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Writer's pictureSimon Charles Hooper

04/11/22 Briefing


The S&P 500 futures are up 26 points and are trading 0.7% above fair value. The Nasdaq 100 futures are up 76 points and are trading 0.7% above fair value. The Dow Jones Industrial Average futures are up 172 points and are trading 0.5% above fair value. 

Equity futures are higher this morning as market participants buy the dip after the recent slump that saw the S&P 500 drop about 5.0% from Tuesday'shigh. There's also been a huge batch of earnings news, which is drawing mixed reactions. 

Chinese stocks are getting a boost this morning after markets in Hong Kong and China outperformed amid reports that inspectors from the U.S. Public Company Accounting Oversight Board completed their work in China about two weeks ahead of schedule. There has also been some renewed speculation that China will ultimately move away from its zero-covid policy.

Treasury yields are trading up ahead of the October Employment Report at 8:30 a.m. ET. The 10-yr note yield is up four basis points to 4.16% and the 2-yr note yield is up four basis points to 4.75%.

The U.S. Dollar Index is down 0.5% to 112.31.

In corporate news:

  • Starbucks (SBUX 88.84 +4.16 +4.91%): beats by $0.09, beats on revs, global comps +7%; U.S. comps +11%; China comps -16%; guides FY23 EPS above consensus; FY23 revs in-line; reaffirms FY23 global comp guidance; expects solid margin expansion globally in FY23

  • DoorDash (DASH 52.97 +5.36 +11.26%): reports Q3 results, beats on revs and beats on adjusted EBITDA

  • Microchip (MCHP 65.05 +5.59 +9.40%): beats by $0.02, reports revs in-line; guides Q3 EPS, revs above consensus; increases dividend

  • Block (SQ 60.50 +6.59 +12.22%): beats by $0.19, beats on revs

  • Carvana (CVNA 12.86 -1.49 -10.38%): misses by $0.70, misses on revs

  • PayPal (PYPL 71.74 -4.81 -6.28%): beats by $0.12, reports revs in-line; guides Q4 EPS in-line, revs below consensus

  • Twilio (TWLO 48.40 -16.96 -25.95%): beats by $0.08, beats on revs; guides Q4 EPS below consensus, revs below consensus

  • Atlassian (TEAM 127.90 -46.27 -26.57%): misses by $0.02, reports revs in-line; guides Q2 revs below consensus

  • Rocket Companies (RKT 6.24 -0.27-4.15%): misses by $0.05, beats on revs; approves renewal and extension of its $1.0 bln repurchase program

  • Cardinal Health (CAH 75.33 -0.34 -0.45%): beats by $0.23, beats on revs; guides FY23 EPS in-line

Reviewing overnight developments:

  • Equity indices in the Asia-Pacific region ended the week on a mostly higher note. Japan's Nikkei: -1.7% (+0.4% for the week), Hong Kong's Hang Seng: +5.4% (+8.7% for the week), China's Shanghai Composite: +2.4% (+5.3% for the week), India's Sensex: +0.2% (+1.7% for the week), South Korea's Kospi: +0.8% (+3.5% for the week), Australia's ASX All Ordinaries: +0.6% (+1.7% for the week).

    • In economic data:

      • Japan's October Services PMI 53.2 (last 53.0)

      • Australia's September Retail Sales 0.6% m/m, as expected (last 0.6%). Q3 Retail Sales 0.2% qtr/qtr (expected 0.4%; last 1.0%). October AIG Construction Index 43.3 (last 46.5)

      • Singapore's September Retail Sales 3.3% m/m (last -1.2%); 11.2% yr/yr (last 13.3%)

    • In news:

      • Markets in Hong Kong and China outperformed amid reports that inspectors from the U.S. Public Company Accounting Oversight Board completed their work in China about two weeks ahead of schedule.

      • South Korea's Defense Minister Lee said that North Korea appears to be preparing to conduct a nuclear test.

      • China will purchase 140 aircraft from Airbus for about $17 bln.

  • Major European indices are looking for a higher finish to the week. STOXX Europe 600: +1.4% (+1.1% week-to-date), Germany's DAX: +1.8% (+0.9% week-to-date), U.K.'s FTSE 100: +1.4% (+3.4% week-to-date), France's CAC 40: +2.3% (+1.8% week-to-date), Italy's FTSE MIB: +1.1% (+1.9% week-to-date), Spain's IBEX 35: +0.3% (-0.3% week-to-date).

