CAPIS Morning Note -10/5/21: Stocks Bounce Higher From Overnight Lows

Morning Outlook- S&P 500 is higher by +21 this morning. Futures hit a low at 9:30 p.m. EDT at 4270 and are now at 4312. Breaking News – Dell (DELL) CEO Michael Dell notes in an interview this morning that there could be a major upgrade cycle ahead for computers as Microsoft (MSFT) Windows 11…

Morning Outlook- S&P 500 is higher by +21 this morning. Futures hit a low at 9:30 p.m. EDT at 4270 and are now at 4312.

Breaking News – Dell (DELL) CEO Michael Dell notes in an interview this morning that there could be a major upgrade cycle ahead for computers as Microsoft (MSFT) Windows 11 will not run on most computers. (CNBC). Treasury Secretary Janet Yellen also in CNBC interview notes the drop dead date on the debt ceiling is 10/18. (CNBC)

Earnings Out After The Close

Beats: none

Flat: none

Misses: CMTL (0.26)

Capital Raises: 

IPOs Priced or News: None of note.

New SPACs launched: 

Secondaries Priced: UPH of note.

Notes Priced of note: None of note.

Common Stock filings: XENE LFMD OWL WATT of note.

Pricing of Over-Allotment: 

Direct Offering: 

Selling Shareholders of note: None of note.

Private Placement of Public Entity (PIPE): None of note.

Mixed Shelf Offerings:  XENE PMVP MGPI MTCR  of note.

Convertible Offering & Notes Filed: None of note.

Note Offerings Filed:  ABR UHAL of note.

Capital Raise Summary From The TradeXchange, bringing traders and investors real time news and Squawk Box, and other sources.

News After The Close:

Scientific Games (SGMS) wins 10 year base contract from  the Pennsylvania Lottery.

Parsons (PSN) wins a $68 million contract from the U.S. Navy.

Rayonier Advanced Materials (RAYM) to increase prices on Cellulose Specialties products  by 15% to 30%.

PACCAR (PCAR) sees truck deliveries reduced by 7,000 vehicles due to chip shortages.

Southwest Airlines (LUV) sets a 12/8 vaccine deadline for employees.

Facebook (FB) apps went down after the close but are now back up. Worst outage since 2008.

After Hours + AGFY +15% RYAM +4% NAPA +4% and – CMTL -11% MGPI -6%

Dividend Announcements: Increases:

Stock Split: 

Buyback Announcements: LULU

After The Hours: Raise Guidance NAPA 

What’s Happening This Morning: Futures value reflects the change with fair value.

S&P 500  Dow Jones Industrial Average   NASDAQ   Russell 2000  . Fair values are mixed. Asia mixed and Europe lower. VIX is at 22.22 from 22.45  in futures from Friday. Gold, silver and copper lower. WTI Crude Oil and Brent Oil Futures higher. Natural Gas is higher. $ is higher vs Euro, lower vs Pound and higher vs Yen. US 10 year Treasury price is at $131.91 from $131.97  yesterday with yields at from 1.488% on Monday morning. Bitcoin at $47532 from $47646 Friday morning, trading at $-1367 or -2.80%.

Monday’s Action – 10/4 Close.  

Positive Sectors Monday:  Energy and Utilities of note.

Negative Sectors Monday:  Technology, Consumer Services and Consumer Cyclical of note.

One Month Winners: Technology, Communication Services, Real Estate and Energy of note.

Three Month Winners: Technology, Communication Services and Healthcare of note.

Six Month Winners: Technology, Communication Services and Real Estate of note.

Twelve Month Winners: Communication Services, Energy, Technology, Financials and Industrials of note.

Year to Date: Energy, Communication Services, Energy, Financials, Real Estate and Technology of note.

Stocks were lower, Bonds were lower, U.S. Dollar lower and Commodities higher. Updated 10/04 Close.

Upcoming Earnings Of: (sorted by market cap, highest to lowest with most visible names)

 Today After the Close: none of note.

