TODAY’S S&P 500 SET-UP - September 7, 2011
As we look at today’s set up for the S&P 500, the range is 42 points or -1.65% downside to 1146 and 1.95% upside to 1188.
SECTOR AND GLOBAL PERFORMANCE
EQUITY SENTIMENT:
- ADVANCE/DECLINE LINE: -1402 (-2155)
- VOLUME: NYSE 1124.29 (+15.3%)
- VIX: 37.00 +9.08% YTD PERFORMANCE: +108.45%
- SPX PUT/CALL RATIO: 1.85 from 2.02
CREDIT/ECONOMIC MARKET LOOK:
- TED SPREAD: 32.54
- 3-MONTH T-BILL YIELD: 0.0254%
- 10-Year: 2.01 from 1.98
- YIELD CURVE: 1.81 from 1.79
MACRO DATA POINTS (Bloomberg Estimates):
- 7 a.m.: MBA Mortgage
- 7:45 a.m./8:55 a.m.: ICSC/Redbook weekly sales
- 10 a.m.: Jolt Job openings
- 11:15 a.m.: Fed’s Evans speaks in London
- 11:30 a.m.: U.S. to sell $30b 4-wk bills
- Noon: DoE short-term energy outlook
- 2 p.m.: Fed Beige Book
- 4 p.m.: Fed’s Williams to speak to Seattle Rotary Club
- 4:30 p.m.: API inventories
WHAT TO WATCH:
- Yahoo! fired Carol Bartz as CEO, replaced her with CFO Tim Morse on interim basis, starts strategic review
- Bank of America shook up its top ranks, ousting wealth-mgmt head Sallie Krawcheck, consumer-banking head Joe Price
- Constitutional challenges to Germany’s participation in the euro rescue funds were rejected by country’s top court today
- Anglo American said to decide against takeover offer for MacArthur Coal
- NY prosecutors said to issue subpoenas to Morgan Stanley as probe of Goldman sale of mortgage-backed products widens: WSJ
- SEC said to probe effect of ETFs on Aug. market swings: WSJ
- S&P said to have met with some bond investors before U.S. debt downgrade: WSJ
- Trial on patent lawsuit by Teva Pharmaceutical over multiple-sclerosis drug Copaxone set to begin today
- FDA briefing docs due for 9/9 panel on use of bisphosphonates in light of possible link to osteonecrosis of the jaw; makers include MRK, WCRX, Roche, Novartis
- Saab Automobile applied for protection from creditors today in bid to raise money to restart ops; reorganization process will last at least 3 months, can be extended up to a year
- AT&T can lower the price it pays for T-Mobile USA if remedies requested by regulators too expensive, people familiar said
- Google’s Seoul office said to be raided by South Korea’s antitrust regulator as part of probe into whether company unfairly blocked competitors in mobile-search market
- United Technologies said to receive potential buyer interest for unit Pratt & Whitney Rocketdyne, considering sale: Reuters
- Archstone said to get acquisition offers from four suitors including Blackstone and Brookfield Asset Management: WSJ
- Hurricane Katia, now a category 1 storm, continued to move between East Coast and Bermuda; second system advanced west across Atlantic Ocean, may reach Puerto Rico by this weekend
- No IPOs expected to price today
COMMODITY/GROWTH EXPECTATION
MOST POPULAR COMMODITY HEADLINES FROM BLOOMBERG:
- Commodities Rebound as Low Interest Rates May Help Boost Demand
- Corn, Soybeans, Wheat Advance as Dry Weather May Damage Crops
- Sugar Rises in New York During Lull Before Crops; Coffee Rises
- Pawnbrokers Thrive as Rising Gold Price Entices Hard-Up Britons
- India May Ship Raw Sugar First Time in Four Years on Supply
- Libya Oil Resumption May Take at Least 18 Months, BofA Says
- PhosAgro to Renegotiate Indian Accord to Match Prices of Rivals
- Afghan Hajigak Iron Ore Gets Bids From India, Iran, Canada
- Aluminum Will Stay in Surplus for Fifth Year, Sumitomo Says
- Vale Says Sale of World’s Largest Ore Ships ‘Won’t Carry Loss’
- Whole-Milk Powder Slips to 13-Month Low on Supply Boost
- Gold Price Retreat May Prolong Bull Run, Top U.K. Investor Says
- Oil Supply Falls in Survey on Storm, Imports: Energy Markets
- Coffee Demand Rises on Single-Cup Sales, StudyLogic Data Shows
CURRENCIES
EUROPEAN MARKETS
ASIAN MARKETS
MIDDLE EAST
Howard Penney
Managing Director