04/08/22 Briefing

The S&P 500 futures are up 2 points and are trading slightly above fair value. The Nasdaq 100 futures are up 9 points and are trading slightly below fair value. The Dow Jones Industrial Average futures are up 8 points and are trading 0.1% above fair value.

Futures for the major indices are little bit higher off the heels of yesterday's big moves. The continued positive bias is helped out by the resilience to selling.

There's been a huge swath of earnings news since yesterday's close in play for market participants today.

There's also been some central bank news. In its largest rate hike since 1995, the Bank of England raised its key rate 50 basis points to 1.75%, as expected. Brazil's central bank raised its key rate 50 basis points to 13.75%, as expected.

Also, a senior Japanese Ministry of Finance official said that preparations should be made for a return to normal trading in Japanese bonds.

Treasury yields are falling this morning. The 2-yr note yield is down four basis points to 3.07% while the 10-yr note yield is down four basis points to 2.71%. 

Energy complex futures are mostly higher. WTI crude oil futures are up 0.6% to $91.21/bbl. Natural gas futures are up 1.4% to $8.39/mmbtu. Unleaded gasoline futures are down 0.3% to $2.90/gal.

In corporate news:

• Walmart (WMT 130.32, -0.18, -0.14%): to eliminate hundreds of jobs at corporate office, according to WSJ

• Booking Holdings (BKNG 1,909.00, -57.48, -2.92%): beats by $1.41, misses on revs; expects record Q3 revenue

• Clorox (CLX 138.01, -6.56, -4.54%): reports EPS in-line, misses on revs; guides FY23 EPS below consensus, revs below consensus

• Cigna (CI 280.41, +8.67, +3.19%): beats by $0.73, beats on revs; guides FY22 EPS above consensus, revs in-line

• Fortinet (FTNT 57.60, -5.28, -8.40%): beats by $0.02, reports revs in-line; guides Q3 EPS in-line, revs in-line; guides FY22 EPS above consensus, reaffirms FY22 revs guidance

• Qorvo (QRVO 102.70, -4.17, -3.90%): beats by $0.13, reports revs in-line; guides SepQ EPS in-line, revs in-line

• Albemarle (ALB 253.00, +13.46, +5.62%): beats by $0.20, reports revs in-line; raises FY22 guidance

• Eli Lilly (LLY 306.16, -7.67, -2.44%): misses by $0.46, misses on revs; lowers FY22 EPS below consensus, reaffirms FY22 revs guidance

• MGM Resorts (MGM 35.22, +1.02, +2.98%): misses by $0.30, beats on revs

• Crocs (CROX 76.00, -1.38, -1.78%):  beats on revs; guides Q3 revs below consensus; lowers FY22 EPS below consensus; sees FY22 revs in line

• YETI Holdings (YETI 45.76, -8.60, -15.82%): misses by $0.05, reports revs in-line; lowers FY22 EPS below consensus, revs below consensus

• Alibaba (BABA 99.64, +3.92, +4.10%): beats by rmb1.23, reports revs in-line

• Lucid Group (LCID 17.86, -2.70, -13.13%): misses by $0.02, misses on revs; revised its 2022 production volume outlook to a range of 6,000 to 7,000 vehicles.

Reviewing overnight developments:

• Equity indices in the Asia-Pacific region ended Thursday on a mostly higher note. Japan's Nikkei: +0.7%, Hong Kong's Hang Seng: +2.1%, China's Shanghai Composite: +0.8%, India's Sensex: -0.1%, South Korea's Kospi: +0.5%, Australia's ASX All Ordinaries: +0.1%.

  • In economic data:

    • Australia's June trade surplus AUD17.67 bln (expected surplus of AUD14.00 bln; last surplus of AUD15.016 bln)

  • In news:

    • A senior Japanese government official said that preparations should be made for a return to normal trading in Japanese bonds.

    • Chinese press reported that some banks have been instructed to refrain from transferring mortgage funds to property developers.

    • Australia's trade surplus reached a record high in June.

• Major European indices trade in positive territory with Germany's DAX (+1.1%) showing relative strength. STOXX Europe 600: +0.5%, Germany's DAX: +1.1%, U.K.'s FTSE 100: +0.3%, France's CAC 40: +0.9%, Italy's FTSE MIB: +0.9%, Spain's IBEX 35: +0.6%.

