THE HEDGEYE DAILY OUTLOOK

TODAY’S S&P 500 SET-UP – May 29, 2014


As we look at today's setup for the S&P 500, the range is 29 points or 1.14% downside to 1888 and 0.38% upside to 1917.                                                                

SECTOR PERFORMANCE

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EQUITY SENTIMENT:

 

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CREDIT/ECONOMIC MARKET LOOK:

 

  • YIELD CURVE: 2.07 from 2.08
  • VIX closed at 11.68 1 day percent change of 1.48%

 

MACRO DATA POINTS (Bloomberg Estimates):

  • 8:30am: GDP Annualized q/q, 1Q (S), est. -0.5% (prior 0.1%)
  • 8:30am: Initial Jobless Claims, May 24, est. 318k (prior 326k)
  • 8:30am: Personal Consumption, 1Q (S), est. 3.1% (prior 3%)
  • 8:30am: Fed’s Pianalto gives opening remarks at conf. entitled, “Inflation, Monetary Policy and the Public”
  • 9:45am: Bloomberg Consumer Comfort, May 25 (prior 34.1)
  • 10am: Pending Home Sales m/m, Apr., est. 1% (prior 3.4%)
  • 10am: Freddie Mac mortgage rates
  • 10:30am: EIA natural-gas storage change
  • 11am: DOE Energy Inventories
  • 9:30pm: Fed’s George speaks at Stanford

GOVERNMENT:

    • Push grows for Shinseki to go as report cites veteran-care flaws
    • Senate out; House in session
    • U.S. Chamber of Commerce Pres. Thomas Donohue speaks at University of Havana; leads delegation of business leaders, including Cargill CFO Marcel Smits, on fact-finding trip
    • 11:05am: President Obama to announce public, private commitments to raise awareness about concussions at summit on youth sports injuries
    • 1pm: House Small Business Cmte holds hearing on EPA’s “Waters of the United States” rule
    • U.S. ELECTION WRAP: Democrats’ Local Strategy; GOP on VA Scandal

WHAT TO WATCH:

  • Microsoft, Salesforce said to be discussing cloud partnership
  • Apple agrees to buy Beats for $3b in biggest-ever deal
  • Ackman looks to raise money from fund listed in London: NYT
  • Costco quarterly profit trails estimates even as sales increase
  • Google vows to improve diversity after disclosing staffing data
  • AIG sees labor-cost arbitrage as jobs move to Philippines, TEX
  • Phillips 66 says tribunal supports Sweeny takeover from PDVSA
  • Man Group considering purchase of quant money manager Numeric
  • RBS said to sell stake in private-equity arm to Adams Street
  • Energy Capital hires banks to explore EquiPower sale, IPO: WSJ
  • GIC to sell Florida Golf property purchased from Paulson Group
  • U.S. states meld zero-emission car plans in drive to sales goal
  • Russia urges “emergency steps” on Ukraine after rebel losses

AM EARNS:

    • Abercrombie & Fitch (ANF) 7am, $(0.19) - Preview
    • CIBC (CM CN) 5:50am, C$2.02 - Preview
    • Fred’s (FRED) 7:45am, $0.20
    • Pall (PLL) 7am, $0.83
    • Sanderson Farms (SAFM) 6:30am, $1.70

PM EARNS:

    • Avago Technologies (AVGO) 4:05pm, $0.77
    • Express (EXPR) 4pm, $0.14
    • Guess (GES) 4:03pm, $(0.07)
    • Infoblox (BLOX) 4:05pm, $0.03
    • Lions Gate Entertainment (LGF) 4:01pm, $0.43
    • OmniVision Technologies (OVTI) 4:25pm, $0.26
    • Pacific Sunwear (PSUN) 4pm, $(0.13)
    • Splunk (SPLK) 4:02pm, $(0.06)
    • Veeva Systems (VEEV) 4:05pm, $0.05

COMMODITY/GROWTH EXPECTATION (HEADLINES FROM BLOOMBERG)

 

  • WTI Trades Near One-Week Low After Stockpiles Grow; Brent Steady
  • Sugar Output in Thailand Seen Climbing to Record as Area Expands
  • Cocoa Shortage Looms as Growers Opt to Farm Rubber: Commodities
  • Gold Falls to 16-Week Low as Palladium Near Highest Since 2011
  • Copper Drops From 11-Week High as Investors Capitalize on Gains
  • Corn Heads for Biggest Monthly Drop Since June on Sowing in U.S.
  • Sugar Bounces With Newfound Demand After Losses; Coffee Advances
  • Scrap Copper Imports by China Seen Recovering With Refined Price
  • Nickel Pig Iron Output Costs in China Seen Surging as Ore Jumps
  • Blackstone Unit Foreshadows Google Path to Power Company: Energy
  • Minister’s Platinum Strike Plan Seen Unlikely to Bring Quick End
  • Birthplace of USS New Jersey Saved by Shale Production: Freight
  • London Bullion Market Gold Fix May Go the Way of Silver
  • Steel Rebar Falls as Iron Ore Price Drops to Lowest Since 2012

 

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CURRENCIES


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GLOBAL PERFORMANCE

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EUROPEAN MARKETS

 

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ASIAN MARKETS

 

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MIDDLE EAST

 

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The Hedgeye Macro Team