Futures Lower

August 28, 2015

In After Hours Trading

IPOs On Deck none of note. Secondaries on deck none of note.

In After Hours Trading: SWHC+.09, GME+.07, OVTI+.07, ULTA+.03, VEEV+.02, ADSK+.02.

What’s Happening This Morning

U.S. futures: S&P -15.75, Dow Jones -137, NDX -33 and Russell 2000 -6.80 with fair value lower lessening the pain. Asia and Europe higher today.

Copper and silver lower with gold higher. WTI Crude and Brent Oil Futures lower. Natural Gas is higher. $ is lower vs Euro, higher vs. Pound and lower vs. Yen. US 10 year Treasury yield -2. Prices as of 7:55 a.m. EDT.

Leaders yesterday included Utilities. Over the last week, the leader is Utilities. Over the last month the leader is Utilities. Over the last three months the leader is Healthcare. Six month and one year leader is Healthcare. YTD leader is Healthcare.

Earnings Expected

Earnings due after the close (by avg. trade volume): none of note.

Due Monday morning (by avg. trade volume descending): none of note.

Rags & Mags: Inside Wall Street

USA Today: Puerto Rico braces for Tropical Storm Erika. A new drug from Amgen (AMGN) could lower cholesterol levels. Nine beat up stocks AAL GM HPQ JCI F PWR MOS XRX FTI.

Reported Earnings This Morning

Reported Earnings This Morning (Best to Worst absolute beats/misses [+.02 or greater/-.02 or worse]): BIG+.06.

Current Morning missing: YGE.

Data Points

Yesterday saw 2825 stocks rise and 328 fall on the NYSE. NASDAQ saw 2218 rise and 654 fall.

The SP 500 is back below its 50 day exponential moving average and below the 200 day exponential moving average. The Russell 2000 is still below its 50 day moving exponential average and is still below its 200 day exponential moving average.

The 10 day spread moving average of breadth is in cash. The Madison Market Timing Indicator is still invested.

YTD 3107 (-258) stocks are higher for the year and 3755 (+269) are lower. Updated 7/31/15 Close. Prior Update 7/1/15 close.

Economics

July Personal Income is due out at 8:30 a.m. EDT and is expected to rise to 0.5% from 0.4%. Then at 10:00 a.m. EDT, the August Michigan Sentiment is due out and expected to remain at 92.9.

Politico

Federal Reserve Vice Chairman Stanley Fischer speaks Saturday from the Jackson Hole Conference.

Conference & Analyst Meetings

Meetings or announcements of note LABC PNM MYOS.

Conference of Note

The Kansas City Federal Reserve Jackson Hole Conference continues.

M & A News

Abbott Laboratories (ABT) will not bid for St. Jude Medical (STJ) as we reported yesterday.

Key Upgrades and Downgrades

Firm Upgrades Downgrades
JP Morgan
Goldman Sachs
Morgan Stanley
Deutsche Bank
Citigroup PUBGY DMTGY VIVHY
Merrill Lynch
Wachovia/Wells Fargo
Credit Suisse
Banc of America
UBS
Stifel LOCO QUNR HABT GLNG CTRP MDCO
Sterne Agee
Jefferies
Piper Jaffray
Needham
Raymond James R KNX

United Technologies Corp (UTX)

This week we are going to look at great companies whose stock price is lower by -10% or more year to date. We continue with United Technologies (UTX). The stock now has more than $40 upside to its price target. This is one of the better Aerospace & Defense companies and is getting no respect. It goes onto our shopping list.

utx

Futures Higher

August 26, 2015

In After Hours Trading

IPOs On Deck none of note. Secondaries on deck TLMR.

In After Hours Trading: JKHY+.07, LCI+.04, HEI-.02.

What’s Happening This Morning

U.S. futures: S&P +32.50, Dow Jones +257, NDX +74 and Russell 2000 +12.20 with fair value lower helping the open. Asia mixed and Europe lower following the U.S. selloff on Tuesday.

Copper,silver and gold lower. WTI Crude and Brent Oil Futures higher. Natural Gas is higher. $ is higher vs Euro, higher vs. Pound and higher vs. Yen. US 10 year Treasury yield +3. Prices as of 7:55 a.m. EDT.

Leaders yesterday included Utilities. Over the last week, the leader is Utilities. Over the last month the leader is Utilities. Over the last three months the leader is Healthcare. Six month and one year leader is Healthcare. YTD leader is Healthcare.

Earnings Expected

Earnings due after the close (by avg. trade volume): AVGO, PSEC, NQ, WDAY, GES, VNET, PVH, WSM.

Due Thursday morning (by avg. trade volume descending): SDRL, DG, YGE, TD, BURL, TIF, PLL, SIG, PDCO, SJM, MIK.