  • In economic data:

    • Germany's June Factory Orders -0.4% m/m (expected -0.8%; last -0.2%)

    • U.K.'s July Construction PMI 48.9 (expected 52.0; last 52.6)

  • In news:

    • Lufthansa guided for a significant sequential increase in Q3 earnings.

    • Bank of England raised its bank rate by 50 bps to 1.75%, as expected.

U.S. equity futures:

• S&P 500 Futures: +4 @ 4,160

• DJIA Futures: +24 @ 32,837

• Nasdaq 100 Futures: +24 @ 13,277

Overseas:

• Europe: DAX +1.1%, FTSE +0.3%, CAC +0.9%

• Asia: Nikkei +0.7%, Hang Seng +2.1%, Shanghai Composite +0.8%

Commodities:

• Crude Oil +0.49 @ 91.15

• Nat Gas  +0.121 @ 8.387

• Gold +23.10 @ 1799.50

• Silver +0.408  @ 20.302

• Copper -0.0232 @ 3.4438

U.S. Summary:

• Earnings/Guidance:

  • 1Life Healthcare (ONEM) misses by $0.07, misses on revs; per previous announcement Amazon (AMZN) is expected to acquire the company for $18/share

  • Adidas AG (ADDYY) reports H1 results; revs rise 5% yr/yr; lowers outlook

  • ADTRAN (ADTN) beats by $0.06, reports revs in-line

  • Albemarle (ALB) beats by $0.20, reports revs in-line; raises FY22 guidance

  • Alkami Technology (ALKT) misses by $0.14, beats on revs; guides Q3 revs in-line; raises FY22 revs above consensus

  • Allegiant Travel (ALGT) misses by $0.38, reports revs in-line

  • Allison Transmission (ALSN) reports Q2 results, misses on revs, narrows FY22 guidance

  • Allstate (ALL) beats by $0.39, reports revs in-line

  • Altice USA (ATUS) misses by $0.10, reports revs in-line

  • Amdocs (DOX) reports EPS in-line, revs in-line; guides SepQ EPS in-line, revs in-line

  • Amplitude (AMPL) beats by $0.04, beats on revs; guides Q3 EPS above consensus, revs above consensus; guides FY22 EPS above consensus, revs above consensus

  • ANSYS (ANSS) beats by $0.16, beats on revs; guides Q3 EPS in-line, revs in-line; guides FY22 EPS in-line, revs in-line

  • AssetMark (AMK) beats by $0.03, beats on revs

  • Atmos Energy (ATO) beats by $0.06, beats on revs; guides FY22 EPS in-line

  • AvidXchange (AVDX) beats by $0.06, beats on revs; raises FY22 revenue guidance above consensus

  • AZEK (AZEK) misses by $0.08, beats on revs; guides Q4 EPS below consensus, revs below consensus

  • B2Gold (BTG) misses by $0.02, reports revs in-line

  • Ball Corp (BALL) misses by $0.08, beats on revs

  • Bayer AG (BAYRY) reports Q2 results; raises outlook

  • Becton Dickinson (BDX) beats by $0.16, beats on revs; raises FY22 guidance

  • Benchmark Electronics (BHE) beats by $0.09, beats on revs; guides Q3 EPS above consensus, revs above consensus

  • Booking Holdings (BKNG) beats by $1.41, misses on revs; expects record Q3 revenue

  • BrightView (BV) misses by $0.06, beats on revs; guides Q4 revs in-line; raises FY22 revs above consensus

  • Central Garden (CENT) beats by $0.12, beats on revs; guides FY22 EPS below consensus

  • Ceridian HCM (CDAY) beats by $0.11, beats on revs; guides Q3 revs above consensus; guides FY22 revs mostly above consensus

  • Change Healthcare (CHNG) misses by $0.01, reports revs in-line; not providing guidance due to proposed transaction with OptumInsight

  • ChipMOS TECHNOLOGIES (IMOS) beats by NT$0.14, misses on revs

  • Chord Energy (CHRD) misses by $0.62, beats on revs

  • Cigna (CI) beats by $0.73, beats on revs; guides FY22 EPS above consensus, revs in-line

