Entering text into the input field will update the search result below

BARCHART MORNING CALL 10/28

Oct. 28, 2015 11:09 AM ETAAPL, HPEYX, TWTR, GILD, VLO, WBA, VYX, AKAM, NOC, INFN, ZLTQ, HES, ADP, BSX, NEE, GE, HSY, IP, OXY, XRAY, NOV, SO, PCG, AN, GRMN, TEL, ELV, FLIR, NSC, MDLZ, AIZ, ESRX, CHRW, AFL, CINF, FFIV, HBI, VRTX, ANDV, RRC, EQIX
Jim Van Meerten profile picture
Jim Van Meerten's Blog
66.05K Followers
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

BARCHART MORNING CALL

Wednesday, October 28th, 2015View Older Reports

Everything you need to know about the markets in one free daily newsletter.

E-mail: Submit


You will also receive a free subscription to the Barchart family of newsletters.

OVERNIGHT MARKETS AND NEWS

December E-mini S&Ps (ESZ15 +0.23%) are up +0.19% and European stocks are up +0.65% as Apple climbed nearly 2% in pre-market trading after reporting better-than-expected quarterly profits late yesterday. The markets also await the Fed's interest rate announcement later today as to whether there will be an interest rate increase this year. European stocks also garnered support from a decline in the German 10-year bund yield to a 5-1/2 month low of 0.431% on the prospects of additional ECB easing after comments from ECB Executive Board member Coeure who said have been "lively" discussions within the ECB about additional measures to promote growth and boost inflation. Asian stocks settled mostly lower: Japan +0.67%, Hong Kong -0.80%, China -1.72%, Taiwan -0.41%, Australia -0.20%, Singapore -0.39%, South Korea -0.10%, India -0.78%. China's Shanghai Composite fell on growth concerns after the Oct Westpac-MNI consumer sentiment fell to a record low and after UBS cut its China 2016 GDP forecast to 6.2% from 6.5%. Japanese stocks were the only bright spot in Asian markets as the Nikkei Stock Index closed higher on speculation the BOJ will increase stimulus when it meets this Thursday and Friday.

The dollar index (DXY00 -0.17%) is down -0.14%. EUR/USD (^EURUSD) is up +0.14%. USD/JPY (^USDJPY) is down -0.11%.

Dec T-note prices (ZNZ15 -0.07%) are down -2 ticks.

ECB Executive Board member Coeure said that the risks have increased that inflation will remain below the ECB's goal of 2.0% and that warrants vigilance from policy makers. He added that there have been "lively" discussions within the ECB of whether the deposit rate could be lowered from its current -0.2%or about expanding asset purchases.

The China Oct Westpac-MNI consumer sentiment fell -8.5 to 109.7, the lowest since the data series began in 2007.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) weekly MBA mortgage applications (previous +11.8% with purchase mortgage sub-index +16.4% and refi sub-index +8.8%), (2) the Treasury's auction of $15 billion of 2-year floating rate notes and $35 billion of 5-year T-notes, and (3) the FOMC's interest rate decision after its 2-day meeting concludes.

There are 44 of the S&P 500 companies that report earnings today with notable reports including: PayPal Holdings (consensus $0.29), Valero Energy (2.66), ICE Exchange (2.92), Walgreens (0.81), Hess Corp (-1.20), ADP (0.65%), General Dynamics (2.13), Northrop Grumman (2.19), Amgen (2.38), Murphy Oil *-0.93), Newmont Mining (0.17), Willaims Copmanies (0.18),

U.S. IPO's scheduled to price today: Optex Systems MyoKardia (MYOK).

Equity conferences during the remainder of this week include: Money20/20 Conference on Mon-Wed.

OVERNIGHT U.S. STOCK MOVERS

Apple (AAPL -0.63%) climbed 2% in pre-market trading after it reported Q4 EPS of $1.96, higher than consensus of $1.88.

