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26/10/23 Briefing



The S&P 500 futures are down 34 points and are trading 0.7% below fair value. The Nasdaq 100 futures are down 161 points and are trading 1.0% below fair value. The Dow Jones Industrial Average futures are down 169 points and are trading 0.5% below fair value.

Equity futures indicate losses at the open. There has been a flood of earnings news since yesterday's close from a multitude of sectors. Meta Platforms (META) is a losing standout, down almost 4% in pre-open action after reporting earnings.

Today's negative bias has been partially fueled by rising rates. The 10-yr note yield is approaching 5.00% again, up three basis points to 4.98%.

Geopolitical worries are also contributing to the negative bias after Israeli Prime Minister Benjamin Netanyahu said his country is "preparing for a ground invasion" following targeted raids in Gaza, according to The Washington Post.

The European Central Bank is expected to keep rates unchanged in its 8:15 ETpolicy announcement.

Market participants are also awaiting Q3 GDP at 8:30 a.m. ET. Other U.S. economic data includes:

  • 8:30 ET: Weekly Initial Claims (Briefing.comconsensus 210,000; prior 198,000), Continuing Claims (prior 1.734 mln), September Durable Orders (Briefing.comconsensus 1.5%; prior 0.2%), Durable Orders ex-transportation (Briefing.comconsensus 0.3%; prior 0.4%), advance September goods trade balance (prior -$84.3 bln), advance September Retail Inventories (prior 1.1%), and advance September Wholesale Inventories (prior -0.1%)

  • 10:00 ET: September Pending Home Sales (Brieefing.comconsensus 0.5%; prior -7.1%)

  • 10:30 ET: Weekly natural gas inventories (prior +97 bcf)

In corporate news:

  • Meta Platforms (META 288.40, -11.07, -3.7%): beats by $0.75, beats on revs; guides Q4 revs in-line, lowers FY23 expense guidance, lowers high end of capex guidance range; AI will be biggest investment area in 2024

  • IBM (IBM 138.80, +1.72, +1.3%): beats by $0.08, reports revs in-line; reaffirms FY23 outlook for CC revs and FCF; Reiterates FY23 constant currency revenue growth target of +3-5% (not comparable to consensus); Q4 cc revenue growth similar to +3.5% in Q3

  • ServiceNow (NOW 546.75, +16.58, +3.1%): beats by $0.36, reports revs in-line; Subscription revenues of $2,216 million in Q3 2023, representing 27% year-over-year growth, 24.5% in constant currency. Co sees Q4 sub revenues of $2.32-2.325 bln

  • Align Tech (ALGN 193.00, -60.69, -23.9%): misses by $0.12, misses on revs; guides Q4 revs below consensus; guides FY23 revs below consensus

  • UPS (UPS 142.50, -4.43, -2.8%): beats by $0.05, misses on revs; guides FY23 revs below consensus

  • Northrop Grumman (NOC 487.50, +4.24, +0.9%): reports Q3 (Sep) results, beats on revs; guides FY23 EPS in-line, raises revs above consensus

  • Ford (F 11.83, +0.29, +2.5%): UAW reaches tentative agreement on record contract with Ford Motor

  • Southwest Air (LUV 22.55, -1.05, -4.5%): reports EPS in-line, revs in-line

  • Mattel (MAT 18.14, -1.97, -9.8%): beats by $0.22, beats on revs; raises FY23 EPS outlook, reaffirms FY23 revs guidance

  • Honeywell (HON 177.72, -0.37, -0.2%): beats by $0.04, reports revs in-line; narrows FY23 EPS in-line, revs in-line

  • Merck (MRK 104.20, +0.57, +0.6%): beats by $0.18, beats on revs; lowers FY23 EPS guidance, raises revenue guidance

  • Hershey Foods (HSY 200.94, +6.47, +3.3%): beats by $0.14, beats on revs; reaffirms FY23 guidance

  • Comcast (CMCSA 42.00, -0.75, -1.8%): beats by $0.13, beats on revs

Reviewing overnight developments:

  • Equity indices in the Asia-Pacific region ended Thursday on a mostly lower note. Japan's Nikkei: -2.1%, Hong Kong's Hang Seng: -0.2%, China's Shanghai Composite: +0.5%, India's Sensex: -1.4%, South Korea's Kospi: -2.7%, Australia's ASX All Ordinaries: -0.6%.

  • In economic data:

  • Japan's August Corporate Services Price Index 2.1% yr/yr (expected 2.0%; last 2.1%)

  • South Korea's Q3 GDP 0.6% qtr/qtr (expected 0.5%; last 0.6%); 1.4% yr/yr (expected 1.1%; last 0.9%). November Manufacturing BSI Index 71 (last 68)

  • Hong Kong's September trade deficit $64.6 bln (last deficit of $25.6 bln). September Imports -0.4% m/m (last -0.3%) and Exports -5.3% m/m (last -3.7%)

  • Australia's Q3 Import Price Index 0.8% qtr/qtr (expected 0.2%; last -0.8%) and Export Price Index -3.1% qtr/qtr (last -8.5%)

  • Singapore's Q3 Unemployment Rate 2.0% (last 1.9%). September Industrial Production 10.7% m/m (expected 7.5%; last -10.8%); -2.1% yr/yr (expected -4.8%; last -11.6%)

  • In news:

  • China's smartphone shipments were down 5% yr/yr in Q3.