  • Civitas Resources (CIVI) beats by $0.65, beats on revs

  • Clorox (CLX) reports EPS in-line, misses on revs; guides FY23 EPS below consensus, revs below consensus

  • Coeur Mining (CDE) misses by $0.04, beats on revs

  • Compass Diversified (CODI) misses by $0.21, beats on revs

  • Confluent (CFLT) beats by $0.03, beats on revs; guides Q3 EPS in-line, revs above consensus; guides FY22 EPS above consensus, revs above consensus

  • Costco (COST) reports July adj comparable sales +7.0% (excluding gas), total comps +10.0%; net sales +10.8% yr/yr to $16.85 bln

  • Crocs (CROX) beats by $0.55, beats on revs; guides Q3 revs below consensus; lowers FY22 EPS below consensus; sees FY22 revs in line

  • Cross Country (CCRN) beats by $0.05, beats on revs; guides Q3 EPS in-line, revs above consensus

  • Curtiss-Wright (CW) beats by $0.14, beats on revs; raises FY22 guidance

  • Denbury (DEN) reports EPS in-line, beats on revs; Board authorizes $100 mln increase in share repurchase program

  • Diamondrock Hospitality (DRH) beats by $0.07, beats on revs

  • DoubleVerify (DV) misses by $0.03, beats on revs

  • Duke Energy (DUK) beats by $0.06, beats on revs; reaffirms FY22 EPS guidance; Announces a strategic review of the Commercial Renewables business

  • Dun & Bradstreet (DNB) reports EPS in-line, revs in-line; guides FY22 EPS in-line, revs in-line

  • eBay (EBAY) beats by $0.10, beats on revs; guides Q3 EPS in-line, revs mostly above consensus; guides FY22EPS mostly above consensus, reaffirms FY22revs guidance

  • e.l.f. Beauty (ELF) beats by $0.15, beats on revs; raises FY23guidance

  • Eli Lilly (LLY) misses by $0.46, misses on revs; lowers FY22EPS below consensus, reaffirms FY22revs guidance

  • Enovis Corporation (ENOV) beats by $0.09, misses on revs; guides FY22EPS in-line

  • Envista (NVST) beats by $0.02, reports revs in-line

  • EPAM Systems (EPAM) beats by $0.67, beats on revs; guides Q3 EPS above consensus, revs above consensus

  • Fastly (FSLY) misses by $0.06, reports revs in-line; guides Q3 EPS below consensus, revs above consensus; guides FY22EPS below consensus, revs above consensus; names Cisco exec as new CEO

  • Fisker (FSR) beats by $0.04, provides business update

  • Fiverr (FVRR) beats by $0.03, misses on revs; guides Q3 revs below consensus; guides FY22revs below consensus

  • FleetCor (FLT) beats by $0.28, beats on revs; guides Q3 EPS above consensus, revs above consensus; guides FY22EPS above consensus, revs above consensus

  • Fortinet (FTNT) beats by $0.02, reports revs in-line; guides Q3 EPS in-line, revs in-line; guides FY22EPS above consensus, reaffirms FY22revs guidance

  • Glaukos (GKOS) misses by $0.39, beats on revs; raises FY22revs above consensus

  • GoDaddy (GDDY) beats by $0.07, reports revs in-line; guides Q3 revs below consensus

  • Hillenbrand (HI) beats by $0.05, beats on revs; guides FY22EPS in-line, revs in-line

  • Hostess Brands (TWNK) beats by $0.01, beats on revs; guides FY22EPS in-line, revs above consensus

  • Host Hotels (HST) beats by $0.09, beats on revs

  • Hub Group (HUBG) beats by $0.47, beats on revs; raises FY22guidance

  • IAMGOLD (IAG) misses by $0.02, beats on revs

  • ICF International (ICFI) reports EPS in-line, misses on revs; increases FY22EPS, revs guidance

  • Inari (NARI) beats by $0.04, beats on revs; guides FY22revs in-line

  • Ingersoll-Rand (IR) beats by $0.02, beats on revs; reaffirms FY22revs guidance

  • ING Groep (ING) reports Q2 results

  • Insmed (INSM) beats by $0.10, beats on revs

  • Intercontinental Exchange (ICE) beats by $0.05, reports revs in-line

  • Jazz Pharma (JAZZ) beats by $0.11, beats on revs; reaffirms FY22revs guidance

  • JFrog (FROG) beats by $0.01, beats on revs; guides Q3 EPS in-line, revs in-line; reaffirms FY22EPS guidance, guides FY22revs above consensus

