NewsWare – Morning Stories

Commentary, News

MORNING NOTES:

S&P futures are trading flat to higher this morning. The major indexing are in a tight trading range this morning. China announced the lifting of tariffs on 16 categories earlier this morning. The market will be watching the release of the PPI data this morning as a key measurement of the health of the U.S. economy. Overnight in Asia, the markets were higher, China’s markets were down 0.41%. Stocks in the European markets continue to move higher as they wait on news from the ECB on a EuroZone stimulus plan.

S&P’s Overnight          High  298.66 Low   297.77  % Change higher by 0.11

AsiaCloseChange%Change EuropeCloseChange%Change
Tokyo21597.76205.660.96 London7342.1274.171.02
Hong Kong27159.06475.38    1.78 Germany12372.29103.580.84

Oil Prices:

Oil prices are higher this morning. Key events surrounding oil prices include John Bolton’s resignation, Talks of pending OPEC production cuts and Stockpile figures.  Oil price traded lower yesterday on the announcement of National Security Advisor resigned. Bolton, a foreign policy hawk, often took a hard line on any discussion with Iran.  His resignation is seen as a bearish factor for oil. The oil market is closely listening to the discussion at the OPEC conference in Abu Dhabi, additional production cuts are being discussed. This morning, OPEC announced a cut to its 2019 oil demand forecast by a reported 80,000 barrels a day and downgraded its projections for global growth. The American Petroleum Institute has reported a drop in U.S. inventories by 7.2 million barrels last week, Later this morning the Energy Information Administration will be reporting the official stockpile figures.

WTI is at $58.08 a barrel, Brent Crude is at $63.07 a barrel.         

 For news on oil type in  .OIL or “OPEC” into NewsWare.

 Economic:                                               

Earlier this morning, China announced plans to exempt 16 categories for products from the 1st round of tariffs. The move is seen as a positive step ahead of next month’s trade talks. Markets are speculating that the U.S. will respond with a similar tariff exemption later this month. The ECB announcement is expected tomorrow on their monetary policy. The ECB is said to be considering a 10 to 20 basis point rate cut and a bond-buying program as a quantitative easing tool.  The European markets seem to be anticipating a scenario where they get both.

Economic Reports:

                        At 08:30 am ET    Producer Price Index (FD)

                        At 10:00 am ET    Atlanta Fed Business Inflation & Wholesale Trade figures

                        At 10:30 am ET    Official oil stockpile figures from the EIA.

Fed Speak:     

                        The Quite Period ahead of next weeks fed meeting has begun.

To access Economic news type  .Economic into NewsWare.

Options Activity:                                                                      

Bullish option activity in         LB, ROKU & T

Bearish option activity in       DG, LOPE & NVS

To access news related to options type  .OPTIONS into NewsWare

Sector Update: Headlines to Note

Retail

PLAY    .ERN    Stock down over 15% this morning after lowering the FY19 forecast.

KR        .ERN    Earnings are expected to be released on Wen morning, a $1.95 move is expected.

RH        .REC    JPM raises its price target to $180 from $156.

FDA / Drug Markets

BCYC     .REC       Goldman upgrades the stock to Buy from neutral with a $14 price target.

LXRX      .REC      Citi says settlement with Sanofi removes overhang.

RDY        P/SGN     Announced the launch of Fosaprepitant for Injection in the U.S.

Dow 30

AAPL    P/SGN        Announced low-cost Apple streaming service $4.99/mo      

FANG

AAPL    .REC         Morgan Stanley calls Apple a top pick after the announcement of Apple TV.

FB         P/SGN       Said to be applying for a swiss payment services license for its digital currency.

AMZN    P/SGN      FTC is in the early stages of an investigation into AMZN marketplace practices.

Rumors

SPY      P/SGN        Trump calls Fed officials “Boneheads” He wants to see interest rates cut to zero.

BAC      P/SGN        Saudi Aramco is said to pick BofA for top IPO role.

ORCL    .ERN          Straddle is priced for a $3.30 move when earnings are announced tomorrow afternoon.


Upcoming Earnings Data and Options Volume Analysis

SymbolEarn Datea/pStradl pct$ MoveTotal Call / Put RatioDateCall VolumPut Volumvol Call / Put  RatioCall Open IntPut Open IntOI Call / Put  Ratio
PLAY20190910pm13.044.931.149/14304629891.02145511281.29
RH20190910pm8.9113.701.169/14995488451.13617550701.22
ZS20190910pm14.967.401.109/14730047721.53738496370.77
LOVE20190911?12.922.521.399/216824851.416383132.04
OXM20190911pm9.017.072.169/21121731.666663751.78
PUMP20190911pm12.061.26333.339/215501550.00562224512.29
DLTH20190912am17.651.861.159/213382271.4961810190.61
KR20190912am7.561.955.719/1442289474.461062350122.12
AVGO20190912pm4.4213.020.879/14159411301.41588151801.14
MCFT20190912pm12.692.231.319/21179919.897162193.27
AKTS20190913?10.510.862.139/215301.007062528.24

*Information displayed above is for informational purposes only. Trading involves the risk of capital and we are not making any predictions on future events or movements in equity prices. All investors are advised to conduct their own independent research into individual stocks before making a purchase decision. In addition, investors are advised that past stock performance is not indicative of future price action.

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