    • In economic data:

      • Eurozone's September PPI 1.6% m/m (expected 1.7%; last 5.0%); 41.9% yr/yr (expected 42.0%; last 43.4%). October Services PMI 48.6 (expected 48.2; last 48.8)

      • Germany's September Factory Orders -4.0% m/m (expected -0.5%; last -2.0%). October Services PMI 46.5 (expected 44.9; last 45.0)

      • U.K.'s October Construction PMI 53.2 (expected 50.5; last 52.3)

      • France's September Industrial Production -0.8% m/m (expected -1.0%; last 2.7%). October Services PMI 51.7 (expected 51.3; last 52.9)

      • Italy's October Services PMI 46.4 (expected 48.5; last 48.8)

      • Spain's September Industrial Production 3.6% yr/yr (expected 3.7%; last 5.2%). October Services PMI 49.7 (expected 48.3; last 48.5)

    • In news:

      • Final October Services PMI readings from Italy, Spain, and Germany improved, but remained in contractionary territory.

      • European Central Bank President Lagarde repeated that inflation is too high, and that the ECB has a long way to go with its rate hikes.

      • The Italian government is reportedly looking to spend more than EUR15 bln in its 2023 budget to offset high energy costs.

      • Bank of England Chief Economist Pill said that a slowdown in the domestic economy is needed to contain inflation.

 

U.S. equity futures:

  • S&P 500 Futures: +27 @ 3,747

  • DJIA Futures: +178 @ 32179

  • Nasdaq 100 Futures: +83 @ 10,774

Overseas:

  • Europe: DAX +1.8%, FTSE +1.4%, CAC +2.3%

  • Asia: Nikkei -1.7%, Hang Seng +5.4%, Shanghaic Composite +2.4%

Commodities:

  • Crude Oil +3.28 @ 91.45

  • Nat Gas  +0.277 @ 6.252

  • Gold +23.20 @ 1654.10

  • Silver +0.523  @ 19.953

  • Copper +0.1742 @ 3.6012

 

  • Earnings/Guidance:

    • ACM Research (ACMR) beats by $0.19, beats on revs; narrows FY22 revs outlook

    • Adaptive Biotechnologies (ADPT) beats by $0.05, misses on revs; guides FY22 revs in-line

    • Adient (ADNT) beats by $0.01, beats on revs; lowers FY23 revs below consensus

    • Adtalem Global Education (ATGE) beats by $0.13, reports revs in-line; reaffirms FY23 EPS guidance, revs guidance

    • Air Lease (AL) beats by $0.05, misses on revs; increases quarterly dividend 8.1% to $0.20/share

    • Air Transport Services Group (ATSG) beats by $0.03, reports revs in-line

    • Allscripts Healthcare (MDRX) beats by $0.04, reports revs in-line

    • Alpha and Omega Semi (AOSL) misses by $0.01, reports revs in-line; guides Q2 revs below consensus

    • Altair Engineering (ALTR) reports Q3 (Sep) results, beats on revs; guides Q4 revs in-line

    • Ameren (AEE) beats by $0.02, beats on revs; guides FY22 EPS in-line

    • Americold Realty Trust (COLD) beats by $0.06, misses on revs; guides FY22 FFO above consensus

    • Amgen (AMGN) beats by $0.25, beats on revs; guides FY22 EPS in-line, revs in-line

    • AMN Healthcare (AMN) beats by $0.17, beats on revs; guides Q4 revs above consensus

    • Appian (APPN) misses by $0.20, beats on revs; guides Q4 EPS below consensus, revs below consensus

    • Atlassian (TEAM) misses by $0.02, reports revs in-line; guides Q2 revs below consensus

    • AvalonBay (AVB) misses by $0.03; guides Q4 core FFO mostly below consensus; guides FY22 core FFO below consensus

    • Beacon Roofing Supply (BECN) misses by $0.12, beats on revs

    • BigCommerce (BIGC) beats by $0.06, beats on revs; guides Q4 revs below consensus

    • Bill.com(BILL) beats by $0.08, beats on revs; guides Q2 EPS above consensus, revs above consensus; guides FY23 EPS above consensus, revs above consensus

    • BlackLine (BL) beats by $0.12, reports revs in-line; guides Q4 EPS above consensus, revs below consensus

