The S&P 500 futures are down 1 point and are trading roughly in line with fair value. The Nasdaq 100 futures are down 62 points and are trading 0.6% below fair value. The Dow Jones Industrial Average futures are up 205 points and are trading 0.6% above fair value.
Equity futures are mixed this morning. There has been a positive response to reassuring earnings reports from several blue chip companies, including Dow components Honeywell (HON), McDonald's (MCD), Caterpillar (CAT), and Merck (MRK). Meanwhile, heavy selling of Meta Platforms (META) following its disappointing quarterly results is weighing on the Nasdaq 100 futures along with modest weakness in Apple (AAPL) and Amazon.com(AMZN) ahead of their reports after today's close.Â
Treasury yields are modestly higher. The 10-yr note yield is up four basis points to 4.07% and the 2-yr note yield is up two basis points to 4.45%. Also, the U.S. Dollar Index is inching higher this morning after a big downside move yesterday, up 0.4% to 110.09.
The European Central Bank is expected to announce a 75 basis point increase in its key policy rates at 8:15 a.m. ET. Â
Economic data today includes:
8:30 ET: Advance Q3 GDP (Briefing.comconsensus 2.3%; prior -0.6%), advance Q3 Chain Deflator (Briefing.comconsensus 5.3%; prior 9.0%), weekly Initial Claims (Briefing.comconsensus 220,000; prior 214,000), Continuing Claims (prior 1.385 mln), September Durable Orders (Briefing.comconsensus 0.6%; prior -0.2%), and Durable Orders ex-transportation (Briefing.comconsensus 0.2%; prior 0.2%)
10:30 ET: Weekly natural gas inventories (prior +111 bcf)
In corporate news:
Meta Platforms (META 100.94, -28.88, -22.3%):Â misses by $0.21, beats on revs; guides Q4 revs in-line; lowers high end of FY22expense guidance range, guides for FY23expenses of $96-$101 bln;Â with over 140 bln Reels plays daily, company believes it is gaining time spend share from TikTok; ad revs from large advertisers remains challenged
Ford Motor (F 12.57, -0.25, -1.95%):Â reports EPS in-line, revs in-line; guides to low end FY22adjusted EBIT prior guidance; increases FY22adjusted FCF guidance; resumes modest share repurchase program; to wind down its Argo AI joint venture
Caterpillar (CAT 206.61, +9.65, +4.90%):Â beats by $0.79, beats on revs
Merck (MRK 100.38, +1.97, +2.00%):Â beats by $0.14, beats on revs; guides FY22EPS in-line, revs above consensus
McDonald's (MCD 263.60, +6.99, +2.72%): beats by $0.10, beats on revs, global comps +9.5%, US comps +6.1%
Honeywell (HON 199.00, +8.73, +4.59%):Â beats by $0.10, reports revs in-line; guides FY22EPS in-line, revs in-line
Southwest Air (LUV 36.00, +1.63, +4.74%):Â beats by $0.08, reports revs in-line; guides Q4 revs above consensus
Align Tech (ALGN 176.20, -45.44, -20.50%):Â misses by $0.81, misses on revs
Sleep Number (SNBR 26.14, -10.48, -28.62%):Â beats by $0.16, beats on revs; guides FY22EPS below consensus
ServiceNow (NOW 417.49, +51.08, +13.94%):Â beats by $0.11, reports revs in-line
Credit Suisse (CS 4.2400, -0.55, -11.48%):Â reports Q3 results; beats on revs; provides outlook; unveils new strategy;Â it is nearing sale of its securitized-products group to Apollo Global Management (APO) and PIMCO, according to WSJ
Wolfspeed (WOLF 79.15, -27.29, -25.64%):Â beats by $0.01, reports revs in-line; guides Q2 EPS below consensus, revs below consensus
Reviewing overnight developments:
Equity indices in the Asia-Pacific region ended Tuesday on a mostly higher note. Japan's Nikkei: -0.3%, Hong Kong's Hang Seng: +0.7%, China's Shanghai Composite: -0.6%, India's Sensex: +0.4%, South Korea's Kospi: +1.7%, Australia's ASX All Ordinaries: +0.5%.
