Overnight Summary & Early Morning Trading:
The S&P 500 finished Thursday higher by 2.03% at 5484.77. Wednesday higher by 1.67% at 5375.86. Futures are lower this morning by -4.25 (-0.07%) at 5507 around 7:25 a.m. EDT. The range is now 700 points on the S&P 500 cash for the year, 5400 to 6100. Year to date the S&P 500 is down -6.75% from -8.60% Wednesday’s close.
Executive Summary:
Stocks continue to trade in a volatile pattern of big declines and then big advances.
Key Events of Note Today:
- University of Michigan Consumer Sentiment is out today at 10:00 a.m. EDT.
- Weekly Baker Hughes Rig Count is out at 10:00 a.m. EDT.
Notable Earnings Out After The Close:
- Beats: SAM +1.60, GOOGL +0.80, SKYW +0.36, AEM +0.15, INTC +0.12, TMUS +0.11, HIG +0.05, DLR +0.04, GILD +0.03, EMN +0.02, WY +0.01 of note.
- Misses: SSB -0.10, MTX -0.05, SBCFF -0.02, VRSN -0.01, PFG -0.01, APPF -0.01 of note.
- Flat: None of note.
- IPOs For The Week: AIRO, CHA, HXHX, OMSE, PHOE
- New IPOs/SPACs launched/News: None of note.
- IPOs Filed/Priced: None of note.
- Secondaries Filed or Priced: None of note.
- Notes Priced: None of note.
- Notes Files: None of note.
- Convertibles Filed: None of note.
- Direct Offering: None of note.
- Exchangeable Subordinate Voting Shares: None of note.
- Private Placements: UPXI closed a $100 million private placement.
- Selling Shareholders of note: None of note.
- Mixed Shelf Offerings:
- HZO filed a mixed shelf offering.
- ING files mixed shelf securities offering
News After The Close:
- Intel (INTC) beats but guides lower.
- Google (GOOGL) beats but guidance is mixed.
- Lockheed Martin (LMT), Northrop Grumman (NOC) and Peraton awarded combined $244 mln U.S. Navy contract
- 10K or Qs Filings/Delays – (Filed), (Delayed) None of note.
Exchange/Listing/Company Reorg and Personnel News:
- None of note.
Buybacks:
- None of note.
Dividends Announcements or News:
- Stocks Ex Div Today: ING FAST HLN GEHC UNM ACI COKE NVT KNTK CSWI TXNM CNXC SIG LKFN KALU
- Stocks Ex Div Monday of note: ASML BX EC CAG CIB ELPC ELP CE USAC PSEC
- SYY increases quarterly dividend to $0.54/share from $0.51/share.
Stocks Moving Up & Down Yesterday After The Close:
- Gap Up: GOOG +4.2%, COUR +7.4%, CUBI +3.4%, GLPI +3.4%, ASB +3.2%, BYD +3.2%, SAM +3.1%, ALEX +2.9%, FFBC +2.7%, SLM +2.7%, EHC +2.6% of note.
- Gap Down: APPF -8.4%, SKX -6.6%, TMUS -5.3%, INTC -4.1% of note.
What’s Happening This Morning: (as of 7:40 a.m. EDT)
Futures S&P 500 -4 , NASDAQ -16 , Dow Jones -158 , Russell 2000 -. Europe is higher and Asia higher ex China. Bonds are at 4.288% from 4.346% yesterday on the 10-Year. Crude Oil and Brent Crude are lower with Natural Gas lower. Gold, Silver and Copper lower. The U.S. Dollar is higher versus the Euro, higher against the Pound and higher against the Yen. Bitcoin is at $94,160 from $92,531 higher by $532 at +0.60%.
- Daily Positive Sectors: Technology, Communication Services, Consumer Cyclical and Materials.
- Daily Negative Sectors: Consumer Defensive of note.
- One Month Winners: Consumer Defensive of note.
- Three Month Winners: Consumer Defensive of note.
- Six Month Winners: Consumer Defensive and Financials of note.
- Twelve Month Winners: Utilities, Financials, Consumer Defensive, Real Estate, Communication Services, Consumer Cyclical and Technology of note.
- Year to Date Winners: Consumer Defensive, Utilities and Materials of note.
Bolded means the Sector is new to the period in which it falls.
Upcoming Earnings Of Note: (From Chartroom Software – sorted by market cap, highest to lowest with most visible names)
- Friday After the Close: None of note.
