Quantcast

US Markets Flat as Asian Indices Continue to Fall on Chinese Manufacturing Slowdown

us-markets-flat-as-asian-indices-continue-to-fall-on-chinese-manufacturing-slowdown-cover
By: Sam Quest
Click Ticker to See live coverage

Dow Jones shed over 1% yesterday, reacting to the release of mostly mixed economic data. All three indices were in the red as initial jobless claims rose marginally and manufacturing activity showed a slight decline in production as well. Pre-owned home sales however improved slightly, breaking a three month trend and providing resilience to the housing market.

                

Last Close    

Net Change    

% Change    

% YTD    

DJIA

16,197.35

-175.99

-1.07%

-2.29%

Nasdaq

4218.87

-24.13

-0.57%

1.01%

S&P 500

1828.46

-16.40

-0.89%

-1.08%

Last Close

Telecom was the only sector that managed substantial positive momentum in the Dow with a gain of just over 1% after a two-day slide. Tech was flat while most other sectors were down with Basic Materials continuing its fall, and was down almost 1.5%. Financials dropped about 1.9% followed by the Auto industry which was down 1.7%.

American Express Co. (AXP) recorded the largest drop in the Dow, giving up 2.15% on the day. The Boeing Co. (BA), Visa Inc. (V) and DuPont (DD) all shed over 2% as well. AT&T Inc. (T) and Verizon Communications Inc. (VZ) recovered with gains of over 1% after a two-day beating.

Industries on the Move

Gainers    

Telecommunication Services.   

1.02%     

 

Tech

0.12%

Losers

Insurance

-1.98%

 

Financials

-1.93%

 

Auto & Comp.

-1.69%

 

Materials

-1.47%

Biggest Movers

Netflix Inc. (NFLX) led the market with a 15% earnings beat and overall subscribers and net additions at the higher end of guidance. The stock jumped 16.5% through the day closing at its all-time high of $388.72.

 

Company Name

Symbol  

Stock Price ($)   

Change ($)   

% Change  

Gainers

Netflix Inc.

NFLX

388.72

54.99

16.48%

 

F5 Networks Inc.

FFIV

102.49

5.01

5.14%

 

Union Pacific Corp.

UNP

174.12

5.62

3.34%

 

Newmont Mining Corp.

NEM

25.17

0.78

3.20%

 

Allegheny Technologies Inc.

ATI

33.02

1.01

3.16%

Losers

Noble Corporation PLC

NE

33.13

-3.12

-8.61%

 

Diamond Offshore Drilling Inc.

DO

51.88

-2.87

-5.24%

 

SLM Corp.

SLM

23.33

-1.09

-4.46%

 

Johnson Controls Inc.

JCI

49.3

-2.26

-4.38%

 

Ensco PLC

ESV

52.61

-2.4

-4.36%

Major Earnings Releases

Company                                      

Symbol    

EPS Estimate ($)    

Actual ($)     

Discover Financial Services

DFS

1.18

1.23

E*TRADE Financial Corp.

ETFC

0.19

0.21

Johnson Controls Inc.

JCI

0.69

0.69

Lockheed Martin Corp.

LMT

1.97

1.50

McDonald's Corp.

MCD

1.39

1.4

Microsoft Corp.

MSFT

0.68

0.78

Southwest Airlines Co.

LUV

0.29

0.33

Starbucks Corp.

SBUX

0.69

0.69

United Continental Holdings Inc.

UAL

0.70

0.78

January 24, 2014

Asia/Pacific

Tokyo and Hong Kong were still reeling from the effects of the Chinese industrial slowdown as the markets opened. The Nikkei shed almost 2% in the session and ended with a fourth consecutive weekly loss, something that hasn’t happened since mid-2012. The Hang Seng ended the session lower by more than 1%.

 

Close       

  % Change     

% YTD     

Nikkei 225

15,695.89

-1.94%

-5.52%

Hang Seng

22,450.06

-1.25%

-3.67%

Shanghai Composite    

2,054.39

    0.60%

-2.91%

Europe

All the major European markets opened the session slightly higher. With no major economic indicators or earnings releases coming out of the region for today investors will be focusing on the slowdown in China and the World Economic Forum in Davos.