In economic data:
China's September Industrial Profit -2.3% YTD (last -2.1%). September FDI 15.6% (last 16.4%)
South Korea's Q3 GDP 0.3% qtr/qtr (expected 0.1%; last 0.7%); 3.1% yr/yr (expected 2.8%; last 2.9%)
Australia's Q3 Import Price Index 3.0% qtr/qtr (last 4.3%) and Export Price Index -3.6% qtr/qtr (last 10.1%)
In news:
Press reports suggested that Japan is planning JPY29 trln in stimulus spending, up from the previous forecast for spending of JPY25.10 trln. The stimulus package is expected to be approved by Japan's cabinet tomorrow.
The Bank of Korea will temporarily broaden eligible loan collateral to improve liquidity among banks.
Smartphone shipments in China were reportedly down 11% yr/yr in Q3.
Major European indices trade on a mostly lower note while the U.K.'s FTSE (+0.2%) outperforms. STOXX Europe 600: -0.7%, Germany's DAX: -0.9%, U.K.'s FTSE 100: +0.2%, France's CAC 40: -1.0%, Italy's FTSE MIB: -0.6%, Spain's IBEX 35: -0.4%.
In economic data:
Germany's November GfK Consumer Climate -41.9, as expected (last -42.8)
U.K.'s October CBI Distributive Trades Survey 18 (last -20)
Italy's August Industrial Sales 3.6% m/m (last -0.2%); 23.1% yr/yr (last 16.2%). October Business Confidence 100.4 (expected 100.0; last 101.2) and Consumer Confidence 90.1 (expected 93.8; last 94.8)
Spain's Q3 Unemployment Rate 12.67% (expected 13.00%; last 12.48%)
In news:
British Prime Minister Sunak is reportedly reconsidering plans for tax hikes and spending cuts.
The European Central Bank is expected to announce a 75-bps rate hike at 8:15 ET.
Shell reported strong earnings, raised its dividend, and announced a buyback.
Credit Suisse reported a CHF4 bln loss and announced that its workforce will be reduced by 9,000 by the end of 2025.
Â
U.S. equity futures:
S&P 500 Futures: -4 @ 3,827
DJIA Futures: +192 @ 32,030
Nasdaq 100 Futures: -72 @ 11,334
Overseas:
Europe:Â DAX -0.9%, FTSE +0.2%, CAC -1.0%
Asia:Â Nikkei -0.3%, Hang Seng +0.7%, Shanghai Composite -0.6%
Commodities:
Crude Oil +0.31 @ 88.22
Nat Gas -0.092 @ 6.027
Gold -3.45 @ 1665.75
Silver -0.146Â @ 19.34
Copper -0.0360 @ 3.509
U.S. Summary:
Earnings/Guidance:
Agnico-Eagle Mines (AEM) beats by $0.09, beats on revs; declares dividend
Alamos (AGI) reports EPS in-line, beats on revs; Produced 123,400 ounces of gold, a 19% increase from Q2
Align Tech (ALGN) misses by $0.81, misses on revs
Allegion (ALLE) beats by $0.16, beats on revs; raises FY22 EPS above consensus, reaffirms FY22 revs guidance
Allison Transmission (ALSN) beats by $0.01, beats on revs; narrows FY22 guidance towards high end
AmBev (ABEV) reports Q3 EPS of R 0.23 may not compare to R 0.04 Capital IQ consensus; revs +11% yr/yr to R 18.492 bin vs. R 24.374 bln Capital IQ consensus
Amedisys (AMED) misses by $0.07, misses on revs; lowers FY22 EPS guidance below consensus, revs below consensus
Anglo American (NGLOY) reports Q3 production results
Anheuser-Busch InBev (BUD) beats by $0.07, reports revs in-line
Antero Midstream (AM) reports Q3 (Sep) results, misses on revs
Applied Industrial (AIT) beats by $0.34, beats on revs; raises FY23 EPS in-line, revs above consensus
Arch Capital (ACGL)beats by $0.10, beats on top line
Asbury Automotive (ABG) beats by $0.01, misses on revs
ASGN Incorporated (ASGN) beats by $0.01, reports revs in-line; guides Q4 EPS below consensus, revs below consensus
Aspen Aerogels (ASPN) misses on top and bottom lines; sees FY22 outlook below consensus
Aspen Tech (AZPN) beats by $0.95, beats on revs; guides FY23 EPS above consensus, revs in-line
Avnet (AVT) beats by $0.09, beats on revs; guides Q2 EPS mostly above consensus, revs above consensus
