Search

28/10/22 Briefing

The S&P 500 futures are down 17 points and are trading 0.4% below fair value. The Nasdaq 100 futures are down 100 points and are trading 0.8% below fair value. The Dow Jones Industrial Average futures are down 8 points and are trading roughly in line with fair value.

Equity futures are lower this morning as market participants digest the disappointing guidance from Amazon (AMZN) accompanying their earnings report after yesterday's close. There may also be a feeling of trepidation in play ahead of the latest inflation reading. The September Personal Income and Spending report, which includes the PCE Price Index, is out at 8:30 a.m. ET

Treasury yields are inching higher as the 10-yr note yield breaches the 4.00% level. The 10-yr note yield is up six basis points to 4.01% and the 2-yr note yield is up two basis points to 4.36%.

The Biden administration is reported considering additional restrictions on exports of advanced technology to China, according to The New York Times.

Also, the Bank of Japan maintained its ultra-loose policy stance and raised its inflation forecast for 2022 to 2.9% from 2.3%.

Aside from the September Personal Income and Spending report, other data releases today include:

  • 8:30 ET: Q3 Employment Cost Index (Briefing.comconsensus 1.2%; prior 1.3%)

  • 10:00 ET: September Pending Home Sales (Briefing.comconsensus -5.1%; prior -2.0%) and final October University of Michigan Consumer Sentiment survey (Briefing.comconsensus 59.6; prior 59.8)

In corporate news:

  • Amazon (AMZN 97.75 -13.21 -11.91%): reports Q3 results, revs in-line; guides Q4 revs below consensus; moderating sales growth and FX headwinds expected to persist in Q4; will pause hiring in certain businesses

  • Apple (AAPL 145.45 +0.65 +0.45%): beats by $0.02, beats on revs; iPhone miss expectations as CEO Tim Cook cites supply issues; Macs well ahead of expectations; margins beat; revenue growth will decelerate in Q1 (Dec) vs Q4 (Sep). Mac revenue is expected to decline substantially due to tough comparable from last year. Gross margins are expected to be 42.5-43.5%. Q4 (Sep) revenue growth was 7.8%. Q1 Capital IQ consensus 3% yr/yr

  • Twitter (TWTR 53.86 +0.16 +0.30%): Elon Musk is now in charge of Twitter. CEO Parag Agrawal and CFO Ned Segal are out, according to CNBC 

  • T-Mobile (TMUS 145.18 +4.55 +3.24%): eports Q3 (Sep) results, misses on revs

  • Intel (INTC 28.03 +1.76 +6.70%): beats by $0.26, reports revs in-line; guides Q4 EPS below consensus, revs below consensus; sees Q4 $0.20 vs $0.68 S&P Capital IQ Consensus Estimate; sees revs $14-15 bln vs $16.43 bln S&P Capital IQ Consensus Estimate

  • Capital One (COF 98.48 -3.65 -3.57%):  misses by $0.84, beats on revs

  • Pinterest (PINS 24.37 +2.48 +11.33%): beats by $0.05, beats on revs; expects Q4 revenue to grow by mid-single digits vs. consensus estimate of 4.5% growth

  • Exxon Mobil (XOM 110.08 +2.53 +2.35%): beats by $0.65, beats on revs

  • Chevron (CVX 181.59 +3.69 +2.07%): beats by $0.71, beats on revs

  • Colgate-Palmolive (CL 73.00 -0.23 -0.31%):  beats by $0.01, reports revs in-line; guides FY22 EPS below consensus, reaffirms FY22 revs guidance

Reviewing overnight developments:

  • Equity indices in the Asia-Pacific region ended the week on a mostly lower note. Japan's Nikkei: -0.9% (+0.8% for the week), Hong Kong's Hang Seng: -3.7% (-8.3% for the week), China's Shanghai Composite: -2.3% (-4.1% for the week), India's Sensex: +0.3% (+1.1% for the week), South Korea's Kospi: -0.9% (+2.5% for the week), Australia's ASX All Ordinaries: -1.0% (+1.5% for the week).