  • China reportedly restricted highly indebted local governments from taking on new debt in late September.

  • China's Foreign Minister Wang Yi will meet with U.S. officials, including President Biden, today.

  • Toyota lowered its production targets for November and December and set a January domestic production target of 13,800 units per day.

  • Reserve Bank of Australia Governor Bullock said that he has yet to decide if another rate hike is needed after yesterday's release of hotter than expected CPI for Q3.

  • Major European indices trade in the red. STOXX Europe 600: -0.9%, Germany's DAX: -1.5%, U.K.'s FTSE 100: -0.9%, France's CAC 40: -0.8%, Italy's FTSE MIB: -0.7%, Spain's IBEX 35: -0.9%.

  • In economic data:

  • U.K.'s October CBI Distributive Trades Survey -36 (expected -16; last -14)

  • Spain's Q3 Unemployment Rate 11.84% (expected 11.50%; last 11.60%)

  • In news:

  • The European Central Bank is expected to conclude today's policy meeting with an 8:15 ETdecision to keep the interest rate corridor unchanged after ten consecutive rate hikes.

  • Chipmaker STMicroelectronics issued below-consensus guidance for Q4 while Mercedes reported weak profit margins due to price pressures in the EV segment.

  • Food company Danone raised its revenue guidance for the year.

  • A YouGov poll in the U.K. showed that one-year inflation expectations slowed to 4.2% from 4.4% in September while the 5-10 year outlook remained at 3.3%.

 

U.S. equity futures:

  • S&P 500 Futures -30 @ 4,157

  • DJIA Futures: -122 @ 33,914

  • Nasdaq 100 Futures: -140 @ 14,241

Overseas:

  • Europe: DAX -1.5%, FTSE -0.9%, CAC -0.8%

  • Asia: Nikkei -2.1%, Hang Seng -0.2%, Shanghai Composite +0.5%

Commodities:

  • Crude Oil -1.51 @ 83.88

  • Nat Gas +0.093 @ 3.385

  • Gold -0.15 @ 1994.75

  • Silver +0.055 @ 23.062

  • Copper +0.0133 @ 3.6043

Earnings/Guidance:

  • Agnico-Eagle Mines (AEM) beats by $0.02, reports revs in-line; on-track to be above the mid-point of its production guidance for 2023

  • Alamos (AGI) beats by $0.02, beats on revs; raises full-year production guidance

  • Align Tech (ALGN) misses by $0.12, misses on revs; guides Q4 revs below consensus; guides FY23 revs below consensus

  • Allison Transmission (ALSN) beats by $0.01, misses on revs; reaffirms FY23 revs guidance

  • Altria (MO) misses by $0.01, misses on revs; guides FY23 EPS in-line

  • American Tower (AMT) beats by $0.17, beats on revs; guides FY23 FFO in-line

  • Ameriprise Financial (AMP) beats by $0.08, beats on revs

  • Antero Midstream (AM) beats by $0.01, misses on revs

  • Antero Resources (AR) beats by $0.02, beats on revs

  • A.O. Smith (AOS) beats by $0.11, beats on revs; guides FY23 EPS above consensus, revs above consensus

  • Applied Industrial (AIT) beats by $0.30, reports revs in-line; guides FY24 EPS above consensus, revs in-line

  • AptarGroup (ATR) misses by $0.33, misses on revs; guides Q4 EPS in-line

  • Arch Coal (ARCH) beats by $0.66, beats on revs

  • ASGN Incorporated (ASGN) beats by $0.12, reports revs in-line; guides Q4 EPS below consensus, revs below consensus

  • AvalonBay (AVB) beats by $0.03

  • AVANGRID (AGR) misses by $0.13, reports revs in-line

  • Baker Hughes (BKR) beats by $0.02, beats on revs

  • Benchmark Electronics (BHE) beats by $0.05, beats on revs; guides Q4 EPS in-line, revs below consensus

  • Blueprint Medicines (BPMC) beats by $0.17, beats on revs

  • Boston Scientific (BSX) beats by $0.02, beats on revs; guides Q4 EPS in-line

  • Bristol-Myers (BMY) beats by $0.24, reports revs in-line; guides FY23 EPS above consensus

  • Brunswick (BC) misses by $0.74, misses on revs; lowers FY23 guidance

  • Bunge (BG) beats by $0.49, misses on revs; guides FY23 EPS above consensus

  • CACI Intl (CACI) misses by $0.19, beats on revs; raises FY24 EPS and revenue guidance

  • Canadian Pacific (CP) beats by $0.01, reports revs in-line; guides FY23 EPS in-line

  • Carrier Global (CARR) beats by $0.09, misses on revs; guides FY23 EPS above consensus, reaffirms FY23 revs guidance

  • CBIZ (CBZ) beats by $0.08, beats on revs; reaffirms FY23 EPS guidance, revs guidance

  • Celestica (CLS) beats by $0.05, reports revs in-line; guides Q4 EPS in-line, revs in-line; guides FY24 EPS above consensus

  • Cementos Pacasmayo (CPAC) reports Q3 results

  • CenterPoint (CNP) beats by $0.05, misses on revs; raises FY23 EPS in-line; initiates FY24 EPS in-line

  • Century Communities (CCS) beats by $0.94, beats on revs

  • Chemed (CHE) beats by $0.42, beats on revs

  • Churchill Downs (CHDN) beats by $0.03, reports revs in-line

  • CMS Energy (CMS) beats by $0.02, misses on revs; reaffirms FY23 EPS guidance; guides FY24 EPS below consensus