AXIS Capital (AXS) misses by $0.04, misses on revs
Baxter (BAX) reports EPS in-line, revs in-line; guides Q4 EPS below consensus, revs in-line
Benchmark Electronics (BHE) beats by $0.07, beats on revs; guides Q4 EPS above consensus, revs above consensus
BioMarin Pharmaceutical (BMRN) reports Q3 (Sep) results, misses on revs; reaffirms FY22 revs guidance
Boot Barn Holdings (BOOT) beats by $0.16, beats on revs, comps of +2.3%; guides Q3 EPS below consensus, revs below consensus, comps of (5%)-(3%); guides FY23 EPS below consensus, revs below consensus, comps of (1%) to +0.5%
BorgWarner (BWA) beats by $0.21, beats on revs
Brunswick (BC) beats by $0.03, misses on revs; lowers FY22 EPS below consensus, revs below consensus
CACI Intl (CACI) beats by $0.11, beats on revs; reaffirms FY23 EPS guidance, revs guidance
Canadian Pacific (CP) misses by $0.03, beats on revs
Carrier Global (CARR) beats by $0.05, reports revs in-line; guides FY22 EPS in-line, revs below consensus
Caterpillar (CAT) beats by $0.79, beats on revs
CBIZ (CBZ) beats by $0.05, beats on revs; raises FY22 guidance
Century Communities (CCS) beats by $0.24, beats on revs; lowers FY22 revs, home delivery guidance
Check Point Software (CHKP) beats by $0.10, beats on revs
Churchill Downs (CHDN) beats by $0.04, misses on revs
CNX Resources (CNX) reports Q3 (Sep) results, misses on revs
Columbus McKinnon (CMCO) reports EPS in-line, misses on revs; guides Q3 revs in-line
Comcast (CMCSA) beats by $0.06, reports revs in-line
Comfort Systems (FIX) beats by $0.18, beats on revs
Community Health (CYH) misses by $0.50, reports revs in-line
CONMED (CNMD) beats by $0.02, misses on revs; guides FY22 EPS in-line, revs in-line
Core Labs (CLB) beats by $0.03, reports revs in-line; guides Q4 EPS in-line, revs in-line
Coursera (COUR) beats by $0.04, beats on revs; guides Q4 revs in-line
Credit Suisse (CS) reports Q3 results; beats on revs; provides outlook; unveils new strategy
Digital Realty Trust (DLR) misses by $0.01, reports revs in-line; reaffirms FY22 FFO guidance, revs guidance
Element Solutions (ESI) beats by $0.01, misses on revs; guides FY22 EPS below consensus
EMCOR Group (EME) beats by $0.06, beats on revs; guides FY22 EPS in-line, revs above consensus
Encompass Health (EHC) beats by $0.03, beats on revs; guides FY22 EPS below consensus, revs below consensus
Ensign Group (ENSG) reports EPS in-line, beats on revs; guides FY22EPS in-line, revs above consensus
Essex Property (ESS) beats by $0.03; guides FY22FFO in-line
Ethan Allen (ETD) beats by $0.32, beats on revs
Everest Re (RE) beats by $0.47, beats on revs
FirstCash (FCFS) beats by $0.17, reports revs in-line
Fiserv (FISV) misses by $0.06, beats on revs; guides FY22EPS mostly above consensus
Flex (FLEX) beats by $0.12, beats on revs; guides Q3 EPS above consensus, revs above consensus; guides FY23EPS above consensus, revs above consensus
Ford Motor (F) reports EPS in-line, revs in-line; guides to low end FY22adjusted EBIT prior guidance; increases FY22adjusted FCF guidance; resumes modest share repurchase program
FormFactor (FORM) beats by $0.03, misses on revs; guides Q4 EPS below consensus, revs below consensus
Fortune Brands Home & Security (FBHS) beats by $0.08, misses on revs; guides FY22EPS below consensus, revs below consensus reflecting a softening market environment
Forward Air (FWRD) beats by $0.03, beats on revs; guides Q4 EPS above consensus, revs in-line
Frontier Group Holdings (ULCC) beats by $0.03, reports revs in-line increase in RASM compared to 2019