    • Block (SQ) beats by $0.19, beats on revs

    • Bloom Energy (BE) misses by $0.11, beats on revs; reaffirms FY22 revs guidance

    • Brigham Minerals (MNRL) reports EPS in-line, beats on revs

    • Cable ONE (CABO) misses by $1.08, misses on revs

    • Cardinal Health (CAH) beats by $0.23, beats on revs; guides FY23 EPS in-line

    • CareDx (CDNA) beats by $0.08, misses on revs; lowers FY22 revs guidance

    • Carvana (CVNA) misses by $0.70, misses on revs

    • Cboe Global Markets (CBOE) beats by $0.09, reports revs in-line

    • Celanese (CE) misses by $0.03, beats on revs; guides Q4 EPS below consensus

    • Chuy's (CHUY) beats by $0.06, beats on revs

    • Cinemark (CNK) misses by $0.06, beats on revs

    • Cloudflare (NET) beats by $0.06, beats on revs; guides Q4 EPS above consensus, revs in-line

    • Codexis (CDXS) beats by $0.01, beats on revs; reaffirms FY22 revs guidance

    • Cognex (CGNX) beats by $0.05, beats on revs; guides Q4 revs above consensus, also increases quarterly dividend

    • Coinbase Global (COIN) misses by $0.96, misses on revs, MTUs fell 16.4% yr/yr to 8.5 mln; provides FY23 commentary: pressure on transaction revs to persist

    • Collegium Pharmaceutical (COLL) beats by $1.24, beats on revs; guides FY22 revs in-line

    • Compass Diversified (CODI) reports Q3 (Sep) results, beats on revs

    • Con Edison (ED) beats by $0.17; guides FY22 EPS in-line

    • Corcept Therapeutics (CORT) beats by $0.01, misses on revs

    • Corsair Gaming (CRSR) beats by $0.06, beats on revs; guides FY22 revs below consensus

    • Coterra Energy (CTRA) beats by $0.03, beats on revs; announces dividend

    • Cryoport (CYRX) reports EPS in-line, misses on revs; guides FY22 revs below consensus

    • Cushman & Wakefield (CWK) misses by $0.11, beats on revs

    • Cutera (CUTR) reports EPS in-line, revs in-line; guides FY22 revs above consensus

    • Definitive Healthcare (DH) beats by $0.01, misses on revs; guides Q4 revs below consensus

    • Diamondrock Hospitality (DRH) beats by $0.02, beats on revs

    • DMC Global (BOOM) beats by $0.08, beats on revs; guides Q4 revs in-line

    • Dominion Energy (D) beats by $0.03, beats on revs; guides Q4 EPS below consensus; announced the promotion of Steven Ridge to senior VP and CFO succeeding James Chapman

    • DoorDash (DASH) reports Q3 results, beats on revs and beats on adjusted EBITDA

    • Douglas Emmett (DEI) reports FFO in-line, beats on revs; guides FY22 FFO in-line

    • DraftKings (DKNG) reports Q3 net loss; guides FY22 revs above consensus; guides FY23 revs in-line

    • Dropbox (DBX) beats by $0.05, reports revs in-line

    • Duke Energy (DUK) misses by $0.07, beats on revs; guides FY22 EPS below consensus; guides FY23 EPS in-line

    • DXC Technology (DXC) beats by $0.02, reports revs in-line; guides DecQ EPS and revs below consensus; reaffirms FY23 EPS guidance, guides FY23 revs below consensus

    • El Pollo Loco (LOCO) beats by $0.16, beats on revs

    • Enbridge (ENB) beats by $0.04; reaffirms FY22 EBITDA range

    • Envista (NVST) reports EPS in-line, revs in-line

    • EOG Resources (EOG) misses by $0.02, beats on revs

    • Essent Group (ESNT) beats by $0.15, beats on revs

    • Evergy (EVRG) beats by $0.12; raises FY22 EPS in-line; raises dividend

    • Exact Sciences (EXAS) beats by $0.21, beats on revs; guides FY22 revs above consensus

    • Expedia Group (EXPE) misses by $0.08, reports revs in-line

    • Fate Therapeutics (FATE) beats by $0.01, misses on revs

    • Federal Realty (FRT) beats by $0.06, beats on revs; raises FY22 FFO above consensus

    • Floor & Decor (FND) beats by $0.05, reports revs in-line; guides FY22 revs in-line

    • Fluor (FLR) misses by $0.35, beats on revs; guides Q4 EPS above consensus

    • Fox Factory Holding (FOXF) beats by $0.05, beats on revs; guides Q4 EPS, revs in-line

    • Franchise Group (FRG) misses by $0.10, beats on revs; guides FY22 EPS below consensus, reaffirms FY22 revs guidance; creating new Home Furnishings Division