Hewlett Packard Enterprise ({=HPE-W=}) rose nearly 3% in after-hours trading when it was reported that it will replace Hudson City Bancorp in the S&P 500 after the close of trading on Friday, Oct 30.

Intercontinental Exchange (ICE +3.36%) reported Q3 EPS of $2.91, below consensus of $2.92.

Twitter (TWTR +1.46%) dropped over 10% in pre-market trading after it reported adjusted Q3 EPS of 10 cents, double consensus of 5 cents, but then lowered guidance on Q4 revenue to $695 million to $710 million, below consensus of $748.6 million.

Gilead Sciences (GILD +2.14%) fell almost 2% in after-hours trading after it reported Q3 EPS of $3.22, well ahead of consensus of $2.88, but said it sees 2015 fiscal sales of $30 billion-$31 billion, below consensus of $31.5 billion.

Valero Energy (VLO +0.90%) reported Q3 EPS of $2.79, higher than consensus of $2.66.

Walgreens Boots Alliance (WBA +6.35%) reported Q4 EPS of 88 cents, better than consensus of 81 cents.

NCR Corp. (NCR -6.92%) rose nearly 2% in after-hours trading after it reported adjusted Q3 EPS of 78 cents, above consensus of 70 cents, and then raised guidance on fiscal 2015 EPS to $2.70-$2.80 from an earlier forecast of $2.60-$2.80, above consensus of $2.68.

Akamai (AKAM +0.24%) fell over 7% in after-hours trading after it reported adjusted Q3 EPS of 62 cents, above consensus of 57 cents, but then lowered guidance on Q4 EPS to 60 cents-64 cents, below consensus of 65 cents.

Northrop Grumman (NOC +0.17%) jumped over 8% in after-hours trading after the U.S. Air Force announced that it chose NOC to build the next-generation long-range strike bomber, beating out rivals Boeing and Lockheed Martin. The contract may be worth up to $80 billion if all 100 planes are built.

Infinera (INFN +0.05%) jumped 8% in after-hours trading after it reported adjusted Q3 EPS of 22 cents, higher than consensus of 18 cents.

Zeltiq Aesthetics (ZLTQ +3.54%) climbed 2% in after-hours trading after it reported Q3 EPS of 5 cents, better than consensus of a -5 cent loss, and then raised guidance on fiscal 2015 revenue to $252 million from a previous estimate of $245 million-$247 million, above consensus of $247.2 million.

MARKET COMMENTS

Dec E-mini S&Ps (ESZ15 +0.23%) this morning are up +4.00 points (+0.19%). Tuesday's closes: S&P 500 -0.25%, Dow Jones -0.24%, Nasdaq +0.18%. The S&P 500 index on Tuesday closed lower on signs of weak capital spending after Sep capital goods orders non-defense ex-aircraft unexpectedly fell-0.3% (vs expectations of +0.2%) and on the -5.0 point decline in U.S. Oct consumer confidence to 97.6 (vs expectations of -0.2 to 102.8). There were also some concerns that the FOMC in its post-meeting statement on Wednesday might adopt less dovish language to allow for a December rate hike, although the FOMC is unanimously expected to leave interest rates unchanged.

Dec 10-year T-notes (ZNZ15 -0.07%) this morning are down -2 ticks. Tuesday's closes: TYZ5 +10.50, FVZ5 +6.75. Dec T-notes on Tuesday settled higher on carryover support from a rally in German bunds to a 5-1/2 month high, the larger-than-expected -5.0 point decline in U.S. Oct consumer confidence, and increased safe-haven demand with the sell-off in stocks.