  • In economic data:

  • Japan's October Tokyo CPI 3.5% yr/yr (last 2.8%) and Tokyo Core CPI 3.4% yr/yr (expected 3.1%; last 2.8%). September Unemployment Rate 2.6% (expected 2.5%; last 2.5%) and September jobs/applications ratio 1.34 (expected 1.33; last 1.32)

  • Australia's Q3 PPI 1.9% qtr/qtr (last 1.4%); 6.4% yr/yr (last 5.6%)

  • Singapore's Q3 Unemployment Rate 2.0% (last 2.1%) and Q3 URA Property Index 3.8% qtr/qtr (expected 3.4%; last 3.5%)

  • In news:

  • Japan's Prime Minister Kishida announced a JPY29 trln extra budget, as expected.

  • The IMF lowered its 2022 growth forecast for Asia to 4.0% from 4.9% while the outlook for 2023 was cut to 4.3% from 5.1%.

  • The Biden administration may impose additional restrictions on exports of advanced technology to China, according to The New York Times.

  • The Bank of Japan maintained its ultra-loose policy stance and raised its inflation forecast for 2022 to 2.9% from 2.3%.

  • Major European indices trade in the red. STOXX Europe 600: -0.5% (+3.0% week-to-date), Germany's DAX: -0.7% (+3.1% week-to-date), U.K.'s FTSE 100: -0.4% (+1.1% week-to-date), France's CAC 40: -0.2% (+3.2% week-to-date), Italy's FTSE MIB: -1.0% (+3.7% week-to-date), Spain's IBEX 35: -0.8% (+4.1% week-to-date).

  • In economic data:

  • Eurozone's October Business and Consumer Survey 92.5, as expected (last 93.6)

  • Germany's Q3 GDP 0.3% qtr/qtr (expected -0.2%; last 0.1%); 1.1% yr/yr (expected 0.7%; last 1.7%)

  • France's Q3 GDP 0.2% qtr/qtr, as expected (last 0.5%); 1.0% yr/yr, as expected (last 1.4%). September Consumer Spending 1.2% m/m (expected 1.1%; last 0.1%). September PPI 1.0% m/m (last 2.8%). Flash October CPI 1.0% m/m (expected 0.5%; last -0.6%); 6.2% yr/yr (expected 5.7%; last 5.6%)

  • Italy's September PPI 2.8% m/m (last 2.8%); 41.8% yr/yr (last 40.1%). October CPI 3.5% m/m (expected 1.2%; last 0.3%); 11.9% yr/yr (expected 9.6%; last 8.9%)

  • Spain's Q3 GDP 0.2% qtr/qtr (expected 0.3%; last 1.5%); 3.8% yr/yr (expected 3.9%; last 6.8%). Flash October CPI 0.4% m/m (expected 1.0%; last -0.7%); 7.3% yr/yr (expected 8.0%; last 8.9%). October Business Confidence -4.6 (last -5.7)

  • Swiss October KOF Leading Indicators 90.9 (expected 93.2; last 92.3)

  • In news:

  • Volkswagen lowered its delivery forecast for the year and noted that supply chain bottlenecks are expected to persist.

  • Bank of France Governor Villeroy de Galhau said that the European Central Bank is not obligated to hike by another 75 bps in December, but also said that normalization of rates should be quick. He sees the terminal rate around 2.00%.

  • Flash October CPI readings from France and Italy accelerated to fresh highs for the year.

 

U.S. equity futures:

  • S&P 500 Futures: -15 @ 3,792

  • DJIA Futures: +12 @ 32,046

  • Nasdaq 100 Futures: -94 @ 11,097

Overseas:

  • Europe: DAX -0.7%, FTSE -0.4%, CAC -0.2%

  • Asia: Nikkei -0.9%, Hang Seng -3.7%, Shanghai Composite -2.3%

Commodities:

  • Crude Oil -0.61 @ 88.47

  • Nat Gas  -0.091 @ 5.784

  • Gold -11 @ 1654.60

  • Silver -0.206  @ 19.280

  • Copper -0.0600 @ 3.4595

U.S. Summary:

