TODAY’S S&P 500 SET-UP – August 28, 2013
As we look at today's setup for the S&P 500, the range is 45 points or 0.58% downside to 1621 and 2.18% upside to 1666.
SECTOR PERFORMANCE
EQUITY SENTIMENT:
CREDIT/ECONOMIC MARKET LOOK:
- YIELD CURVE: 2.35 from 2.35
- VIX closed at 16.77 1 day percent change of 11.87%
MACRO DATA POINTS (Bloomberg Estimates):
- 7am: MBA Mortgage Applications, Aug. 23 (prior -4.6%)
- 7:45am: BoE’s Carney speaks in Nottingham, England
- 10am: Pending Home Sales M/m, July, est. 0.0% (prior -0.4%)
- 10:30am: DOE Energy Inventories
- 11am: Fed to buy $2.75b-$3.5b in 2020-2023 sector
- 1pm: U.S. to sell $35b 5Y notes
GOVERNMENT:
- 10am: FDIC to consider new version of proposed Qualified Residential Mortgage rule that would require lenders to keep stake in risky mortgages they securitize
- 11am: 50th anniversary of March on Washington civil rights rally, Dr. Martin Luther King, Jr.’s “I Have a Dream” speech; President Barack Obama, former Presidents Bill Clinton, Jimmy Carter, will speak
- U.S. Defense Sec. Chuck Hagel attends mtg of defense chiefs of ASEAN and their counterparts from nations including Japan, South Korea and China in Brunei
WHAT TO WATCH:
- BofA’s Merrill reaches $160m deal in black advisers’ suit
- Syria strike looms as U.S. readies forces with U.K., France
- Ex-JPMorgan trader released, opposes U.S. extradition
- JPMorgan “London Whale” fines may reach $600m: WSJ
- Sumitomo Mitsui, Orix said to weigh bids for AIG-owned planes
- Currency spikes at 4pm in London provide rate-rigging clues
- AMR-US Airways trial should wait until March, U.S. says
- Switzerland close to resolving undeclared U.S. accounts issue
- China to strictly control new local govt debt: Xinhua
- TPG-backed China Grand Auto is said to revive $500m IPO
- PepsiCo may buy up to 25% in Balaji Wafers, Line reports
- India’s Foreign Investment Board clears Mylan deal: Express
- N.Y. Times, Twitter web-address data hacked by Syrian group
EARNINGS:
- Brown-Forman (BF/B) 8am, $0.71
- Canadian Western Bank (CWB CN) 8:30am, C$0.59 - Preview
- Chico’s (CHS) 7:15am, $0.32
- Express (EXPR) 7am, $0.20
- Fresh Market (TFM) Aft-mkt, $0.32
- Guess? (GES) 4:03pm, $0.36
- Joy Global (JOY) 6am, $1.36 - Preview
- National Bank of Canada (NA CN) 7:15am, C$2.06 - Preview
- Williams-Sonoma (WSM) 4:05pm, $0.47
COMMODITY/GROWTH EXPECTATION (HEADLINES FROM BLOOMBERG)
- LME Facing Big Bang After Largest Metals Bourse Names New Chief
- Potash King Becomes Hostage as Belarus Pokes Putin: Commodities
- Commodities Gain to Six-Month High as Oil Rallies on Syrian Risk
- WTI Crude Rises to Two-Year High on Syria; SocGen Sees $150 Risk
- Gold Nears Bull-Market Territory as Syrian Tensions Spur Demand
- Copper Retreats for a Second Day Amid Escalating Syria Tension
- Corn Output in China Seen Lower on Heavy Rain, Researcher Says
- Sugar Declines as Brazil Millers Favor Sweetener; Cocoa Advances
- Gold Supply Hit Record in 2Q on OTC Market, GFMS Says: BI Chart
- Oil Diverges From U.S. Stocks Most Since 2011 on Syria Concerns
- McDonald’s ‘Mighty Wings’ Seen Boosting Prices: Chart of the Day
- Gas Price Jump Seen in Record Europe Stockpiling: Energy Markets
- Cranes Hoist Lebanon Economy as Syrian War Helps Port: Freight
- Tocqueville Is Best Gold Fund Amid Price Plunge: Riskless Return
CURRENCIES
GLOBAL PERFORMANCE
EUROPEAN MARKETS
ASIAN MARKETS
MIDDLE EAST
The Hedgeye Macro Team