Aviate US Summary

The authors of the content on this page from Sept 2012 to June 2017 are:
Market Commentaries: Gary Paulin, Ameet Patel, Paul Moran, Douglas Morton, Oliver Sherman, Ben Brownette, Rob Arnott, James Santo, Neil Campling
Research: Ameet Patel, Paul Moran, Douglas Morton, Oliver Sherman, Rob Arnott, Neil Campling

S&P -0.09% (2049.8), D -0.23% (17582.6), N +0.24% (4437.6), CL1 -0.29% (41.41), Copper +0.00% (229.25), Gold +0.30% (1247.40) 10YrYld +0.03 (1.9421), DXY +0.37% (95.64), Vix +3.05% (14.21).

The S&P closed inline with levels as of the European close to end the day slightly negative giving up the highs of the day over the last hour and a half. Volumes remain light at just over 6bln shares more than 25% below avg. Dollars traded also low, below $225bln, more than $50bln below avg. Volumes pretty paired off w/ a 60% tilt to the downside.

Another very dull session despite events in Brussels; Nasdaq outperforming, closes above 100/200dma for first time since Jan 5th (14% round trip). Europe closes higher despite Brussels attacks (SXTP -1.8%) Eminis -10bps vs Most Short unch. Overall volumes make another new low on the year. DXY higher for 3rd straight session; EUR 1.1217, GBP 1.4205. Rates a little higher, Banks small down, BAML -70bps; Evans says unsure when next rise will be, more examples of downside risks than upside. Key Commods broadly flat; Oil proxies underperform as more cautious commentary from Energy conf; TRANSOCEAN -5%. API 4:30pm. Biotech leads for 2nd day, and has now recovered all of last week’s sell off, no news; VALEANT +10%, ENDO +7%. No surprise to see T&L weak, Airlines had been enjoying a nice rally of late, XAL close to breaking above 90; AMERICAN, CARNIVAL & PRICELINE -2%. Optical names having mixed reaction from OFC conference, new product announcements, various broker reactions; INPHI +5% (Microsoft JV), MELLANOX +5%, INFINERA -7%. APPLE +80bps makes new closing high on the year, says had talks with Imagination but does not plan to make an offer, remains key partner. FORD -70bps CFO spoke today, subprime lending/ falling used car prices not hurting Ford credit, China pricing -6% this year; BAML host Auto Summit tomorrow in NYC. Earnings expected from GIS/KBH/PVH; New Home Sales.

OUTPERFORMERS: Biotech +2.5%, Pharma +1.1%, Tech Hardware +60bps, Refiners +60bps, Building & Cons +40bps

UNDERPERFORMERS: Solar -3.5%, Drillers -2.6%, Oil Services -1.5%, Transports -1.1%, Staples -80bps

COMMODS: OJ +3.4%, Gasoline +2.9%, Sugar +1.9%, Nat Gas +1.8%, Gold +30bps, Silver +20bps, WTI -10bps, Copper -20bps

ECO: FHFA House Price Index 0.5%, est 0.5%. Markit Man PMI 51.4, est 51.9. Richmond Fed 22, est 0.

AFTER-HRS NEWS/MOVES:

FIVE BELOW -4.2% q4 eps small beat, revs inline, guidance inline to touch lower
STEELCASE +5.3% q4 just beats, guidance about inline
REDHAT -30bps q4 beat, fy view better than est
CINTAS +1.6% q3 beat, fy guidance inline
KRISPY KREME -5.7% q4 eps just beats, revs miss, fy view below est
NIKE -3.4% q3 eps beat, revs touch light, global futures ahead w/ North America, Europe, Emerging Mkts trailing, China better

ACTIVE TODAY:

TMT
YAHOO -15bps d/g @ Citi
WAYFAIR +4.9% d/g @ Raymond James
ZILLOW +1.1% u/g @ RBC
APPLE +75bps reports in advanced talk to buy Imagination Tech
TABLEAU +50bps positive comments @ UBS
SYMANTEC -15bps $1bln b/b

CAPITAL GOODS
GRACO -1.7% d/g @ Seaport Global

CONSUMER
WYNN +2.4% u/g @ Morgan Stanley
O’REILLY AUTOMOVTIVE +1.2% u/g @ Oppenheimer
MATTRESS FIRM -7.1% #s miss, weak forecast
DICK’S SPORTING GOODS -35bps $1bln b/b
G-III APPAREL -19.4% q4 & fy view both miss
DEAN FOODS -12.1% cautious comments @ Morgan Stanley
TESLA -1.7% negative report @ Devonshire Research

FINANCIALS
AIG +30bps u/g @ Atlantic Equities
BARCLAYS -3.9% d/g @ HSBC

ENERGY
CHEVRON -1% d/g @ Raymond James
SUNOCO -25bps d/g @ Jefferies

MATERIALS
SCOTTS MIRACLE-GRO -1.7% d/g @ JPMorgan

have a good evening.