  • Earnings/Guidance:

  • 8x8 (EGHT) beats by $0.02, reports revs in-line; guides Q3 revs below consensus; guides FY23 revs below consensus

  • AbbVie (ABBV) beats by $0.10, reports revs in-line; narrows FY22 EPS in-line

  • Airbus (EADSY) reports nine-month results; revs increase 8% yr/yr

  • AllianceBernstein (AB) beats by $0.06, misses on revs

  • Amazon (AMZN) reports Q3 results, revs in-line; guides Q4 revs below consensus

  • Aon (AON) beats by $0.03, misses on revs

  • Apple (AAPL) beats by $0.02, beats on revs; iPhone miss expectations as CEO Tim Cook cites supply issues; Macs well ahead of expectations; margins beat

  • Avantor (AVTR) beats by $0.01, reports revs in-line

  • Barnes Group (B) reports EPS in-line, misses on revs; lowers top end of FY22 EPS guidance

  • Bio-Rad Labs (BIO) misses by $0.14, reports revs in-line

  • Bloomin' Brands (BLMN) beats by $0.01, reports revs in-line; reaffirms FY22 EPS guidance, guides FY22 revs above consensus

  • Booz Allen Hamilton (BAH) beats by $0.21, beats on revs; guides FY23 EPS in-line, revs in-line

  • Camden Property (CPT) reports FFO in-line, revs in-line; guides Q4 FFO below consensus; guides FY22 FFO below consensus

  • Capital One (COF) misses by $0.84, beats on revs

  • Carter's (CRI) misses by $0.04, misses on revs; guides Q4 EPS below consensus, revs below consensus; guides FY22 EPS below consensus, revs below consensus

  • Casella Waste (CWST) beats by $0.09, beats on revs; raises FY22 revs guidance

  • Charter Comm (CHTR) misses by $1.01, reports revs in-line

  • Chart Industries (GTLS) beats by $0.18, misses on revs; lowers FY22 EPS below consensus, revs below consensus; guides FY23 EPS in-line, revs in-line

  • Chevron (CVX) beats by $0.71, beats on revs

  • Church & Dwight (CHD) beats by $0.11, reports revs in-line; guides Q4 EPS below consensus, revs below consensus

  • Cohu (COHU) beats by $0.06, reports revs in-line; guides Q4 revs in-line

  • Colgate-Palmolive (CL) beats by $0.01, reports revs in-line; guides FY22 EPS below consensus, reaffirms FY22 revs guidance

  • Columbia Sportswear (COLM) beats by $0.13, reports revs in-line; guides Q4 EPS in-line, revs in-line; reaffirms FY22 EPS guidance, revs guidance

  • Corp Office Props (OFC) reports FFO in-line, beats on revs; guides Q4 FFO in-line; guides FY22 FFO in-line

  • Criteo (CRTO) beats by $0.05, misses on revs; guides Q4 revs below consensus

  • CubeSmart (CUBE) beats by $0.01, beats on revs; guides Q4 FFO in-line

  • DaVita (DVA) misses by $0.32, reports revs in-line; guides FY22 EPS below consensus

  • Deckers Outdoor (DECK) beats by $0.10, beats on revs; reaffirms FY23 EPS guidance, revs guidance

  • Dexcom (DXCM) beats by $0.04, beats on revs; guides FY22 revs in-line

  • Dril-Quip (DRQ) beats by $0.06, misses on revs

  • DT Midstream (DTM) beats by $0.03

  • Edwards Lifesciences (EW) misses by $0.01, misses on revs; guides FY22 EPS below consensus, revs in-line

  • Enova International (ENVA) beats by $0.10, beats on revs

  • Equinor (EQNR) beats by $0.03; beats on revs

  • Exponent (EXPO) beats by $0.05, beats on revs

  • Exxon Mobil (XOM) beats by $0.65, beats on revs

  • Federated Hermes (FHI) beats by $0.08, beats on revs

  • First Solar (FSLR) misses by $0.22, misses on revs; lowers FY22 EPS guidance; narrows FY22 revenue guidance