FTI Consulting (FCN) beats by $0.11, reports revs in-line; guides FY22EPS in-line, revs in-line
Geo Group (GEO) reports FFO in-line, beats on revs; guides Q4 revs in-line; guides FY22FFO below estimate
Globe Life (GL)beats by $0.05, misses on revs
Goosehead Insurance (GSHD) beats by $0.05, beats on revs; reaffirms FY22revs guidance
Graco (GGG) beats by $0.02, beats on revs
Greenbrier (GBX) beats by $0.17, beats on revs; guides FY23revs above consensus
H&E Equipment (HEES) beats by $0.23, beats on revs
Hertz Global (HTZ) reports EPS in-line, misses slightly on revs
Honeywell (HON) beats by $0.10, reports revs in-line; guides FY22EPS in-line, revs in-line
Impinj (PI) beats by $0.17, beats on revs; guides Q4 EPS above consensus, revs above consensus
Informatica (INFA) beats by $0.01, misses on revs; guides Q4 revs below consensus
Invitation Homes (INVH) misses by $0.01, reports revs in-line; lowers FY22FFO below consensus
Janus Henderson Group (JHG) beats by $0.13, beats on revs
JBT Corp (JBT) beats by $0.08, reports revs in-line; guides Q4 EPS below consensus; guides FY22EPS below consensus
Kimco Realty (KIM) beats by $0.02, beats on revs; guides FY22FFO above consensus
KLA Corporation (KLAC) beats by $0.83, beats on revs; guides Q2 EPS above consensus, revs above consensus
Lending Club (LC) beats by $0.04, beats on revs; guides Q4 revs below consensus
Lennox Int'l (LII) reports EPS in-line, beats on revs; lowers FY22EPS below consensus, raises FY22revs above consensus
LKQ (LKQ) beats by $0.01, misses on revs; lowers upper end of FY22EPS guidance range
Lloyds Banking (LYG) reports in-line results; beats on revs
McDonald's (MCD) beats by $0.10, beats on revs, global comps +9.5%, US comps +6.1%
Merck (MRK) beats by $0.14, beats on revs; guides FY22EPS in-line, revs above consensus
Meritage (MTH) beats by $0.65, misses on revs
Merit Medical (MMSI) beats by $0.11, beats on revs; raises FY22EPS above consensus, revs above consensus
Meta Platforms (META) misses by $0.21, beats on revs; guides Q4 revs in-line; lowers high end of FY22expense guidance range, guides for FY23expenses of $96-$101 bln
Methanex (MEOH) beats by $0.10, beats on revs; increased dividend 20%
Mid-America Aptmt (MAA) beats by $0.08, beats on revs; guides FY22core FFO above consensus
Molina Healthcare (MOH) beats by $0.13, beats on revs; guides FY22EPS above consensus
MSA Safety (MSA) beats by $0.21, beats on revs
Murphy USA (MUSA) beats by $2.27, beats on revs
NETGEAR (NTGR) beats by $0.02, beats on revs; guides Q4 revs below consensus
NetScout Systems (NTCT) beats by $0.08, beats on revs; reaffirms FY23EPS guidance, revs guidance
Oceaneering Intl (OII) beats by $0.09, beats on revs
Olin (OLN) beats by $0.36, reports revs in-line; expects Q4 adjusted EBITDA to decline 15-20% sequentially
OneMain Holdings (OMF) beats by $0.19
Option Care Health (OPCH) beats by $0.01, beats on revs; guides FY22revs in-line
O'Reilly Auto (ORLY) beats by $0.67, beats on revs, same store comps +7.6%; guides FY22EPS above consensus, revs in-line, raises FY22comps guidance
Overstock.com(OSTK) beats by $0.08, misses on revs
Paramount Group (PGRE) reports FFO in-line, beats on revs; guides FY22FFO in-line
Patterson-UTI (PTEN) beats by $0.11, beats on revs; doubles quarterly dividend to $0.08/sh, increases share repurchase authorization to $300 mln
Pegasystems (PEGA) misses by $0.05, misses on revs
Pilgrim's Pride (PPC) beats by $0.31, reports revs in-line
Plexus (PLXS) reports Q4 (Sep) results, beats on revs; guides Q1 revs above consensus
Precision Drilling (PDS) reports Q3 (Sep) results, beats on revs
Raymond James (RJF) beats by $0.08, beats on revs
