Stansberry Research

Thursday Morning Market Preview, Calendars

Stansberry NewsWire

Morning Market Preview:

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

  • The U.S. Bureau of Labor Statistics will release Consumer Price Index (“CPI”) growth figures for December later this morning, a key reading on the state of inflation.
  • Investors await weekly jobless claims data for an update on the health of the domestic economy and the tightness of the labor market.
  • Federal Reserve Bank of Boston President Lisa Cook said she would support raising interest rates by 25 basis points to 4.75% at the upcoming monetary policy meeting in February.
  • Former Federal Reserve Governor Alan Blinder warned it will be hesitant to declare victory on inflation but sees interest rate hikes ending soon with possible cuts starting in 2024.

European markets rose as…

  • The European Central Bank’s Economic Bulletin showed a less gloomy outlook for the region, but still expressed caution as it expects a recession with inflation remaining above 6% in 2023. 
  • European Central Bank Governing Council member Pablo Hernandez de Cos said he expects it to make significant interest rate hikes at the upcoming monetary policy meetings.
  • Russian President Vladimir Putin replaced his top military commander in Ukraine as troop morale is fading and dissension is said to be growing among his allies.
  • European Central Bank Governing Council member Olli Rehn said interest rates must rise significantly to achieve a level that will bring inflation growth back to the 2% target.

Asian markets gained as…

  • Chinese Consumer Price Index (“CPI”) growth for December was in-line with expectations, rising compared to November, but still remained below the five-year average of 2%.
  • The Bank of Japan was said to be preparing the economic fallout of “powerful easing” at next week’s monetary policy meeting, a sign it’s preparing to let interest rates rise further.
  • People’s Bank of China data showed domestic bank deposits were almost $6.6 trillion greater than loan balances at the end of 2022, the largest difference on record.
  • Japanese Foreign Minister Yoshimasa Hayashi and U.S. Secretary of State Antony Blinken discussed the importance of maintaining peace and stability in the Taiwan Strait.

And ahead of…

  • CPI for December (8:30 a.m.)
  • Continuing, Initial Jobless Claims (8:30 a.m.)
  • Hourly Earnings and Wage Data (Final) for December (8:30 a.m.)
  • Energy Information Administration Weekly Petroleum Inventories (11 a.m.)
  • BOE’s Mann Speaks (12 p.m.)
  • Treasury Budget for December (2 p.m.)

Pre-Market Levels:

S&P +0.13%

Asia:

Japan's Nikkei +0.01%, Japan's TOPIX +0.41%, China's Shanghai Composite +0.05%, Hong Kong Hang Seng Index +0.36%, South Korea's KOSPI +0.24%, Taiwan's TSE -0.13%

Europe:

EuroStoxx 50 +0.70%, UK FTSE +0.73%, German DAX +0.73%, French CAC +0.86%, Italian MIB +0.61%, Spanish IBEX +0.95%       

Currencies:

Dollar -0.25%, Japanese Yen -1.34%, Euro +0.06%, British Pound +0.07%, Swiss Franc +0.15%, Chinese Yuan -0.31%

Risk:

VIX +2.32%

Bitcoin +3.79%

Ethereum +3.98%

Growth:

WTI Crude +1.27%

Brent Crude +1.34%

Nat Gas +2.40%

Copper -0.38%

Safety:

Gold +0.52%

Silver +1.91%

Sovereign Bonds:

U.S. Treasury 10-yr yield -3.4 bps at 3.52%

U.S. Treasury 2-yr yield -0.2 bps at 4.23%

German 10-yr yield -5.6 bps at 2.13%

French 10-yr yield -6.2 bps at 2.62%

Italian 10-yr yield -7.5 bps at 3.97%

Japanese 10-yr yield unchanged at 0.50%

Earnings:

NTIC before the open.

RFIL, RMCF, ARTL, BKSC, CLSH, FROM, OMID, ORMP, RVIV, and WAFD after the close.

Calendar:

Australia – Exports, Imports for November
South Korea – Unemployment Rate for December

Japan – Bank Loans for December
China – CPI, PPI for December
China – Foreign Direct Investment for December
CPI for December (8:30 a.m.)
Continuing, Initial Jobless Claims (8:30 a.m.)
Hourly Earnings and Wage Data (Final) for December (8:30 a.m.)
Energy Information Administration Weekly Petroleum Inventories (11 a.m.)
BOE’s Mann Speaks (12 p.m.)
Treasury Budget for December (2 p.m.)