S&P Futures Update:
- S&P futures are up by 18.8 points or 0.42% from the previous close, as of 7:30 ET.
- Higher sessions in Asia and stronger European markets are contributing factors.
- Treasuries are firmer, and the dollar is weaker across major crosses.
- Gold is up 0.4%, while Bitcoin futures are down 0.1%, and WTI crude remains unchanged.
- Risk appetite improved after a three-week downturn in stocks.
- Enthusiasm about AI and better-than-expected Jul Q earnings are driving factors.
- NVDA has seen positive sell-side previews and price target increases ahead of Wednesday's earnings.
Economic and Federal Outlook:
- Existing home sales and Richmond Fed manufacturing are on the economic calendar.
- Fed policy remains in focus, with debates over inflation targets and labor market signs.
- S&P downgraded multiple U.S. banks, citing funding and liquidity issues.
- Redbook Chain Store numbers are out at 8:55 ET, followed by Jul Existing Home Sales and weekly API Crude Inventories.
- Fed Governor Bowman and Chicago Fed President Goolsbee speak at 14:30 ET.
- FTSE 100 +0.63%, DAX +1.05%, CAC 40 +1.19%.
- UK inflation may be easing; weak industrial output remains in the UK.
- Earnings from $INSTALL.SS, $SYNSAM.SS, $NORVA.SS.
- Microsoft ($MSFT) eyes Activision ($ATVI); Ubisoft ($UBI.FP) signs streaming deal.
- +3.8% $F3C.GR, +4.4% $PRY.IM, -7.3% $BAKKA.NO.
- Nikkei +0.92%, Hang Seng +0.95%, Shanghai Composite +0.88%.
- Strong market performance across Asia, with a special mention of Hong Kong, Japan, and India.
- Corporate news includes $BHP.AU's growth sectors in China, Woodside Energy's ($WDS.AU) CEO comments on gas prices, and more.
Asian Company News:
- +1.4% $9984.JP, -17.0% $1137.HK, -3.9% $002202.CH.
- EU's Borrell suggests Ukraine peace talks.
- Italy considers budget deficits on Meloni's tax-cut plans.
- India's oil imports from Russia fall, as reported by Reuters.
- Thai senators' decision split, and Thaksin jailed on return from exile.
- Japan's finance ministry considers raising yield assumptions for FY24.
US Morning News:
- $LOW (Lowe's Cos.): Q2 EPS $4.56 compared to the estimated $4.47, falling within a range of $3.95-4.61.
- $MDT (Medtronic): Q1 EPS $1.20 excluding items, surpassing expectations of $1.11 and falling within a range of $1.10-1.13.
- $ATVI (Activision): CMA has commenced phase 1 investigation into Microsoft's new proposal to acquire Activision.
- $UBI.FP (Ubisoft): Signed an agreement for streaming Call of Duty and other Activision Blizzard games.
- $PINC (Premier): Q4 EPS $0.68 excluding items, above the expected $0.66, ranging between $0.63-0.69.
- $COTY (Coty): Q4 EPS $0.01 excluding items, compared to $0.02 forecasted, ranging between $0.01-0.03.
- $TIO (Tingo Group): Postponed Q2 earnings release, conference call, and filing of form 10-Q.
- $CSIQ (Canadian Solar): Q2 EPS $2.39, well above the expected $1.52, with estimates ranging from $1.00-2.13.
- $IONS (Ionis Pharmaceuticals): Completed the sale of real estate assets to Oxford as per the 8-K filing.
- $POR (Portland General Electric): Amended the revolving credit facility as revealed in an 8-K filing.
- $WOLF (Wolfspeed): Plans to sell RF business to MACOM Technology Solutions for approximately $125M in cash and stock.
- $LSEA (Landsea Homes): Announced a 4.2M share secondary offering for holders at $9.75 through B. Riley.
- $BDSX (Biodesix): New Nodify XL2 data will be presented at the AABIP Conference.
- $NUTX (Nutex Health): Acquired Population Health Associates and Managed Care Insurance Consultants; terms remain undisclosed.
- $YSG (Yatsen Holding): Q2 non-GAAP EPADS at CNY0.08 compared to the previous year's CNY0.34.