  • Kulicke & Soffa (KLIC) beats by $0.50, beats on revs; guides Q4 EPS below consensus, revs below consensus

  • Laredo Petroleum (LPI) beats by $0.21, misses on revs, provides 2022 outlook

  • Life Storage (LSI) beats by $0.12, beats on revs; raises FY22FFO and same store revenue guidance

  • Lordstown Motors (RIDE) reports Q2 (Jun) results, ending cash balance of $236 mln above internal expectations

  • Marathon Oil (MRO) beats by $0.04, beats on revs

  • McKesson (MCK) beats by $0.53, beats on revs; raises FY23EPS above consensus

  • MetLife (MET) beats by $0.55, Adjusted premiums, fees and other revenues up 24%

  • MGIC Investment (MTG) beats by $0.31, reports revs in-line

  • MGM Resorts (MGM) misses by $0.30, beats on revs

  • MGP Ingredients (MGPI) beats by $0.21, beats on revs; guides FY22EPS in-line, revs above consensus

  • ModivCare (MODV) beats by $0.48, beats on revs; raises FY22revs above consensus

  • Murphy Oil (MUR) beats by $0.39, beats on revs; raises production guidance

  • NetScout Systems (NTCT) beats by $0.02, beats on revs; reaffirms FY23EPS guidance, revs guidance

  • Nevro (NVRO) beats by $0.08, reports revs in-line; guides Q3 revs below consensus; guides FY22revs below consensus

  • New Fortress Energy (NFE) beats by $0.32, beats on revs

  • Northern Oil & Gas (NOG) beats by $0.06, beats on revs

  • Northwest Natural (NWN) beats by $0.09, beats on revs; guides FY22EPS in-line

  • Nova Measuring (NVMI) beats by $0.05, beats on revs; guides Q3 EPS in-line, revs mostly above consensus

  • Nutrien (NTR) beats by $0.15, misses on revs; lowers FY22EPS in-line

  • NuVasive (NUVA) misses by $0.09, beats on revs; reaffirms FY22EPS guidance, revs guidance

  • OGE Energy (OGE) misses by $0.08, beats on revs; reaffirms FY22EPS guidance

  • Ormat Tech (ORA) beats by $0.02, beats on revs

  • OUTFRONT Media (OUT) beats by $0.02, reports revs in-line

  • Owl Rock Capital (ORCC) beats by $0.01, beats on revs

  • Palomar Holdings (PLMR) beats by $0.06, misses on revs

  • Parker-Hannifin (PH) beats by $0.46, beats on revs; guides FY23EPS in-line

  • Pediatrix Medical Group (MD) reports EPS in-line, misses on revs

  • PNM Resources (PNM) beats by $0.04, beats on revs; reaffirms FY23EPS guidance

  • Prestige Consumer (PBH) beats by $0.05, beats on revs; reaffirms FY23EPS guidance, revs guidance

  • Qorvo (QRVO) beats by $0.13, reports revs in-line; guides SepQ EPS in-line, revs in-line

  • Rapid7 (RPD) beats by $0.03, beats on revs; guides Q3 EPS below consensus; guides FY22EPS in-line

  • Rayonier (RYN) reports EPS in-line, beats on revs; guides FY22EPS below consensus

  • Realty Income (O) misses by $0.02, beats on revs; guides FY22FFO in-line

  • REGENXBIO (RGNX) misses by $0.14, beats on revs

  • Rent-A-Center (RCII) beats by $0.16, beats on revs; guides Q3 EPS in-line, revs below consensus; guides FY22EPS in-line, revs below consensus

  • Restaurant Brands Int'l (QSR) beats by $0.09, beats on revs; declares dividend

  • Revolve Group (RVLV) misses by $0.09, reports revs in-line

  • Royal Gold (RGLD) beats by $0.17, misses on revs

  • Shake Shack (SHAK) beats by $0.02, misses on revs; comps +10.1% vs low-to-mid teens prior guidance; guides Q3 revs below consensus