  • Gilead Sciences (GILD) beats by $0.47, beats on revs; guides FY22 EPS above consensus

  • Grand Canyon Education (LOPE) beats by $0.15, reports revs in-line; guides Q4 EPS above consensus

  • Hartford Financial (HIG) beats by $0.22, reports revs in-line

  • Houlihan Lokey (HLI) beats by $0.16, beats on revs

  • Hub Group (HUBG) beats by $0.15, misses on revs; guides FY22 EPS above consensus, revs below consensus

  • JinkoSolar (JKS) beats by $0.19, beats on revs

  • Intel (INTC) beats by $0.26, reports revs in-line; guides Q4 EPS below consensus, revs below consensus

  • Kinsale Capital (KNSL) beats by $0.19, reports revs in-line

  • Knowles (KN) beats by $0.03, reports revs in-line; guides Q4 EPS mostly below consensus, revs in-line

  • L3Harris (LHX) misses by $0.14, misses on revs; guides FY22 EPS below consensus, revs below consensus

  • Lemaitre Vascular (LMAT) misses by $0.03, misses on revs; guides Q4 EPS below consensus, revs in-line

  • LPL Financial (LPLA) beats by $0.03, reports revs in-line

  • LyondellBasell (LYB) misses by $0.99, misses on revs

  • McGrath RentCorp (MGRC) beats by $0.08, beats on revs; guides FY22 revs above two analyst estimate

  • Mercer Intl (MERC) beats by $0.13, beats on revs

  • Mohawk (MHK) reports EPS in-line, misses on revs; guides Q4 EPS below consensu

  • Monolithic Power (MPWR) beats by $0.04, reports revs in-line; guides Q4 revs below consensus

  • Natl Instruments (NATI) reports EPS in-line, revs in-line; guides Q4 EPS below consensus, revs below consensus

  • NatWest Group plc (NEE) beats by $0.05, beats on revs; reaffirms FY22 EPS guidance; guides FY23 EPS in-line

  • NextEra Energy (NEE) beats by $0.05, beats on revs; reaffirms FY22 EPS guidance; guides FY23 EPS in-line

  • NextEra Energy Partners (NEP) beats by $0.22, misses on revs

  • Onto Innovation (ONTO) beats by $0.04, beats on revs; guides Q4 EPS in-line, revs in-line

  • Pathward Financial (CASH) beats by $0.10; guides FY23 EPS in-line

  • Pebblebrook Hotel Trust (PEB) beats by $0.02, beats on revs

  • Pinterest (PINS) beats by $0.05, beats on revs; expects Q4 revenue to grow by mid-single digits vs. consensus estimate of 4.5% growth

  • Pioneer Natural Resources (PXD) reports Q3 (Sep) results, misses on revs; Q4 oil production is forecasted to average between 346.5 to 361.5 MBOPD

  • PTC Therapeutics (PTCT) misses by $0.27, beats on revs; guides FY22 revs in-line

  • Republic Services (RSG) beats by $0.12, beats on revs

  • Sanofi (SNY) beats by 0.22, beats on revs; raises FY22 revs above consensus

  • Seagen (SGEN) misses by $0.06, beats on revs; guides FY22 revs in-line

  • SJW (SJW) beats on top and bottom lines; reaffirms FY22 guidance

  • SkyWest (SKYW) beats by $0.21, misses on revs

  • Southwestern Energy (SWN) beats by $0.01, beats on revs; expects Q4 production of 417-437 Bcfe

  • SPS Commerce (SPSC) beats by $0.11, reports revs in-line; guides Q4 EPS below consensus, revs in-line

  • SS&C Techs (SSNC) misses by $0.03, misses on revs; guides Q4 EPS below consensus, revs below consensus

  • STAG Industrial (STAG) beats by $0.03, reports revs in-line

  • Terex (TEX) beats by $0.16, beats on revs; raises FY22 EPS and revenue guidance

  • Texas Roadhouse (TXRH) beats by $0.04, beats on revs, comparable restaurant sales increased 8.2% at company restaurants