Rags & Mags: Inside Wall Street

USA Today: Battered global financial markets seem to reclaim lost ground. China stimulus is the first step to market stablization. Federal Reserve is no where amid market chaos.

Reported Earnings This Morning

Reported Earnings This Morning (Best to Worst absolute beats/misses [+.02 or greater/-.02 or worse]): ANF+.17, EXPR+.09, CHS+.03, FRO-.08.

Current Morning missing: BF.B.

Oracle (ORCL)

This week we are going to look at great companies whose stock price is lower by -10% or more year to date. We continue with Oracle (ORCL). The stock now has more than $7 upside to its price target. This is one of the better software companies and is getting no respect. It goes onto our shopping list.

orcl

Futures On The Rebound

In After Hours Trading

IPOs On Deck none of note. Secondaries on deck TLMR.

In After Hours Trading: JKHY+.07, LCI+.04, HEI-.02.

What’s Happening This Morning

U.S. futures: S&P +32.50, Dow Jones +257, NDX +74 and Russell 2000 +12.20 with fair value lower helping the open. Asia mixed and Europe lower following the U.S. selloff on Tuesday.

Copper,silver and gold lower. WTI Crude and Brent Oil Futures higher. Natural Gas is higher. $ is higher vs Euro, higher vs. Pound and higher vs. Yen. US 10 year Treasury yield +3. Prices as of 7:55 a.m. EDT.

Leaders yesterday included Utilities. Over the last week, the leader is Utilities. Over the last month the leader is Utilities. Over the last three months the leader is Healthcare. Six month and one year leader is Healthcare. YTD leader is Healthcare.

Earnings Expected

Earnings due after the close (by avg. trade volume): AVGO, PSEC, NQ, WDAY, GES, VNET, PVH, WSM.

Due Thursday morning (by avg. trade volume descending): SDRL, DG, YGE, TD, BURL, TIF, PLL, SIG, PDCO, SJM, MIK.

Rags & Mags: Inside Wall Street

USA Today: Battered global financial markets seem to reclaim lost ground. China stimulus is the first step to market stablization. Federal Reserve is no where amid market chaos.

Reported Earnings This Morning

Reported Earnings This Morning (Best to Worst absolute beats/misses [+.02 or greater/-.02 or worse]): ANF+.17, EXPR+.09, CHS+.03, FRO-.08.

Current Morning missing: BF.B.

Data Points

Yesterday saw 1389 stocks rise and 1740 fall on the NYSE. NASDAQ saw 1385 rise and 1495 fall.

The SP 500 is back below its 50 day exponential moving average and below the 200 day exponential moving average. The Russell 2000 is still below its 50 day moving exponential average and is still below its 200 day exponential moving average.

The 10 day spread moving average of breadth is in cash. The Madison Market Timing Indicator is still invested.

YTD 3107 (-258) stocks are higher for the year and 3755 (+269) are lower. Updated 7/31/15 Close. Prior Update 7/1/15 close.

Economics

July Durable Goods are due out at 8:30 a.m. EDT and are expected to fall to -0.3% from 3.4%

Weekly Mortgage Applications rose +0.2% from +3.6% a week ago,out at 7:00 a.m. EDT.

Weekly Crude Inventories out at 10:30 a.m. EDT.

Politico

Federal Reserve New York President Dudley speak at 10:00 a.m. EDT.

Conference & Analyst Meetings

Meetings or announcements of note Yahoo Developers Conference (YHOO). Three Part Advisors Midwest IDEAS Investor Conference. Morgan Stanley China Internet & E-Commerce Conference.

Conference of Note

Yahoo Developers Conference.

M & A News

Schlumberge (SLB) to buy Cameron International (CAM) for $66 a share, over a 50% premium.

Chevron (CVX)

This week we are going to look at great companies whose stock price is lower by -10% or more year to date. We continue with Chevron (CVX). The stock now has more than 100% upside to its price target. The dividend yield is 6.11%. This is too cheap to ignore.

cvx

Abercrombie & Fitch (ANF)

Abercrombie & Fitch (ANF) rebounded 5.17% yesterday on an upgrade in front of earnings on Wednesday before the open. There is tremendous upside for this name that is attempting to put in a bottom.

anf

Today’s WTF: Fegos Are A Terrible Thing

In an interview with CNBC, Former Federal Reserve Chairman Richard Fisher said that, “markets today were quite orderly”. Hmm….last time I checked when Ford (F) and General Electric (GE) open down more than 20% off the prior day close that is not orderly. On top of which, most SPY options did not have bids and offers printing with instead lots of 00’s until well past 12:00 p.m.

http://video.cnbc.com/gallery/?video=3000410616

The entire problem with the Federal Reserve is the “fego” that top Federal Reserve officials have, i.e. they know what is best for the masses. Funny how their forecasting abilities are so pathetic and we the “little people” are supposed to trust in them. Saturday The Wall Street Journal published an editorial entitled , “A Fine Fed Mess”.