Reliance Steel (RS) beats by $0.29, beats on revs; guides Q4 EPS above consensus
Sallie Mae (SLM) misses by $0.19; guides FY22EPS in-line
Samsung (SSNLF) reports Q3 sales of KRW 76.78 trillion versus KRW 73.98 trillion last year; net profit of 9.39 trillion versus 12.29 trillion last year
SEI Investments (SEIC) beats by $0.09, beats on revs
ServiceNow (NOW) beats by $0.11, reports revs in-line
Shell plc (SHEL) beats by $0.05; beats on revs; commences buyback
Shopify (SHOP) beats by $0.05, beats on revs; sees Q4 adj. operating loss fairly comparable to Q3
Simulations Plus (SLP) misses by $0.04, beats on revs; guides FY23EPS below two analyst estimate, revs below consensus
Sleep Number (SNBR) beats by $0.16, beats on revs; guides FY22EPS below consensus
Sonic Automotive (SAH) misses by $0.24, misses on revs; approved a 12% increase to the Company's quarterly cash dividend, to $0.28 per share
Spirit Airlines (SAVE) beats by $0.11, reports revs in-line; expects Q4 unit revs up +15.0-16.5% on 24.5% more capacity compared to 4Q19
Stanley Black & Decker (SWK) beats by $0.06, beats on revs; lowers FY22EPS guidance below consensus
Stewart Info (STC) misses by $0.41, beats on revs
STMicroelectronics (STM) beats by $0.13, beats on revs; guides Q4 revs in-line
Takeda Pharma (TAK) beats on top and bottom lines; raises outlook
TechnipFMC (FTI) misses by $0.06, reports revs in-line
Teck Resources (TECK) beats by CAD0.10, beats on revs
Teladoc (TDOC) beats by $0.04, reports revs in-line; guides Q4 EPS in-line, revs in-line
Teleflex (TFX) beats by $0.16, reports revs in-line; guides FY22EPS in-line, revs in-line
Textron (TXT) beats by $0.13, misses on revs; guides FY22EPS in-line
The Shyft Group (SHYF) beats by $0.09, misses on revs; guides FY22EPS in-line, revs in-line
TRI Pointe Homes (TPH) beats by $0.22, beats on revs; guides for Q4 home deliveries of 1,700-1,900
Tronox (TROX) misses by $0.06, reports revs in-line
Tyler Tech (TYL) beats by $0.20, reports revs in-line; guides FY22EPS above consensus, revs below consensus
UDR (UDR) beats by $0.01, beats on revs; guides Q4 FFO below consensus; guides FY22FFO in-line
Ultra Clean Holdings (ULCC) reports EPS in-line, beats on revs; guides Q4 EPS in-line, revs in-line; initiates $150 mln share repurchase program over a three year period
Unilever PLC (UL) reports Q3 trading statement; revs above consensus; raises sales outlook
United Rentals (URI) beats by $0.21, reports revs in-line; guides FY22revs in-line, raises FY22adjusted EBITDA guidance; announces new $1.25 bln share repurchase program
Upwork (UPWK) beats by $0.05, reports revs in-line; guides Q4 EPS below consensus, revs in-line
Valmont (VMI) beats by $0.08, beats on revs; raises FY22EPS and revenue guidance
V.F. Corp (VFC) reports EPS in-line, revs in-line; guides FY23EPS below consensus
West Fraser (WFG) beats by $0.77
West Pharm (WST) misses by $0.09, misses on revs; lowers FY22EPS guidance below consensus, revs below consensus
WEX (WEX) beats by $0.09, beats on revs; guides Q4 EPS in-line, revs above consensus
Willis Towers Watson (WTW) beats by $0.07, misses on revs; maintains 2022 targets and recasts 2024 financial targets
Wolfspeed (WOLF) beats by $0.01, reports revs in-line; guides Q2 EPS below consensus, revs below consensus
Xcel Energy (XEL) misses by $0.04, beats on revs; guides FY22EPS in-line; initiates FY23EPS in-line
News:
Analysts are still bullish on the dollar, according to Bloomberg
TikTok pushing into gaming, according to Financial Times
The Biden Administration plans to rework plan for Russian oil price cap, according to Bloomberg
