CAPIS Morning Note – 8/7/19 10 Year Yield Hits 1.61% This Morning
Overnight Central Bank Rate Cuts – India 35 basis points, New Zealand 50 basis points and Thailand 25 basis points. Corporate Actions IPOs on deck: 2 IPOs on deck this week. Secondaries on deck: ALLK CDAY of note. Notes Priced: SNAP of note. Common Stock filings: MLAB SILK GTES WVE CDAY SAFE WAB of note….
Overnight Central Bank Rate Cuts – India 35 basis points, New Zealand 50 basis points and Thailand 25 basis points.
IPOs on deck: 2 IPOs on deck this week.
Secondaries on deck: ALLK CDAY of note.
Notes Priced: SNAP of note.
Common Stock filings: MLAB SILK GTES WVE CDAY SAFE WAB of note.
Mixed Shelf Offerings filed: KNSL MLAB GTES RST STIM of note.
Convertible Offering Files: MLAB AYX IRWD of note.
Senior Notes Filed: None of note.
Earnings After The Close:
Beat: Y +2.22, MAXR +2.22, FTR +1.42, JAZZ +0.48, ANDE +0.36, PAA +0.26, HTZ +0.24, GH +0.22, AIZ +0.22, POWL +0.21, TROX +0.19, GWPH +0.18, PAGP +0.17, ENTA +0.16, PXD +0.15, INSP +0.13, WW +0.13, LOPE +0.12, BNFT +0.12, HUBS +0.12, OAS +0.11, NEWR +0.11, SEDG +0.11, PLT +0.10, WK +0.10, MMI +0.09, LC +0.09, AFG +0.08, DCP +0.08, DXPE +0.08, JCOM +0.07, AMN +0.06, VOYA +0.06, ARLO +0.06, LRN +0.06, FLT +0.05, WYNN +0.05, PEN +0.05, ACLS +0.05, MODN +0.05, HALO +0.05, JBGS +0.05, NP +0.05, PLNT +0.04, AXGN +0.04, OSUR +0.04, SAIL +0.04, HCR +0.04, AINV +0.04, DVN +0.03, MCHP +0.03, QUOT +0.03, PLYA +0.03, SSTI +0.03, CARG +0.03, AVD +0.03, CGBD +0.02, IOSP +0.02, BTG +0.02, EVRI +0.02, HCKT +0.01, APEI +0.01, CTRE +0.01, SUPN +0.01, CUB +0.01, OHI +0.01, NDLS +0.01 of note.
Flat: ZAGG +0.00, LTHM +0.00, CPE +0.00, STAY +0.00, PE +0.00, WTR +0.00, MTCH +0.00, CPSI +0.00, NUS +0.00 of note.
Missed: SCOR (4.48), MBI (0.70), DIS (0.39), BECN (0.33), RRR (0.30), ADT (0.18), RTRX (0.18), TGH (0.15), CMP (0.15), PTCT (0.14), ZGNX (0.12), VREX (0.10), ENLC (0.10), GCP (0.10), SWX (0.09), PBPB (0.08), WTTR (0.08), NVTA (0.07), KAR (0.07), EDIT (0.07), FANG (0.05), KRNT (0.05), FATE (0.05), EVH (0.03), TWO (0.03), BOLD (0.02), AKCA (0.02), INSG (0.02), PZZA (0.02), TXMD (0.01), DHT (0.01), GTES (0.01), WMC (0.01), HST (0.01), SWN (0.01), ICHR (0.01) of note.
Still to Report:
News After The Close:
NASDAQ equity options 143 million contracts vs 132 million in June and 131 million a year ago.
Kelly Services (KELYA) announces CEO George Corona will retire and Peter Quigley will take over as of 10/1.
Lockheed (LMT) wins $410 million Navy contract.
Stock Repurchase: MSBI of note.
Dividend Increase: BBSI PXD CABO MCHP of note.
What’s Happening This Morning: Futures value reflects the change with fair value. We will still indicate the fair value direction.
U.S. futures: S&P -27, Dow Jones -269, NDX -67 and Russell 2000 -12.74 with fair values higher. Asia mixed and Europe higher, click through for details by country.
Gold, silver and copper higher. WTI Crude Oil and Brent Oil Futures higher. Natural Gas is lower. $ is higher vs Euro, higher vs Pound and lower vs Yen. US 10 year Treasury price is at $130.41 from $129.59 with yields at 1.658% from 1.755%. Prices as of 8:25 a.m. EDT.
Positive Sectors On Tuesday: Industrials, Financials and Healthcare with all others up nicely as well.
Negative Sectors On Tuesday: Materials and Conglomerates.
One Month Winners: Technology, Services and Consumer Goods.
Three Month Winners: Healthcare, Utilities and Consumer Goods.
Six Month Winners: Technology, Services and Consumer Goods.
Twelve Month Winners: Utilities, Services and Technology.
Year to Date: All higher led by Conglomerates, Services, Industrials, Technology and Consumer Goods.
Hourly Action This Week:
Updated through Tuesday close. Mixed week.
Courtesy of Quantitative Partners, Inc.
