Day Traders Diary
5/8/14
U.S. equity futures trade little changed amid upbeat action overseas. The S&P 500 futures hover within a point of fair value.Reviewing overnight developments:
Asian markets ended higher. China's Shanghai Composite +0.3%, Hong Kong's Hang Seng +0.4%, and Japan's Nikkei +0.9%.
In economic data:
China's trade surplus expanded to $18.45 billion from $7.71 billion (expected surplus of $13.90 billion) as exports rose 0.9% year-over-year (expected -1.7%, previous -6.6%) and imports increased 0.8% (consensus -2.3%, prior -11.3%).
Australia's Employment Change came in at 14,200 (expected 6,800, previous 22,000), while the Unemployment Rate held steady at 5.8% (expected 5.9%).
Bank Indonesia held its key interest rate unchanged at 7.5%, as expected.
In news:
Australia's solid employment report and China's above-consensus trade data boosted the overnight risk appetite. The Australian dollar climbed following the data and now trades near 0.9385 versus the U.S. dollar (+0.6%).
Major European indices trade higher across the board. Germany's DAX +0.2%, Great Britain's FTSE +0.4%, and France's CAC +0.4%. Elsewhere, Italy's MIB +1.2% and Spain's IBEX +0.5%.
Participants received several data points:
The European Central Bank left its main refinancing rate unchanged at 0.25%, as expected.
The Bank of England also maintained its policy stance, keeping its key rate and the purchasing program at their respective 0.5% and GBP375 billion. Separately, Halifax House Price Index slipped 0.2% month-over-month (consensus 0.9%, previous -1.2%), while the year-over-year reading rose 8.5% (expected 9.1%, prior 8.7%).
Germany's Industrial Production fell 0.5% month-over-month (expected 0.2%, prior 0.6%).
Spain's Industrial Production ticked up 0.6% year-over-year (consensus 1.7%, previous 2.5%).
Swiss CPI increased 0.1% month-over-month (expected 0.1%, previous 0.4%), while the year-over-year reading was flat (consensus 0.1%, prior 0.0%). Also of note SECO Consumer Climate slipped to 1 from 2 (expected 3).
Among news of note:
In Ukraine, the councils of Donetsk and Lugansk chose to go forward with the independence referendums scheduled for May 11.
The ECB decision to hold steady sent the euro to into the 1.3950 area against the dollar.
In U.S. corporate news:
JA Solar (JASO 10.40, +0.55): +5.6% after beating estimates
Molycorp (MCP 4.00, -0.55): -12.1% following its disappointing earnings and revenue.
SolarCity (SCTY 52.40, +4.69): +9.3% after beating on earnings and revenue and guiding Q2 earnings below consensus.
Priceline.com (PCLN 1154.95, +23.21): +2.1% after beating earnings estimates on in-line revenue. Also of note, the company guided Q2 earnings below estimates.
Regeneron Pharmaceuticals (REGN 282.75, -3.91): -1.4% after missing earnings estimates on above-consensus revenue.
Tesla (TSLA 183.66, -17.69): -8.8% after the company's disappointing deliveries overshadowed its earnings beat on better than expected revenue.
Wendy's (WEN 8.90, +0.57): +6.8% after beating on earnings and revenue.
Weekly initial claims (Briefing.com consensus 325,000) will be announced at 8:30 ET.
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