Day Traders Diary


U.S. equity futures are exhibiting a bullish bias ahead of the November employment report at 08:30 a.m. ET. The S&P futures are currently trading 0.4% above fair value, positioning the cash market for a noticeably higher start. Given the market-moving potential of the employment report, however, the current indication is not one that can be taken fully for granted at this time.

Reviewing overnight developments:

Asian markets ended mixed. Japan's Nikkei +0.8%, Hong Kong's Hang Seng +0.1%, China's Shanghai Composite -0.4%.
Economic data was limited:
Japan's Leading Index rose to 109.9 from 109.2 (109.9 forecast).
Australia's AIG Construction Index increased to 55.2 from 54.4.
In news reports that Australia and South Korea signed a free-trade agreement that will eliminate tariffs of up to 300% on Australian exports.

Major European indices are all moving higher at this juncture following recent losses. Germany's DAX +0.5%, France's CAC 40 +0.1%, Great Britain's FTSE 100 +0.4%.
Investors received just a handful of economic data points:
Germany's Factory Orders decreased 2.2% month-over-month (-0.6% forecast, 3.1% prior).
Great Britain's Inflation Expectations came in at 3.6% (3.2% previous).
Great Britain's Halifax House Price Index increased 1.1% month-over-month (0.6% forecast, 1.3% prior), marking the 10th straight increase
France's government budget deficit widened to EUR 86.1 billion from EUR 80.8 billion while the trade deficit decreased to EUR 4.7 billion from EUR 5.6 billion (EUR 4.5 billion forecast).
Swiss CPI was flat month-over-month (-0.2% consensus, -0.1% last) while the year-over-year reading increased 0.1% (-0.1% expected, -0.3% prior).
Looking at news:
The Bundesbank raised its 2013 growth forecast for the German economy to 0.5% from 0.3% and bumped up its 2014 growth forecast to 1.7% from 1.5%
In U.S. corporate news:

FedEx (FDX 138.22): Company said it will increase shipping rates for FedEx Ground and FedEx Home Delivery by an average of 4.9% effective Jan. 6, 2014.
Five Below (FIVE 43.00, -4.75): Down 10% after guiding fourth quarter and FY14 EPS below consensus estimates
J.C. Penney (JCP 8.59, -0.26): Down 2.9% after disclosing in 10-Q filing that SEC requested information regarding company's liquidity, cash position, and debt and equity financing
Sears Holding (SHLD 49.98): Filed registration statement for spin-off of Lands' End business
Intel (INTC 24.65, +0.39): Up 1.8% after Citigroup upgraded to Buy from Neutral
American Eagle Outfitters (AEO 15.05, -1.35): Down 8.2% after guiding fourth quarter EPS below consensus estimate
November Nonfarm Payrolls and October Personal Income, Personal Spending, and Core PCE Prices will all be reported at 8:30 ET while the preliminary reading of the Michigan Consumer Sentiment for December will be released at 9:55 ET. The day's data will be topped off with the October Consumer Credit report, which is set to cross the wires at 15:00 ET. All comments contained herein are for informational purposes only, and should not be considered as a solicitation to buy or sell any security. The firm does not guarantee the accuracy or completeness of the information or make any warranties regarding results from it's usage.