- Monday Before The Open:
Notable Earnings of Note This Morning:
- Flat: None of note
- Beats: CNC +0.38, AN +0.26, LAZ +0.25, CRI +0.13, CL +0.05, SXT +0.04, FLG +0.02 of note.
- Misses: SAIA -0.90, AON -0.34, PSX -0.18, LYB -0.09, POR -0.05, SLB -0.01, CHTR -0.01 of note.
- Still to Report: None of note.
Company Earnings Guidance:
- Positive Guidance: VRSN of note.
- Negative or Mixed Guidance: SXT EMN INTC of note.
Advance/Decline Daily Update: The A/D crossed above its 30 day exponential moving average.
Gap Ups & Down In Early Pre-Market: (+2% or down more than -2%):
- Gap Up: FPH +24.8%, HONE +18.8%, FIX +8.6%, FFAI +7%, COUR +7%, GOOG +5%, CUBI +4.8%, FHI +3.1%, RAIL +2.5%, POR +2.4%, SLM +2.3%, PECO +2.1%, EHC +2% of note.
- Gap Down: KNSL -10.4%, MMSI -7.4%, APPF -7.3%, SKX -7.2%, INTC -6.1%, TMUS -5.2%, SSNC -4.4%, GILD -4.2%, GLPI -3.9%, CLS -3.8%, WSFS -3.7%, PFG -3.7%, SBCF -3.7%, CRI -3.2%, DOC -3%, OCFC -2.8%, EMN -2.3%, WKC -2.2%, WPP -2.2% of note.
Insider Action: None of note see Insider Buying with dumb short selling. None of note see Insider Buying with smart short sellers.
Rags & Mags: Repeated stories from prior days never listed, i.e. “rehashed news”. Sorted by Global, U.S. and stock specific.
- Bloomberg: China May Exempt Some US Goods From Tariffs as Costs Rise. (Bloomberg)
- Market Wrap: . (Bloomberg)
- China exempted some U.S. goods from retaliatory tariffs. (Reuters)
- China is preparing emergency plans and will take a patient approach to the trade war. (Bloomberg)
- President Trump in interview supports ban on congressional stock trading. He would veto bill with Social Security, Medicad, or Medicare cuts. He believes tariff deals will come over the next 3-4 weeks and China President Xi called him. He would consider it a ” total victory” if 20-50% tariffs are still in effect a year from now. (Time)
- Apple (AAPL) plans to move all iPhone manufacturing to India as soon as next year. (FT)
- Bank of America Merrill Lynch’s Michael Hartnett warns to sell the rebound. (Bloomberg)
Bolded on story link means behind a Pay Wall.
Economic & Geopolitical:
- Economic Releases:
- April University of Michigan Consumer Sentiment is due out at 10:00 a.m. EDT and is expected to fall to 48.50 from 50.80.
- Weekly Baker Hughes Rig Count will be out at 1:00 p.m. EDT.
- Federal Reserve Speakers of note today.
- No Federal Reserve speakers today of note.
- President Trump’s Daily Schedule.
- President Trump and the First Lady head to Italy for the Pope’s funeral. They return Saturday night.
M&A Activity and News:
- None of note.
Moving Average Table: Moves from 46% to 60% from yesterday on Equity Indexes. TLT improved more on Thursday.
Meeting & Conferences of Note:
- Sellside Conferences:
- Morgan Stanley Brazil Healthcare Day
- Shareholder Meetings: ABT, BOH, FLYE, GGG, SWK, XPER
- Top Analyst, Investor Meetings: None of note.
- Fireside Chat: None of note.
- R&D Day: None of note.
- FDA Presentation: None of note.
- Industry Meetings or Events:
- AI Week
- AACR Annual Meeting
- Heart Rhythm
- NY Auto Show
- World Vaccine Congress
Upgrades & Downgrades:
The recommendations listed below in this “Upgrade/Downgrade” section are compiled from what we believe are Tier I, II and III firms. Recommendations posted are taken from a variety of sources each day and we only post upgrades or significant initiations as well as downgrades to underweight or sell. The purpose of this posting is to make the reader aware of market-moving recommendations. None of these recommendations should be interpreted as actual recommendations from CAPIS or its employees.
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- Upgrades: AGL HAS SCHW TT WM
- Downgrades: None of note.
