From Dave Lutz of Stifel, Nicolaus, a guide to what traders are chatting about this morning.
Lots of European growth talk, among the topics:
Morning, US futures are mixed, with Nasdaq in the green and SPX off 20bp. NDX driven by another upside move in AAPL (12% QQQ’s, I’m Long), as it approaches $US500 in the overnight session. Very Low Volume overseas, with Nikkei off 15% from normal, EU 26% lower. The DAX is up very small, despite EU GDP showing the recession ending, and EU fins remain under pressure despite tightening PIIGS yields as profit-taking continues globally in Financials. The Nikkei added 1.3% as the Yen weakened again — China lost small, but Technology outperformed on speculation of enhanced government support in the sector – Trading in Hong Kong was canceled due to a typhoon. Aussie was quiet, as global Miners weaker after earnings from Eurasian Natural Resources, and Rio Tinto and Anglo American trading ex-Divvy. Watch EGPT, as Egypt Shares getting hit as police moves on Protestors.
The DXY is basically flat, as the Yen is off small, and the € is seeing more profit-taking. He US 10YY is off a touch, after nearing a test of the critical “line in the sand” level of 2.75% overnight. WTI weaker as inventories fell less than expected — DOE data at 10:30 today, and Brent’s premium over WTI widened for a sixth time in seven days as North Sea production was curtailed and Libya shut its biggest oil export terminal. Metals remain stronger, led by a 1% move in Silver, and the best performing metal over the last week, Copper, continues to tack on gains. Headlines in the FT talking about the resurgence in Iron Ore this AM as the Chinese steel industry moved to rebuild inventories.
Today should bring a slew of 13F filings from the street, as the disclosure window closes at midnight — so some single-stock names could move on activist changes. We get Inflation data in the US (PPI), which could certainly impact the $US, Bonds and Metals — DOE data at 10:30 will skew Energy trading, and watch Finanicals, specifically the Credit Cards, as the New York Fed Releases Household Debt, Credit Report at 11, and U.S. Fed May Announce Plans to Appeal on Debit Card Fees Cap at 11:30. (Our Analyst said a 80% chance of it occurring, and risk-reward favours downside protection in the cards). Finally, we get speeches from the Fed’s Bullard — A centrist…