The dollar index (DXY00 -0.17%) this morning is down -0.139 (-0.14%). EUR/USD (^EURUSD) is up +0.0016 (+0.14%). USD/JPY (^USDJPY) is down-0.13 (-0.11%). Tuesday's closes: Dollar Index +0.045 (+0.05%), EUR/USD -0.0007 (-0.06%), USD/JPY -0.64 (-0.53%). The dollar index on Tuesday settled higher on weakness in GBP/USD, which fell to a 1-1/2 week low after UK Q3 GDP grew at a slower-than-expected pace. In addition, EUR/USD saw weakness on ECB Governing Council member Nowotny's comment that the Eurozone is "still in this situation of very low inflation rates," which bolstered speculation that the ECB may expand QE.

Dec crude oil (CLZ15 +0.88%) this morning is up +34 cents (+0.79%) and Dec gasoline (RBZ15 +0.91%) is up +0.0088 (+0.69%). Tuesday's closes: CLZ5-0.59 (-1.34%), RBZ5 -0.0018 (-0.14%). Dec crude oil and gasoline on Tuesday closed lower with Dec crude at a 2-month low. Crude oil prices were undercut by the stronger dollar, the sharp -5.0 point drop in U.S. consumer confidence, and expectations for Wednesday's weekly EIA report to show that crude inventories rose by +3.5 million bbl.

GLOBAL EVENT CALENDAR10/28/2015

US 0700 ET Weekly MBA mortgage applications, previous +11.8% with purchase mortgage sub-index +16.4% and refi sub-index +8.8%.
0730 ET Sep advance U.S. goods trade deficit expected -$64.3 billion, Aug -$66.6 billion.
1030 ET EIA Weekly Petroleum Status Report.
1130 ET Treasury auctions $15 billion 2-year floating rate notes.
1300 ET Treasury auctions $35 billion 5-year T-notes.
1400 ET FOMC interest rate decision.
GER 0300 ET German Nov GfK consumer confidence expected -0.2 to 9.4, Oct 9.6.
0300 ET German Sep import price index expected -0.2% m/m and -3.5% y/y, Aug -1.5% m/m and -3.1% y/y.
EUR 0515 ET ECB Executive Board member Peter Praet speaks on a panel discussion on What Challenges High Public Debts Pose for Monetary Policy at a banking conference in Riga, Latvia.
1045 ET ECB Vice President Vitor Constancio delivers keynote speech on Macroprudential Policy in Europe: Ensuring Financial Stability in a Banking and Capital Markets Union at a conference in Berlin.
JPN 1950 ET Japan Sep industrial production expected -0.6% m/m and -2.6% y/y, Aug -1.2% m/m and -0.4% y/y.