  • Comcast (CMCSA) beats by $0.13, beats on revs

  • Community Health (CYH) misses by $0.17, beats on revs

  • CONMED (CNMD) beats by $0.07, beats on revs; raises low end of FY23 prior guidance for EPS and revs

  • Danone (DANOY) reports Q3 trading statement; LFL sales up 6%; raises outlook

  • Eagle Materials (EXP) beats by $0.02, misses on revs

  • Edwards Lifesciences (EW) reports EPS in-line, revs in-line; guides Q4 EPS below consensus, revs below consensus; reaffirms FY23 EPS guidance

  • Element Solutions (ESI) beats by $0.03, misses on revs; guides FY23 EPS in-line

  • EMCOR Group (EME) beats by $0.90, beats on revs; raises FY23 EPS above two analyst estimate, revs above two analyst estimate

  • Employers Holdings (EIG) misses by $0.01, misses on revs

  • Ensign Group (ENSG) beats by $0.01, reports revs in-line; guides FY23 EPS in-line, revs above consensus

  • EPR Properties (EPR) beats by $0.09, beats on revs; guides Q4 FFO below consensus

  • Everest Group (EG) beats by $4.38, beats on revs

  • EQT Corp. (EQT) beats by $0.39, beats on revs; guides to Q4 sales volume of 525-575 Bcfe

  • Equinix (EQIX) beats by $0.38, reports revs in-line; guides Q4 revs in-line; increases dividend 25%

  • Ethan Allen (ETD) misses by $0.09, misses on revs

  • ExlService (EXLS) beats by $0.03, beats on revs; guides FY23 EPS in-line, raises revenue guidance

  • FirstCash (FCFS) beats by $0.18, misses on revs

  • First Interstate Bancsystem (FIBK) beats by $0.08

  • Flex (FLEX) beats by $0.10, reports revs in-line; guides FY24 EPS above consensus, revs below consensus; announces plan to spin-off Nextracker Inc.

  • Flowserve (FLS) beats by $0.07, beats on revs; guides FY23 EPS in-line, revs in-line

  • Fortune Brands Innovations (FBIN) beats by $0.10, reports revs in-line; guides Q4 EPS below consensus, revs in-line

  • Frontier Group Holdings (ULCC) beats by $0.03, misses on revs

  • FTAI Aviation Ltd. (FTAI) misses by $0.09, misses on revs

  • FTI Consulting (FCN) beats by $0.50, beats on revs; raises low end of FY23 guidance ranges

  • Gentherm (THRM) misses by $0.04, misses on revs; lowers FY23 revenue guidance

  • Globe Life (GL) beats by $0.06, reports revs in-line; raises FY23 EPS in-line; guides FY24 EPS in-line

  • Goosehead Insurance (GSHD) beats by $0.16, reports revs in-line; reaffirms FY23 revs guidance

  • Graco (GGG) beats by $0.03, misses on revs

  • H&E Equipment (HEES) reports EPS in-line, beats on revs

  • Harley-Davidson (HOG) beats by $0.02, beats on revs; reaffirms FY23 guidance

  • Hasbro (HAS) misses by $0.08, misses on revs; lowers FY23 revs guidance below consensus

  • Hershey Foods (HSY) beats by $0.14, beats on revs; reaffirms FY23 guidance

  • Hertz Global (HTZ) beats by $0.02, reports revs in-line

  • Honeywell (HON) beats by $0.04, reports revs in-line; narrows FY23 EPS in-line, revs in-line

  • IBM (IBM) beats by $0.08, reports revs in-line; reaffirms FY23 outlook for CC revs and FCF

  • ICON plc (ICLR) beats by $0.03, reports revs in-line; reaffirms FY23 EPS guidance, revs guidance

  • IDEX Corp (IEX) beats by $0.23, reports revs in-line; guides Q4 EPS below consensus

  • Insmed (INSM) beats by $0.03, reports revs in-line; reiterates FY23 guidance for global ARIKAYCE revs

  • Invitation Homes (INVH) misses by $0.01, beats on revs; guides FY23 FFO in-line

  • Kaiser Alum (KALU) misses by $0.04, misses on revs

  • Kenvue (KVUE) reports EPS in-line, revs in-line, authorizes share repurchase program for up to 27 mln shares of common stock

  • Keurig Dr Pepper (KDP) beats by $0.01, reports revs in-line; reaffirms FY23 EPS guidance, revs guidance

  • Kilroy Realty (KRC) beats by $0.05, beats on revs; guides FY23 FFO above consensus

  • Kimco Realty (KIM) beats by $0.01, beats on revs; guides FY23 FFO in-line

  • Kirby (KEX) beats by $0.02, misses on revs

  • KLA Corporation (KLAC) beats by $0.37, beats on revs; guides DecQ EPS in-line, revs in-line

  • Laboratory Corp (LH) beats by $0.05, beats on revs; guides FY23 EPS in-line, revs below consensus

  • Landstar System (LSTR) reports EPS in-line, misses on revs; guides Q4 EPS below consensus, revs below consensus

  • Lazard (LAZ) misses by $0.06, misses on revs

  • Lear (LEA) beats by $0.26, beats on revs; raises FY23 revs above consensus

  • Lending Club (LC) beats by $0.02, beats on revs, issues Q4 loan origination guidance

