“Looking ahead though, the outlook for oil remains neutral at best right now as global growth concerns remain the single biggest…” said Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
What’s in Today’s Report:
Futures are bouncing marginally as markets digest the Fed’s “hawkish cut” rate decision.
Economic data overnight was not as bad as feared, although it wasn’t good, either. EU (46.5 vs. (E) 46.4), British (48.0 vs. (E) 47.7) and Chinese (49.9 vs. (E) 49.5) July manufacturing PMIs all beat estimates, although they also remain below 50, signaling contraction.
Today we have an important economic report, ISM Manufacturing Index (E: 51.9) and we also get weekly Jobless Claims (E: 213K), and those numbers (especially the former) could move markets. But, beyond the data, and following the Fed’s “hawkish” decision, the keys to focus on will be the U.S. Dollar and the Treasury yield curve. If the dollar continues to grind higher and the yield curve flattens, that will be another headwind on stocks. Yesterday’s lows in the S&P 500 at 2959 are an important support level to watch if this market rolls over mid-day.
What’s in Today’s Report:
Futures are modestly lower this morning as the market digests several disappointing earnings releases (notably CSX and NFLX) while U.S.-China trade concerns linger after multiple negative news articles were released overnight.
Economically, U.K. Retail Sales beat (1.0% vs. E: -0.3%), which is helping the pound recover from fresh 2019 lows.
News flow will remain steady today with two economic reports to watch: Jobless Claims (E: 215K) and Philadelphia Fed Business Outlook Survey (E: 4.5) while there is one Fed official scheduled to speak: Williams (2:15 p.m. ET).
Over the last 24-36 hours, earnings became a more significant driver of the broader stock market so today’s corporate results will be important to watch. Before the bell UNH ($3.46), MS ($1.13), HON ($2.08), and UNP ($2.12) all release results and MSFT ($1.21), and COF ($2.84) will report after the bell.
Tyler Richey, co-editor at Sevens Report Research wrote in a note to clients, “Near term, the trend is still higher. But formidable technical resistance…” Click here to read the full article.
“Near term, the trend is still higher, but formidable technical resistance in the mid-$60s and persistent demand concerns due to…” Tyler Richey, co-editor at Sevens Report Research in Florida, wrote in a note to clients. Click here to read the full Bloomberg article.
“Geopolitics, and more specifically the threat of more military activity between the U.S. and Iran, is one of the only remaining bullish factors supporting the…” said Tyler Richey, co-editor of Sevens Report Research. Click here to read the full article.
“Oil squeezed higher last week on tensions in the Middle East, but with so much uncertainty regarding the trade war…”said Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
“Oil did not go into free-fall [Tuesday] because of any supply side disappointment or OPEC+ developments, but because of…” Tyler Richey, co-editor of Sevens Report Research, told MarketWatch. Click here to read the full article.
“Oil squeezed higher last week on tensions in the Middle East, but with so much uncertainty regarding the trade war and global economy, the demand…” says Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
As of June 20, oil prices have settled a bit lower after an uptick following a larger-than-expected drawdown of U.S. crude stockpiles in early June. That drawdown “helped ease some of the supply side concerns in the energy market…but U.S. supply data is a secondary influence on the market…” according to Tyler Richey, co-editor at Sevens Report Research. Click here to read the full article.
