Tom Essaye Quoted in MarketWatch on January 17, 2020
“Nothing in phase one will specifically add much to global [economic] growth…” wrote Tom Essaye, president of the Sevens Report in a Thursday note to clients. Click here to read the full article.
The Two Pillars Supporting Stocks
What’s in Today’s Report:
- Staying Focused on the Two Causes of the Rally
U.S. stock futures and European shares are tracking Asian markets lower amid rising concerns about the outbreak of a newly discovered virus in China.
Chinese health officials have confirmed that the recently named “coronavirus” can be spread by human-to-human contact.
And with the Lunar New Year holiday beginning this week, fears of a SARS-like health epidemic are on the rise which saw the Shanghai Composite fall 1.41% overnight.
Looking into today’s session, there are no notable economic reports due to be released and no Fed officials are scheduled to speak.
That will leave investors largely focused on Q4 earnings season with HAL ($0.29) reporting before the bell and NFLX ($0.50), AMTD ($0.76), UAL ($2.64), and COF ($2.38) all releasing results after the close.
Tyler Richey Co-editor of Sevens Report Research was Quoted on January 17, 2020
“Unless we begin to see significantly colder temperatures show up in the extended forecasts into the back half of winter, the natural gas market is poised to continue lower…” said Tyler Richey, co-editor of Sevens Report Research. Click here to read the full article.
Tyler Richey Co-editor of Sevens Report Research Quoted in MarketWatch on January 17, 2020
Oil prices had spent the front half of the week moving lower “largely thanks to lingering oversupply concerns and a continued unwind of the geopolitical fear bid that was triggered by the U.S.-Iran…” said Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
Tom Essaye Quoted in CNBC on January 16, 2020
“Phase one is behind us and it met market expectations,” said Tom Essaye, founder of The Sevens Report, in a note. “Now the very real question of whether phase one results in an uptick in economic growth lies in front of us, and the truth is it’s unclear. Nothing in phase one…” Click here to read the full article.
Is Anything New Driving the Melt Up?
What’s in Today’s Report:
- Is Anything New Driving The Melt Up?
Futures are modestly higher again after Chinese economic data beat expectations.
Chinese Fixed Asset Investment (5.4% vs. (E ) 5.2%, Industrial Production (6.9% vs. (E ) 5.9%, and Retail Sales (8.0% vs. (E ) 7.8%) all beat estimates, raising hopes for a global economic rebound.
Today focus will again be on economic data and earnings, and like yesterday, the stronger the data, the better. Industrial Production (E: -0.3%) and Consumer Sentiment (E: 99.3) are the two key reports today, while we also get Housing Starts (E: 1.373M).
On the earnings front, industrial results have been mixed this week so the market will want to see solid results from SLB ($0.37), FAST ($0.31) and JBHT ($1.55).
Finally, there are two Fed Speakers today: Harker (9:00 a.m. ET) and Quarles (12:45 p.m. ET), but neither should move markets.
Tom Essaye Quoted in Newsmax on January 16, 2020
“The modern economy is powered by semiconductors,” said Tom Essaye, a former Merrill Lynch trader who founded “The Sevens Report” newsletter. “Semiconductors are extremely important and that’s one of the things I put, from a short-term standpoint…” Click here to read the full article.
Tom Essaye Interviewed with Yahoo Finance on January 15, 2020
Sevens Report Founder Tom Essaye and Invesco Investment Strategist Tim Horsburgh join Yahoo Finance’s Alexis Christoforous, Brian Sozzi and Jared Blikre to discuss the latest market action on The First Trade. Click here to watch the full interview.
What The Actual Phase One Deal Means for Markets
What’s in Today’s Report:
- What The Actual Phase One Deal Means for Markets
- January Economic Breaker Panel
- EIA Analysis and Oil Update
Futures are modestly higher following a quiet night of news as markets continued to digest that the actual text of the phase one trade deal largely meet expectations.
Economic data was sparse as the only report was German CPI and it met estimates at 1.5% yoy.
Today focus will be on economic data and earnings, as there are several important economic reports including (in order of importance): Retail Sales (E: 0.3%), Philly Fed (E: 3.4), Jobless Claims (E: 214K), and Housing Market Index (E: 75). There is also one Fed speaker, Bowman (10:00 a.m. ET), but he shouldn’t move markets.
On the earnings front, results have been mixed so far this week, and focus will turn more towards earnings now that phase one is a done deal. Some important reports we’ll be watching today include: MS ($0.98), SCHW ($0.64), BK ($0.99), TSM ($0.72), CSX ($0.97), PPG ($1.35).
Tom Essaye Quoted in Money and Markets on January 14, 2020
Tom Essaye, president of the Sevens Report, said in a note to clients that the near 10% rally the S&P 500 pulled off in the fourth quarter of last year was driven by the idea that “the U.S.-China trade truce combined with global central bank easing (and specifically the Fed being very dovish)…” as reported by MarketWatch. Click here to read the full article.
