Wednesday, 13 December 2017

Pre-Market Brief

Good morning. US equity futures are broadly flat, we're set to open at sp'2664. USD is -0.4% in the DXY 93.60s. The precious metals are still leaning weak, Gold -$3, with Silver -0.3%. WTIC is +0.6% in the $57s, ahead of the EIA report.



*awaiting CPI data (8.30am)

Yesterday saw a new historic high of 2669. S/t price momentum continues to swing back to the bears though. A  bearish MACD cross is probable this morning. Soft target would be the lower bollinger, currently at 2643. Keep in mind the gap zone of 2646/36.

If Mr Market wants to cause max confusion, it will washout to the 2630s, before resuming upward into the Christmas break and all the way into mid/late January. By then of course we'll have the sp'2700s and Dow >25k.

As its a fed day, price action will be inclined to be subdued until the 2pm announcement. A further secondary reaction is likely once the press conf' begins at 2.30pm. On balance, net daily declines are due.


early movers

AAPL -0.1%.. ongoing consolidation/chop, before the next big push upward.
ABX -0.4%, with gold
BABA +0.3%, underlying strength
DIS +1.1%, set to announce a deal with FOX this Thursday
FCX +0.3%, having cleared resistance of 15.00, next stop are the low 16s
HON -1.2%, despite raising guidance.
JD +0.7%, broadly choppy, soft target 49/50
MRO +0.5%, with oil
MS +1.2%, higher rates are bullish financials
MU +0.1%, vulnerable to $40.00 threshold, if sp'2640/30s.
NAT -21.0% (yes, TWENTY ONE), with a micro offering of $100 million.
RIG +0.7%, with oil
SQ -0.3%, choppy, still building a floor
TEVA +0.7%, s/t strong, soft target $20.00 threshold
TJX +2.5% in the $75s, upgraded by Cowen to $83 (from 79s)
TVIX -0.2%, with VIX +1.6% at 10.08
UAL +1.3%, soft target $70.
VALE -1.3%, broadly choppy, the cautious will wait to chase >12.00
WDC +4.0% in the $85s, agreeing a deal with Toshiba to settle a long running dispute.
X -0.8%, s/t weak, m/t strong to $40

overnight markets

Its a real mix out there...

Japan: -0.5% at 22758
China: +0.7% at 3303, PBOC battling to end the year on a positive note?
Germany: currently -0.1% at 13166
UK: currently u/c at 7500

Have a good Wednesday