Sep E-mini S&Ps (ESU16 +0.47%) are up +0.48% and European stocks are up +0.83% at a 1-week high ahead of this morning's testimony to the Senate Banking Committee by Fed Chair Yellen and by a speech to the European Parliament by ECB President Draghi. European stocks also received a boost from an unexpected jump in the German Jun ZEW survey expectations of economic growth to a 10-month high. The British pound climbed to a 5-1/2 month high against the dollar as polls show the UK campaign to remain in the European Union are gaining ground before Thursday's referendum. Asian stocks settled mixed: Japan +1.28%, Hong Kong +0.77%, China -0.35%, Taiwan +0.68%, Australia +0.33%, Singapore -0.41%, South Korea +0.07%, India -0.20%. Japan's Nikkei Stock Index moved up to a 1-week high as exporters rallied after USD/JPY strengthened.
The dollar index (DXY00 +0.02%) is down -0.05% at a 1-1/2 month low. EUR/USD (^EURUSD) is up +0.01%. USD/JPY (^USDJPY) is up +0.67%.
Sep T-note prices (ZNU16 -0.12%) are down -3 ticks.
The German Jun ZEW survey expectations of economic growth unexpectedly rose +12.8 to 19.2, stronger than expectations of -1.6 to 4.8 and the highest in 10 months.
Key U.S. news today includes: (1) Fed Chair Janet Yellen testifies on monetary policy to the Senate Banking Committee, and (2) the Treasury's auction of $34 billion of 5-year T-notes.
There are 5 of the Russell 1000 companies that report earnings today: FedEx (consensus $3.28), Lennar (0.87), CarMax (0.92), Adobe (0.68), Carnival (0.39).
U.S. IPO's scheduled to price today: Selecta Biosciences (SELB), Tactile Systems Technology (TCMD)
Equity conferences this week include: Questex Sensors Expo & Conference on Tue, Real Estate Investment World Asia 2016 on Tue, Wells Fargo Convergence & Connectivity Symposium on Tue, Jefferies Consumer Conference on Tue-Wed, Wells Fargo West Coast Energy Conference on Tue-Wed, Panagora Pharma - Mobile Pharma Summit on Tue-Wed, Bernstein Global Future of Media & Telecommunications Summit on Wed, Oppenheimer Global Consumer Conference on Wed, Citigroup Insurance Conference on Thu.
Signature Bank/New York (SBNY +0.95%) was upgraded to 'Strong Buy' from 'Outperform' at Raymond James with a 12-month price target of $162.
Abbott Laboratories (ABT +0.96%) was upgraded to 'Buy' from 'Hold' at Edward Jones.
Imperva (IMPV +0.27%) rallied over 9% in after-hours trading after Elliott Associates disclosed a 9.8% stake in Imperva and said it began a dialogue with management and board regarding strategic and operational opportunities.
Knight Transportation (KNX +3.53%) was downgraded to 'Neutral' from 'Buy' at Bank of America/Merrill Lynch.
Prologis (PLD +0.06%) was downgraded to 'Hold' from 'Buy' at Deutsche Bank.
Kirby Corp. (KEX +0.90%) was downgraded to 'Neutral' from 'Outperform' at Credit Suisse.
CNOOC Ltd. (CEO +2.55%) was upgraded to 'Buy' from 'Neutral' at UBS.
Paratek Pharmaceuticals (PRTK -2.59%) slid over 2% in after-hours trading after it proposed an offering of 3.75 million shares of common stock.
Sunrun (RUN +2.66%) gained over 1% in after-hours trading after it was rated a new 'Outperform' at Oppenheimer,
American Superconductor (AMSC +1.21%) was rated a new 'Outperform' at Oppenheimer with an 18-month price target of $12.
Opko Health (OPK +1.55%) rose nearly 4% in after-hours trading after a FDA approved-drugs website indicated approval for Opko's Rayaldee drug came on June 17.
Werner (WERN +1.36%) dropped over 9% in after-hours trading after it warned that Q2 EPS may be only 21 cents-35 cents, below consensus of 40 cents, due to "sluggish" freight market conditions, driver pay and contractor cost increases.
Scynexis (SCYX +6.85%) tumbled over 11% in after-hours trading after it announced it will launch a public offering of common stock and warrants.
September E-mini S&Ps (ESU16 +0.47%) this morning are up +10.00 points (+0.48%). Monday's closes: S&P 500 +0.58%, Dow Jones +0.73%, Nasdaq +0.59%. The S&P 500 on Monday rallied to a 1-week high and closed higher on carryover support from a sharp rally in European stocks as Brexit concerns eased after the latest polls showed that Britons will vote to remain in the European Union at Thursday's referendum. Stocks were also boosted by strength in mining stocks and energy producers after copper rallied +2.1% and the price of crude oil climbed 2.9% to a 1-week high.
