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Daily Market Recap | US Equities | Bonds | Europe | Canada | South America | Asia

Daily Market Recap

Tyler Nugent, Julian Gendels (203) 861-7650 | 2.16.2018

 
Component
Close
Change
% Change
YTD Chg
Component
Close
Change
% Change
YTD Chg
DJIA
25,219.38
19.01
0.08%
2.0%
Energy
500.52
-1.24
-0.25%
-6.2%
S&P 500
2,732.22
1.02
0.04%
2.2%
REIT
1,047.38
5.85
0.56%
-9.5%
NASDAQ Comp
7,239.47
-16.97
-0.23%
4.9%
Materials
378.85
-1.23
-0.32%
0.0%
Russell 2000
1,544.65
7.45
0.48%
0.6%
Industrials
649.44
0.34
0.05%
1.8%
 
 
 
 
 
Consumer Disc
571.63
2.30
0.40%
-2.7%
 
 
 
 
 
Consumer Stap
833.96
-3.69
-0.44%
6.2%
Nikkei
21,720.25
255.27
1.19%
-4.6%
Health Care
987.19
6.82
0.70%
3.2%
DAX
12,451.96
105.79
0.86%
-3.6%
Financials
480.61
-0.53
-0.11%
3.6%
FTSE 100
7,294.70
59.89
0.83%
-5.1%
Info Tech
1,167.43
-2.23
-0.19%
5.5%
Hang Seng
31,115.43
599.83
1.97%
4.0%
Telecom
159.08
0.83
0.52%
-4.2%
 
 
 
 
 
Utilities
253.15
1.88
0.75%
-5.3%
VIX
19.47
0.34
1.78%
76.4%
NYSE BTK
4,694.11
-2.36
-0.05%
11.2%
 
 
 
 
 
Crude
61.63
0.18
0.29%
2.0%
 
 
 
 
 
Natural Gas
2.57
-0.02
-0.74%
-13.1%
Market Volume
7,049.66
-
-
-
Gasoline
175.16
0.90
0.52%
-2.6%
Market Value
365,349.19
-
-
-
 
 
 
 
 
 
 
 
 
 
Gold
1,348.78
-4.89
-2.63%
3.5%
USD Spot Index
89.15
0.56
0.63%
-3.2%
Silver
16.70
-0.17
-1.02%
-1.4%
Euro Spot Index
1.24
-0.01
-0.79%
3.3%
Copper
324.00
-0.55
1.63%
-1.8%
Dollar / Yen
106.29
0.16
0.15%
6.0%
10 Yr Yield
2.87
-0.04
-1.44%
2.9%

 

US Equities

Tyler Nugent, Julian Gendels (203) 861-7650 | 2.16.2018

 

Markets were mixed today with the Dow Jones climbing 8 bps, the S&P 500 climbed a mere 4 bps and the Nasdaq sold off nearly a quarter of a percent where volumes were down 4% from yesterday’s trading session. Today was a rather quiet trading session with yet another day of corporate headlines and some news out of Washington. It was announced today that US Special Counsel Robert Mueller released details of a coordinated and widespread campaign by Russians to influence the US presidential election. Mueller charged thirteen Russians nationals and three Russian entities accusing them of defrauding the US government by interfering with the political process. The US Commerce is said to recommend a 7.7% aluminum import tariff as well as an import quota set at 86.7% of 2017 levels, and a duty on aluminum products from China, Russia, Venezuela and Vietnam. There is also a recommendation for a global tariff of 24% on all steel imports. Following these comments, AK Steel (AKS +10%) and US Steel (X +10%) reached session highs. In terms of corporate headlines, Wendy’s (WEN +5%) was upgraded to buy from neutral at Guggenheim. Jack in the Box Inx (JACK +5%) rallied after holder Jana Partners disclosed a 7.3% stake. Deere (DE +4%) reported fiscal first quarter results where equipment sales missed but EPS was better than estimates. Shake Shack (SHAK -7%) reported fourth quarter results where revenues and EPS beat but full year 2018 guidance was below estimates. Cognex (CGNX -6%) reported fourth quarter results where revenues beat but first quarter revenue guidance missed. Kraft Heinz (KHC -4%) reported fourth quarter results where earnings and revenues missed estimates.

Notable Gainers:

    • MuleSoft (MULE +17%): reported fourth quarter results where revenues beat.
    • Monotype Imaging (TYPE +11%): reported fourth quarter results where earnings and revenues beat estimates

Notable Decliners:

    • Arista Networks (ANET -19%): reported fourth quarter results where EPS beat estimates but revenues beat disappointed investors.
    • VF Corporation (VFC -10%): reported fourth quarter results where earnings and revenues missed estimates.