  • T-Mobile US (TMUS) reports Q3 (Sep) results, misses on revs

  • U.S. Silica (SLCA) beats by $0.08, beats on revs

  • U.S. Steel (X) beats by $0.02, beats on revs

  • Vale S.A. () reports Q3 results

  • VeriSign (VRSN) beats by $0.04, reports revs in-line; approves additional authorization for share repurchases of approximately $803 mln of common stock

  • Vertex Pharma (VRTX) beats by $0.37, beats on revs; raises FY22 revs guidance above consensus

  • VICI Properties (VICI) misses by $0.06, beats on revs

  • Volkswagen AG (VWAGY) reports Q3 results; revs increased 24% yr/yr

  • Weyerhaeuser (WY) beats by $0.05, reports revs in-line

  • Yamana Gold (AUY) beats by $0.01, reports revs in-line

  • Zendesk (ZEN) beats by $0.07, misses on revs

  • News:

  • UK considering tax increases and spending cuts equaling GBP 50 billion, according to Financial Times

  • EU confirms it will end the sale of new CO2 emitting cars in Europe by 2035

  • Agios Pharma (AGIO) and Sagard Healthcare Partners announce $131.8 mln purchase agreement for TIBSOVO royalty

  • Alliance Resource (ARLP) increases increases quarterly distribution to $0.50/share from $0.40/share

  • Baker Hughes (BKR) increases quarterly cash dividend to $0.19/share from $0.18/ and its Board of Directors authorizes Baker Hughes Holdings to repurchase up to $2 bln of additional common units, increasing its existing share repurchase authorization by $2 bln to $4 bln

  • Biogen (BIIB) and Eisai (ESALY) drug lecanemab contributed to a death of a patient, according to Stat News

  • Boise Cascade (BCC) increases quarterly dividend to $0.15/share from $0.12/share and announces special dividend of $1.00/share

  • Edgewise Therapeutics (EWTX) initiated the LYNX Phase 2 clinical trial at Rare Disease Research

  • Garmin (GRMN) confirms won patent lawsuit brought by Logantree LP against Garmin in Kansas federal court

  • GlaxoSmithKline (GSK) marketing authorisation application for respiratory syncytial virus older adult vaccine candidate accepted by EMA under accelerated assessment

  • Huntington Ingalls (HII) awarded $2.41 bln modification to previously awarded contract by the U.S. Navy

  • KKR (KKR) aiming to raise $6 bln for Asia infrastructure fund, according to Reuters

  • NuStar Energy (NS) announces Bill Greehey will step down from his position as NuStar's chairman of the board and become chairman emeritus

  • Nuvalent (NUVL) Reports Preliminary Phase 1 Clinical Data from ARROS-1 Trial that Support Best-In-Class Potential of NVL-520 for Patients withROS1-Positive NSCLC

  • Pathward Financial (CASH) announces that Sonja Theisen, currently Executive Vice President, Governance, Risk and Compliance, will succeed Glen W. Herrick, 60, as Chief Financial Officer, effective April 30, 2023

  • Pilgrim's Pride (PPC) discloses DOJ civil investigation

  • Rockwell Automation (ROK) increases quarterly dividend to $1.18/share from $1.12/share

  • Rogers Comms (RCI), Quebecor, and Shaw Communications (SJR) attended a mediation session as part of the Competition Tribunal process

  • Simply Good Foods (SMPL) announces Shaun Mara as CFO

  • Twitter (TWTR): Elon Musk is now in charge of Twitter. CEO Parag Agrawal and CFO Ned Segal are out, CNBC

  • Twitter (TWTR): Elon Musk is expected to soon remove lifetime bans of users on Twitter, according to Bloomberg

  • Wallbox (WBX) officially opened its first North American manufacturing facility in Arlington, Texas

  • M&A:

  • Cavco Industries (CVCO) to acquire the business of Solitaire Homes for $93 mln

  • Comcast (CMCSA) mulling sale of Sky Deutschland, according to Bloomberg

  • Himax Tech (HIMX) has divested its wholly owned subsidiary Emza Visual Sense Ltd. in sale to Synaptics (SYNA)