  • South Jersey Industries (SJI) beats by $0.02, beats on revs

  • Sprouts Farmers Market (SFM) beats by $0.06, beats on revs; guides Q3 EPS in-line; guides FY22EPS above consensus, revs above consensus

  • Stoneridge (SRI) misses by $0.07, beats on revs; guides FY22EPS in-line, revs in-line

  • Sturm Ruger (RGR) misses by $0.33, misses on revs

  • Summit Materials (SUM) beats by $0.07, reports revs in-line; reiterates adjusted EBITDA guidance for 2022

  • Sunrun (RUN) beats by $0.01, beats on revs

  • Tandem Diabetes Care (TNDM) misses by $0.26, misses on revs; lowers FY22revs below consensus

  • Teekay Tankers (TNK) beats by $0.12, beats on revs

  • Tetra Tech (TTEK) beats by $0.03, beats on revs; guides Q4 (Sep) EPS in-line, revs in-line

  • Toyota Motor (TM) misses by JPY0.13; beats on revs; sees FY23EPS and revs below consensus

  • Trupanion (TRUP) misses by $0.11, beats on revs

  • UGI Corp (UGI) misses by $0.06, beats on revs; lowers FY22guidance

  • Unisys (UIS) beats by $0.16, beats on revs; guides FY22revs below consensus

  • Upland Software (UPLD) beats by $0.11, reports revs in-line; guides Q3 revs in-line; guides FY22revs in-line

  • Udemy (UDMY) beats by $0.06, beats on revs; guides Q3 revs in-line; guides FY22revs in-line

  • Valvoline (VVV) misses by $0.01, beats on revs; guides FY22EPS in-line, revs mostly above consensus

  • Vontier (VNT) beats by $0.02, beats on revs; guides Q3 EPS below consensus; guides FY22EPS in-line

  • Warrior Met Coal (HCC) beats by $0.63, beats on revs

  • Wayfair (W) misses by $0.06, beats on revs

  • Werner Enterprises (WERN) misses by $0.16, beats on revs

  • Western Midstream (WES) misses by $0.03, beats on revs

  • Western Union (WU) beats by $0.10, reports revs in-line; reaffirms FY22EPS guidance, guides FY22revs in-line

  • WestRock (WRK) beats by $0.06, reports revs in-line

  • WeWork (WE) reports Q2 (Jun) results, misses on revs; reaffirms FY22revs guidance

  • WillScot Mobile Mini (WSC) beats by $0.04, beats on revs; guides FY22revs above consensus; replenished share repurchase authorization to $1.0 bln as of July 21

  • Xencor (XNCR) misses by $0.10, misses on revs

  • Yellow Corporation (YELL) beats by $0.70, beats on revs

  • YETI Holdings (YETI) misses by $0.05, reports revs in-line; lowers FY22EPS below consensus, revs below consensus

  • Zeta Global (ZETA) reports Q2 (Jun) results, beats on revs; guides Q3 revs above consensus; guides FY22revs above consensus; authorizes $50 mln stock repurchase program

• General News:

  • China test fired missiles during military drills around Taiwan, according to Bloomberg

  • Senator Kyrsten Sinema (D-AZ) has concerns about structure of 15% minimum tax in Inflation Reduction Act. She does not support closing carried interest loophole. She would also like more spending on climate change and for water security in the Southwest US, according to Axios

  • US Senate overwhelmingly ratifies addition of Finland and Sweden to NATO, according to the Wall Street Journal

  • Michigan Democratic Senator Debbie Stabenow wants changes to EV tax credit in Inflation Reduction Act, according to Bloomberg

  • Transportation Department aiming to put more rules on airline refunds, according to the Wall Street Journal

  • 8x8 (EGHT) enters convertible notes exchange and stock repurchase

  • Airbus (EADSY) revoked its outstanding order from Qatar for A350aircraft, according to Reuters

  • Amdocs (DOX) announced its collaboration with ACI Worldwide (ACIW) to integrate Amdocs' Vindicia capabilities with ACI Speedpay

  • AstraZeneca (AZN) receives EU approval for Lynparza

  • Biogen (BIIB) and Eisai present new findings on Lecanemab's investigational subcutaneous formulation and modeling simulation of APOE4 genotype on ARIA-E incidence at the Alzheimer's Association International Conference (AAIC) 2022