  • Lennox Int'l (LII) beats by $0.62, beats on revs; raises FY23 guidance

  • Linde plc (LIN) beats by $0.05, misses on revs; guides Q4 EPS in-line

  • LKQ (LKQ) misses by $0.10, beats on revs; guides FY23 EPS below consensus; raises dividend

  • Luxfer (LXFR) reports EPS in-line, revs in-line; guides Q4 EPS below estimate; initiates strategic review

  • Manchester United (MANU) reports Q4 results, beats on revs; guides FY24 revs below consensus

  • MarineMax (HZO) misses by $0.03, beats on revs; guides FY24 EPS in-line

  • Masco (MAS) beats by $0.09, reports revs in-line; guides FY23 EPS above consensus

  • Mattel (MAT) beats by $0.22, beats on revs; raises FY23 EPS outlook, reaffirms FY23 revs guidance

  • MaxLinear (MXL) misses by $0.02, misses on revs; guides Q4 revs below consensus

  • MDC Holdings (MDC) beats by $0.20, misses on revs

  • Mercedes-Benz Group AG (MBGYY) reports Q3 results; reaffirms FY23 outlook

  • Merck (MRK) beats by $0.18, beats on revs; lowers FY23 EPS guidance, raises revenue guidance

  • Meta Platforms (META) beats by $0.75, beats on revs; guides Q4 revs in-line, lowers FY23 expense guidance, lowers high end of capex guidance range

  • Methanex (MEOH) beats by $0.07, beats on revs

  • Mid-America Aptmt (MAA) beats by $0.01, reports revs in-line; narrows FY23 FFO guidance in-line

  • Mobileye Global (MBLY) beats by $0.05, reports revs in-line; lowers top end of FY23 guidance

  • Molina Healthcare (MOH) beats by $0.17, beats on revs; reaffirms FY23 EPS outlook

  • MYR Group (MYGR) misses by $0.02, beats on revs

  • Nabors Industries (NBR) reports Q3 (Sep) results, misses on revs

  • NETGEAR (NTGR) beats by $0.27, beats on revs; guides Q4 revs below two analyst estimate

  • Newmont Goldcorp (NEM) misses by $0.04, misses on revs

  • Nextracker (NXT) beats by $0.29, beats on revs; guides FY24 revs in-line

  • Northrop Grumman (NOC) reports Q3 (Sep) results, beats on revs; guides FY23 EPS in-line, raises revs above consensus

  • NovoCure (NVCR) beats by $0.07, misses on revs

  • Oceaneering Intl (OII) beats by $0.06, reports revs in-line; guides Q4 revs above consensus

  • Opera (OPRA) beats by $0.01, beats on revs; guides Q4 revs above two analyst estimate; guides FY23 revs above consensus

  • O'Reilly Auto (ORLY) beats by $0.31, beats on revs, comps of +8.7%; guides FY23 EPS in-line, revs above consensus, raises comp guidance

  • Oshkosh (OSK) reports Q3 EPS of $3.04 vs. $2.20 FactSet consensus; revs +21% yr/yr to $2.51 bln vs. $2.47 bln FactSet consensus

  • Pathward Financial (CASH) beats by $0.11, beats on revs; guides FY23 EPS above consensus

  • Pegasystems (PEGA) beats by $0.43, beats on revs

  • PG&E (PCG) misses by $0.01, beats on revs; reaffirms FY23 EPS guidance

  • Pilgrim's Pride (PPC) beats by $0.16, beats on revs

  • Plexus (PLXS) beats by $0.18, reports revs in-line; guides Q1 EPS in-line, revs in-line; reiterates goal of $5.0 bln in revenue by FY25 (Sep)

  • Precision Drilling (PDS) misses by $0.28, beats on revs

  • QuantumScape Corporation (QS) beats by $0.02

  • Raymond James (RJF) misses by $0.14, beats on revs

  • Reliance Steel (RS) reports EPS in-line, revs in-line; guides Q4 EPS below consensus

  • Rollins (ROL) beats by $0.03, beats on revs

  • Royal Caribbean (RCL) beats by $0.39, beats on revs; guides FY23 EPS above consensus, bookings remained strong throughout the quarter

  • Sallie Mae (SLM) misses by $0.28, beats on revs

  • SEI Investments (SEIC) reports EPS in-line, misses on revs

  • ServiceNow (NOW) beats by $0.36, reports revs in-line

  • Simulations Plus (SLP) reports EPS in-line, misses on revs; guides FY24 EPS below consensus, revs below consensus

  • Sonic Automotive (SAH) beats by $0.25, beats on revs, approves 3.4% increase to quartely cash dividend

  • Southside Banc (SBSI) misses by $0.16

  • Southwest Air (LUV) reports EPS in-line, revs in-line

  • Spirit Airlines (SAVE) beats by $0.11, reports revs in-line; sees Q4 margins lower than Q3

  • Stewart Info (STC) beats by $0.15, beats on revs; results reflect the continuing slowdown in real estate market activity

  • STMicroelectronics (STM) beats by $0.07, beats on revs; guides Q4 revs below consensus

  • Sun Communities (SUI) beats by $0.09, beats on revs; guides Q4 FFO below consensus; lowers FY23 FFO in-line