  • New York Community (NYCB) and Flagstar Bancorp (FBC) merger approved by OCC; both cos mutually agreed to extend their merger agreement to Dec 31from Oct 31

  • Syndicate

  • Bed Bath & Beyond (BBBY) files supplement to prospectus dated August 31, 2022; to offer additional shares of common stock of up to $150 mln

  • PTC Therapeutics (PTCT) entered into a strategic financing collaboration with funds managed by Blackstone (BX); Co to receive $350 mln in cash

  • Tritium DCFC (DCFC) entered into committed equity facility pursuant to which the Company has the right to sell to B. Riley Principal Capital II up to $75 mln ordinary shares

  • IPOs:

  • Priced to Trade: No IPOs expected.

Gapping Up/Down

  • Gapping up:

  • EGHT +13.2%, TVTX +9.7%, CUBE +9.1%, PINS+8.7%, EPM +7%, CWST +6.7%, DXCM +6.7%, NUVL+6.6%, PFSI +5.9%, TFII +5.6%, ACGL +5.5%, DRQ+5.5%, EQNR +5.2%, GILD +4.8%, VRTX +4.6%, INTC+4.6%, KNSL +3.7%, OIS +3.6%, BFH +3.5%, WBX+3.4%, TMUS +3.4%, ARIS +2.7%, WTTR +2.5%, TEX+2.5%, CVX +2.5%, SNY +2.3%, FHI +2%, LQDA+1.9%, SWN +1.8%, CASH +1.6%, CFFN +1.4%, RSG+1.4%, SKYW +1.2%, GSK +0.9%, AAPL +0.8%

  • Gapping down:

  • PTCT -13.8%, AMZN -13%, BWMX -12.4%, EW-11.9%, UFI -9.9%, NWG -9.4%, NATI -7.3%, MPWR-6.1%, DECK -5.8%, LMAT -5.7%, CRI -4.8%, HII-4.4%, FSLR -4.3%, INO -3.9%, ALRM -3.7%, COF-3.6%, MHK -3.4%, BIO -3.3%, EWTX -3.1%, RMD-3.1%, ONTO -2.9%, LPLA -2.9%, VALE -2.7%, WY-2.5%, MATV -2.3%, NOV -2.3%, BCC -2.1%, AX-1.8%, GLPI -1.8%, BKR -1.6%, CMCT -1.5%, TXRH-1.3%, STAG -1.3%, WKHS -1.2%, VVNT -1.1%, VICI-1.1%, X -1.1%

 


Analyst Research (see Upgrades/Downgradescalendarfor full list):

  • Upgrades

  • First Solar (FSLR) upgraded to Outperform from Peer Perform at Wolfe Research; tgt $170

  • Gilead Sciences (GILD) upgraded to Buy from Hold at Truist; tgt raised to $91

  • Gilead Sciences (GILD) upgraded to Overweight from Neutral at Piper Sandler; tgt raised to $96

  • Intel (INTC) upgraded to Buy from Hold at Summit Insights

  • Intel (INTC) upgraded to Equal Weight from Underweight at Barclays; tgt $30

  • Intel (INTC) upgraded to Neutral from Underperform at KGI Securities; tgt $28

  • MYR Group (MYRG) upgraded to Outperform from Neutral at Robert W. Baird; tgt raised to $95

  • MYR Group (MYRG) upgraded to Overweight from Sector Weight at KeyBanc Capital Markets; tgt $99

  • Unity Software (U) upgraded to Overweight from Neutral at Piper Sandler; tgt lowered to $38

  • Downgrades:

  • Ardagh Metal Packaging S.A. (AMBP) downgraded to Market Perform from Outperform at BMO Capital Markets; tgt lowered to $5

  • Associated British Foods (ASBFY) downgraded to Hold from Buy at HSBC Securities

  • Axalta Coating Systems (AXTA) downgraded to Neutral from Outperform at Exane BNP Paribas; tgt $27

  • Banco Santander Brasil (BSBR) downgraded to Sell from Neutral at Goldman

  • Caterpillar (CAT) downgraded to Hold from Buy at Deutsche Bank; tgt raised to $221

