TODAY’S S&P 500 SET-UP – June 18, 2014
As we look at today's setup for the S&P 500, the range is 41 points or 1.44% downside to 1914 and 0.67% upside to 1955.
SECTOR PERFORMANCE
EQUITY SENTIMENT:
CREDIT/ECONOMIC MARKET LOOK:
- YIELD CURVE: 2.17 from 2.17
- VIX closed at 12.06 1 day percent change of -4.66%
MACRO DATA POINTS (Bloomberg Estimates):
- 7am: MBA Mortgage Applications, June 13 (prior 10.3%)
- 8:30am: Current Account Balance, 1Q, est. -$97b (pr -$81.1b)
- 10:30am: DOE Energy Inventories
- 2pm: Fed seen lowering QE purchases by $10b to $35b, maintaining benchmark interest rate target in 0%-0.25% range
- 2:30pm: Fed’s Yellen holds news conf.
GOVERNMENT:
- Senate Energy Cmte votes on Keystone pipeline authorization
- Treasury Sec. Jack Lew on trip to Abu Dhabi, UAE, Saudi Arabia, Jerusalem and Berlin
- 7am: Quinnipiac Univ. releases poll of Iowa voters on Senate race between Republican state Sen. Joni Ernst, Rep. Bruce Braley, D-Iowa
- 10am: GM CEO Mary Barra to testify at House Energy and Commerce subcmte hearing on recalls
- 10am: Senate Appropriations panel hears from Defense Sec. Chuck Hagel, Joint Chiefs Chairman Martin Dempsey on Defense Dept budget
- 10am: House Financial Services Cmte hears from CFPB’s Cordray
- 10am: Senate Banking panel meets on high-frequency trading
- 10:45am: President Obama hosts “Maker Faire” event
- 2:30pm: Senate Judiciary panel votes on constitutional amendment to allow Congress to regulate campaign financing
- 2:30pm: Senate Commerce Cmte hearing on e-cigarette marketing
WHAT TO WATCH:
- Fed to taper, may reduce jobless rate forecast: Economists
- Amazon smartphone potential based on price: BI
- GE set to make new offer for Alstom on June 20: Le Figaro
- Bouygues wants to keep its 29% Alstom stake: Le Parisien
- Boeing said to be in talks with ICBC for 747-8 jumbo order
- Iraq PM fires commanders as Obama holds off airstrikes
- Putin, Poroshenko in talks over possible cease-fire
- GM’s Barra faces Congress irked by small fine, strong sales
- EU must rely on antitrust, privacy rules vs Google: Germany
- BlackRock CEO sees regulators shifting to products vs firms
- Oracle’s Ellison renews talk of Micros takeout 6 yrs later
- Apollo, Cerberus LBOs have highest default rates: Moody’s
- California cmte. rejects bill on soda, drink labeling: AP
- Viacom ends partnerships with 60 rural U.S. cable cos.: WSJ
- T-Mobile offers to buy spectrum from smaller rivals: NYPost
- BOE says 2014 rate increase more likely than investors bet
- CIC investment losses from mismanagement; may widen: Auditor
EARNINGS:
- Actuant (ATU) 8am, $0.63
- FedEx (FDX) 7:30am, $2.36 - Preview
- Jabil Circuit (JBL) 4:02pm, $(0.10)
- Red Hat (RHT) 4:04pm, $0.33
COMMODITY/GROWTH EXPECTATION (HEADLINES FROM BLOOMBERG)
- Gold Industry to Discuss Changes to Century-Old Fixing Benchmark
- Gold Miners Seek Jackpot Hidden Among Nevada Hills: Commodities
- Brent Pares Gains as North Iraq Fighting Spreads; WTI Rises
- Oil-Gold Tie Breaks 1st Time in 5 Years as Economy Grows: Energy
- World Economy Faces Threat From Old Enemy as Oil Approaches $120
- Nickel Drops as Inventories Surge Most in Five Years to Record
- Gold Trades Below Three-Week High Before Fed Concludes Meeting
- Alumina Refineries in Indonesia Delayed by Legal Challenge
- White Sugar Advances to Highest in Four Weeks; Coffee Slips
- Kurd Oil Supply Seen Growing as Region Grabs More Territory
- Platinum Strike Settlement Said to Be Delayed on Union Demands
- Natixis Says Hiring Commodity Financing Bankers for Asia-Pacific
- Sinopec May Shut Qingdao Refinery for Maintenance in May 2015
- Kogas May Buy Winter Spot LNG Cargoes and Reschedule Deliveries
- Natural Gas Siphoning Seen Unlikely in Ukraine Seeking EU Ties
CURRENCIES
GLOBAL PERFORMANCE
EUROPEAN MARKETS
ASIAN MARKETS
MIDDLE EAST
The Hedgeye Macro Team