  • Sunnova Energy (NOVA) reports Q3 (Sep) results, misses on revs

  • Takeda Pharma (TAK) reports H1 results; revs rise 6%; raises outlook

  • TAL Education (TAL) beats by $0.07; beats on revs

  • TechnipFMC (FTI) beats by $0.02, beats on revs

  • Teradyne (TER) beats by $0.07, beats on revs; guides Q4 EPS in-line, revs in-line

  • Textron (TXT) beats by $0.20, misses on revs; guides FY23 EPS above consensus

  • The Shyft Group (SHYF) beats by $0.05, misses on revs; guides FY23 EPS in-line, revs in-line

  • TotalEnergies SE (TTE) beats on top and bottom lines

  • Tractor Supply (TSCO) reports Q3 results, misses on revs; guides FY23 EPS below consensus, revs below consensus

  • Tradeweb Markets (TW) reports EPS in-line, revs in-line

  • TriNet Group (TNET) beats by $0.52, beats on revs; guides Q4 EPS in-line, revs above consensus

  • TRI Pointe Homes (TPH) beats by $0.19, beats on revs

  • Tronox (TROX) misses by $0.13, misses on revs

  • Ultra Clean Holdings (UCTT) misses by $0.06, reports revs in-line; guides Q4 EPS in-line, revs in-line

  • Unilever (UL) reports Q3 trading statement; misses on revs; reaffirms outlook; CFO to retire; names new CFO

  • United Rentals (URI) beats by $0.50, beats on revs; raises bottom end of FY23 revs outlook

  • Universal Health (UHS) beats by $0.18, reports revs in-line

  • UPS (UPS) beats by $0.05, misses on revs; guides FY23 revs below consensus

  • Valero Energy (VLO) beats by $0.02, reports revs in-line

  • Valley National (VLY) reports EPS in-line

  • Valmont (VMI) beats by $0.37, misses on revs; guides FY23 EPS below consensus, lowers revs below consensus

  • Veralto (VLTO) beats by $0.04, beats on revs; guides Q4 EPS above consensus; intends to initiate quarterly dividend

  • VICI Properties (VICI) beats by $0.01, reports revs in-line; guides FY23 FFO in-line

  • Viking Therapeutics (VKTX) beats by $0.45

  • Visteon (VC) beats by $0.43, misses on revs; guides FY23 revs below consensus

  • Volkswagen AG (VWAGY) reports nine-month results; revs rise 16% yr/yr

  • Vulcan Materials (VMC) reports EPS in-line, revs in-line

  • Waste Connections (WCN) beats by $0.03, reports revs in-line

  • WesBanco Inc (WSBC) reports EPS in-line

  • Western Union (WU) beats by $0.04, beats on revs; guides Q4 EPS below consensus, revs above consensus

  • West Fraser (WFG) beats by $0.41, misses on revs, now expects 2023 SYP shipments to be at the bottom end of its guidance range

  • West Pharm (WST) beats by $0.30, reports revs in-line; guides FY23 EPS above consensus, revs below consensus; raises dividend

  • WEX (WEX) beats by $0.28, beats on revs; guides Q4 EPS in-line, revs above consensus

  • Whirlpool (WHR) beats by $1.18, beats on revs; guides FY23 EPS below consensus, revs above consensus

  • Willis Towers Watson (WTW) beats by $0.19, beats on revs

  • WPP plc (WPP) reports Q3 trading update; beats on revs; lowers outlook

  • Wyndham Hotels & Resorts (WH) beats by $0.07, beats on revs; guides FY23 EPS in-line

News:

  • Chinese President Xi puts more controls over financial sector, according to Financial Times

  • Israeli Prime Minister Benjamin Netanyahu says his country is "preparing for a ground invasion" of Gaza, according to the Washington Post

  • 22 people were killed in two separate mass shootings in Maine. Authorities are searching for the suspect

  • White House issues readout of President Biden's call with Prime Minister Netanyahu of Israel

  • Accuray (ARAY) committed to a cost savings initiative to reduce op costs through the reduction of its global workforce

  • Albemarle (ALB) names Neal Sheorey as CFO effective Nov. 6, 2023

  • Alnylam (ALNY) announces publication of results from APOLLO-B Phase 3 study of patisiran in patients with the cardiomyopathy of ATTR amyloidosis in the New England Journal of Medicine

  • American Tower (AMT) announces that Tom Bartlett will retire from his positions as President, Chief Executive Officer and director of the Board of Directors, effective February 1, 2024

  • Amerisafe (AMSF) declares special dividend of $3.50/share and regular quarterly dividend

  • Ares Acquisition Corp. (AAC) U.S. Department of Energy signs cooperative agreement to further develop X-energy's Microreactor for commercial applications

  • Biogen (BIIB): Eisai presents new LEQEMBI (lecanemab-irmb) investigational subcutaneous formulation interim study results and clinical improvement data in earlier stages of early alzheimer's disease from additional analyses of clarity AD at The Clinical Trials On Alzheimer's Disease (CTAD) Conference

  • CenterPoint (CNP) appoints Jason Wells as CEO

  • Endeavor Group (EDR) announces the initiation of a formal review to evaluate strategic alternatives for the Company

  • Fluor (FLR) awarded FEED contract for world's first industrial-scale sodium-ion battery production Facility

  • Ford (F): UAW reaches tentative agreement on record contract with Ford Motor

  • Ford Motor (F) also confirmed it reached a tentative agreement on a new labor contract with the UAW covering our U.S. operations