Amerisafe (AMSF) declares special cash dividend of $4.00/share
AppHarvest (APPH) opens its Berea, Ky., 15-acre high-tech indoor salad greens farm featuring a touchless growing system with autonomous harvesting
AstraZeneca (AZN) reports Ultomiris showed zero relapses in adults with neuromyelitis optica spectrum disorder (NMOSD) with median treatment duration of 73 weeks
Boeing (BA) forecasts China's commercial fleet will more than double in next 20 years
Celanese (CE) confirms that is it lifting the force majeure declared on May 11, 2022, for the following Acetyl Chain products in the Western Hemisphere
Dorian LPG (LPG) declares irregular cash dividend of $1.00 per share; provides Q2 update
Evolution Petroleum (EPM) announced that the Board of Directors has selected Kelly Loyd as President and Chief Executive Officer
FREYR Battery (FREY) has announced a new service agreement with ITOCHU Corporation (ITOCY)
Genius Sports (GENI) has clinched an expansion of its Official Tracking Data partnership with Football DataCo to capture sub-second and skeletal tracking data across the Premier League
GlaxoSmithKline (GSK) provides update on ContRAst phase III programme for otilimab in the treatment of moderate to severe rheumatoid arthritis
GlaxoSmithKline (GSK) reports outcome from FDA Advisory Committee meeting on daprodustat for anaemia of CKD
Globe Life (GL) Co-CEOs both stepping down; Co appoints 2 new co-CEOs
LKQ (LKQ) raises dividend; $1 bln increase to stock repurchase program
Merck (MRK) elects Robert M. Davis to serve as chairman of the board, effective Dec. 1
Mirum Pharmaceuticals (MIRM) reports positive topline data from its Phase 3 MARCHstudy
Parsons (PSN) recently awarded several multi-million-dollar projects to provide fleet electrification and zero emission vehicle design and transit planning services for DoTs in three states
Puma Biotechnology (PBYI) Presents Updated Findings from the Phase II SUMMIT Basket Trial of Neratinib in EGFR Exon 18-Mutant NSCLC at the 2022 EORTC/NCI/AACR Symposium
Skechers (SKX) Issues Statement on Kanye West Unauthorized Visit
Toyota Motor (TM) has told suppliers it will lower production targets to 9.5 mln unites for 2022, according to Reuters
Twitter (TWTR):Â Elon Musk tells Twitter employees that he doesn't plan to eliminate 75% of the jobs, according to Bloomberg
ViewRay (VRAY): MIRAGE Phase III Randomized Controlled Trial Demonstrates Superiority of MRIdian MRI-Guidance in Stereotactic Body Radiotherapy (SBRT) for Localized Prostate Cancer
WEX's (WEX) Board of Directors authorizes increased share repurchase program
M&A:
Credit Suisse (CS) is nearing sale of its securitized-products group to Apollo Global Management (APO) and PIMCO, according to the Wall Street Journal
Ingersoll-Rand (IR) has entered into agreements to acquire Everest Blowers Private Limited and Everest Blower Systems Private Limited (collectively, 'Everest Group') and Airmax Groupe for a combined all-cash upfront purchase price of ~$86 mln with additional potential consideration based on achievement of Everest financial targets
SLB (SLB) has entered into an agreement to acquire Gyrodata Incorporated; financial terms were not disclosed
Regal Rexnord (RRX) to acquire Altra Industrial Motion (AIMC) for $62/share; announces upside prelim Q3 results
Teck Resources (TECK) divests interest in Fort Hills
Twitter (TWTR):Â Banks have begun sending money for Elon Musk's takeover of Twitter, according to the Wall Street Journal
Syndicate:Â
Aadi Bioscience (AADI) files ~5.8 mln common stock offering
IPOs:
Priced to Trade: No IPOs expected.