    • Funko (FNKO) misses by $0.22, beats on revs; guides FY22 EPS below consensus, revs in-line

    • GoDaddy (GDDY) beats by $0.03, reports revs in-line; guides Q4 revs below consensus

    • GoPro (GPRO) beats by $0.03, beats on revs; guides Q4 EPS below consensus, revs below consensus

    • GrafTech International (EAF) reports EPS in-line, misses on revs

    • Guardant Health (GH) misses by $0.10, reports revs in-line; lowers FY22 revs below consensus

    • Hershey Foods (HSY) beats by $0.07, beats on revs; raises FY22 EPS, revs guidance

    • Horace Mann (HMN) misses by $0.06, misses on revs; lowers FY22 EPS guidance

    • Huntsman (HUN) reports EPS in-line, revs in-line

    • ICF International (ICFI) beats by $0.16, reports revs in-line; guides Q4 revs below consensus; guides FY22 EPS above consensus, revs in-line

    • Illumina (ILMN) beats by $0.04, reports revs in-line; guides FY22 EPS below consensus, revs below consensus

    • ImmunoGen (IMGN) misses by $0.06, beats on revs; guides FY22 revs in-line

    • Insulet (PODD) beats by $0.31, beats on revs; raises FY22 revs above consensus

    • Kratos Defense and Security (KTOS) beats by $0.02, reports revs in-line; guides Q4 revs below consensus

    • Laredo Petroleum (LPI) misses by $0.91, beats on revs

    • Lions Gate Entertainment (LGF.A) beats by $0.03, beats on revs

    • Live Nation (LYV) beats by $0.34, beats on revs

    • Magna (MGA) misses by $0.05, beats on revs; guides FY22 revs in-line

    • Malibu Boats (MBUU) beats by $0.01, beats on revs; guides FY23 revs in-line

    • MasTec (MTZ) beats by $0.06, misses on revs

    • Maxar Technologies (MAXR) reports Q3 (Sep) results, misses on revs

    • Microchip (MCHP) beats by $0.02, reports revs in-line; guides Q3 EPS, revs above consensus; increases dividend

    • MercadoLibre (MELI) beats by $0.07, misses on revs

    • Mettler-Toledo (MTD) beats by $0.35, beats on revs; guides Q4 EPS below consensus; guides FY22 EPS mostly below consensus; guides FY23 EPS in-line

    • Momentive Global (MNTV) reports EPS in-line, revs in-line; guides Q4 revs below consensus

    • Monster Beverage (MNST) reports EPS in-line, misses on revs; Board authorized $500 mln share repurchase program

    • Motorola Solutions (MSI) beats by $0.12, beats on revs; guides Q4 EPS in-line, revs above consensus; guides FY22 EPS in-line, revs above consensus

    • MP Materials (MP) beats by $0.06, beats on revs

    • National Fuel Gas (NFG) misses by $0.04, misses on revs; cuts FY23 EPS guidance

    • Noodles & Co (NDLS) misses by $0.01, beats on revs; guides Q4 revs in-line

    • Opendoor Technologies (OPEN) misses by $0.94, beats on revs; guides Q4 revs below consensus

    • Open Lending (LPRO) beats by $0.04, beats on revs; guides FY22 revs in-line

    • Orion Engineered Carbons (OEC) beats by $0.03, beats on revs; guides FY22 EPS below consensus; expects to achieve significant EBITDA growth in FY23

    • OUTFRONT Media (OUT) misses by $0.03, reports revs in-line

    • Paylocity (PCTY) beats by $0.34, beats on revs; guides Q2 revs above consensus; guides FY23 revs above consensus

    • PayPal (PYPL) beats by $0.12, reports revs in-line; guides Q4 EPS in-line, revs below consensus

    • Penumbra (PEN) reports EPS in-line, revs in-line; cuts FY22 revs guidance; guides FY23 revs in-line

    • Phillips Edison & Company (PECO) beats by $0.04, beats on revs; guides FY22 FFO above consensus

    • Playa Hotels & Resorts (PLYA) misses by $0.02, beats on revs

    • PNM Resources (PNM) beats by $0.50, beats on revs; raises FY22 EPS above consensus; reaffirms FY23 EPS guidance

    • PRA Group (PRAA) beats by $0.17, beats on revs

    • Progyny (PGNY) beats by $0.10, beats on revs; guides Q4 EPS in-line, revs below consensus

    • Quaker Chemical (KWR) beats by $0.29, beats on revs

    • Regency Centers (REG) beats by $0.05; guides FY22 FFO above consensus

    • RE/MAX Holdings (RMAX) misses by $0.04, reports revs in-line; guides Q4 revs below consensus