  • GlaxoSmithKline (GSK) and Pfizer's (PFE) ViiV Healthcare receives approval from China's National Medical Products Administration for Vocabria used in combination with Rekambys

  • IDEX Corp (IEX) appoints Abhi Khandelwal as CFO, effective Nov 20

  • IHS Holding Limited (IHS) announces a one-year partnership with the Limitless Space Institute

  • Keurig Dr Pepper (KDP) and Grupo PiSA announce partnership for Electrolit

  • Lennox Int'l (LII) announces that Executive Vice President and Chief Financial Officer Joe Reitmeier has elected to retire effective February 29, 2024

  • LianBio (LIAN) announces presentation of data from Phase 2a Study of Infigratinib in patients with gastric cancer at ESMO congress 2023

  • Marathon Petroleum (MPC) increases quarterly dividend to $0.825/share from $0.75/share

  • Materialise (MTLS) appoints Brigitte de Vet-Veithen as new CEO

  • Morgan Stanley (MS) announces that Co-President Edward Pick will become CEO on January 1; James Gorman to become Executive Chairman

  • Orchard Therapeutics (ORTX) Announces Presentation of Additional Positive Data from Proof-of-concept Study of OTL-203 in MPS-IH at ESGCT 2023

  • Park Hotels & Resorts (PK) announces that the trustee under the $725 mln non-recourse CMBS loan, by and through its special servicer, filed a lawsuit against the borrower entities related to the cessation of payments on the Loan

  • Pfizer (PFE) and BioNTech (BNTX) announced positive topline results from a Phase 1/2 study of mRNA-based combination vaccine candidates for influenza and COVID-19

  • Rocket Lab USA (RKLB) has received authorization from the Federal Aviation Administration to resume Electron launches from Launch Complex 1

  • ServiceNow (NOW) announces an expansion to their alliance to integrate Now Assist generative AI capabilities with next-generation managed services

  • Shell (RDS.A) eliminates low carbon jobs, acccording to Reuters

  • Solo Brands (DTC) CFO Somer Webb to pursue other opportunities; reaffirms guidance

  • Southwest Air (LUV) announces a Tentative Agreement with the Transport Workers Union Local 556 for the airline's nearly 19,000 Flight Attendants

  • Tronox (TROX) announces planned retirement of Co-CEO Jean-Franois Turgeon, John Romano to be appointed Sole CEO; effective April 1

  • UPS (UPS) has entered into an agreement to acquire Happy Returns from PayPal (PYPL); financial terms were not disclosed

M&A:

  • Choice Hotels (CHH) called upon the board of directors of Wyndham Hotels & Resorts (WH) to engage in good faith discussions so that shareholders of both companies can benefit from the compelling combination

  • Lennox Int'l (LII) acquires AES to expand commercial HVAC services; financial terms were not disclosed

  • Sociedad Quimica y Minera (SQM) offers to acquire Azure Minerals

  • Stellantis (STLA) to become a strategic shareholder of Leapmotor with 1.5 billion investment

  • Ultra Clean Holdings acquires HIS Innovations Group for $50 million in upfront cash subject to customary post-closing adjustments

  • Western Digital (WDC): Hynix is against merger between Kioxia and Western Digital, according to Financial Times

  • WEX (WEX) announces the signing of a definitive agreement to acquire Payzer

Syndicate:

  • Cibus Global (CBUS) files $200 mln mixed shelf securities offering

  • Owens Corning (OC) files mixed shelf securities offering

  • Selecta Biosciences (SELB) files $200 mln mixed shelf securities offering

IPOs:

  • No IPOs expected to price.

Gapping Up/Down

  • Gapping up:

  • EDR +23.4%, PI +18.4%, FLEX +9.8%, NOVA+8.9%, EGBN +7.5%, CNMD +6.8%, FIBK+5.8%, CCS +5.2%, CMPR +5.2%, CBUS+4.9%, NOW +4.7%, AGI +4.4%, SELB +4.3%, WFG +4.3%, ORLY +4%, FLS +4%, SUI +3.6%, ROL +3.5%, NTGR +3.5%, STM +3.5%, RKLB+3.2%, TAL +3.1%, CASH +3%, LXFR +2.8%, TIGO +2.7%, PEGA +2.6%, F +2.3%, AM+2.2%, BG +2.1%, FLR +2%, CHDN +2%, BHE+2%, KRC +2%, ESI +2%, PLXS +2%, STC+2%, WU +1.9%, ASX +1.9%, AMSF +1.6%, IBM +1.6%, CHH +1.5%, VSTO +1.4%, NXT+1.3%, CVBF +1.3%, LKQ +1.3%, BKR +1.2%, BIIB +1.1%, EQT +1.1%, EPR +1.1%, MDC+1.1%

  • Gapping down:

  • ALGN -24%, MXL -20.2%, SLP -13.1%, MAT-10.2%, MEOH -7.7%, MYRG -6.6%, VKTX-6.4%, EW -6.3%, UCTT -5.1%, WHR -4.9%, OII -4.7%, CLS -4.3%, AGR -4.2%, FTAI -4%, TPH -3.9%, ALSN -3.8%, KALU -3.8%, CYH-3.7%, ENSG -3.3%, UL -3.2%, IEX -3%, META -2.8%, INVH -2.7%, URI -2.6%, EIG-2.6%, BC -2.6%, GSHD -2.3%, OSTK -2%, WCN -1.9%, UPS -1.9%, ITRI -1.8%, WPP-1.8%, LSTR -1.7%, EG -1.7%, SIRI -1.4%, QS -1.4%, ATR -1.4%, STLA -1.3%, TER -1%, FCFS -1%