Gapping Up/Down
Gapping up:
PI +18.1%, NOW +12.4%, GSHD +9.5%, TDOC +8.8%, COUR +7.5%, ETD +7.4%, BUD +7%, OII +6.9%, PPC+6.2%, UCTT +6%, ALSN +5.7%, MOH +5.3%, ACMR+5.1%, GENI +5%, AMSF +5%, PGRE +5%, FLEX +5%, VMI +5%, MMSI +5%, OMF +4.7%, PLXS +4.7%, AZPN+4.2%, CCS +4.1%, ARES +3.9%, SHEL +3.7%, MEOH+3.3%, BHE +3.2%, PTEN +3.2%, MUSA +3.1%, TPH+2.8%, CLB +2.5%, CYH +2.2%, JXN +2.1%, KLAC+2%, ORLY +1.9%, MIRM +1.8%, WFG +1.7%, AWK+1.6%, NLY +1.6%, ENSG +1.2%, AEM +1.1%, AM+1%
Gapping down:
SNBR -26.3%, WOLF -23.9%, META -19.7%, ALGN-18.8%, FORM -17.6%, AMED -14.6%, SLP -10.4%, CS -9.8%, TROX -9.4%, STM -6.8%, ACGL -6.2%, LC-5.8%, UPWK -5.1%, BOOT -4.5%, VFC -4.4%, CNMD-4.1%, DLR -3.3%, INVH -3%, GL -2.9%, BMRN-2.9%, APO -2.8%, OSTK -2.7%, AR -2.6%, JBT-2.4%, CHDN -2.2%, F -2.2%, TECK -2.1%, FTI -2%, NTGR -1.7%, GEO -1.7%, ASX -1.5%, INFA -1.2%, LPG -1.2%, SAVE -1%
Analyst Research (see Upgrades/Downgradescalendarfor full list):
Upgrades
AGNC Investment (AGNC) upgraded to Overweight from Equal Weight at Barclays; tgt lowered to $9
Annaly Capital Mgmt (NLY) upgraded to Overweight from Equal Weight at Barclays; tgt raised to $19
Pinduoduo (PDD) upgraded to Overweight from Equal Weight at Barclays; tgt raised to $70
Portland Gen Elec (POR) upgraded to Neutral from Underperform at Credit Suisse; tgt raised to $46
Downgrades:
Ageas SA/NV (AGESY) downgraded to Hold from Buy at Berenberg
Amedisys (AMED) downgraded to Mkt Perform from Outperform at Raymond James
Arco Platform (ARCE) downgraded to Neutral from Buy at Goldman; tgt lowered to $12
Century Communities (CCS) downgraded to Neutral from Buy at B. Riley Securities; tgt lowered to $44
Evercore (EVR) downgraded to Mkt Perform from Outperform at Keefe Bruyette; tgt raised to $109
JBT Corp (JBT) downgraded to Mkt Perform from Outperform at William Blair
Masco (MAS) downgraded to Sector Perform from Outperform at RBC Capital Mkts; tgt lowered to $47
Others:
Arcellx (ACLX) initiated with a Buy at Needham; tgt $31
IDEAYA Biosciences (IDYA) initiated with a Buy at Citigroup; tgt $26
JD.com(JD) initiated with a Buy at CMB International; tgt $78.5
Mercury (MRCY) initiated with an Outperform at Raymond James; tgt $55
Mobileye Global (MBLY) initiated with a Hold at Spin-Off Research; tgt $25
Upcoming Events:
Econ Data:
08:30 ET: GDP-Adv.for Q3 (Briefing.comConsensus 2.3%; Prior -0.6%)
08:30 ET: Chain Deflator-Adv. for Q3 (Briefing.comConsensus 5.3%; Prior 9.0%)
08:30 ET: Initial Claims for Oct. 22 (Briefing.comConsensus 220K; Prior 214K)
08:30 ET: Continuing Claims for Oct. 15 (Briefing.comConsensus NA; Prior 1385K)
08:30 ET: Durable Orders for Sep (Briefing.comConsensus 0.6%: Prior -0.2%)
08:30 ET: Durable Orders Ex-Transportation for Sep (Briefing.comConsensus 0.2%; Prior 0.2%)
10:30 ET: EIA Natural Gas Inventories for Oct. 22 (Briefing.comConsensus NA; Prior +111 bcf)
Earnings
Monday (Oct 24)
Morning:Â BOH CBU DORM HNI KEX PHG SCHN