    • Reinsurance Group of America (RGA) beats by $2.20, beats on revs

    • Rocket Companies (RKT) misses by $0.05, beats on revs; approves renewal and extension of its $1.0 bln repurchase program

    • Sangamo Therapeutics (SGMO) beats by $0.02, misses on revs

    • Schrodinger (SDGR) beats by $0.11, beats on revs; narrows FY22 revs in-line

    • Select Medical (SEM) misses by $0.24, reports revs in-line; also announces $1 ln share repurchase auth

    • Skyworks (SWKS) beats by $0.12, reports revs in-line; guides Q1 EPS below consensus, revs below consensus

    • SM Energy (SM) beats by $0.05, beats on revs

    • Sprout Social (SPT) beats by $0.02, reports revs in-line; guides Q4 EPS below consensus, revs in-line

    • SPX Corp (SPXC) beats by $0.15, beats on revs; raises FY22 EPS above consensus, revs above consensus

    • Starbucks (SBUX) beats by $0.09, beats on revs, global comps +7%; U.S. comps +11%; China comps -16%

    • Stem (STEM) misses by $0.04, beats on revs; reaffirms FY22 revs guidance

    • Synaptics (SYNA) beats by $0.22, reports revs in-line; guides Q2 revs below consensus

    • Telus (TU) beats by $0.01, reports revs in-line; lowers FY22 revs below consensus

    • TimkenSteel (TMST) misses by $0.34, reports revs in-line; Q4 shipments to be negatively impacted and slightly lower sequentially

    • Topgolf Callaway Brands (MODG) beats by $0.01, beats on revs; raises FY22 revs above consensus

    • TPI Composites (TPIC) misses by $0.11, misses on revs

    • Trupanion (TRUP) misses by $0.04, beats on revs

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

    • Universal Display (OLED) beats by $0.12, beats on revs; reaffirms FY22revs guidance

    • Upland Software (UPLD) beats by $0.09, beats on revs; guides Q4 revs in-line

    • US Cellular (USM) reports Q3 (Sep) results, beats on revs

    • Viavi (VIAV) reports EPS in-line, misses on revs; guides Q2 EPS, revs below consensus

    • Virgin Galactic (SPCE) misses by $0.14, beats on revs

    • Ventas (VTR) reports FFO in-line, revs in-line; guides Q4 FFO in-line

    • Warner Bros. Discovery (WBD) reports Q3 (Sep) results, misses on revs

    • W.P. Carey (WPC) beats by $0.10, beats on revs; guides FY22FFO above consensus

    • WW (WW) reports Q3 (Sep) results, misses on revs; guides FY22revs below consensus

    • Yelp (YELP) misses by $0.04, reports revs in-line; narrows FY22guidance; authorizes $250 mln increase to stock repurchase program

  • News:

    • G7 agrees to fixed price for Russian oil, according toReuters

    • China aiming to end plan that penalizes airlines for bringing in coronavirus cases, according to Bloomberg

    • White House announced $1.5 billion under the President Biden's Inflation Reduction Act to build and upgrade America's national laboratories and advance American leadership in science, research, and innovation

    • Aecom Tech (ACM) joint venture to provide engineering and project management services for the Glassboro-Camden Line Light Rail project

    • Apellis Pharmaceuticals (APLS) to submit the 24-month efficacy data from the Phase 3 DERBY and OAKS studies as part of its NDA application for intravitreal pegcetacoplan for the treatment of geographic atrophy (GA) secondary to age-related macular degeneration

    • Apple (AAPL): Pegatron begins production of Apple iPhones in India, according to Bloomberg

    • Cellectis (CLLS) announces the release of two abstracts, which were accepted for presentation at the 64th American Society of Hematology Annual Meeting

    • Exxon (XOM) mulling sale of unused office space at Houston campus, according to the Wall Street Journal

    • General Mills (GIS) and Pfizer (PFE) among cos pausing Twitter ad, according to Wall Street Journal

    • Granite Constr (GVA) has been awarded an ~$30 mln dollar construction contract for various Design-Build improvements at East Tongue Point near Astoria, Oregon

    • Ionis Pharma (IONS) announces "positive"results from fesomersen development program

    • John B. Sanfilippo & Son (JBSS) declares $1.00 special cash dividend

    • NGM Biopharmaceuticals (NGM) presents findings from post-hoc analyses of its randomized, double-masked, sham-controlled CATALINA Phase 2 trial of NGM621 in patients with GA secondary to AMD