                  

Current*      

% Change    

% YTD    

FTSE 100

6776.80

0.05%

0.41%

CAC 40

4288.89

0.19%

-0.16%

DAX

9654.32

0.24%

1.06%

US Futures

US Futures are flat but pointing slightly downward. All major indices, S&P, Nasdaq and DOW minis are depicting a decline of less than a tenth of a percent for the open.

Key Economic Indicators

Time

Country   

Event

For  

Forecast  

Previous   

3:00 am EST

DK

Consumer confidence

Jan

3.2

2.9

3:30 am EST

NL

Consumer spending volume

Nov

0

-1.1

4:00 am EST

IT

Retail sales SA mm

Nov

0

-0.1

4:00 am EST

IT

Retail sales NSA yy

Nov

0

-1.6

5:00 am EST

GR

Cbank C/A y/y

Nov

0

-0.35

8:30 am EST

CA

CPI BoC core yy

Dec

1

1.1

8:30 am EST

CA

CPI inflation mm

Dec

0

0

8:30 am EST

CA

CPI BoC core mm

Dec

0

-0.1

10:30 am EST

US

ECRI weekly index

w/e

0

134.5

6:00 pm EST

US

SEMI book/bill ratio

Dec

0

1.11

Key Earnings Releases for January 24, 2014

Company

Ticker  

EPS Estimate/$  

Time

Bristol-Myers Squibb Co.

BMY

0.43

Pre-Market

Honeywell International Inc.     

HON

1.21

Pre-Market

Kimberly-Clark Corp.

KMB

1.39

Pre-Market

Procter & Gamble Co.

PG

1.2

Pre-Market

Stanley Black & Decker Inc.

SWK

1.3

Pre-Market

State Street Corp.

STT

1.19

Pre-Market

W. W. Grainger, Inc.

GWW

2.62

Pre-Market

Xerox Corp.

XRX

0.29

Pre-Market

*Source: Yahoo Finance

Forex

The Japanese yen rose on the back of assets exiting China as investors took on defensive positions in Asia. The Australian dollar continued to fall while the US dollar rose against all major pairs. GBP/USD is currently trading at the same levels it was at when the Tokyo market opened for business after experiencing a choppy session earlier on.

Currency Pair   

Value*    

Change

EUR-USD

1.3692

-0.0004(0.03%)

GBP-USD

1.6631

-0.0006(0.04%)

USD-JPY

103.47

+0.2100(0.21%)

AUD-USD

0.8712

-0.0056(0.64%)

USD-CAD

1.1133

+0.0031(0.28%)

USD-CHF

0.8973

0.0000(0.00%)

EUR-GBP

0.8232

+0.0001(0.01%)

EUR-JPY

141.68

+0.2400(0.17%)

AUD-JPY

90.143

-0.4080(0.45%)

*At the time of filing this report

**Source: Bloomberg Financial

Commodities

Gold receded from its six-week highs in the early parts of the European session after an increase of more than 2% yesterday. Investors awaiting signals about Fed tapering are anticipating another round of cuts resulting in a sell-off in gold positions.

Natural Gas continues its bull run with a 3% plus gain at the time of filing this report and could end the week with the largest gain since 2012 of 13%. Crude is up almost a percent and on its way to the biggest weekly run up since December on the back of a government report showing distillate fuel prices decline.

 

Contract

Units

Current*

% Change

WTI Crude Oil

CLH14- March 14      

USD/bbl

$97.60

0.90%

NYMEX Nat. Gas      

CLH14- March 14

USD/MMBtu

$4.88

3.17%

Gold Spot

GCH14- March 14

USD/t oz.

$1,259.78

-0.34%

COMEX Silver

SIH14- March 14

USD/t oz.

$20.02

0.05%

COMEX Copper

HGH14- March 14

USD/lb.

$329.40

0.26%

*At the time of filing this report

**Source: Bloomberg Financial

You might also like this:

Morgan Stanley Considers Retreat From Natural-Gas Export Business
Comments
comments powered by Disqus
Forgot Password

Enjoy all premium content at BidnessEtc for free now!

Enjoy all premium content at BidnessEtc for free now!