  • Dana Inc (DAN) downgraded to Sector Perform from Outperform at RBC Capital Mkts; tgt raised to $16

  • Edwards Lifesciences (EW) downgraded to Perform from Outperform at Oppenheimer

  • Essex Property (ESS) downgraded to Neutral from Overweight at Piper Sandler; tgt lowered to $250

  • H&M (HNNMY) downgraded to Reduce from Hold at HSBC Securities

  • Horizon Bancorp (HBNC) downgraded to Mkt Perform from Outperform at Keefe Bruyette; tgt lowered to $18

  • L3Harris (LHX) downgraded to Mkt Perform from Outperform at Raymond James

  • Marks and Spencer (MAKSY) downgraded to Hold from Buy at HSBC Securities

  • Meta Platforms (META) downgraded to Hold from Buy at Edward Jones

  • O'Reilly Auto (ORLY) downgraded to Buy from Conviction Buy at Goldman; tgt raised to $841

  • Paylocity (PCTY) downgraded to Neutral from Buy at DA Davidson; tgt $250

  • Stanley Black & Decker (SWK) downgraded to Neutral from Outperform at Robert W. Baird; tgt lowered to $80

  • Teck Resources (TECK) downgraded to Market Perform from Outperform at BMO Capital Markets

  • Travel + Leisure Co (TNL) downgraded to Underperform from Outperform at Credit Suisse; tgt lowered to $31

  • Trimas (TRS) downgraded to Mkt Perform from Outperform at William Blair

  • United Fire Group (UFCS) downgraded to Neutral from Overweight at Piper Sandler; tgt lowered to $31

  • West Pharm (WST) downgraded to Neutral from Buy at BofA Securities; tgt lowered to $250

  • Western Union (WU) downgraded to Sell from Neutral at UBS; tgt $12

  • Others:

  • Amprius Technologies (AMPX) initiated with a Buy at EF Hutton; tgt $14

  • CinCor Pharma (CINC) initiated with a Buy at Goldman; tgt $67

  • Coastal Financial (CCB) assumed with a Strong Buy at Raymond James; tgt $57

  • Enovix (ENVX) initiated with a Buy at EF Hutton; tgt $25

  • ESS Inc. (GWH) initiated with a Buy at EF Hutton; tgt $6

  • Geron (GERN) initiated with an Outperform at Wedbush; tgt $5

  • Imago BioSciences (IMGO) initiated with an Outperform at Wedbush; tgt $25

  • Physicians Realty Trust (DOC) initiated with a Neutral at JP Morgan; tgt $17

Upcoming Events:

  • Econ Data:

  • 08:30 ET: Personal Income for Sep (Briefing.comConsensus 0.3%; Prior 0.3%)

  • 08:30 ET: Personal Spending for Sep (Briefing.comConsensus 0.4%; Prior 0.4%)

  • 08:30 ET: PCE Prices for Sep (Briefing.comConsensus 0.3%; Prior 0.3%)

  • 08:30 ET: PCE Prices - Core for Sep (Briefing.comConsensus 0.4%; Prior 0.6%)

  • 08:30 ET: Employment Cost Index for Q3 (Briefing.comConsensus 1.2%; Prior 1.3%)

  • 10:00 ET: Pending Home Sales for Sep (Briefing.comConsensus -5.1%; Prior -2.0%)

  • 10:00 ET: Univ. of Michigan Consumer Sentiment - Final for Oct (Briefing.comConsensus 59.6; Prior 59.8)

  • Earnings

  • Monday (Oct 24)

  • Morning:  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:  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 -0.9%, Hang Seng -3.7%, Shanghai Composite -2.3%

Equity indices in the Asia-Pacific region ended the week on a mostly lower note. Japan's Prime Minister Kishida announced a JPY29 trln extra budget, as expected. The IMF lowered its 2022 growth forecast for Asia to 4.0% from 4.9% while the outlook for 2023 was cut to 4.3% from 5.1%. The Biden administration may impose additional restrictions on exports of advanced technology to China, according to The New York Times. The Bank of Japan maintained its ultra-loose policy stance and raised its inflation forecast for 2022 to 2.9% from 2.3%.