Upcoming Earnings Of Note (sorted by market cap, highest to lowest)
Today After The Close: BKNG AIG ET MNST MFC MELI NTES FOXA IAC LYFT FNV SWKS CTL ATO ROKU MRO SRPT ZG AZPN DOX RGLD of note.
Thursday Before The Open: AGN BAM KDP LNG MGA CAH VIAB PNW EPAM NCLH NICE OGE PRGO TW GOOS CRON MMS NOMD LITE MUR LAUR of note.
Earnings This Morning Of Note
Beat: ICPT +0.34, SND +0.22, FUN +0.21, CVS +0.20, IONS +0.19, VGR +0.19, KELYA +0.16, ATKR +0.13, HZNP +0.12, CYBR +0.12, SPB +0.10, WAAS +0.10, NXST +0.09, WD +0.08, CORE +0.07, BCOR +0.05, SRC +0.05, CPRI +0.05, SBGI +0.04, LAMR +0.04, CNP +0.04, AVA +0.03, OMI +0.03, DNR +0.03, EVOP +0.03, CSTE +0.02, TEVA +0.02, ATHM +0.02, ODP +0.02, VER +0.02, WWW +0.01, MDCA +0.01, WEN +0.01 of note.
Flat: LXP +0.00, STWD +0.00 of note.
Missed: AMAG (2.99), CNR (0.14), NRG (0.14), SGRY (0.14), QEP (0.07), GOLF (0.07), MDGL (0.06), MIDD (0.06), JELD (0.06), GTN (0.05), INXN (0.04), LL (0.03), HL (0.02), BV (0.01) of note.
Yet to Report: ANIP, ETM, GWR, INGN, MFA, MRNA, NYT, NVMI, DOC, SSW, TELL.
Rags & Mags: Highlighted Stories may be clicked through to the original story.
Top News Story: Treasury 10 year bond yields take another leg lower this morning to 1.61% from 1.71% before settling at 1.65%. (CNBC)
Five Things You Need To Know To Start Your Day (Bloomberg)
President Trump notes South Korea will pay more for defense help from U.S. (Twitter)
Chinese state run banks supporting the Yuan. (Reuters)
People’s Bank of China (PBOC) sets Yuan at 6.9996. (Bloomberg)
White House expects long trade battle as President Trump ignoring key aides. (The Washington Post)
Many private Chinese companies are low on cash. (NY Times)
Hedge Fund Manager Ray Dalio still betting on China as a two horse race with the U.S. and China. (CNBC)
National Highway Traffic Administration sends Tesla (TSLA) a cease and desist letter on Model 3. (Bloomberg)
No changes yesterday despite the pop.
Bold means a change from prior day.
The advance/decline line moved to cash after Monday’s close. Updated through 8/6/19 close. The buy is history as we noted last week it was beginning to fade. Year to date model up 7.48% on the S&P 500. 3 buy signals and 3 cash signals in 2019. The current buy lost -1.23%.
Courtesy of Quantitative Partners, Inc.
YTD 66% (-3% week over week) of stocks are higher and 34% are lower. Updated 8/2/19 close with next update on 8/9/19 close.
Courtesy of Phil Erlanger Research, Inc.
Algo/HFT Trading Levels:
The Erlanger Value Lines track the intraday range of resistance, pivot and support used by Algo/HFT Traders. Each day we show where we closed within the range. Update through Thursday close.
Courtesy of Phil Erlanger Research
The Value Lines may be accessed via Bloomberg. For a free trial if you are a Bloomberg user go to APPS CS:ERLA
Economic & Related:
Weekly Crude Oil Inventories are due out at 10:30 a.m. EDT.
$27 billion of 10 Year Treasury Notes are due to be auctioned at 1:30 p.m. EDT.
President Trump heads to both Dayton, Ohio and El Paso, Texas to meet with victims of the recent shooting in each city.
Conferences & Analyst Meetings:
Company Analyst Meetings and Conference Calls: RTTR (conference call) CMPR (investor day) COST (monthly sales).
Sellside Conferences: Canaccord Genuity Annual Conference. Oppenheimer Annual Technology, Internet & Communications Conference. Jefferies Global Industrials Conference. UBS Genomics 2.0 Summit. UBS Annual Financial Services Conference.
Industry Conferences: Flash Memory Conference.
Nike (NKE) buys Celect, no terms.
Synopsys (SNPS) to buy QTronic GmbH, no terms.
3M (MMM) to sell advanced ballistic protection business for $91 million.
Upgrades & Downgrades:
Early Morning Gap Up/Down: (>5% or <-5%)
GH +23%, WW +23%, NVTA +19%, SEDG +19%, MR +18%, MTCH +17%, GWPH +12%, FLXN +11%, PE +10%, SAIL +9%, LC +8%, IAC +8%, TXMD +8%, HUBS +8%, HTZ +6%, CPE +5%, HCR +5%, WK +5%.
DPW -24%, ZAGG -18%, NEWR -18%, FTR -17%, SSTI -17%, KAR -13%, PBPB -13%, OAS -12%, PEN -12%, BECN -10%, SUPN -9%, VOYA -6%, ADT -5%, ENLC -5%.