVS Health Corp||CVS US||06:55||Q1 2017 Earnings Release||Q1 17||1.103|
|Charter Communications Inc||CHTR US||07:00||Q1 2017 Earnings Release||Q1 17||0.94|
|Archer-Daniels-Midland Co||ADM US||07:00||Q1 2017 Earnings Release||Q1 17||0.615|
|Altria Group Inc||MO US||07:00||Q1 2017 Earnings Release||Q1 17||0.736|
|Mosaic Co/The||MOS US||07:00||Q1 2017 Earnings Release||Q1 17||0.176|
|WEC Energy Group Inc||WEC US||07:00||Q1 2017 Earnings Release||Q1 17||1.062|
|Cummins Inc||CMI US||07:30||Q1 2017 Earnings Release||Q1 17||1.808|
|Merck & Co Inc||MRK US||08:00||Q1 2017 Earnings Call||Q1 17|
|Mastercard Inc||MA US||08:00||Q1 2017 Earnings Release||Q1 17||0.947|
|NRG Energy Inc||NRG US||08:00||Q1 2017 Earnings Call||Q1 17|
|Becton Dickinson and Co||BDX US||08:00||Q2 2017 Earnings Call||Q2 17|
|Fidelity National Information Services Inc||FIS US||08:30||Q1 2017 Earnings Call||Q1 17|
|Charter Communications Inc||CHTR US||08:30||Q1 2017 Earnings Call||Q1 17|
|AMETEK Inc||AME US||08:30||Q1 2017 Earnings Call||Q1 17|
|CVS Health Corp||CVS US||08:30||Q1 2017 Earnings Call||Q1 17|
|Aetna Inc||AET US||08:30||Q1 2017 Earnings Call||Q1 17|
|Coach Inc||COH US||08:30||Q3 2017 Earnings Call||Q3 17|
|Mastercard Inc||MA US||09:00||Q1 2017 Earnings Call||Q1 17|
|Archer-Daniels-Midland Co||ADM US||09:00||Q1 2017 Earnings Call||Q1 17|
|Altria Group Inc||MO US||09:00||Q1 2017 Earnings Call||Q1 17|
|Mosaic Co/The||MOS US||09:00||Q1 2017 Earnings Call||Q1 17|
|Xylem Inc/NY||XYL US||09:00||Q1 2017 Earnings Call||Q1 17|
|Noble Energy Inc||NBL US||09:00||Q1 2017 Earnings Call||Q1 17|
|Bristol-Myers Squibb Co||BMY US||10:00||Annual General Meeting|
|Pfizer Inc||PFE US||10:00||Q1 2017 Earnings Call||Q1 17|
|Cummins Inc||CMI US||10:00||Q1 2017 Earnings Call||Q1 17|
|Vornado Realty Trust||VNO US||10:00||Q1 2017 Earnings Call||Q1 17|
|Baxter International Inc||BAX US||10:00||Annual General Meeting|
|PG&E Corp||PCG US||11:00||Q1 2017 Earnings Call||Q1 17|
|Flowserve Corp||FLS US||11:00||Q1 2017 Earnings Call||Q1 17|
|HCA Holdings Inc||HCA US||11:00||Q1 2017 Earnings Call||Q1 17|
|Martin Marietta Materials Inc||MLM US||11:00||Q1 2017 Earnings Call||Q1 17|
|Eaton Corp PLC||ETN US||11:00||Q1 2017 Earnings Call||Q1 17|
|Expeditors International of Washington Inc||EXPD US||Q1 2017 Earnings Release||Q1 17||0.563|
|Expeditors International of Washington Inc||EXPD US||12:00||Annual General Meeting|
|Fortune Brands Home & Security Inc||FBHS US||Annual General Meeting|
|Pinnacle West Capital Corp||PNW US||12:00||Q1 2017 Earnings Call||Q1 17|
|HCP Inc||HCP US||12:00||Q1 2017 Earnings Call||Q1 17|
|Red Hat Inc||RHT US||Analyst Day|
|ConocoPhillips||COP US||12:00||Q1 2017 Earnings Call||Q1 17|
|Xcel Energy Inc||XEL US||Roadshow|
|Ecolab Inc||ECL US||13:00||Q1 2017 Earnings Call||Q1 17|
|Emerson Electric Co||EMR US||14:00||Q2 2017 Earnings Call||Q2 17|
|WEC Energy Group Inc||WEC US||14:00||Q1 2017 Earnings Call||Q1 17|
|Alexandria Real Estate Equities Inc||ARE US||15:00||Q1 2017 Earnings Call||Q1 17|
|Western Union Co/The||WU US||16:00||Q1 2017 Earnings Release||Q1 17||0.395|
|Newfield Exploration Co||NFX US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.44|
|Mondelez International Inc||MDLZ US||16:00||Q1 2017 Earnings Release||Q1 17||0.502|
|Hanesbrands Inc||HBI US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.281|
|Devon Energy Corp||DVN US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.395|
|Gilead Sciences Inc||GILD US||16:00||Q1 2017 Earnings Release||Q1 17||2.278|
|Envision Healthcare Corp||EVHC US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.774|
|Assurant Inc||AIZ US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||1.533|
|ONEOK Inc||OKE US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.443|
|DaVita Inc||DVA US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.816|
|Akamai Technologies Inc||AKAM US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.674|
|Verisk Analytics Inc||VRSK US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.784|
|FMC Corp||FMC US||Aft-mkt||Q1 2017 Earnings Release||Q1 17||0.566|
|Anadarko Petroleum Corp||APC US||16:05||Q1 2017 Earnings Release||Q1 17||(0.228)|
|Allstate Corp/The||ALL US||16:15||Q1 2017 Earnings Release||Q1 17||1.061|
|Western Union Co/The||WU US||16:30||Q1 2017 Earnings Call||Q1 17|
|Apple Inc||AAPL US||16:30||Q2 2017 Earnings Release||Q2 17||2.024|
|Hanesbrands Inc||HBI US||16:30||Q1 2017 Earnings Call||Q1 17|
|Gilead Sciences Inc||GILD US||16:30||Q1 2017 Earnings Call||Q1 17|
|Akamai Technologies Inc||AKAM US||16:30||Q1 2017 Earnings Call||Q1 17|
|Apple Inc||AAPL US||17:00||Q2 2017 Earnings Call||Q2 17|
|Mondelez International Inc||MDLZ US||17:00||Q1 2017 Earnings Call||Q1 17|
|Envision Healthcare Corp||EVHC US||17:00||Q1 2017 Earnings Call||Q1 17|
|Envision Healthcare Corp||EVHC US||17:00||Q1 2017 Earnings Call||Q1 17|
|DaVita Inc||DVA US||17:00||Q1 2017 Earnings Call||Q1 17|