U.S. STOCK CALENDAR10/28/2015

Company Ticker Time Event Description Period Estimate
Hess Corp HES US Bef-mkt Q3 2015 Earnings Release Q3 2015 -1.197
Automatic Data Processing Inc ADP US Bef-mkt Q1 2016 Earnings Release Q1 2016 0.652
Boston Scientific Corp BSX US Bef-mkt Q3 2015 Earnings Release Q3 2015 0.225
NextEra Energy Inc NEE US Bef-mkt Q3 2015 Earnings Release Q3 2015 1.649
General Dynamics Corp GD US Bef-mkt Q3 2015 Earnings Release Q3 2015 2.127
Hershey Co/The HSY US Bef-mkt Q3 2015 Earnings Release Q3 2015 1.124
International Paper Co IP US Bef-mkt Q3 2015 Earnings Release Q3 2015 0.88
Northrop Grumman Corp NOC US Bef-mkt Q3 2015 Earnings Release Q3 2015 2.194
Occidental Petroleum Corp OXY US Bef-mkt Q3 2015 Earnings Release Q3 2015 -0.003
PG&E Corp PCG US Bef-mkt Q3 2015 Earnings Release Q3 2015 0.955
AutoNation Inc AN US Bef-mkt Q3 2015 Earnings Release Q3 2015 1.058
Level 3 Communications Inc LVLT US Bef-mkt Q3 2015 Earnings Release Q3 2015 0.46
Valero Energy Corp VLO US Bef-mkt Q3 2015 Earnings Release Q3 2015 2.664
Garmin Ltd GRMN US Bef-mkt Q3 2015 Earnings Release Q3 2015 0.519
Intercontinental Exchange Inc ICE US Bef-mkt Q3 2015 Earnings Release Q3 2015 2.919
TE Connectivity Ltd TEL US Bef-mkt Q4 2015 Earnings Release Q4 2015 0.922
Anthem Inc ANTM US 6:00 Q3 2015 Earnings Release Q3 2015 2.325
Starwood Hotels & Resorts Worldwide Inc HOT US 6:30 Q3 2015 Earnings Release Q3 2015 0.718
Walgreens Boots Alliance Inc WBA US 7:00 Q4 2015 Earnings Release Q4 2015 0.813
DENTSPLY International Inc XRAY US 7:00 Q3 2015 Earnings Release Q3 2015 0.634
National Oilwell Varco Inc NOV US 7:00 Q3 2015 Earnings Release Q3 2015 0.556
Southern Co/The SO US 7:30 Q3 2015 Earnings Release Q3 2015 1.162
FLIR Systems Inc FLIR US 7:30 Q3 2015 Earnings Release Q3 2015 0.412
Boston Scientific Corp BSX US 8:00 Q3 2015 Earnings Call Q3 2015
Norfolk Southern Corp NSC US 8:00 Q3 2015 Earnings Release Q3 2015 1.414
Owens-Illinois Inc OI US 8:00 Q3 2015 Earnings Call Q3 2015
Mondelez International Inc MDLZ US 8:00 Q3 2015 Earnings Release Q3 2015 0.406
Assurant Inc AIZ US 8:00 Q3 2015 Earnings Call Q3 2015
Automatic Data Processing Inc ADP US 8:30 Q1 2016 Earnings Call Q1 2016
Hershey Co/The HSY US 8:30 Q3 2015 Earnings Call Q3 2015
Walgreens Boots Alliance Inc WBA US 8:30 Q4 2015 Earnings Call Q4 2015
Express Scripts Holding Co ESRX US 8:30 Q3 2015 Earnings Call Q3 2015
DENTSPLY International Inc XRAY US 8:30 Q3 2015 Earnings Call Q3 2015
CH Robinson Worldwide Inc CHRW US 8:30 Q3 2015 Earnings Call Q3 2015
Anthem Inc ANTM US 8:30 Q3 2015 Earnings Call Q3 2015
Intercontinental Exchange Inc ICE US 8:30 Q3 2015 Earnings Call Q3 2015
TE Connectivity Ltd TEL US 8:30 Q4 2015 Earnings Call Q4 2015
Verisk Analytics Inc VRSK US 8:30 Q3 2015 Earnings Call Q3 2015
Norfolk Southern Corp NSC US 8:45 Q3 2015 Earnings Call Q3 2015
Aflac Inc AFL US 9:00 Q3 2015 Earnings Call Q3 2015
Anadarko Petroleum Corp APC US 9:00 Q3 2015 Earnings Call Q3 2015
NextEra Energy Inc NEE US 9:00 Q3 2015 Earnings Call Q3 2015
General Dynamics Corp GD US 9:00 Q3 2015 Earnings Call Q3 2015