  • Boeing (BA): FAA will meet with inspectors ahead of Boeing 787 decision, according to Reuters

  • Cognizant Tech (CTSH) has been selected by AXA UK & Ireland as a technology partner to help consolidate, modernize and manage part of its IT operations

  • Cytokinetics (CYTK) and The ALS Association announce a new release of the Pooled Resource Open-Access ALS Clinical Trials database updated with clinical data from Cytokinetics' completed clinical trials in ALS

  • Equinox Gold (EQX) CEO leave company; names Greg Smith to succeed as CEO

  • Fastly (FSLY) appoints Todd Nightingale as CEO effective September 1

  • FleetCor (FLT)  has extended its agreement to manage the commercial fleet card program for British Petroleum (BP)

  • GAMCO Investors (GBL) appoints Doug Jamieson as CEO

  • Glaukos (GKOS) received 510(k) clearance from the FDA for the iStent infinite Trabecular Micro-Bypass System indicated for use in a standalone procedure to reduce elevated IOP in patients with primary open-angle glaucoma uncontrolled by prior medical and surgical therapy

  • Google (GOOG): EU could soon investigate Google Play Store, according to Politico

  • Inari (NARI) appoints COO Drew Hykes as CEO effective January 1, 2023

  • Largo Resources (LGO) signed a non-binding memorandum of understanding with Ansaldo Green Tech S.P.A. to establish a collaboration between the parties for the purpose of the commercial deployment of the Company's VCHARGE Vanadium Redox Flow Battery

  • Robinhood Markets (HOOD) discloses it received additional requests from the SEC for information related to, among other things, RHS's compliance with Regulation SHO's trade reporting

  • SoftBank (SFTBY) raised $22 bln as it plans to reduce its stake in Alibaba (BABA) over the next few years, according to Financial Times

  • Torrid (CURV) appoints Tim Martin as COO and CFO; lowers Q2 sales guidance

  • Tyson Foods (TSN) is ignoring NY subpoena, according to Reuters

  • Walmart (WMT) to eliminate hundreds of jobs at corporate office, according to the Wall Street Journal

  • Warner Bros Discovery (WBD) will merge HBO Max and Discovery Plus TV services, according to Daily Mail

  • Werner Enterprises (WERN) CFO John Steele to retire; Co has launched a formal search for its next CFO

• M&A:

  • Bio-Rad Labs (BIO) to acquire all of the outstanding shares of Curiosity Diagnostics to acquire all of the outstanding shares of Curiosity Diagnostics

  • FleetCor (FLT) has acquired Accrualify; financial terms were not disclosed

  • Global Blood Therapeutics (GBT) is attracting takeover interest, according to Bloomberg

  • Sun Life (SLF) intends to sell UK business

  • Twitter (TWTR): Elon Musk wants to publish counter lawsuit to TWTR, according to the New York Post

  • Two Harbors Investment (TWO) to acquire RoundPoint Mortgage Servicing

• Syndicate: 

  • AppHarvest (APPH) files for $300 mln mixed securities shelf offering

  • Ecovyst (ECVT) prices secondary offering of 13.0 mln shares by selling shareholders at $8.75/share

  • NETSTREIT (NTST) prices offering of 9.0 mln shares of common stock at $20.20 per share

  • Poseida Therapeutics (PSTX) commenced an underwritten public offering of shares of its common stock

  • TransMedics Group (TMDX) files mixed securities shelf offering

• IPOs:

  • Expected to Price:

    • No IPOs expected.

Gapping Up/Down

• Gapping up:

  • YELL +31.6%, GBT +20.8%, CFLT +17%, HHC +14.7%, MELI +13%, PCOR +11.8%, ATUS +10.9%, RELY+10.9%, KXIN +10.8%, RUN +10.3%, SFM +8.5%, ETD+8.2%, DV +6.8%, TTMI +6.4%, ADPT +6.1%, LGO+5.7%, ALB +5.7%, EPC +5.7%, EPAM +5.4%, ELF+5.2%, AMPL +5.1%, AFG +5%, NOG +5%, WSC +5%, MRTX +5%, HBIO +5%, DOX +4.8%, ICFI +4.4%, CIVI+4.3%, ZETA +4.3%, IMOS +4.3%, HI +4.2%, HCC+3.9%, MUR +3.9%, AVDX +3.7%, HUBG +3.4%, GRBK+3.4%, RCII +3.2%, UDMY +3.2%, MTG +3%, ALKT+3%, HST +2.9%, BAND +2.8%, ACLS +2.8%, PAA+2.8%, ET +2.7%, IIPR +2.7%, NTR +2.6%, MGM+2.5%, TS +2.5%, SSL +2.5%, ANSS +2.4%, DRH+2.4%, GKOS +2.2%, NWN +2.2%, LSI +2.1%, CDAY+2.1%, ENOV +2.1%, EVA +1.9%, MET +1.8%, CI+1.7%, APD +1.7%, WTRG +1.5%, WTS +1.4%, CHRD+1.4%, TNK +1.4%, WE +1.4%, UPLD +1.3%, TPIC+1.2%, JAZZ +1.2%, OUT +1%, SIGI +1%, CORT +1%, STOR +1%

• Gapping down:

  • PSTX -21.1%, RVLV -15.4%, ECVT -15.2%, PAY-15.2%, MED -13.2%, LCID -12.4%, VMEO -11.3%, SKLZ -10.5%, TNDM -10.1%, BRKR -9.9%, EQX-8.1%, CCRN -8%, CURV -8%, FTNT -7.2%, XNCR-7%, APPH -6.2%, SM -6.2%, CLX -6.1%, QNST-5.9%, DXC -5.8%, FVRR -5.7%, SITM -5.5%, RGR-5.5%, BALL -5.1%, KLIC -5%, CPE -4.9%, LUMN-4.9%, SRI -4.5%, PACB -4.4%, QRVO -4.4%, YETI-4.4%, TMDX -4.3%, TM -4.1%, UGI -3.9%, TWNK-3.7%, FSLY -3.2%, ALGT -3.2%, NVRO -3%, WES-3%, RPD -3%, BKNG -2.9%, TRUP -2.8%, FLT-2.6%, ECPG -2.6%, ING -2.6%, ONEM -2.5%, FICO-2.4%, NARI -2.1%, GDDY -2.1%, ORA -1.7%, CODI-1.6%, FARO -1.6%, SGFY -1.5%, CHNG -1.5%, LNC-1.5%, ROG -1.5%, EVH -1.4%, CBOE -1.4%, WU-1.3%, PK -1.2%, FROG -1.2%, NTST -1.1%, HOOD-0.9%

Analyst Research (see Upgrades/Downgradescalendarfor full list):

• Upgrades

  • America Movil SA (AMX) upgraded to Buy from Neutral and placed on 90-day Positive Catalyst Watch at Citigroup; tgt $23

  • Southern (SO) upgraded to Buy from Neutral at UBS; tgt raised to $87

• Downgrades:

  • Boston Properties (BXP) downgraded to Neutral from Outperform at SMBC Nikko; tgt $93

  • Charles River (CRL) downgraded to Equal-Weight from Overweight at Morgan Stanley; tgt lowered to $250

  • Duluth Trading Co (DLTH) downgraded to Neutral from Outperform at Robert W. Baird; tgt lowered to $11

  • HSBC Holdings (HSBC) downgraded to Neutral from Buy at Goldman

  • Kohl's (KSS) downgraded to Market Perform from Outperform at Cowen; tgt lowered to $35

  • Levi Strauss (LEVI) downgraded to Equal-Weight from Overweight at Morgan Stanley; tgt $19

  • Medifast (MED) downgraded to Hold from Buy at Jefferies; tgt lowered to $150

  • Skillz (SKLZ) downgraded to Hold from Buy at Canaccord Genuity; tgt lowered to $1.50

  • Trupanion (TRUP) downgraded to Neutral from Overweight at Piper Sandler; tgt lowered to $69

  • Under Armour (UAA) downgraded to Neutral from Outperform at Robert W. Baird; tgt lowered to $10

  • Warrior Met Coal (HCC) downgraded to Market Perform from Outperform at BMO Capital Markets; tgt lowered to $37

• Others:

  • Endeavor Group (EDR) initiated with a Buy at BofA Securities; tgt $28

Upcoming Events:

• Econ Data:

  • 08:30 ET: Trade Balance for June (Briefing.comConsensus -$81.7 B)

