Good morning. US equity futures are broadly higher, SPX +29pts, we’re set to open at 4020. USD is +0.1% at DXY 103.76. The precious metals are moderately higher, Gold +$6, with Silver +0.5%. WTIC is -1.0% in the $101s (printing $100.44).
sp’60min
Summary
Yesterday was another ugly one, all the way into the closing hour, printing a new multi-year low of 3975. S/t momentum settled on the low side.
Overnight futures have been leaning upward. We’re set to open in the 4010/20s.
A more natural floor would be from the low 3800s, with tomorrow’s CPI data, or perhaps Thursday. In any case… primary target are the 3500s, which still seems more realistic in early/mid June.
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Yours truly remains content to wait.
Key targets (when we print the sp’3500s)…
AMZN (preferably in the $80s!), AMD, MU
LAC, FCX, BHP, CLF, UEC
GOLD, NEM, AG
KMI, OXY, SLB, RIG
CFVI
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Early movers
AAPL +0.8%, reflective of the bouncing main market.
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AFRM -13.7%, Stephens downgrades, equalweight>underweight 51>17. Earnings due Thurs’ AH
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AG +2.6%
ALB +1.5%, RBC 276>300
AMC +6.0%, post earnings jump
AMD +0.7%
BAC +0.7%
BHC -24.6%, post earnings horror
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BHVN +70%, being bought by Pfizer for $11.6bn
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CCJ +1.4%
CCL +2.0%
CLF +0.4%
CLOV +12.9%, post earnings jump
CRON +1.4%, post earnings gains
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COIN +1.4%
Bitcoin printed $29836, but is currently +4.9% in the $31000s. Buyers from key price threshold. On balance… I’d expect a fail… with next support of psy’ $20k
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FCX +0.8%, with copper +1cent to $4.20
GDX +0.5%
LAC +2.7%
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MSFT +0.9%. Yesterday’s break <270 can’t be over-stated, and it bodes for psy’ $200 with the sp’3500s.
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NCLH +2.3%, post earnings gains
NVAX -22.5%, post earnings horror
OXY +0.3%, earnings due in AH
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PFE -1.4%, to buy Biohaven Pharma’ (BHVN) for $11.6bn
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PLUG -7.5%, post earnings depression
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PTON -30%, EPS -$2.27 vs -0.94est. Rev’ y/y -23.6% to $964M vs 970est. Weak guidance. The horror continues, as the stock is trading the $9s !
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RIVN +1.2%, a very weak bounce
SLB +1.4%
TLT +0.4%, as yields cool back
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TSLA +1.2%, Berenberg ‘hold’ $900. Yours truly would look for 550/500.
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UAL +1.4%
UEC +3.2%
UNG -3.7%, with Nat’ gas -28cents to $6.71
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UPST -51.7%, post earnings obliteration
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VIX -2% in the 33s
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WKHS +5.1%, post earnings jump
X +1.1%
XOM +0.5%
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Overnight markets
Asian markets were very mixed, whilst European markets are broadly higher…
Japan: -0.6% at 26167
China: +1.1% at 3035
Germany: currently +1.4% at 13567
UK: currently +0.6% at 7263
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Meanwhile…
Ms. Yoon of CNBC masked in China. Indeed… the Chinese communists are holding to a ‘zero covid’ policy. Good luck with that, although perhaps the CCP are just intent on breaking the morale of the populace, before they make a play for Taiwan late 2022/early 2023.
Have a good Tuesday