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 -0.13% (2050.4), D +0.04% (17489.5), N +0.01% (4565.8), CL1 -2.08% (40.86), Copper -0.96% (210.50), Gold -1.22% (1069.54) 10YrYld -0.00 (2.2658), DXY +0.20% (99.63), Vix +3.74% (18.84).

The S&P closed down 60bps falling into negative territory for the last hour and a half of the day. Volumes up a bit today +10% to 7.5bln shares, back above avg of 7.2bln. Dollars traded up 4% to $281bln just below avg of $285bln. Despite mixed major averages down volume 2:1 over up volume.

Market gave it all back over the afternoon, terror threats subsequently denied not helping, and ongoing commod bleed. Most Short -1.6%. DXY +20bps holding gains; FMS showed biggest long DM vs EM ever. 10yr; FOMC mins tomorrow. Banks; FMS showed 3rd largest OW. Oil struggled to hold early rally, back below $41; new lows Gold and Copper. XME -3.3% / GDX -4.8%. FREEPORT -5% back to lows. Retail Earnings; HOME DEPOT +4%, TJX +4%, WALMART +3.5%, URBAN OUTFITTERS -4%, DICKS SPORTING -9% – weather remains the best excuse within apparel with spending shift towards Home improvement; focus on LOWES +1.7% tomorrow. AIRGAS +29% been on the radar for the last couple of sessions, Air Liquide paying $143/share in Cash, $13.4bn. SYNGENTA +9% catching a bid as MONSONTO -1% said considering another offer at today’s Investor Day. GENERAL ELECTRIC -10bps completed exchange offer for SYNCHRONY FINANCIAL +1%, will reduce GE’s float by 6.6%, equivalent to $20.4bn buyback; today’s price action reflective of positioning into the announcement. Positives keep coming for eGaming ‘Fallout 4’ has taken a huge $750m in retail sales in the first day of launch; Smashing records Hollywood could only dream of; remain a Buyer ACTIVISION +3% and NVIDIA unch. QORVO +6% leading semis post Investor Day; RADIUS -11% not having quite the same effect. And, for a trade would Sell EA against ATVI; Star Wars disappoints and ATVI now 30% cheaper. SUNEDISON -34% quite incredible move now, all the big guns cutting positions. Looking into tomorrow; Earnings from CRM, LB, LOW, SPLS, TGT.

OUTPERFORMERS: Biotech +1.3%, Semis +1.1%, Pharma +40bps, Refiners +40bps, Regional Banks +30bps

UNDERPERFORMERS: Solar -5.1%, Gold Miners -4.8%, Materials -3.3%, Oil Services -2.2%, Utils -1.9%

COMMODS: Lean Hogs +4.7%, Cotton +1.2%, Silver -40bps, Copper -80bps, Gold -1.2%, WTI -2.5%, Sugar -2.4%, OJ -4%

ECO: CPI +0.2% all inline. Industrial Prod -0.2%, est +0.1%. NAHB 62, est 64.
AFTER-HRS:

CITRIX SYSTEMS -60bps to spinoff GoTo product suite into public co, provides operational update
JACK IN THE BOX +3.6% q4 eps/revs miss, but fy guide ahead of est
NORFOLK SO +6.1% Canadian Pacific proposes merger
LA-Z-BOY +2% q2 inline
VIP SHOP +4.1% q3 inline w/ est, $300mm b/b
ACTIVE TODAY:

TMT
NUANCE COMM +18.5% q4 eps/revs beat
FITBIT -10bps u/g @ BofA/Merrill
KULICKE & SOFFA -3.5%
AMERICAN MOVIL +80bps d/g @ Macquarie
PALO ALTO NETWORKS +2.8% positive comments @ Stephens & @ RBC
ANGIE’S LIST +1.3% rejects IAC Interactive interest
T-MOBILE US +75bps positive comments @ Cowen
SYMANTEC +10bps bank funding for Veritas sale said to be in jeopardy
SPRINT +4.5% said to make major announcement tomm

CONSUMER
URBAN OUTFITTERS -3.8% q3 eps inline, revs light, UO/Anthropologie comps both miss
WAL-MART +3.5% q3 eps 1c better, slight revs miss, comps inline, improved fy guidance
HOME DEPOT +4.4% q3 eps beat, slight revs beat, comps beat, fy seen at top end of guide
POLARIS -2.4% d/g @ Wedbush
FIVE BELOW -3.5% d/g @ Sterne Agee CRT
FIAT CHRYSLER -50bps Oct EU sales up 7.7%
DICK’S SPORTING GOODS -9.4%
TJX +3.9% q3 small eps/revs beat, comps beat, reaffirms fy view
GNC -6.4% rebounds after initial plunge on gov’t looking at supplement co’s

HEALTHCARE
ELI LILLY +10bps positive comments in Barron’s
VALEANT -4.1% p/t cut more than 50% @ Morgan Stanley
KEURIG GREEN MOUNTAIN -9.8% #s cut @ Stifel
ATHENAHEALTH -5.6% d/g @ Barclays

CAPITAL GOODS
WW GRAINGER -2.5% d/g @ Atlantic Equities
MCDERMOTT -17.9% lowers forecast at investor day

ENERGY
JA SOLAR -2.3%
SUNEDISON -33.8% p/t lowered @ Deutsche
HESS -2.8% d/g @ Oppenheimer
SOUTHWESTERN ENERGY -6.3% d/g @ Sterne Agee CRT

MATERIALS
AIRGAS +29.4% in agreement to be acq’d by Air Liquide for $13.4bln cash
CF INDUSTRIES +3.2% u/g @ Susquehanna

SERVICES
RE/MAX -8.5% files to sell 4.5mm shares

Have a good evening.