Afternoon: AGNC ARE BRO CADE CDNS CALX CATY CLS CR CCK DFS HSTM HXL HOPE IBTX LOGI MEDP NWE PKG PCH XM RRC SSD SSB AAN TBI WRB WSFS ZION
Tuesday (Oct 25)
Morning: MMM ADM ARCC AWI BIIB CNC CLF KO GLW FBP FELE GATX GE GM GPK HAL HUBB ITW IVZ JBLU KMB LKFN MCO MSCI NVS NVR ONB PCAR PNR PII POR PHM RTX SAP ST SHW SSTK SFNC SITC SBSI SYF TRU TRN UBS UPS VLO XRX
Afternoon:Â AGYS GOOG AMP AGR AXTA BXP BYD CNI CHX CC CMG CB CSGP EGP WIRE ENPH EQC EQR FFIV FCF FIBK FE HA HIW IEX JNPR KRC LXFR MANH MTDR MAT MXL MSFT NAVI NCR NXGN NEX RNST ROIC SKX SPOT LRN TENB TER TXN TNET TRMK UMBF UHS VBTX VICR V WSBC WH
Asia & Europe detail:
Asia: Nikkei -0.3%, Hang Seng +0.7%, Shanghai Composite -0.6%
Equity indices in the Asia-Pacific region ended Tuesday on a mostly higher note. Press reports suggested that Japan is planning JPY29 trln in stimulus spending, up from the previous forecast for spending of JPY25.10 trln. The stimulus package is expected to be approved by Japan's cabinet tomorrow. The Bank of Korea will temporarily broaden eligible loan collateral to improve liquidity among banks. Smartphone shipments in China were reportedly down 11% yr/yr in Q3.
In economic data:
China's September Industrial Profit -2.3% YTD (last -2.1%). September FDI 15.6% (last 16.4%)
South Korea's Q3 GDP 0.3% qtr/qtr (expected 0.1%; last 0.7%); 3.1% yr/yr (expected 2.8%; last 2.9%)
Australia's Q3 Import Price Index 3.0% qtr/qtr (last 4.3%) and Export Price Index -3.6% qtr/qtr (last 10.1%)
---Equity Markets---
Japan's Nikkei: -0.3%
Hong Kong's Hang Seng: +0.7%
China's Shanghai Composite: -0.6%
India's Sensex: +0.4%
South Korea's Kospi: +1.7%
Australia's ASX All Ordinaries: +0.5%
---FX---
USD/JPY: UNCH at 146.38
USD/CNH: +0.8% to 7.2509
USD/INR: +0.7% to 82.45
Europe: DAX -0.9%, FTSE +0.2%, CAC -1.0%
Major European indices trade on a mostly lower note while the U.K.'s FTSE (+0.2%) outperforms. British Prime Minister Sunak is reportedly reconsidering plans for tax hikes and spending cuts. The European Central Bank is expected to announce a 75-bps rate hike at 8:15 ET. Shell reported strong earnings, raised its dividend, and announced a buyback. Credit Suisse reported a CHF4 bln loss and announced that its workforce will be reduced by 9,000 by the end of 2025.
In economic data:
Germany's November GfK Consumer Climate -41.9, as expected (last -42.8)
U.K.'s October CBI Distributive Trades Survey 18 (last -20)
Italy's August Industrial Sales 3.6% m/m (last -0.2%); 23.1% yr/yr (last 16.2%). October Business Confidence 100.4 (expected 100.0; last 101.2) and Consumer Confidence 90.1 (expected 93.8; last 94.8)
Spain's Q3 Unemployment Rate 12.67% (expected 13.00%; last 12.48%)
---Equity Markets---
STOXX Europe 600: -0.7%
Germany's DAX: -0.9%
U.K.'s FTSE 100: +0.2%
France's CAC 40: -1.0%
Italy's FTSE MIB: -0.6%
Spain's IBEX 35: -0.4%
---FX---
EUR/USD: -0.3% to 1.0047
GBP/USD: -0.3% to 1.1584
USD/CHF: +0.4% to 0.9897
Comments