Stansberry Research

Wednesday Morning Market Preview, Calendars

C. Scott GarlissStansberry NewsWire

Morning Market Preview:

S&P futures are higher, up 4 to 5 points, as…

  • Investors await the Department of Labor’s weekly jobless claims data as a real-time update on the tightness of the domestic labor market.
  • The Federal Reserve is scheduled to release the minutes of its most recent policy meeting later today, with Wall Street awaiting clues about the pace of interest rate hikes moving forward.
  • Federal Reserve Bank of Cleveland President Loretta Mester said long-term inflation expectations are well anchored but she’d like to see the labor supply increase.
  • Computer-hardware giant HP (HPQ) guided 2023 earnings and cash flow below analysts’ expectations, saying it will have to get rid of as many as 6,000 jobs due to slowing computer sales.

European markets are mixed as…

  • S&P Global’s preliminary composite Purchasing Managers’ Index (“PMI”) data for November nudged up from October and above estimates but still in contraction territory.
  • The European Commission proposed a price cap on natural gas that can be enacted when figures remain highly elevated for a couple of weeks, in an attempt to limit cost growth.
  • European Central Bank Governing Council member Gediminas Simkus said it must raise interest rates by at least 50 basis points at the December monetary-policy meeting.
  • European Central Bank Governing Council member Joachim Nagel said he’s open to raising interest rates by either 75 or 50 basis points at the December policy meeting.

Asian markets rose as…

  • The Reserve Bank of New Zealand raised its benchmark cash rate by 75 basis points to 4.25%, saying more rate hikes may be required to bring down inflation growth.
  • Singapore’s government forecast economic growth will fall from 3.5% this year to a range of 0.5% to 2.5% next year as exports slow on easing global demand.
  • Chinese COVID infections rose once more, increasing over Tuesday’s numbers, and stoking concerns city governments could widen restrictions to contain the infection’s spread.
  • Reserve Bank of Australia Governor Philip Lowe said its closely watching household spending and global economic developments as it considers the path of future rate hikes.

And ahead of…

  • Initial Jobless Claims (8:30 a.m.)
  • Continuing Claims (8:30 a.m.)
  • Preliminary Capital, Durable Goods Orders for October (8:30 a.m.)
  • S&P Global Preliminary Manufacturing, Services, Composite PMI for November (9:45 a.m.)
  • New Home Sales for October (10 a.m.)
  • Energy Information Administration Crude Oil Inventory Data (10:30 a.m.)
  • BOE’s Pill Speaks (2 p.m.)
  • FOMC Meeting Minutes (2 p.m.)

Pre-Market Levels:

S&P +0.11%

Asia:

Japan's Nikkei Closed, Japan's TOPIX Closed, China's Shanghai Composite +0.26%, Hong Kong Hang Seng Index +0.57%, South Korea's KOSPI +0.53%, Taiwan's TSE +0.46%

Europe:

EuroStoxx 50 +0.11%, UK FTSE +0.36%, German DAX -0.15%, French CAC +0.01%, Italian MIB -0.11%, Spanish IBEX -0.05%       

Currencies:

Dollar -0.07%, Japanese Yen +0.07%, Euro +0.19%, British Pound +0.43%, Swiss Franc -0.22%, Chinese Yuan +0.33%

Risk:

VIX +1.69%

Bitcoin +2.32%

Ethereum +3.73%

Growth:

WTI Crude -2.14%

Brent Crude -2.38%

Nat Gas +7.36%

Copper +0.14%

Safety:

Gold -0.07%

Silver +0.98%

Sovereign Bonds:

U.S. Treasury 10-yr yield +0.9 bps at 3.77%

U.S. Treasury 2-yr yield +1.6 bps at 4.53%

German 10-yr yield +1.3 bps at 1.99%

French 10-yr yield -1.0 bps at 2.45%

Italian 10-yr yield -3.9 bps at 3.88%

Japanese 10-yr yield -0.2 bps at 0.24%

Earnings:

ALOT, AVYA, CANB, DAKT, DE, NILE, and PURA before the open.

Calendar:

Australia - S&P Global Preliminary Manufacturing, Services, Composite PMI for November Taiwan – Industrial Production for October
France - S&P Global Preliminary Manufacturing, Services, Composite PMI for November (3:15 a.m.)
Germany - S&P Global Preliminary Manufacturing, Services, Composite PMI for November (3:30 a.m.)
ECB’s de Guindos Speaks (3:30 a.m.)
Eurozone - S&P Global Preliminary Manufacturing, Services, Composite PMI for November
(4 a.m.)
ECB’s Fernandez-Bollo Speaks (4 a.m.)
U.K. - S&P Global Preliminary Manufacturing, Services, Composite PMI for November (4:30 a.m.)
MBA Mortgage Applications (7 a.m.)
Initial Jobless Claims (8:30 a.m.)
Continuing Claims (8:30 a.m.)
Preliminary Capital, Durable Goods Orders for October (8:30 a.m.)
S&P Global Preliminary Manufacturing, Services, Composite PMI for November (9:45 a.m.)
New Home Sales for October (10 a.m.)
Energy Information Administration Crude Oil Inventory Data (10:30 a.m.)
BOE’s Pill Speaks (2 p.m.)
FOMC Meeting Minutes (2 p.m.)