Day Traders Diary
12/18/14
U.S. equity futures trade sharply higher amid upbeat action overseas. The S&P 500 futures hover 25 points above fair value with the bulk of the gain coming after the start of the European session when the Swiss National Bank imposed a negative interest rate on deposits held at the SNB. Similar to equity futures, commodities rallied overnight with crude oil trading higher by 2.2% at $57.73/bbl. Meanwhile, Brent crude has spiked 4.6% to $62.77/bbl. On the economic front, weekly Initial Claims (Briefing.com consensus 292K) will be released at 8:30 ET while November Leading Indicators (consensus 0.5%) and the Philadelphia Fed Survey for December (consensus 26.0) will cross the wires at 10:00 ET. In U.S. corporate news of note: Accenture (ACN 86.52, +1.22): +1.4% in reaction to better than expected earnings and revenue. Oracle (ORCL 43.15, +1.99): +4.8% after beating earnings and revenue estimates. Rite Aid (RAD 6.64, +0.58): +9.2% following better than expected earnings and improved guidance. Jabil Circuit (JBL 21.19, +1.12): +5.6% after beating estimates and guiding above consensus. Reviewing overnight developments: Asian markets ended mostly higher. China's Shanghai Composite -0.1%, Hong Kong's Hang Seng +1.1%, and Japan's Nikkei +2.3% In economic data: China's House Prices fell 3.7% year-over-year (prior -2.6%) Hong Kong's Unemployment Rate held at 3.3%, as expected New Zealand's GDP rose 1.0% quarter-over-quarter (expected 0.7%; previous 0.7%) while the year-over-year reading increased 3.2%, as expected In news: The decline in China's House Prices represented the seventh consecutive monthly decrease and encompassed all 70 surveyed cities Major European indices trade higher across the board. UK's FTSE +1.2%, Germany's DAX +2.1%, and France's CAC +2.7%. Elsewhere, Italy's MIB +1.9% and Spain's IBEX +2.7% Economic data was limited: Germany's Ifo Business Climate Index improved to 105.5 from 104.7 (expected 105.4) as Business Expectations rose to 101.1 from 99.7, as expected, while Current Assessment held at 110.0 (consensus 110.3) UK's Retail Sales rose 1.6% month-over-month (expected 0.3%; previous 1.0%) while the year-over-year reading jumped 6.4% (consensus 4.2%; last 4.6%). Core Retail Sales increased 1.7% month-over-month (consensus 0.4%; last 1.0%) while the year-over-year reading spiked 6.9% (expected 4.5%; prior 4.9%) Among news of note: The Swiss National Bank imposed a negative deposit rate (-0.25%) with the move aimed at pushing the three-month Libor below zeroAll 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.