TODAY’S S&P 500 SET-UP – July 25, 2012
As we look at today’s set up for the S&P 500, the range is 20 points or -0.70% downside to 1329 and 0.80% upside to 1349.
SECTOR AND GLOBAL PERFORMANCE
EQUITY SENTIMENT:
- ADVANCE/DECLINE LINE: on 07/24 NYSE -1477
- Up versus the prior day’s trading of -1601
- VOLUME: on 07/24 NYSE 808.38
- Increase versus prior day’s trading of 8.81%
- VIX: as of 07/24 was at 20.47
- Increase versus most recent day’s trading of 9.94%
- Year-to-date decrease of -12.52%
- SPX PUT/CALL RATIO: as of 07/24 closed at 2.08
- Up from the day prior at 1.23
CREDIT/ECONOMIC MARKET LOOK:
- TED SPREAD: as of this morning 35
- 3-MONTH T-BILL YIELD: as of this morning 0.10%
- 10-Year: as of this morning 1.43%
- Increase from prior day’s trading at 1.39%
- YIELD CURVE: as of this morning 1.22
- Up from prior day’s trading at 1.17
MACRO DATA POINTS (Bloomberg Estimates):
- 7am: MBA Mortgage Applications, July 20 (prior 16.9%)
- 10am: New Home Sales, June, est. 372k (prior 369k)
- 10am: New Home Sales M/m, June, est. 0.8% (prior 7.6%)
- 10:30am: DOE inventories
- 11am: Fed to purchase $4.5b-$5.5b notes due 8/15/20-5/15/22
- 11am: U.S. to sell $35b 5-yr notes
GOVERNMENT:
- House, Senate in session
- Senate Finance holds hearing on education tax Incentives, 10am
- Senate Commerce holds hearing on short-supply prescription drugs, 2:30pm
- House Education and Workforce Committee holds hearing on proposals to strengthen National Labor Relations Act, 10am
- Senate Appropriations hears from Education Secretary Arne Duncan on effects of budget cuts on education, 10am
- Senate Foreign Relations holds hearing on increasing trade with Africa, 3pm
- House Armed Services panel holds hearing on military capabilities for cyber operations, 3:30pm
- Treasury Secretary Tim Geithner presents annual report of FSOB at House Financial Services hearing, 9:30am
- Peregrine Financial’s collapse amid shortfall in customer funds will be examined at House Agriculture hearing on oversight of swaps,, with CFTC Chairman Gary Gensler, 10am
- Sen. Richard Shelby, R-Ala., speaks at U.S. Chamber of Commerce event on financial regulatory reform, 1pm
WHAT TO WATCH:
- Apple shrs tumble as earnings, forecasts miss analyst ests.
- Netflix plunges on guarded outlook for new 2012 subscribers
- Ancestry.com said to discuss buyout with Providence
- New U.S. home purchases may have risen to 371k annual rate in June, most since April 2010
- C.R. Bard told by jury to pay $5.5m over vaginal-mesh implant
- Food inflation may rise 4.5% in 2013 on worst drought since ’50s
- Wells Fargo ranks No. 1 in hardest-to-value securities: S&P
- Perella said to be hired in Morgan Stanley, Citigroup price rift
- U.K. GDP falls most in 3+ yrs; 2Q GDP falls 0.7%, median forecast 0.2% decline
- German business confidence fell 3rd straight month in July to lowest since March 2010
- Spanish, Italian notes rise on bets ECB may boost rescue fund
- IMF says China downside risks significant as growth slows
- Japan June exports fall 2.3% Y/y vs. est. 3% drop
- Nintendo 1Q net loss 17.23b yen, analyst est. 16.4b yen loss
- ECB’s Nowotny sees arguments for giving ESM banking license
EARNINGS:
- TE Connectivity (TEL) 6am, $0.78
- WellPoint (WLP) 6am, $2.08; Preview
- Encana (ECA CN) 6am, $0.19; Preview
- Thermo Fisher Scientific (TMO) 6am, $1.16
- Cenovus Energy (CVE CN) 6am, C$0.53
- Praxair (PX) 6:02am, $1.42
