TODAY’S S&P 500 SET-UP - November 9, 2010
As we look at today’s set up for the S&P 500, the range is 35 points or -1.98% downside to 1199 and 0.88% upside to 1234. Equity futures rebound from lows to trade modestly above fair value, tracking numbers such as Tyco, reporting Q4 EPS $0.74 ex-items vs Reuters $0.66, and updates across European companies. In economic data today: Redbook Chain Store, Sep Wholesale Inventories and ABC Consumer Comfort Index.
- Allscripts Healthcare Solutions (MDRX) posted 3Q adj. EPS 19c vs est. 17c
- American Public Education (APEI) reported 3Q EPS 30c vs est. 29c
- Boeing (BA) said Saudi Arabian Airlines ordered 12 Boeing 777s in a contract valued at $3.3b
- Clear Channel Outdoor Holdings (CCO) reported 3Q rev. $695.1m vs est. $698.4m
- Emdeon (EM) said it sees 2010 rev. at low-end of $1.0b-$1.06b range vs. est $997.9b
- EnerNOC (ENOC) sees 4Q rev. $20m-$24m vs est. $28.8m
- Genomic Health (GHDX) posted 3Q EPS 12c vs est. <1c
- Hologic (HOLX) sees 1Q adj. EPS ~28c vs est. 31c
- Keynote Systems (KEYN) boosted Q dividend to 6c-shr from 5c-shr
- McDermott International (MDR) reported 3Q adj. EPS ex-items 44c vs est. 28c
- Priceline.com (PCLN) forecast 4Q adj. EPS $2.91-$3.06 vs est. $2.68
- Rackspace Hosting (RAX) reported rev. $199.7m vs est. $197.6m
- SciClone Pharmaceuticals (SCLN) boosted 2010 EPS forecast to 41c-46c from 31c-35c; says it expects “substantial expenses” in connection with previously disclosed SEC, DoJ probe
- Warnaco (WRC) raised FY adj. EPS forecast to $3.45-$3.55 from $3.40-$3.50, vs est. $3.53
- One day: Dow (0.33%), S&P (0.21%), Nasdaq +0.04%, Russell +0.02%
- Month-to-date: Dow +2.59%, S&P +3.38%, Nasdaq +2.9%, Russell +4.75%
- Quarter-to-date: Dow +5.74%, S&P +7.19%, Nasdaq +8.93%, Russell +8.97%
- Year-to-date: Dow +9.39%, S&P +9.7%, Nasdaq +13.7%, Russell +17.81%
- Sector Performance: Energy +0.34%, Materials +0.24%, Tech +0.05%, Consumer Discretionary (0.13%), Telecom (0.28%), Consumer Staples (0.29%), Healthcare (0.3%), Industrials (0.33%), Utilities (0.62%), and Financials (0.77%)
- MARKET LEADING/LAGGING STOCKS YESTERDAY: Coventry Health +6.63%, JDSU +4.91% and Halliburton +4.73%/NY TIMES -4.93%, Micron Tech -4.68% and Anadarko -4.29%.
- ADVANCE/DECLINE LINE: -238 (-749)
- VOLUME: NYSE: 909.45 (-26.86%)
- VIX: 18.26 -1.40% - YTD PERFORMANCE: (-15.77%)
- SPX PUT/CALL RATIO: 1.62 from 1.73 -6.41%
CREDIT/ECONOMIC MARKET LOOK:
- TED SPREAD: 17.10 -0.406 (-2.319%)
- 3-MONTH T-BILL YIELD: 0.13%
- YIELD CURVE: 2.19 from 2.20
- CRB: 315.25 +0.54% - up 10 of last 11 days
- Oil: 87.06 +0.24% - BULLISH - up 6 straight days
- COPPER: 395.65 +0.20% - BULLISH - up 5 of the last 6 days
- GOLD: 1,405.13 +0.63% - BULLISH
- EURO: 1.39.41 -0.65% - BEARISH - looking to be down for 3 days in a row
- DOLLAR: 77.027 +0.63% - BULLISH
- FTSE 100: -0.43%%; DAX +0.69%; CAC 40 +0.74%
- European markets, after a mixed open have moved higher to currently trade near session highs.
- A positive response to corporate results from Barclay's and Vodafone outweighed continuing worries over the “burning” peripheral Europe, with peripheral debt spreads widened.
- All but two industry groups trade higher with construction, basic resources and banks the leading gainers.
- Healthcare and financial services trade lower.
- UK Sept Manufacturing production +4.8% y/y vs consensus +4.9% and prior revised to +6.1%
- UK Sept Industrial production +3.8% y/y vs consensus +3.5% and prior revised to +4.3%
- Germany Oct Final CPI +1.3% y/y vs preliminary +1.3%
- France Sep Industrial Production at 04:30 ET
- Nikkei (0.4%); Hang Seng (1.0%); Shanghai Composite (0.8%)
- Asian markets ended the day mixed.
- Tech stocks retreated on earnings concerns, but South Korea edged up.
- Japan retreated on profit-taking and a stronger yen.
- China fell on fears that higher inflation may lead to further monetary tightening as the central bank surprised people by auctioning one-year bills at a higher yield than last week.
- Japan September current account surplus ¥1.960T vs survey ¥1.664T.
- Japan October M2 +2.7% y/y.