Author: Specialist

General Market Comment

US indices gave up early gains on Monday as the possibility of more U.S.- China tariffs and a slide in tech shares rattled the markets. Shares in the Media (-2.49%), Retailing (-2.43%) and Capital Goods (-2.29%) sectors were under the most pressure. On the economic data front, U.S. personal income increased 0.2% in September (0.4% estimate) compared to a revised 0.4% increase in August. Personal spending gained 0.4% in Sept, in-line with estimates vs a revised 0.5% gain in Aug. The S&P 500 (2,641.25) remains at levels below both its 20d moving average (2,787.34 – negative slope) and 50d moving average (2,852.49 – negative slope). read more

NEW YORK – Oil prices edged lower on Monday as Russia signaled output will remain high, but losses were limited ahead of U.S. sanctions on Iranian exports that are expected to reduce supplies when they come into effect in just under a week.

Today’s Economic Events

09:30 UK SEP M4 Money Supply (MoM) exp: NA prev: 0.2%
12:30 US SEP Personal Income exp: 0.4% prev: 0.3%
12:30 US SEP Personal Spending exp: 0.4% prev: 0.3%

General Market Comment

US indices continued their declines on Friday pressured by shares in the Retailing (-4.71%), Real Estate (-2.59%), Telecommunication Services (-2.53%) sectors. On the economic data front, 3Q GDP expanded 3.5%, above the 3.3% estimate compared to a prior reading of 4.2% which marks the strongest consecutive quarters of growth since 2014. U.S. personal spending increased 4% in the same period, also above its 3.3% estimate vs a gain of 3.8% last quarter. Finally, the University of Michigan consumer sentiment index weakened to 98.6 in Oct (99 estimate) compared to 99 in Sept. The S&P 500 (2,658.69) remains at levels below both its 20d moving average (2,801.50 – negative slope) and 50d moving average (2,856.66 – negative slope). read more

Commodity Closing – Europe/Oil-Gas Majors 26.10.18

Oil prices dropped on Friday, heading for a third weekly loss after Saudi Arabia warned of oversupply, while a slump in stock markets and concerns about trade clouded the outlook for fuel demand.

Today’s Economic Events

07:45 FR OCT Consumer Confidence exp: 95 prev: 94
07:45 FR SEP Producer Price Index (MoM) exp: NA prev: 0.2%
13:30 US 3Q A GDP (QoQ) exp: 3.3% prev: 4.2%
13:30 US 3Q A GDP Price (QoQ) exp: 2.1% prev: 3%
13:30 US 3Q A Personal Consumption exp: 3.3% prev: 3.8%
15:00 US OCT F U. of Michigan Confidence exp: 99 prev: 99

General Market Comment

US indices closed higher on Thursday with the Dow closing 400 points higher as tech leads the market rebound. Shares in the Automobiles & Components (+5.37%), Software & Services (+4.14%) and Retailing (+4.12%) sectors pushed the indices higher. On the economic data front, initial jobless claims reached 215k in week ended October 20th, in-line with estimates, from 210k in the previous week. Continuing claims slightly diminished to 1.636M in week ended October 13th (forecasted 1.644M) compared to 1.641M in the prior week. In other news, wholesale inventories improved by 0.3% MoM in a preliminary estimate in September (expected 0.5%) vs. 0.9% in August. Durable goods orders increased by 0.8% in a preliminary estimate in September (estimated -1.5%) from a rise of 4.6% a month earlier. In addition, pending home sales improved by 0.5% MoM in September vs. an expected flat level, compared to a decrease of 1.9% in August. Finally, the Bloomberg Consumer Comfort index slightly decreased to 60.1 in week ended October 21st vs. 60.8 in the prior week. The S&P 500 (2,705.57) remains at levels below both its 20d moving average (2,814.27 – negative slope) and 50d moving average (2,860.30 – negative slope). read more

Commodity Closing – Europe/Oil-Gas Majors 25.10.18

HOUSTON – Oil prices rose on Thursday alongside U.S. stock markets as Wall Street recovered from the worst meltdown since 2011 the previous day, allaying some fears that a slowdown in global economic growth would hit demand for oil.

Today’s Economic Events

09:00 GE OCT IFO – Business Climate exp: 103 prev: 103.7
09:00 GE OCT IFO – Current Assessment exp: 106 prev: 106.4
09:00 GE OCT IFO – Expectations exp: 100.3 prev: 101
12:45 EC ECB: Rates decision exp: 0% prev: 0%
13:30 US SEP P Durable Goods Ex Transportation exp: 0.5% prev: 0%
13:30 US SEP P Durable Goods Orders exp: -1.6% prev: 4.4%
13:30 US SEP P Wholesale Inventories exp: 0.4% prev: 1%
13:30 US W41 Initial Jobless Claims (k) exp: 215 prev: 210

General Market Comment

US indices closed lower on Wednesday as the Dow dropped by more than 600pts. Shares in the Semiconductors & Semiconductor Equipment (-6.52%), Media (-5.15%) and Automobiles & Components (-4.5%) sectors tumbled lower. On the economic data front, Markit U.S. manufacturing PMI rose to 55.9 in October (estimated 55.3) from 55.6 in September, Markit U.S. services PMI increased to 54.7 (expected 54) from 53.5 and Markit U.S. composite PMI advanced to 54.8 from 53.9. In addition, new home sales dropped to an annualized rate of 553K units in September (forecast 625K) from 585K in August. Finally, the Federal Reserve released their Beige Book stating that the majority of districts reported a modest to moderate growth in the economic activity based on information collected on or before October 15th. Employers continued to report tight labor markets while manufacturers are raising prices of finished goods as costs of materials are increasing due to tariffs. The S&P 500 (2,656.10) remains at levels below both its 20d moving average (2,824.69 – negative slope) and 50d moving average (2,862.56 – negative slope). read more