  • In economic data:

  • Japan's October Tokyo CPI 3.5% yr/yr (last 2.8%) and Tokyo Core CPI 3.4% yr/yr (expected 3.1%; last 2.8%). September Unemployment Rate 2.6% (expected 2.5%; last 2.5%) and September jobs/applications ratio 1.34 (expected 1.33; last 1.32)

  • Australia's Q3 PPI 1.9% qtr/qtr (last 1.4%); 6.4% yr/yr (last 5.6%)

  • Singapore's Q3 Unemployment Rate 2.0% (last 2.1%) and Q3 URA Property Index 3.8% qtr/qtr (expected 3.4%; last 3.5%)

---Equity Markets---

  • Japan's Nikkei: -0.9% (+0.8% for the week)

  • Hong Kong's Hang Seng: -3.7% (-8.3% for the week)

  • China's Shanghai Composite: -2.3% (-4.1% for the week)

  • India's Sensex: +0.3% (+1.1% for the week)

  • South Korea's Kospi: -0.9% (+2.5% for the week)

  • Australia's ASX All Ordinaries: -1.0% (+1.5% for the week)

---FX---

  • USD/JPY: +1.0% to 147.65

  • USD/CNH: +0.4% to 7.2781

  • USD/INR: +0.1% to 82.47

Europe: DAX -0.7%, FTSE -0.4%, CAC -0.2%

Major European indices trade in the red. Volkswagen lowered its delivery forecast for the year and noted that supply chain bottlenecks are expected to persist. Bank of France Governor Villeroy de Galhau said that the European Central Bank is not obligated to hike by another 75 bps in December, but also said that normalization of rates should be quick. He sees the terminal rate around 2.00%. Flash October CPI readings from France and Italy accelerated to fresh highs for the year.

  • In economic data:

  • Eurozone's October Business and Consumer Survey 92.5, as expected (last 93.6)

  • Germany's Q3 GDP 0.3% qtr/qtr (expected -0.2%; last 0.1%); 1.1% yr/yr (expected 0.7%; last 1.7%)

  • France's Q3 GDP 0.2% qtr/qtr, as expected (last 0.5%); 1.0% yr/yr, as expected (last 1.4%). September Consumer Spending 1.2% m/m (expected 1.1%; last 0.1%). September PPI 1.0% m/m (last 2.8%). Flash October CPI 1.0% m/m (expected 0.5%; last -0.6%); 6.2% yr/yr (expected 5.7%; last 5.6%)

  • Italy's September PPI 2.8% m/m (last 2.8%); 41.8% yr/yr (last 40.1%). October CPI 3.5% m/m (expected 1.2%; last 0.3%); 11.9% yr/yr (expected 9.6%; last 8.9%)

  • Spain's Q3 GDP 0.2% qtr/qtr (expected 0.3%; last 1.5%); 3.8% yr/yr (expected 3.9%; last 6.8%). Flash October CPI 0.4% m/m (expected 1.0%; last -0.7%); 7.3% yr/yr (expected 8.0%; last 8.9%). October Business Confidence -4.6 (last -5.7)

  • Swiss October KOF Leading Indicators 90.9 (expected 93.2; last 92.3)

---Equity Markets---

  • STOXX Europe 600: -0.5% (+3.0% week-to-date)

  • Germany's DAX: -0.7% (+3.1% week-to-date)

  • U.K.'s FTSE 100: -0.4% (+1.1% week-to-date)

  • France's CAC 40: -0.2% (+3.2% week-to-date)

  • Italy's FTSE MIB: -1.0% (+3.7% week-to-date)

  • Spain's IBEX 35: -0.8% (+4.1% week-to-date)

---FX---

  • EUR/USD: -0.1% to 0.9951

  • GBP/USD: -0.2% to 1.1540

  • USD/CHF: +0.5% to 0.9953



0 views0 comments

Recent Posts

See All