    • Pfizer (PFE) and BioNTech (BNTX) report updated Phase 2/3 clinical trial data demonstrating a robust neutralizing immune response one-month after a 30-g booster dose of Omicron BA.4/BA.5-adapted bivalent COVID-19 vaccine

    • Privia Health (PRVA) announces a joint venture and strategic partnership with Novant Health Enterprises to launch Privia Medical Group - North Carolina to bring support and resources to independent providers throughout the state

    • Rocket Lab USA (RKLB) selected by Inmarsat Government as partner to develop and manufacture an L-band radio in support of NASA's $278.5 mln Communications Services Project

    • Sanofi (SNY) and AstraZeneca (AZN) receives European Commission approval for Beyfortus

    • Universal Corp (UVV) has approved a program for the repurchase of up to $100 mln of Universal Corporation shares of common stock

  • M&A:

    • Bill.com(BILL) has signed a definitive agreement to acquire Finmark; financial terms were not disclosed

    • Kimbell Royalty Partners (KRP) to acquire mineral and royalty interests held by Hatch Royalty in a cash and unit transaction valued at ~$290 million

    • Lowe's (LOW) to sell its Canadian retail business to Sycamore Partners for $400 million in cash and performance-based deferred consideration, reaffirms FY 22 outlook

    • Trupanion (TRUP) to acquire Royal Blue s.r.o, the parent company of PetExpert, a pet insurance provider in the Czech Republic and Slovakia; terms not disclosed

  • Syndicate

    • IGM Biosciences (IGMS) files $400 mln mixed securities shelf offering

    • Kimbell Royalty Partners (KRP) commences 5 mln common stock offering

    • Magnolia Oil & Gas (MGY) proposes 7.5 mln common stock offering by selling stockholders

    • Pulmonx (LUNG) files $200 mln mixed securities shelf offering

    • VICI Properties (VICI) prices offering of 16.5 mln shares of common stock for gross proceeds of $509.9 mln

  • IPOs:

    • Expect to Price: No IPOs expected.

Gapping Up/Down

  • Gapping up:

    • TMDX +19.6%, XPEV +19.5%, SQ +14.5%, PODD+12.8%, DASH +12%, CUTR +11.9%, VIR +10.1%, MCHP +9.5%, COIN +8.2%, OLED +7.8%, UPLD+7.7%, ACI +7.6%, BE +7.4%, PGNY +6.6%, EXAS+6.5%, DXC +6%, MELI +6%, RKLB +5.9%, STEM+5.4%, PBA +5.1%, NVST +4.9%, CVT +4.9%, IOVA+4.8%, MP +4.7%, CGNX +4.6%, CYTK +4.4%, MTZ+4.1%, MNTV +3.8%, NKLA +3.7%, SPCE +3.7%, SBUX +3.6%, MODG +3.3%, MNST +3.3%, CDXS +3%, CODI +2.9%, DOUG +2.7%, PBR +2.5%, BECN +2.2%, UVV +2.1%, BOOM +2.1%, PLYA +2.1%, EXPE +2.1%, ALGN +2%, NKTR +2%, DBX +1.9%, ARKK +1.8%, FRT +1.6%, IHRT +1.6%, AOSL +1.5%, CTVA +1.5%, CRSR +1.3%, VTR +1.1%, EOG +1%, MSI +1%

  • Gapping down:

    • FNKO -35.5%, TEAM -27%, TWLO -23.7%, CYRX-22.6%, SEM -17.4%, VIAV -16.8%, APLS -16.7%, APPN -15.1%, DH -13.2%, KTOS -13%, TRUP -11.4%, NET -11.3%, BIGC -9.9%, FRG -9.8%, USM -9.2%, KRP -8.3%, CDNA -7.5%, PYPL -7%, LUNG -6.8%, CVNA -6.7%, LASR -6.5%, OTEX -6.3%, CABO -6.3%, HRT -5.8%, GSAT -5.5%, TPIC -5.5%, YELP -5.3%, CE -5.2%, NGM -5%, CWK -5%, MNRL -5%, ADPT-4.9%, TMST -4.9%, RMAX -4.7%, OUT -4.7%, GPRO-4.6%, PEN -4.5%, SYNH -4.4%, CORT -4.1%, RKT-4%, WBD -3.9%, FND -3.9%, ILMN -3.7%, VICI-3.4%, SDGR -3.2%, SYNA -3.1%, RLAY -3.1%, DNLI-3%, AEE -3%, COLD -2.9%, NFG -2.8%, OPEN-2.6%, GDDY -2.3%, HUN -2.2%, LPRO -2.1%, TEVA-1.9%, STEP -1.6%, MED -1.5%, LGF.A -1.5%, FATE-1.3%, GWH -1.2%, AMN -1.2%, MGY -1.1%, ALKT-1%, FOXF -1%, AMRX -1%

 


Analyst Research (see Upgrades/Downgradescalendarfor full list):

  • Upgrades

    • Advanced Energy (AEIS) upgraded to Buy from Neutral at Citigroup; tgt lowered to $95

    • Coherent (COHR) upgraded to Buy from Neutral at Citigroup; tgt lowered to $52

    • Cohu (COHU) upgraded to Buy from Neutral at Citigroup; tgt raised to $45

    • Karyopharm Therapeutics (KPTI) upgraded to Outperform from Sector Perform at RBC Capital Mkts; tgt raised to $10

    • Penumbra (PEN) upgraded to Buy from Neutral at Citigroup; tgt lowered to $212

  • Downgrades:

    • ACADIA Pharmaceuticals (ACAD) downgraded to Sell from Neutral at Goldman; tgt lowered to $12

    • Arconic (ARNC) downgraded to Hold from Buy at Deutsche Bank; tgt lowered to $22

    • Aurinia Pharma (AUPH) downgraded to Perform from Outperform at Oppenheimer

    • BigCommerce (BIGC) downgraded to Hold from Buy at Truist; tgt $13

    • C4 Therapeutics (CCCC) downgraded to Neutral from Overweight at JP Morgan; tgt lowered to $15

    • EchoStar (SATS) downgraded to Outperform from Strong Buy at Raymond James; tgt lowered to $27

    • Fidelity Nat'l Info (FIS) downgraded to Perform from Outperform at Oppenheimer

    • Frontdoor (FTDR) downgraded to Mkt Perform from Outperform at Raymond James

    • Funko (FNKO) downgraded to Neutral from Overweight at JP Morgan; tgt lowered to $16

    • GoPro (GPRO) downgraded to Neutral from Overweight at JP Morgan; tgt lowered to $6

    • HireRight Holdings (HRT) downgraded to Sector Perform from Outperform at RBC Capital Mkts; tgt lowered to $12

    • MKS Instruments (MKSI) downgraded to Hold from Buy at The Benchmark Company

    • Prothena (PRTA) downgraded to Sector Perform from Outperform at RBC Capital Mkts; tgt raised to $55

    • Spirit Aerosystems (SPR) downgraded to Neutral from Outperform at Robert W. Baird; tgt lowered to $29

  • Others:

    • Allscripts Healthcare (MDRX) assumed with an Overweight at Piper Sandler; tgt $17

Upcoming Events:

  • Econ Data:

    • 08:30 ET: Nonfarm Payrolls for Oct (Briefing.comConsensus 220K; Prior 263K)

    • 08:30 ET: Nonfarm Private Payrolls for Oct (Briefing.comConsensus 225K; Prior 288K)

    • 08:30 ET: Avg. Hourly Earnings for Oct (Briefing.comConsensus 0.3%; Prior 0.3%

    • 08:30 ET: Unemployment Rate for Oct (Briefing.comConsensus 3.61%; Prior 3.5%)

    • 08:30 ET: Average Workweek for Oct (Briefing.comConsensus 34.5; Prior 34.5)

  • Earnings

    • Monday (Oct 31)

      • Morning:  CNA GPN HWM NSP JELD ON PEG SAIA XPO

      • Afternoon: ACHC ADUS AFL AWK AMKR ANET CAR AXNX NTB BCC CHE CINF CIVI CNO PLOW FLS GT HLIT HTLF HLF HOLX IMAX KMT KFRC LSCC LEG VAC NXPI OGS OTTR PSMT RMBS RRX RHP SBAC SON SYK TREX VRNS VNO WMB

    • Tuesday (Nov 1)

      • Morning: ABMD AJRD AGCO AME ARCB ARNC AVA TECH BCOR BPMC BP CTLT CNP CIGI CVLT DEA ETN ECL ECVT LLY NPO EPD ETRN ESPR FOXA BEN IT HLNE HSC HAYW HSIC IDXX INCY ICPT IPGP KKR LCII LEA LDOS LGIH LPX MPC TAP MPLX MYGN NBIX NEM PFE PSX PBI PINC PACK RGEN SAFE STNG SEE SPG SIRI SOFI SUN SYY TRI BLD TRTN UBER WAB WAT WEC XYL ZBRA