Weeden & Co. Top Advertisements:

    • MU: 530,000 shares
    • HBAN: 515,000 shares
    • TCS: 440,000 shares
    • SUM: 375,000 shares
    • RF: 375,000 shares 

Bonds

Tyler Nugent, Julian Gendels (203) 861-7650 | 2.16.2018

 

Treasuries advanced over U.S. session, paring weekly drop that pushed yields across the curve to YTD highs. They were off best levels shortly after the 3pm settlement. Bull flattening hit dollar vol, which ended substantially lower across tenors, while FRA/OIS widening continued to influence the front end. Yields ended lower by 2.5bp-3.5bp across 5s to 30s while front end cheapened 0.5bp; 2s10s flattened 4bp, 5s30s by less than 1bp

Europe

Tyler Nugent, Julian Gendels (203) 861-7650 | 2.16.2018

 

EU Market Recap: FTSE 100 +0.83% to 7294.70, DAX +0.86% to 12451.96, CAC40 +1.13% to 5281.58, STOXX 600 +1.08% to 380.58

European markets closed broadly higher, with all sectors in positive territory.The Stoxx 600 closed up 3.3% for the week as a whole, rebounding from the (5%) drop last week. Real Estate sector outperformed today with REITS led higher by SEGRO (SGRO.LN) on back of its FY results, with structural demand in logistics/urban warehousing boosting its earnings above expectations. Defensive sectors also outperformed, with EDF (EDF.FP) giving utilities space a lift on back of solid FY17 earnings. Looking ahead to next week, it's another busy few days of earnings, with a raft of UK banks reporting earnings including HSBC (HSBA.LN), Lloyds (LLOY.LN), Barclays (BARC.LN), and RBS (RBS.LN), as well as mining names BHP Billiton (BLT.LN), Glencore (GLEN.LN) and Anglo American (AAL.LN). The week ahead sees also sees meetings of the Eurogroup and ECOFIN, prelim manufacturing and services PMIs from Eurozone, Germany, France.

Canada

Tyler Nugent, Julian Gendels (203) 861-7650 | 2.16.2018

 

In Canada, the S&P/TSX climbed 38 bps where volumes were 17% lighter than yesterday’s session. Canada’s Senate has reached a deal to pass a law legalizing recreational marijuana, setting the legalization date for August or September 2018. Canada manufacturing sales fell 0.3% m/m to C$55.5B in Dec. according to Statistics Canada; Bloomberg survey estimate +0.3%. Air Canada reported adjusted earnings per share for the fourth quarter that beat the average analyst estimate. Enbridge Inc reported adjusted earnings per share for the fourth quarter that beat the average analyst estimate.

South America

Tyler Nugent, Julian Gendels (203) 861-7650 | 2.16.2018

 

Mexico: In Mexico, the Mexbol index climbed 20 bps where volumes were down nearly 30% from yesterday’s trading session. Televisa has agreed to sell its 19% in Spanish group Imagina. Mexico govt union leader and Senator Joel Ayala said President Enrique Pena Nieto should assess change in PRI party leadership, Milenio reports citing an interview with Ayala. Brazil: In Brazil, the Bovespa index rallied 28 bps today where volumes were 8% higher than yesterday’s trading session. Brazil’s Army is taking control of public security in the state of Rio de Janeiro as a wave of violence rattles the population and dominates media coverage ahead of this year’s presidential election. Brazil Temer signed a decree on Assistance for Venezuela Immigrants 

Asia

Julian Gendels, Tyler Nugent (203) 861-7650 | 2.16.2018

 

Asian Market Recap: Nikkei +1.19%, Hang Seng closed, Shanghai Composite

Asian markets were mixed Friday, though most of the region was closed for the Lunar New Year's holidays. Japan rose sharply following overnight US strength, while Australia edged lower. S&P futures were moderately positive by the end of the Asia session. some encouragement on CBOE VIX back below 20 for the first time since last week's spike. Most of the attention went to dollar weakness as a sign of ongoing concerns about US fiscal policy. Yen outperformed again. Crude oil and gold advanced moderately. Regional focus was on central bank activity. As expected, Japan government nominated BOJ Governor Kuroda for reappointment, along with BOJ executive director Amamiya and Waseda University professor Wakatabe for deputy positions. RBA Governor Lowe reinforced gradual progress in economic conditions that would warrant an eventual rate hike. Also welcome signs of cooling in real estate market and associated implications for household balance sheets.


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