- $IQ (Iqiyi, Inc.): Q2 non-GAAP EPADS CNY0.61 vs expected CNY0.49, with estimates ranging from CNY0.26-0.64.
- $BIDU (Baidu): Q2 non-GAAP EPADS CNY22.55, significantly beating expectations of CNY16.80, with estimates ranging from CNY13.14-21.34.
- $AFMD (Affirmed): Published a manuscript on Affirmed's FcRn-pH-HPLC technology on the mAbs website.
- $ZM (Zoom Video): Q2 EPS $1.34 excluding items, surpassing the expected $1.06, with estimates ranging from $1.04-1.14.
- $BA (Boeing): Qantas Airways is nearing an order for an unspecified number of 787-10s from Boeing, according to Reuters.
- $EQNR.NO (Equinor): Considering the sale of its Azerbaijan operations, as reported by Bloomberg.
Traded Higher Post-Close:
- $PMN (ProMIS Neurosciences): +25.8% to $2.00, announcing $20.4M private placement financing.
- $FN (Fabrinet): +17.7% to $137.50 after earnings.
- $RBT (Rubicon Technologies): +7.4% to $0.73 after terminating SEPA with Yorkville.
- $ZM (Zoom Video): +3.8% to $69.85 after earnings.
- $FNKO (Funko, Inc.): +3.1% to $6.31 after CFO and COO Steve Nave disclosed the purchase of 55.5K shares.
Traded Lower Post-Close:
- $DFLI (Dragonfly Energy Holdings): -22.1% to $1.50 after earnings.
- $PCT (Purecycle Technologies): -14.8% to $8.42 after announcing a private offering of $200.0M of green convertible senior notes.
- $ARAV (Aravive): -7.4% to $0.19 after earnings.
- $LSEA (Landsea Homes): -5.9% to $9.77 after announcing a 4.2M share offering.
- $NDSN (Nordson): -4.8% to $219.60 after earnings.
Most-Read Newspaper/Wire Stories:
- $BICO.SS: BICO Group: Reports Q2 EPS (SEK12.73) compared to a year-ago SEK0.68.
- $GXE.CN: Gear Energy: July FFO of C$6.5M vs prior month's C$5.0M.
- $EGTX.SS: Egetis Therapeutics: Reports Q2 EPS (SEK0.3) vs expected (SEK0.28).
- $VICO.SS: Vicore Pharma Holding: Inconclusive data from EndoPAT exploratory trial due to high intra-individual variability.
- $NORVA.SS: Norva24 Group AB: Reports Q2 EPS NOK0.31 vs a year-ago NOK0.32.
- $JEF (Jefferies Financial Group): Upgraded to buy from neutral at Goldman Sachs.
- $ARMK (Aramark): Upgraded to buy from neutral at UBS.
- $IRM (Iron Mountain): Upgraded to outperform from sector performance at RBC Capital Markets.
- $EVR (Evercore): Downgraded to neutral from buy at Goldman Sachs.
- $CERT (Certara): Downgraded to hold from buy at Jefferies.
- $CELL (PhenomeX): Downgraded to hold from buy at Berenberg.
U.S. Earnings Today:
- No notable releases are pending.
- Jul World Crude Steel production +6.6% y/y to 158.5Mt -- World Steel Association
- UK Aug CBI Industrial Trends Orders (15) vs consensus (13) and prior (9)
- UK Jul Public Sector Net Borrowing (£3.48B) vs consensus (£17.0B) and prior revised (£17.11B) from (£17.67B)
- Switzerland Jul Trade Balance CHF3.13B vs consensus CHF4.3B and prior revised CHF4.79B from CHF4.82B
- Swiss Watch Exports (0.9%) to CHF 2.2B
- Ireland Jul PPI (5.2%) y/y vs consensus (1.0%) and prior (0.6%)
- PBOC sets yuan fixing at 7.1992 vs consensus 7.3097 and prior 7.1987
This is the first time since I am posting that we have a green day overall all around the table. Asia, Europe, the Futures, Crypto, everything is positive today. Be smart and position yourself accordingly.
And have a fantastic day!