      • Afternoon:  AEIS AMD ABNB AYX AIG ANDE APAM AMK AIZ ATCO ATRC BTG BAND BLKB BFAM BRX CZR CWH CDLX CAKE CHGG CHK CRUS CLX CRK CNDT CACC DENN DVN EIX EA ET EXEL EXR FMC FCPT FRPT FRSH HRB THG PEAK HURN INSP INST IRTC JRVR KAI KAR LFUS LTHM MGY MTCH MCK MRCY MSTR MIR MDLZ NMIH OI OKE OSPN PAYC PUMP PRO PRU PSA RNR REZI SPNE SCI SIMO TSLX SKY SNCY SMCI UNVR UNM VRSK VRAY VOYA WU YUMC ZETA ZI



Asia & Europe detail:

Asia: Nikkei -1.7%, Hang Seng +5.4%, Shanghaic Composite +2.4%

Equity indices in the Asia-Pacific region ended the week on a mostly higher note. Markets in Hong Kong and China outperformed amid reports that inspectors from the U.S. Public Company Accounting Oversight Board completed their work in China about two weeks ahead of schedule. South Korea's Defense Minister Lee said that North Korea appears to be preparing to conduct a nuclear test. China will purchase 140 aircraft from Airbus for about $17 bln. 

  • In economic data:

    • Japan's October Services PMI 53.2 (last 53.0)

    • Australia's September Retail Sales 0.6% m/m, as expected (last 0.6%). Q3 Retail Sales 0.2% qtr/qtr (expected 0.4%; last 1.0%). October AIG Construction Index 43.3 (last 46.5)

    • Singapore's September Retail Sales 3.3% m/m (last -1.2%); 11.2% yr/yr (last 13.3%)

---Equity Markets---

  • Japan's Nikkei: -1.7% (+0.4% for the week)

  • Hong Kong's Hang Seng: +5.4% (+8.7% for the week)

  • China's Shanghai Composite: +2.4% (+5.3% for the week)

  • India's Sensex: +0.2% (+1.7% for the week)

  • South Korea's Kospi: +0.8% (+3.5% for the week)

  • Australia's ASX All Ordinaries: +0.6% (+1.7% for the week)

---FX---

  • USD/JPY: -0.3% to 147.75

  • USD/CNH: -1.2% to 7.2419

  • USD/INR: -0.5% to 82.30

Europe: DAX +1.8%, FTSE +1.4%, CAC +2.3%

Major European indices are looking for a higher finish to the week. Final October Services PMI readings from Italy, Spain, and Germany improved, but remained in contractionary territory. European Central Bank President Lagarde repeated that inflation is too high, and that the ECB has a long way to go with its rate hikes. The Italian government is reportedly looking to spend more than EUR15 bln in its 2023 budget to offset high energy costs. Bank of England Chief Economist Pill said that a slowdown in the domestic economy is needed to contain inflation.

  • In economic data:

    • Eurozone's September PPI 1.6% m/m (expected 1.7%; last 5.0%); 41.9% yr/yr (expected 42.0%; last 43.4%). October Services PMI 48.6 (expected 48.2; last 48.8)

    • Germany's September Factory Orders -4.0% m/m (expected -0.5%; last -2.0%). October Services PMI 46.5 (expected 44.9; last 45.0)

    • U.K.'s October Construction PMI 53.2 (expected 50.5; last 52.3)

    • France's September Industrial Production -0.8% m/m (expected -1.0%; last 2.7%). October Services PMI 51.7 (expected 51.3; last 52.9)

    • Italy's October Services PMI 46.4 (expected 48.5; last 48.8)

    • Spain's September Industrial Production 3.6% yr/yr (expected 3.7%; last 5.2%). October Services PMI 49.7 (expected 48.3; last 48.5)

---Equity Markets---

  • STOXX Europe 600: +1.4% (+1.1% week-to-date)

  • Germany's DAX: +1.8% (+0.9% week-to-date)

  • U.K.'s FTSE 100: +1.4% (+3.4% week-to-date)

  • France's CAC 40: +2.3% (+1.8% week-to-date)

  • Italy's FTSE MIB: +1.1% (+1.9% week-to-date)

  • Spain's IBEX 35: +0.3% (-0.3% week-to-date)

---FX---

  • EUR/USD: +0.5% to 0.9800

  • GBP/USD: +0.4% to 1.1208

  • USD/CHF: -0.6% to 1.0068


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