Wednesday April 8, 2015
Good Morning Traders,
Morning Notes
US Futures are flat this morning as traders await the FOMC minutes statement at 2:00 PM EST. US Markets fell yesterday afternoon on a strong JOLTS job report which may lead to a Fed rate hike sooner than originally expected. Weak Q1 earnings season expectations also weighed on markets. European stocks are lower after yesterday’s sharp move higher and energy stocks are higher after news that Shell is buying BG Group to facilitate access to LNG in Australia and Brazil.
Technicals
The $SPY rejected the mid range resistance yesterday of $208.75 and closed at session lows. Mid range support lies at ascending support and the low of Monday at the $205 level. Below $205, support levels at $204 and $202 remain critical.
In Play
EYES: Announced the first successful implant of a mechanical model of the Orion I Visual Cortical Prosthesis (“Orion I”) in an animal study. Gapping up 20% with a 15M share float.
TSLA: Tesla will stop selling the old base Model S called the 60 and replace it with the 70-D. The new car can go 240 miles per charge and from zero to 60 in 5.2 seconds.
Economic Calendar
7:00 Weekly MBA mortgage applications, previous +4.6% with purchase sub-index +5.7% and refi sub-index +3.9%.
8:00 Fed Governor Jerome Powell speaks on Challenges for Monetary Policy.
9:30 New York Fed President William Dudley does a Q&A on the economy.
10:30 EIA Weekly Petroleum Status Report.
13:00 Treasury auctions $21 billion 10-year T-notes.
14:00 Minutes of the Mar 17-18 FOMC meeting.
Earnings After Close
AA: Alcoa reports Q1 2015 Earnings. EPS estimate .257
BBBY: Bed Bath & Beyond Q4 2014 Earnings. EPS estimate 1.806
Happy Trading!