- Regeneron Pharmaceuticals (REGN) 6:30am, $0.50
- Wyndham Worldwide (WYN) 6:30am, $0.84
- Eli Lilly & Co (LLY) 6:30am, $0.77
- Alexion Pharmaceuticals (ALXN) 6:30am, $0.36
- Tupperware Brands (TUP) 7am, $1.27
- General Dynamics (GD) 7am, $1.74
- Motorola Solutions (MSI) 7am, $0.69
- US Airways Group (LCC) 7am, $1.55; Preview
- AOL (AOL) 7am, $0.23
- PepsiCo (PEP) 7am, $1.10
- Northrop Grumman (NOC) 7am, $1.61
- Rockwell Automation (ROK) 7am, $1.31
- Lorillard (LO) 7am, $2.32
- Nasdaq OMX Group (NDAQ) 7am, $0.60
- Ford Motor Co (F) 7am, $0.29; Preview
- Corning (GLW) 7am, $0.31
- Nielsen Holdings NV (NLSN) 7am, $0.41
- RadioShack (RSH) 7am, $0.04
- MeadWestvaco (MWV) 7:05am, $0.39
- Canadian Pacific Railway Ltd (CP CN) 7:30am, C$0.85
- Caterpillar (CAT) 7:30am, $2.29
- Hess (HES) 7:30am, $1.38
- IAC/InterActiveCorp (IACI) 7:30am, $0.71
- Bristol-Myers Squibb Co (BMY) 7:30am, $0.48; Preview
- Southern Co (SO) 7:30am, $0.68
- JetBlue Airways (JBLU) 7:30am, $0.16
- Airgas (ARG) 7:30am, $1.15
- T Rowe Price Group (TROW) 7:30am, $0.81
- Delta Air Lines (DAL) 7:30am, $0.68
- Boeing Co (BA) 7:30am, $1.13; Preview
- Omnicare (OCR) N , 7:31am, $0.79
- ConocoPhillips (COP) 8am, $1.19; Preview
- Level 3 Communications (LVLT) 8am, $(0.23)
- Cooper Industries PLC (CBE) 8am, $1.12
- Loblaw Ltd (L CN) 8am, $0.60
- Canadian National Railway Co (CNR CN) 8am, C$1.47
- Akamai Technologies (AKAM) 4pm, $0.37
- Las Vegas Sands (LVS) 4pm, $0.60
- Torchmark (TMK) 4pm, $1.30
- LSI (LSI) 4:01pm, $0.17
- Varian Medical Systems (VAR) 4:01pm, $0.93
- AvalonBay Communities (AVB) 4:01pm, $1.34
- Owens-Illinois (OI) 4:02pm, $0.76
- Stericycle (SRCL) 4:02pm, $0.80
- Whole Foods Market (WFM) 4:03pm, $0.61
- Symantec (SYMC) 4:04pm, $0.38
- Everest Re Group Ltd (RE) 4:05pm, $3.83
- Zynga (ZNGA) 4:05pm, $0.06
- Citrix Systems (CTXS) 4:05pm, $0.60
- Angie’s List (ANGI) 4:05pm, $(0.39)
- Lam Research (LRCX) 4:05pm, $0.65
- Visa (V) 4:05pm, $1.45
- Ameriprise Financial (AMP) 4:05pm, $1.34
- Tesla Motors (TSLA), 4:06pm, $(0.94)
- Western Digital (WDC) 4:15pm, $2.45
- Cheesecake Factory (CAKE) 4:15pm, $0.49
- Assurant (AIZ) 4:15pm, $1.41
- Equity Residential (EQR) 4:25pm, $0.68
- Community Health Systems (CYH), 4:30pm, $0.89
COMMODITY/GROWTH EXPECTATION (HEADLINES FROM BLOOMBERG)
- China to Flood Steel Market Hurting ArcelorMittal: Commodities
- Exxon Seen Leading Drop in Oil Earnings on Lower Prices: Energy
- Oil Near Lowest in a Week on U.S. Stockpile Gain, China Concern
- LME Shareholders Approve HKEx’s $2.2 Billion Takeover Offer
- Midwest Drought Impact Reaches Indonesia as Soybean Levy Ends
- Corn Rises, Erasing Drop, as Rains May Fail to Reverse Losses
- Gold Advances for Second Day on European Debt Crisis Concerns
- Germany Lowers Gold Holdings for First Time in Eight Months
- Copper Seen Falling as IMF Warns of Risks to China’s Economy
- East Iowa Corn, Soy Yields Plunge From 2011, Doane Tour Shows
- South Korea Considering Stockpiling Corn, Wheat, Soybeans
- Oil Import Peak in China Set to Curb Brent Rally: Energy Markets
- Fertilizer Maker Seeks Canadian Potash Mines: Corporate India
- Chinese Steel Exports Rise to Two-Year High
- Sugar Rises on Speculation of a Surplus Cut; Coffee Declines
- Food Inflation Seen Rising 4.5% in 2013 as Drought Sears Crops
- North Dakota Spring Wheat Yields Seen Climbing on Early Planting
CURRENCIES
EUROPEAN MARKETS
ASIAN MARKETS
MIDDLE EAST
The Hedgeye Macro Team