Wednesday Before the Open: STZ, RPM, AYI of note.

Earnings of Note This Morning:

Beats: PEP +0.06

Flat: none

Misses: none

Still to Report: none

Erlanger Research Advance/Decline Chart –Updated through 10/4 close.  

Gap Ups & Down In Early Pre-Market:

Gap up: AGFY +18%, TISI +15%, NOTV +10%, SB +6%, RYAM +4%, XENE +3%

Insider Action: Of note, CODI, NHI, KOD and SAFE see Insider buying with dumb short selling and smart short sellers in AVGO and SXT. 10/4

Rags & Mags: Highlighted Stories may be clicked through to the original story.  Repeated stories from prior days never listed, i.e. “rehashed news”.

Stocks making the biggest moves RIDE OCGN PEP FB  

Covid Stats: Cases 118,845 from 130,638 a week ago. Deaths 2,027 from 2,177 a week ago. Hospitalizations67,469 from 77,252.

Facebook (FB) Whistleblower to appear before the House.

Senator Joe Manchin (D- WV) i.e. “the most important man in Washington D.C.” notes that Senate should not eliminate using budget reconciliation to extend the debt ceiling. (CNN)

Office of Inspector General will review trading activity of Federal Reserve officials after Federal Reserve Vice Chairman acknowledged he was trading as well. (CNBC)

Senate to vote to suspend the debt limit but unlikely to pass with the 60 votes needed. (The Hill)

Only 44% of children 5 to 11 will get vaccinated per survey. (Axios)

Pfizer (PFE) vaccine provided 90% protection against hospitalization six months out after shot. (NY Times)

Robinhood looks at the newest undersea cable from Britain to Norway, North Sea Link cable. Netflix (NFLX) Squid Game shows big overseas opportunities.

Moving Average Update

Score at 17% from 40% unchanged. Updated 10/4 Close.


Reserve Bank of Australia was out with its latest interest rate decision early this morning and

The President receives the President’s Daily Brief, 9:00 a.m. EST

The President meets virtually with Democratic members of the House to discuss the bipartisan Infrastructure Investment and Jobs Act and his Build Back Better agenda, Oval Office, Closed Press, 10:15 a.m. EST

The President departs the White House en route Joint Base Andrews, 11:30 a.m. EST

The President arrives in Howell, Michigan, 1:55 p.m. EST

The President visits the International Union of Operating Engineers Local 324 training facility, 3:00 p.m. EST

The President delivers remarks on the bipartisan infrastructure bill and his Build Back Better agenda, which will make our country more competitive and grow our economy, 3:30 p.m. EST

The President departs Howell, Michigan en route Lansing, Michigan, 4:30 p.m. EST

The President arrives at the White House, 6:40 p.m. EST

Fed Speakers:

Federal Reserve Richmond President Thomas Barkin speaks at 10:30 a.m. EDT.

Federal Reserve Governor Randal Quarles  speaks at 1:15 p.m. EDT.


September ISM Non-Manufacturing is due out at 10:00 a.m. EDT and is expected to fall to 60% from 61.7%.

Weekly API Petroleum Data is due out at 4:30 p.m. EDT.

M&A Activity:

Meeting & Conferences of Note:

Sellside Conferences: Deutsche Bank dbAccess Annual Leveraged Finance Conference (10/4-6) Chardan Annual Genetic Medicines Conference (10/4-5) BTIG Latin America CEO Conference (10/5-7)  Guggenheim Vaccine & Infectious Disease Day (10/5-7) Cowen Therapeutics Conference (10/5-6) Bernstein Quantitative Finance Conference (10/5) Bernstein Medical Imaging Conference (10/5)

Company Meetings:   WSC ITRI BAH IFNNY (Investor/Analyst Day) AGFY (Conference Call) MRNS KLDO (R&D Event)

Conferences of Note: VMW World (10/5-7)

Upgrades & Downgrades: Today recs see 6 notable upgrades and 7 downgrades. 

Monday Recommendations of Note: