The six-week stretch of falling crude supplies is the longest since the 10-week decline from the week ended Nov. 17, 2017 to Jan. 19, 2018, according to an analysis of EIA data provided by Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
Investors look ahead to earnings
“We will start to get results from some of the big multi-national industrials and tech firms, which should shed more light on the effects of the trade war…” Tom Essaye, a former Merrill Lynch trader who founded “The Sevens Report” newsletter, wrote in a note to clients. Click here to read the full article.
What’s in Today’s Report:
Futures are flat following a busy night of earnings as investors look ahead to the ECB decision later this morning.
Economic data again disappointed as the German IFO Business Expectations missed estimates (92.2 vs. (E) 94.0).
There was an earnings deluge overnight and results, on balance, were slightly negative although the Q2 earnings season remains better than feared.
Today the most important event is the ECB Decision and we get the announcement at 7:45 a.m. and the press conference at 8:30 a.m. The key for this meeting is how definitive the ECB will be on more rate cuts and QE.
If they cut rates and announce the start of a new QE plan, that’ll be a dovish surprise (good for stocks), if they effectively promise a rate cut and more QE at the September meeting, that will meet expectations (not a big market reaction) and if they merely state both moves are possibilities if growth slows further, that will be a hawkish disappointment (stocks likely will fall).
Outside of the ECB we get two notable economic reports via Durable Goods Orders (E: 0.7%) and Jobless Claims (E: 210K).
Tech Shares Lead Gains Before Earnings; Oil Rises: Markets Wrap
“We will start to get results from some of the big multi-national industrials and tech firms, which should shed more light on the effects of…” Tom Essaye, a former Merrill Lynch trader who founded “The Sevens Report” newsletter, wrote in a note to clients. Click here to read the full article.
What’s in Today’s Report:
S&P futures are down 10 points this morning after the U.S. DOJ announced an antitrust probe into big tech firms late yesterday while EU economic data badly missed estimates.
The EU PMI Composite Flash for July was 51.5 vs. (E) 52.1 but the German Manufacturing component was especially weak at 43.1 vs. (E) 45.2 rekindling fears of a further, and potentially accelerating, slowdown in the global economy.
In today’s U.S. session, there are two economic reports to watch: The PMI Composite Flash (E: 51.2) and New Home Sales (E: 655K) while no Fed officials are scheduled to speak ahead of next week’s FOMC Meeting.
There is a 5-Yr Note Auction by the Treasury at 1:00 p.m. ET today and the results could have an impact on the yield curve which could ultimately move stocks (like we saw with yesterday’s 2-Yr Auction).
Earnings season is continuing to pick up and today will be a very busy day of releases with BA (-$0.56), T ($0.89), CAT ($3.12), UPS ($1.93), NOC ($4.64), GD ($2.68), FCX (-$0.05), and NSC ($2.77) due to report before the open, and FB ($1.90), TSLA (-$0.52), PYPL ($0.73), and F ($0.30) will hit after the bell.
Over in Russia, news of higher output also pressured prices. Russian oil minister Alexander Novak said that “production has been restored” after the nation’s oil output dropped to a multi-year…said Tyler Richey, co-editor of Sevens Report Research. Click here to read the full article.
“I like emerging markets and EM debt mainly because I think the Fed will be dovish and that’ll send the dollar lower…” Tom Essaye, founder of The Sevens Report, tells Yahoo Finance’s “The First Trade.” Read the full article here.
Yahoo Finance’s Brian Sozzi and Alexis Christoforous sat down with Tom Essaye from the Sevens Report and First National Bank of Omaha’s Kurt Spieler around Tuesday’s opening bell. The panel discusses big tech & regulation, what to look for in emerging markets, the effect of elections on the market, and more. Click here to watch the full interview.
“We will start to get results from some of the big multi-national industrials and tech firms, which should shed more light on the effects of the trade war…” Tom Essaye who founded “The Sevens Report” newsletter, wrote in a note to clients. Click here to read the full article.
“Another draw in oil stocks, especially one larger than estimated, would be an incrementally bullish development for this currently sideways energy market,” said Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