Sep 10-year T-note prices (ZNU16 -0.12%) this morning are down -3 ticks. Monday's closes: TYU6 -1300, FVU6 -6.25. Sep T-notes gapped lower Monday to a 1-week low and closed lower on reduced safe-haven demand for T-notes as stocks rallied sharply as the latest polls showed Britons favored remaining in the EU. T-notes were also undercut by slack demand for the Treasury's $26 billion 2-year T-note auction that had a 2.72 bid-to-cover ratio, below the 12-auction average of 3.01.
The dollar index (DXY00 +0.02%) this morning is down -0.046 (-0.05%) at a 1-1/2 month low. EUR/USD (^EURUSD) is up +0.0001 (+0.01%). USD/JPY (^USDJPY) is up +0.70 (+0.67%). Monday's closes: Dollar Index -0.595 (-0.63%), EUR/USD +0.0037 (+0.33%), USD/JPY -0.22 (-0.21%). The dollar index on Monday fell to a 1-week low and closed lower on an easing of Brexit concerns, which lifted EUR/USD to a 1-week high and GBP/USD to a 2-1/2 week high. The dollar index was also undercut by cautiousness ahead of Tuesday's testimony by Fed Chair Yellen to the Senate Banking Committee on monetary policy.
July WTI crude oil (CLN16 -1.13%) this morning is down -54 cents (-1.09%). July gasoline (RBN16 -1.60%) is down -0.0227 (-1.43%). Monday's closes: CLN6 +1.39 (+2.90%), RBN6 +0.0774 (+5.14%). Jul crude oil and gasoline on Monday rallied to 1-week highs and closed higher. Crude oil prices were boosted by the fall in the dollar index to a 1-week low and a report by the Joint Organizations Data Initiative saying that Saudi Arabian Apr crude exports fell to a 6-month low of 7.44 million bpd.
|Tuesday, June 21, 2016|
|US||1000 ET||Fed Chair Janet Yellen testifies on monetary policy to the Senate Banking Committee.|
|1300 ET||Treasury auctions $34 billion of 5-year T-notes.|
|Wednesday, June 22, 2016|
|US||0700 ET||Weekly MBA mortgage applications, previous -2.4% with purchase sub-index -4.9% and refi sub-index -0.7%.|
|0900 ET||Apr FHFA house price index expected +0.6%, Mar +0.7% m/m.|
|1000 ET||Fed Chair Janet Yellen testifies on monetary policy to the House Financial Services Committee.|
|1000 ET||May existing home sales expected +1.8% to 5.55 million, Apr +1.7% m/m to 5.45 million.|
|1030 ET||EIA Weekly Petroleum Status Report.|
|1130 ET||Treasury auctions $13 billion of 2-year floating rate notes.|
|1230 ET||Treasury auctions $28 billion of 7-year T-notes.|
|1300 ET||Treasury auctions $5 billion of 30-year TIPS.|
|EUR||1000 ET||Eurozone Jun consumer confidence expected unch at -7.0, May +2.3 to -7.0.|
|JPN||2200 ET||Japan Jun Nikkei manufacturing PMI, May -0.5 to 47.7.|
|QIAGEN NV||QGEN US||4:30||Annual General Meeting||Y 2016|
|Lennar Corp||LEN US||Bef-mkt||Q2 2016 Earnings Release||Q2 2016||0.872|
|CarMax Inc||KMX US||7:00||Q1 2017 Earnings Release||Q1 2017||0.923|
|CarMax Inc||KMX US||9:00||Q1 2017 Earnings Call||C1 2017|
|CarMax Inc||KMX US||9:00||Q1 2017 Earnings Call||Q1 2017|
|Nielsen Holdings PLC||NLSN US||9:00||Annual General Meeting||Y 2015|
|Ingram Micro Inc||IM US||10:00||Special Meeting - M&A Vote|
|United Continental Holdings Inc||UAL US||10:00||Business Update Call|
|Lennar Corp||LEN US||11:00||Q2 2016 Earnings Call||Q2 2016|
|Varian Medical Systems Inc||VAR US||12:00||Investor Day||Y 2016|
|NetSuite Inc||N US||12:00||Annual General Meeting|
|FedEx Corp||FDX US||16:15||Q4 2016 Earnings Release||Q4 2016||3.282|
|FedEx Corp||FDX US||17:00||Q4 2016 Earnings Call||Q4 2016|
|Adobe Systems Inc||ADBE US||17:00||Q2 2016 Earnings Call||Q2 2016|
|Adobe Systems Inc||ADBE US||Aft-mkt||Q2 2016 Earnings Release||Q2 2016||0.68|
|Carnival Corp||CCL US||Q2 2016 Earnings Release||Q2 2016||0.386|
|United Therapeutics Corp||UTHR US||Annual General Meeting|
|GameStop Corp||GME US||Annual General Meeting|
|Agios Pharmaceuticals Inc||AGIO US||Annual General Meeting|