What’s going on today?
Here’s Dave Lutz of Stifel, Nicolaus with the ultra-quick take on what’s happening today:
Good Morning! S&P Futures are quiet this AM, but Nasdaq Futures adding 20bp as AAPL catches a bid into tomorrow’s iPad event. EU Markets are under some pressure in very light volume, as Yields are wider in Italy on more Berlusconi angst. The EU Fins are off over 1% though on accelerated “Bail In” talks, and a potential rotation back towards US Financials takes root (Us Fins marked off small despite tough headlines this weekend). The Nikkei popped 1% as Trade data weakened the Yen — but China jumped almost 2% as their State Council calls for aggressive implementation of economic reform policies. Aussie’s Miners enjoyed the headlines, dragging the ASX 50bp higher in decent volume. The 10YY is slightly higher, but still below Friday’s peaks.
There is some upside momentum in the DXY as Germany’s SAP warns on FX impact of the € surge of late, and risk-taking continues to press the Yen lower. We have most commodities under pressure, led by Oil – WTI under $US100, a first in 3+ months, Discount nearing $US10 to Brent — Gasoline at 9month lows. Keep a close eye on DOE Data for Crude today, specifically Cushing Inventories — GS thinks they increased for the 1st time in 14 weeks. Both Silver and Copper are higher, while Gold rests close to unchanged. This week sees a Slew of delayed data released, including Existing Home sales (Sept) today, and the Employment Report tomorrow AM — We also have 25% of S&P Companies reporting, Key Earnings today include DFS, HAL, MCD, NFLX, TXN.