 

Analyst Research (see Upgrades/Downgradescalendarfor full list):

  • Upgrades

  • Akamai Tech (AKAM) upgraded to Neutral from Sell at Guggenheim

  • Centessa Pharmaceuticals (CNTA) upgraded to Equal-Weight from Underweight at Morgan Stanley; tgt raised to $8

  • Installed Building Products (IBP) upgraded to Buy from Hold at The Benchmark Company; tgt $150

  • Microsoft (MSFT) upgraded to Buy from Hold at HSBC Securities; tgt raised to $413

  • Okta (OKTA) upgraded to Buy from Outperform at Daiwa Securities; tgt $87

  • UMB Financial Corporation (UMBF) upgraded to Buy from Neutral at Janney; tgt $73

  • Downgrades:

  • Arcutis Biotherapeutics (ARQT) downgraded to Neutral from Buy at Mizuho; tgt lowered to $4

  • Barclays PLC (BCS) downgraded to Underperform from Neutral at BofA Securities; tgt lowered to $7.31

  • Bath & Body Works (BBWI) downgraded to Hold from Buy at Jefferies; tgt lowered to $30

  • BOK Financial (BOKF) downgraded to Equal Weight from Overweight at Wells Fargo; tgt lowered to $70

  • Fortive (FTV) downgraded to Neutral from Buy at BofA Securities; tgt $70

  • MaxLinear (MXL) downgraded to Neutral from Buy at ROTH MKM; tgt lowered to $18

  • Thermo Fisher (TMO) downgraded to Sector Weight from Overweight at KeyBanc Capital Markets

  • Others:

  • 4D Molecular Therapeutics (FDMT) initiated with an Outperform at RBC Capital Mkts; tgt $25

  • Procore Technologies (PCOR) initiated with an Outperform at BMO Capital Markets; tgt $80

Econ Data:

  • 08:30 ET: Initial Claims for Oct. 21 (Briefing.comConsensus 210K; Prior 198K)

  • 08:30 ET: Continuing Claims for Oct 14 (Briefing.comConsensus NA; Prior 1734K)

  • 08:30 ET: Durable Orders for Sept (Briefing.comConsensus 1.5%; Prior 0.2%)

  • 08:30 ET: Durable Orders ex-transportation for Sept (Briefing.comConsensus 0.3%; Prior 0.4%)

  • 08:30 ET: GDP-Adv for Q3 (Briefing.comConsensus 4.0%; Prior 2.1%)

  • 08:30 ET: Chain Deflator-Adv. for Q3 (Briefing.comConsensus 2.7%; Prior 1.7%)

  • 08:30 ET: Adv. Intl. Trade in Goods for Q3 (Briefing.comConsensus NA; Prior -$84.3B)

  • 08:30 ET: Adv. Retail Inventories for Sept (Briefing.comConsensus NA; Prior 1.1%)

  • 08:30 ET: Adv. Wholesale Inventories for Sept (Briefing.comConsensus NA; Prior -0.1%)

  • 10:00 ET: Pending Home Sales for Sept (Briefing.comConsensus 0.5%; Prior -7.1%)

  • 10:30 ET: EIA Natural Gas Inventories for Oct. 21 (Briefing.comConsensus NA; Prior +97 bcf)

Earnings:

  • Monday (Oct 23)

  • Morning:  BOH HOPE PHG

  • Afternoon: AGYS ARE BRO CADE CDNS CALX CATY CLF CR CCK HSTM HXL IBTX MEDP PKG RLI SSD AAN TBI WRB WSFS

  • Tuesday (Oct 24)

  • Morning: MMM HOUS ADM ARCC AWI ABG BANC BCS CNC KO CBU GLW DHR DOV DOW FI FELE GATX GE GM HAL HCA HRI ITW IVZ KMB EDU NEE NEP NVS NUE ONB PCAR PPBI PACW PNR PII PHM DGX RTX SASR SHW SFNC SMPL SPOT SYF TECK TRU VZ XRX

  • Afternoon:  GOOG NTB BYD BDN CNI CHX CB CSGP EGP WIRE ENVA FFIV FCF FFBC HA HIW JBT MANH MTDR MSFT MSA NBHC RRC RNST ROIC RHI SNAP LRN TDOC TXN TRMK UMBF VBTX VICR V WM

  • Wednesday (Oct 25)

  • Morning:  ALKS APH ADP AVY BXMT BA BOKF CME CNX CSTM EVR FTV GD GBX GPI HCSG HES HESM HLT IART LKFN LTH LAD MKTX MNRO MCO COOP MSM NAVI NSC ODFL OMF OPCH OTIS OC PAG PRG PB RDUS ROP RES R SLGN SF TMUS TMHC TDY TMO TNL UMC VRT WNC WAB WFRD

  • Afternoon:  AEM ALGN ALSN AMP AM AR ATR ASGN AVB AGR BKR BHE CACI CCS CHE CHDN CYH CNMD CVBF EW ESI EIG EPR EQT EQIX ETD EG FIBK FLEX FLS FBIN FTAI GL GSHD GGG IBM ICLR IEX IMAX PI INVH KALU KRC KLAC LSTR LC LXFR MAT MXL META MAA MOH MYRG NTGR NXT ORLY OII CASH PEGA PPC PLXS QS RJF ROL SLM SEIC NOW STC SUI NOVA TER TNET TROX UCTT URI UHS VMI VLTO VICI VKTX WSBC WU WHR WH

