Newsware: Top News Stories

 
Thursday 12/19/2019
 
MORNING NOTES:      
 
S&P’s this morning        High 320.13 Low 319.81 Change higher by 0.04%.
 
Tokyo -69.58 Hong Kong -83.72     London +7.85 Germany -58.76
 
S&P Futures are flat to higher this morning and are trading in a tight range. Positive earnings reports from MU, RAD & CAG have these stocks trading higher. The market continues to showing little regard on the congressional vote to impeach the President. A dismissal of the charges are all but assured in the Senate. Twenty years ago when Clinton was impeached, the market actually moved higher during that period. Asian stocks ended Thursday’s session on a muted note after the House of Representatives voted largely along party lines to impeach President Donald Trump for abuse of power and obstruction of Congress. Chinese shares ended little changed in the absence of many of the fine details of the trade deal announced last week. The benchmark Shanghai Composite index finished marginally higher at 3,017.07. Japanese shares dropped from a 14-month high as the Bank of Japan left its massive monetary stimulus unchanged and maintained its upbeat view on the economy despite the sales tax hike hurting spending. European stocks are little changed this morning as their markets are awaiting the Queen’s Speech details of what Prime Minister Boris Johnson hopes to achieve in Parliament. as well as the Bank of England’s meeting. The Bank of England left its key interest rate unchanged as it feels no addition stimulus is needed at this time.
 
OIL PRICES:
Oil prices are creeping higher this morning. A potential thawing in U.S.-China trade relations has improved the global economic outlook, raising the prospect for higher energy demand next year. China has announced a list of United States (US) chemicals that will be exempted from import tariffs starting Dec. 26. This comes under a week after Beijing and Washington agreed a ‘phase one’ trade deal. Oil Traders will be watching for any developments with trade in the coming days as volumes start to wind down ahead of the holiday period.
 
WTI is at $60.97 a barrel, Brent Crude is at $66.28 a barrel.        
 For news on oil type in .OIL or “OPEC” into NewsWare
Economic:    
 Sweden’s Central Bank has reversed course on its negative interest rates policy as it expects inflation to tick higher. In an interview yesterday New York Fed Bank President John WIlliams said “We are in a very good position in terms of providing liquidity, providing reserves of the system, and importantly keeping the federal-funds rate in the range through the year and making sure that markets are operating smoothly,” The central bank’s repurchase or repo operation was in response to events that kicked off three months ago. Just ahead of the September FOMC meeting, short-term rates surged unexpectedly. Financial firms operating in that market pulled back from lending to one another. That drove short-term rates higher and the federal-funds target rate rose beyond its set range. The Bank of England left its key interest rate unchanged Thursday, citing “tentative” signs that global economic growth has stopped slowing.
 
 
Economic Reports: .
At 08:30 am ET Jobless Claims, Phil Fed Business Outlook & the Intl Trade Balance.
At 10:00 am ET Existing Home Sales & Leading Indicators
 
Fed Speak:  
 
                
To access Economic news type  .Economic into NewsWare.
 
 
Options Activity:                                                                            
Bullish option activity in   FB, MLCO & YETI
Bearish option activity in  AA, SDC & TXN
To access news related to options type .OPTIONS into NewsWare
 
 
Sector Update: Headlines to Note-
 
Retail:
LB       .REC    Deutsche Bank raises its price target to $22 from $20.
KMX    .ERN    To release earnings tomorrow, stock is priced for a $5.40 move.
BIG   .Options   Big Lots experience unusual call volumes yesterday.
 
FDA/Drug Makers:
AXSM    .IPO  Announced 2m spot secondary, offering priced at $87 a share.
NERV   P/SGN  Phase 2 trial missed its primary endpoints.
URGN P/SGN  FDA granted priority review for UGN-101
 
DOW 30:
CSCO  .REC   Barclays upgrades the stock to Overweight with a $53 price target.
MCD     .REC     Morgan Stanley raises its price target to $230 from $214.
NKE     .ERN     Earnings due out today after the bell. Priced for a $4.50 move.
 
FANG:
NFLX     .REC   Pivotal Research raises its price target to $425 from $400.
GOOG   .REC  Baird says GOOG e-commerce opportunity underappreciated by the markets.
NFLX     .REC  Goldman feels NFLX subscriber growth expectations are too low
 
Rumors:
SPY      P.SGN     Speaker Pelosi likely to stall on sending Impeachment articles to Senate.
TIVO       .MA       To merge with Xperi (XPER) in an all stock deal valued at 3B.
CCL       .ERN     To release earnings tomorrow, priced for a $4 move.
 
Upcoming Earnings Expected dollar move and the expected dollar move.
Option volumes from 12/18.
 
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