  • 08:30 ET: Initial Claims for July 30 (Briefing.comConsensus 260K; Prior 256K)

  • 08:30 ET: Continuing Claims for July 23; (Briefing.comConsensus NA; Prior 1359K)

  • 10:30 ET: EIA Natural Gas Inventories for July 30 (Briefing.comConsensus NA; Prior +15 bcf)

• Earnings:

  • Monday (Aug 1)

    • Morning:  AJRD AMG BLDR CHKP CAN GPN J JELD ON

    • Afternoon: ATVI ADUS AFL AMKR ANET CAR AXNX BCC BRX CF CNO CRK CACC DVA DVN FANG PLOW DEI EBS EHC EPR EQC EVER HLIT NSP INST JRVR KMPR KMT KFRC LSCC LEG MATX MPWR MOS OHI OGS OTTR PINS RDN RMBS RRX RHP SANM SBAC SPG RIG UNVR VRNS VNOM VNO WMB WWD ZI

  • Tuesday (Aug 2)

    • Morning: AME AINV ARNC ASTE ATKR BPMC BP CAT CNP CMI DBD DD DEA ETN NPO ENTG ETRN ESPR EOLS AQUA EXPD RACE IT THRM GEO GPRE HLNE HSC HSIC HUN IDXX ITW INCY IGT IPGP JBLU KBR KKR LCII LEA LDOS LGIH MPC MAR TAP MPLX NRZ OTLY PEG RGEN SPGI SABR SAGE SEE SWI SPWR SYNH BLD TSEM UBER VSH WAT WEC WLK XYL ZBRA ZBH

    • Afternoon:  AMD ABNB AYX ANDE APAM AIZ ATRC BLKB BFAM BCOV CZR CWH CSII CDLX CHK CRUS CGNX CNDT CXW CTRA DCP DENN EA EVH EXAS EXR FNF FMC FRSH GILD GXO THG PEAK HLF NGVT IOSP INSP JJSF KAI KAR KN LFUS LTHM LPLA MGY MTCH MRCY MCHP MSTR NMIH OI OSH OXY OSPN PAYC PYPL PFSI PUMP PRU LUNG RNG SRPT SPNE SCI TSLX SKY SOFI SEDG SPT SBUX STE TEX TX UNM VREX VRSK VRAY VOYA WCN

Asia & Europe detail:

Asia: Nikkei +0.7%, Hang Seng +2.1%, Shanghai Composite +0.8%

Equity indices in the Asia-Pacific region ended Thursday on a mostly higher note. A senior Japanese government official said that preparations should be made for a return to normal trading in Japanese bonds. Chinese press reported that some banks have been instructed to refrain from transferring mortgage funds to property developers. Australia's trade surplus reached a record high in June.

• In economic data:

  • Australia's June trade surplus AUD17.67 bln (expected surplus of AUD14.00 bln; last surplus of AUD15.016 bln)

---Equity Markets---

• Japan's Nikkei: +0.7%

• Hong Kong's Hang Seng: +2.1%

• China's Shanghai Composite: +0.8%

• India's Sensex: -0.1%

• South Korea's Kospi: +0.5%

• Australia's ASX All Ordinaries: +0.1%

---FX---

• USD/JPY: +0.3% to 134.16

• USD/CNH: +0.1% to 6.7642

• USD/INR: +0.3% to 79.31

Europe: DAX +1.1%, FTSE +0.3%, CAC +0.9%

Major European indices trade in positive territory with Germany's DAX (+1.1%) showing relative strength. Lufthansa guided for a significant sequential increase in Q3 earnings. Bank of England raised its bank rate by 50 bps to 1.75%, as expected.

• In economic data:

  • Germany's June Factory Orders -0.4% m/m (expected -0.8%; last -0.2%)

  • U.K.'s July Construction PMI 48.9 (expected 52.0; last 52.6)

---Equity Markets---

• STOXX Europe 600: +0.5%

• Germany's DAX: +1.1%

• U.K.'s FTSE 100: +0.3%

• France's CAC 40: +0.9%

• Italy's FTSE MIB: +0.9%

• Spain's IBEX 35: +0.6%

---FX---

• EUR/USD: +0.2% to 1.0185

• GBP/USD: -0.3% to 1.2102

• USD/CHF: UNCH at 0.9598