  • Thursday (Oct 26)

  • Morning: AOS MO AMT AIT ARCH AMBP BPMC BSX BFH BMY BC BG CRS CARR CBZ CNP CMS CTS CFR EXP EME EXLS XPRO FAF FCFS ULCC FCN THRM GWW HEES HOG HAS HSY HTZ HON INSM IP ITGR KVUE KDP KIM KEX LH LAZ LEA LII LIN LKQ MAS MA MDC MPW MRK MBLY NYCB NEM NOC NVCR OSIS OSTK PATK BTU PCG BPOP RS RITM RCL STX SAH SBSI LUV STM FTI TXT SHYF TSCO TW TPH TRS UPS VLO VLY VC VMC WST WEX WTW

  • Afternoon:  ATGE AB AMZN ABCB APPF AJG AX BIO BJRI SAM CPT COF CSL CC CMG CINF COLM CDP COUR CUZ CUBI DECK DXCM DLR EMN ELME EHC ENPH ESS EVTC EXPO FHI FE F GLPI HIG HUBG INTC JNPR KNSL LHX LPLA LTC MGRC MMSI MTX MHK NRDS NOV OLN PEB PFSI PFG PFS PTCT RSG RMD SKX SKYW SSB SPSC SSNC STAG TEX TXRH X UDR VRSN WY

  • Friday (Oct 27) 

  • Morning:  ABBV AER AON ARCB AN AVTR BCPC B BAH CBRE GTLS CHTR CVX CL DAN XOM FHB GNTX IMO LECO LYB NWL NVT OIS PSX PIPR PNM POR SAIA SNY SWK STEL TROW WT XEL

  • Afternoon:  ACMR

 

Asia & Europe detail:

Asia: Nikkei -2.1%, Hang Seng -0.2%, Shanghai Composite +0.5%

Equity indices in the Asia-Pacific region ended Thursday on a mostly lower note. China's smartphone shipments were down 5% yr/yr in Q3. China reportedly restricted highly indebted local governments from taking on new debt in late September. China's Foreign Minister Wang Yi will meet with U.S. officials, including President Biden, today. Toyota lowered its production targets for November and December and set a January domestic production target of 13,800 units per day. Reserve Bank of Australia Governor Bullock said that he has yet to decide if another rate hike is needed after yesterday's release of hotter than expected CPI for Q3.

  • In economic data:

  • Japan's August Corporate Services Price Index 2.1% yr/yr (expected 2.0%; last 2.1%)

  • South Korea's Q3 GDP 0.6% qtr/qtr (expected 0.5%; last 0.6%); 1.4% yr/yr (expected 1.1%; last 0.9%). November Manufacturing BSI Index 71 (last 68)

  • Hong Kong's September trade deficit $64.6 bln (last deficit of $25.6 bln). September Imports -0.4% m/m (last -0.3%) and Exports -5.3% m/m (last -3.7%)

  • Australia's Q3 Import Price Index 0.8% qtr/qtr (expected 0.2%; last -0.8%) and Export Price Index -3.1% qtr/qtr (last -8.5%)

  • Singapore's Q3 Unemployment Rate 2.0% (last 1.9%). September Industrial Production 10.7% m/m (expected 7.5%; last -10.8%); -2.1% yr/yr (expected -4.8%; last -11.6%)

---Equity Markets---

  • Japan's Nikkei: -2.1%

  • Hong Kong's Hang Seng: -0.2%

  • China's Shanghai Composite: +0.5%

  • India's Sensex: -1.4%

  • South Korea's Kospi: -2.7%

  • Australia's ASX All Ordinaries: -0.6%

---FX---

  • USD/JPY: +0.1% to 150.26

  • USD/CNH: UNCH to 7.3293

  • USD/INR: +0.1% to 83.21

 

Europe: DAX -1.5%, FTSE -0.9%, CAC -0.8%

Major European indices trade in the red. The European Central Bank is expected to conclude today's policy meeting with an 8:15 ETdecision to keep the interest rate corridor unchanged after ten consecutive rate hikes. Chipmaker STMicroelectronics issued below-consensus guidance for Q4 while Mercedes reported weak profit margins due to price pressures in the EV segment. Food company Danone raised its revenue guidance for the year. A YouGov poll in the U.K. showed that one-year inflation expectations slowed to 4.2% from 4.4% in September while the 5-10 year outlook remained at 3.3%.

  • In economic data:

  • U.K.'s October CBI Distributive Trades Survey -36 (expected -16; last -14)

  • Spain's Q3 Unemployment Rate 11.84% (expected 11.50%; last 11.60%)

---Equity Markets---

  • STOXX Europe 600: -0.9%

  • Germany's DAX: -1.5%

  • U.K.'s FTSE 100: -0.9%

  • France's CAC 40: -0.8% 

  • Italy's FTSE MIB: -0.7%

  • Spain's IBEX 35: -0.9%

---FX---

  • EUR/USD: -0.3% to 1.0536

  • GBP/USD: -0.2% to 1.2084

  • USD/CHF: +0.2% to 0.8984

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