From 2011 onward, the Federal Reserve Board  projections were as follows 2011: (3.0-3.6% versus 1.6% actual), 2012: (2.5-2.9% versus 2.2% actual), 2013: (2.3-3.0% versus 1.5% actual), 2014: (2.8-3.2% versus 2.4% actual). Bravo! This year the estimate is 2.6-3.0% versus 1.5% (first half annualized). So why should I put my faith behind them?

In my 29 years of working, I can honestly say the only time I have seen less order would be the Stock Market Crash of 1987 or the May 2010 Flash Crash. Clearly, the issues of 2010 have not been fixed. Just my two cents worth and for the record, markets were not orderly today

 

Futures Lower

August 24, 2015

In After Hours Trading

IPOs On Deck none of note. Secondaries on deck none of note.

In After Hours Trading: none of note.

What’s Happening This Morning

U.S. futures: S&P -55.25, Dow Jones -527, NDX -190 and Russell 2000 -32.60 with fair value higher hurting the open. Asia lower and Europe lower following the U.S. selloff on Friday.

Copper,silver and gold lower. WTI Crude and Brent Oil Futures lower. Natural Gas is lower. $ is lower vs Euro, lower vs. Pound and lower vs. Yen. US 10 year Treasury yield -7. Prices as of 7:55 a.m. EDT.

Leaders yesterday included Utilities. Over the last week, the leader is Utilities. Over the last month the leader is Utilities. Over the last three months the leader is Healthcare. Six month and one year leader is Healthcare. YTD leader is Healthcare.

Earnings Expected

Earnings due after the close (by avg. trade volume): QUNR.

Due Tuesday morning (by avg. trade volume descending): BBY, TOL, EJ, DSW, BMO, LEJU, SOL, VAL.

Rags & Mags: Inside Wall Street

USA Today: Wall Street set for a brutal open. 5 issues for Congress when they return. Apple (AAPL) enters a bear market. Annuities gain popularity with Baby Boomers.

Reported Earnings This Morning

Reported Earnings This Morning (Best to Worst absolute beats/misses [+.02 or greater/-.02 or worse]): TOUR+.18.

Current Morning missing: none of note.

Data Points

Yesterday saw 446 stocks rise and 2679 fall on the NYSE. NASDAQ saw 836 rise and 2024 fall.

The SP 500 is back below its 50 day exponential moving average and now below the 200 day exponential moving average. The Russell 2000 is still below its 50 day moving exponential average and is back below its 200 day exponential moving average.

The 10 day spread moving average of breadth is in cash. The Madison Market Timing Indicator is still invested.

YTD 3107 (-258) stocks are higher for the year and 3755 (+269) are lower. Updated 7/31/15 Close. Prior Update 7/1/15 close.

Economics

Releases of note this week include the weekly chain store sales, oil/gas numbers, mortgage applications and new home sales, consumer confidence, durable goods, Q2 GDP, personal income and Michigan Sentiment.

Politico

German Chancellor Merkel and French President Hollande meet with Ukrainian President Poroshenko in Berlin to discuss the ongoing conflict in the Ukraine.

A global financial crisis is playing out due to weaker growth in China and a series of currency devaluations.

Federal Reserve Atlanta President Lockhart (Hawk) speaks at 3:55 p.m. EDT.

Conference & Analyst Meetings

No meetings or announcements of note today. TD Ameritrade Fifth Annual National Investor Education Conference. Morgan Stanley China Internet & E-Commerce Conference.

Conference of Note

10th Annual Immunotherapy & Vaccine Summit

M & A News

Key Upgrades and Downgrades

Firm Upgrades Downgrades
JP Morgan
Goldman Sachs
Morgan Stanley
Deutsche Bank
Citigroup
Merrill Lynch AZO VLO MPC HFC
Wachovia/Wells Fargo
Credit Suisse
Banc of America
UBS
Stifel TUES VTVT
Sterne Agee
Jefferies CHU ZEUS BTLCY
Piper Jaffray ANF
Needham
Raymond James
Cantor Fitzgerald
Friedman Billings
Argus MDRX
Societe General
Robert W. Baird EVEP

Astra Zeneca (AZN)

This week we are going to look at great companies whose stock price is lower by -10% or more year to date. We start with Astra Zeneca (AZN). The stock now has more than 100% upside to its price target. Definitely worth a look.

azn