Good morning. Happy Wednesday.
The Asian/Pacific markets closed mixed. Indonesia dropped 1%; Japan, Singapore and Taiwan also lost ground. China rallied 1%; Australia and Hong Kong also did well. Europe currently leans to the downside. Greece is up 1.6%, but there are no other big winners. France, Sweden, Spain, Italy and Belgium are down. Futures in the States point towards a slight down open for the cash market.
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LB Daily – yesterday’s report
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The dollar is down. Oil and copper are up. Gold is up; silver is down. Bonds are down.
The S&P broke its string of inside days yesterday, but it didn’t get any follow through and volume fell for the second straight day.
The Dow got close to 20K but failed to touch it. Volume was also weak there.
The market is already settling into pre-holiday trading, where the intraday range is small and volume is light.
Tis not the season for robust follow through. Whether you buy breakouts or dips doesn’t matter. In isolated cases, stocks will do well. But overall, keep expectations in check.
Many groups are up a bunch the last six weeks – some started their moves before the election. It’s a happy coincidence they need to rest at a time of year the entire market is resting.
Stock headlines from barchart.com…
Goldman Sachs (GS +1.68%) was downgraded to ‘Neutral’ from ‘Overweight’ at Atlantic Securities with a 12-month target price of $240.
JetBlue Airways (JBLU +1.24%) was downgraded to ‘Market Perform’ from ‘Outperform’ at Raymond James.
Sunoco LP (SUN -8.02%) was upgraded to ‘Outperform’ from ‘Neutral’ at Credit Suisse with a target price of $31.
Goldcorp (GG -0.40%) was upgraded to ‘Buy’ from ‘Hold’ at TD Securities with a 12-month target price of $18.50.
Texas Instruments (TXN +0.64%) was rated a new ‘Positive’ at Susquehanna with a 12-month target price of $85.
Fluor (FLR -0.57%) gained 1% in after-hours trading after it was awarded a contract by Novo Nordisk to build a $2 billion manufacturing facility in Clayton, North Carolina.
BB&T (BBT +1.69%) boosted its 2016/17 share buyback program by $200 million.
Nike (NKE +1.85%) climbed 3% in after-hours trading after it reported Q2 EPS of 50 cents, higher than consensus of 43 cents. Under Armour (UAA -0.33%) also gained 1% on the news.
FedEx (FDX +0.57%) dropped 3% in after-hours trading after it reported Q2 adjusted EPS of $2.80, weaker than consensus of $2.91.
DexCom (DXCM +0.08%) gained almost 2% in after-hours trading after the FDA approved its G5 Mobile CGM system as the first and only continuous glucose monitoring system that can be used without finger pricking to test glucose levels.
Steelcase (SCS +3.38%) slumped 8% in after-hours trading after it reported Q3 revenue of $786.5 million, less than consensus of $787 million, and then lowered guidance on Q4 revenue to $735 million-$760 million, below consensus of $762 million.
Tuesday’s Key Earnings
BlackBerry (NASDAQ:BBRY) -2.9% amid concerns about revenue growth.
CarMax (NYSE:KMX) +6.1% boosting used vehicle sales.
Carnival (NYSE:CCL) +2.3% following strong bookings.
FedEx (NYSE:FDX) -3.9% AH missing estimates, light guidance.
General Mills (NYSE:GIS) -2.6% cutting its sales outlook.
Nike (NYSE:NKE) +2.3% AH with a rebound at its basketball unit.
Today’s Economic Calendar
7:00 MBA Mortgage Applications
10:00 Existing Home Sales
10:30 EIA Petroleum Inventories
Today’s Earnings here
Other…
today’s upgrades/downgrades from briefing.com
this week’s Earnings
this week’s Economic Numbers