International Paper Co IP US 9:00 Q3 2015 Earnings Call Q3 2015
Parker-Hannifin Corp PH US 9:00 Annual General Meeting Y 2015
Universal Health Services Inc UHS US 9:00 Q3 2015 Earnings Call Q3 2015
National Oilwell Varco Inc NOV US 9:00 Q3 2015 Earnings Call Q3 2015
Hess Corp HES US 10:00 Q3 2015 Earnings Call Q3 2015
Level 3 Communications Inc LVLT US 10:00 Q3 2015 Earnings Call Q3 2015
Mondelez International Inc MDLZ US 10:00 Q3 2015 Earnings Call Q3 2015
Garmin Ltd GRMN US 10:30 Q3 2015 Earnings Call Q3 2015
Occidental Petroleum Corp OXY US 11:00 Q3 2015 Earnings Call Q3 2015
PG&E Corp PCG US 11:00 Q3 2015 Earnings Call Q3 2015
Cincinnati Financial Corp CINF US 11:00 Q3 2015 Earnings Call Q3 2015
AutoNation Inc AN US 11:00 Q3 2015 Earnings Call Q3 2015
FLIR Systems Inc FLIR US 11:00 Q3 2015 Earnings Call Q3 2015
Valero Energy Corp VLO US 11:00 Q3 2015 Earnings Call Q3 2015
Northrop Grumman Corp NOC US 11:45 Q3 2015 Earnings Call Q3 2015
Starwood Hotels & Resorts Worldwide Inc HOT US 13:00 Q3 2015 Earnings Call Q3 2015
Southern Co/The SO US 13:00 Q3 2015 Earnings Call Q3 2015
Macerich Co/The MAC US 13:30 Q3 2015 Earnings Call Q3 2015
Realty Income Corp O US 16:00 Q3 2015 Earnings Release Q3 2015 0.697
F5 Networks Inc FFIV US 16:00 Q4 2015 Earnings Release Q4 2015 1.745
O'Reilly Automotive Inc ORLY US 16:30 Q3 2015 Earnings Release Q3 2015 2.38
F5 Networks Inc FFIV US 16:30 Q4 2015 Earnings Call Q4 2015
Hanesbrands Inc HBI US 16:30 Q3 2015 Earnings Call Q3 2015
Varian Medical Systems Inc VAR US 17:00 Q4 2015 Earnings Call Q4 2015
Western Digital Corp WDC US 17:00 Q1 2016 Earnings Call Q1 2016
Amgen Inc AMGN US 17:00 Q3 2015 Earnings Release Q3 2015 2.383
Amgen Inc AMGN US 17:00 Q3 2015 Earnings Call Q3 2015
Vertex Pharmaceuticals Inc VRTX US 17:00 Q3 2015 Earnings Call Q3 2015
Marriott International Inc/MD MAR US 17:00 Q3 2015 Earnings Release Q3 2015 0.743
PayPal Holdings Inc PYPL US 17:00 Q3 2015 Earnings Call Q3 2015
FMC Corp FMC US Aft-mkt Q3 2015 Earnings Release Q3 2015 0.381
Lincoln National Corp LNC US Aft-mkt Q3 2015 Earnings Release Q3 2015 1.524
Murphy Oil Corp MUR US Aft-mkt Q3 2015 Earnings Release Q3 2015 -0.93
Newmont Mining Corp NEM US Aft-mkt Q3 2015 Earnings Release Q3 2015 0.174
Public Storage PSA US Aft-mkt Q3 2015 Earnings Release Q3 2015 2.262
Tesoro Corp TSO US Aft-mkt Q3 2015 Earnings Release Q3 2015 6.081
Unum Group UNM US Aft-mkt Q3 2015 Earnings Release Q3 2015 0.904
Varian Medical Systems Inc VAR US Aft-mkt Q4 2015 Earnings Release Q4 2015 1.02
Williams Cos Inc/The WMB US Aft-mkt Q3 2015 Earnings Release Q3 2015 0.177
Range Resources Corp RRC US Aft-mkt Q3 2015 Earnings Release Q3 2015 -0.047
Vertex Pharmaceuticals Inc VRTX US Aft-mkt Q3 2015 Earnings Release Q3 2015 -0.312
Equinix Inc EQIX US Aft-mkt Q3 2015 Earnings Release Q3 2015 3.064
Hanesbrands Inc HBI US Aft-mkt Q3 2015 Earnings Release Q3 2015 0.449
PayPal Holdings Inc PYPL US Aft-mkt Q3 2015 Earnings Release Q3 2015 0.289
Equinix Inc EQIX US 17:30 Q3 2015 Earnings Call Q3 2015

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.