Futures indicate a slightly lower open for the mkt following yesterday's surprise rally. Futures weakened after a preliminary read on Q2 productivity checked in at a lower than expected 1.8% (consensus 2.0%), while productivity figures over the last three years were revised lower. Investors appear to be showing some consternation ahead of today's Fed decision (14:15ET), which isn't expected to provide the easing bias that was partially priced into Monday's sizable advance. In earnings news, WYNN is gapping higher after the co's Q2 earnings beat handily.
Dow futures are currently -36;
Nasdaq futures are currently -6;
S&P futures are currently -2.9.
Notable pre-market
Calls include
Upgrades: IMB at Roth Capital, JASO at Needham, BHI, HAL, WFT, ESV, RIG and OIS at Calyon;
Downgrades: LUM at JMP Securities, Keefe Bruyette, Friedman Billings and UBS, CLWR at Pali Research and Stifel Nicolaus... On the
Earnings calendar, SAM and SNHY are confirmed to report sometime during trading hours. After the close, 73 cos are confirmed to report CSCO and TRLG... On the
Economic calendar, as mentioned above, the FOMC policy statement will be released at 14:15ET. Jun Consumer Credit (consensus $6.0 bln) will be released at 15:00ET.
Gapping up on strong earnings/guidance: ROAC +19.7%, MNT +10.9%, SHOO +10.6%, WYNN +10.2% (MPEL +8.0% in sympathy), ASEI +9.8%, MR +7.4%, NVTL +8.2%, BMC +7.4% (also upgraded at Bear Stearns), HEW +6.4%, QGEN +4.6%...
Other news: EPIX +8.4% (announces positive results from phase 2a clinical trial of 5-HT2B antagonist in patients with pulmonary hypertension), USAT +7.8% (co and Mastercard to expand PayPass rollout to another 7,500 locations), IMB +5.0% (upgraded to Hold at Roth Capital), ONXX +3.9% (Nexavar partner Bayer reported earnings), JASO +3.3% (upgraded to Buy at Needham).
Gapping up: SHOO +14.8%, WYNN +11.3%, MNT +10.4%, ASEI +9.8%, MR +9.4%, NVTL +8.8%, EPIX +8.4%, USAT +7.8%, HEW +6.4%, IMB +6.3%, ONXX +4.9%, MPEL +4.7%, QGEN +4.6%, JASO +4.5%, BMC +4.5%, LEND +3.9%...
Gapping down: HMY -12.0%, TMA -11.5%, RAS -11.5%, MVL -8.1%, CTRP -8.1%, JCOM -4.9%, CCOI -4.8%, DWA -4.6%, GFI -4.1%, LFC -3.9%, MT -2.6%, NUAN -1.7%, BAY -1.6%, QCOM -1.5%.
Courtesy of Briefing.com
On My Watch List - I don't plan to over trade heading into the FOMC this afternoon. We could get some extreme volatility after the statement given that many have high expectations for a credit crunch fix.
That said, I will focus on gappers. I like JCOM on th gapper list - longstanding PP support in the $32.00-32.20 area. If it gives way we could have a nice short. Also DWA gapping down and CSCO reporting earnings AH.
