Press review - page 201

Sergey Golubev
Moderator
113476
Sergey Golubev  

Technical Setups For EUR/USD, USD/JPY, GBP/USD, AUD/USD - Credit Suisse (based on fxstreet article)

EUR/USD: EURUSD holds a bearish "wedge" and a “head & shoulders” top for 1.3374 initially, then 1.3248.

EURUSD continues to consolidate recent losses, and with minor resistance levels still as yet still unchallenged and a large bear "wedge" pattern and now also "head & shoulders" top in place, we stay directly bearish. We look for further weakness to 1.3399 initially, then the 50% retracement of the 2013/14 rise at 1.3374. We allow for a bounce here ahead of our target at 1.3248/28 – the 38.2% retracement of the entire 2012/2014 uptrend. While we would expect this to hold at first, bigger picture, we see scope for 1.2755.

Resistance shows at 1.3486/95 initially, above which can see a move back to 1.3531, with 1.3550/53 ideally capping to keep the immediate risk lower.

Technical Setups For EUR/USD, USD/JPY, GBP/USD, AUD/USD - Credit Suisse
Technical Setups For EUR/USD, USD/JPY, GBP/USD, AUD/USD - Credit Suisse
  • 2014.07.28
  • www.fxstreet.com
The following are the latest technical setups for EUR/USD, USD/JPY, GBP/USD, and AUD/USD as provided by the technical strategy team at Credit Suisse. EUR/USD: EURUSD holds a bearish "wedge" and a “head & shoulders” top for 1.3374 initially, then 1.3248. EURUSD continues to consolidate recent losses, and with minor resistance levels still as yet still unchallenged and a large bear "wedge" pattern and now also "head & shoulders" top in place, we stay directly bearish. We look for further
Sergey Golubev
Moderator
113476
Sergey Golubev  

Technical Setups For AUD/USD - Credit Suisse (based on fxstreet article)

AUD/USD: Price support at .9380 ideally holds to keep the immediate risk higher.

AUDUSD has staged a reversal lower, but while still holding above .9380, the immediate risk can stay higher for a move back to the .9472 recent high. Above here can then see a challenge of the 2014 high at .9506 where we would expect to find a ceiling. However, a direct extension of strength can see a move towards the 38.2% retracement of the decline from 2011/2014 at .9584, with better sellers expected here.

Immediate support shows at .9380. A break below here is needed to ease the immediate upside bias, for weakness back to .9322/18.

Sergey Golubev
Moderator
113476
Sergey Golubev  

Mondays EURUSD Reversal Range (based on dailyfx article)

  • EURUSD Hovers Near Central Pivot
  • Range Resistance Sits at 1.3445
  • Price Below S4 Signals a Trend Continuation


The EURUSD has opened the trading week within a 30 pip trading range. Resistance, as marked above by the R3 camarilla pivot, resides at 1.3445. Support is currently held below at 1.3415 as marked by S3 support. Range traders will look to take advantage of prices reversals inside of the range as the EURUSD drifts towards either of these pre-defined values.


Sergey Golubev
Moderator
113476
Sergey Golubev  

AUDUSD – Stable Ahead of US Housing Data (based on marketpulse article)

The Australian dollar often takes its riders on roller coaster rides, but AUD/USD has been unusually subdued, with little movement since early June. Strong US numbers have not translated into gains for the US dollar, as the Aussie continues to trade at high levels and the occasional jab buy the RBA that the Aussie is overvalued has failed to push the currency to lower levels. This week's key events out of Australia are Building Approvals and PPI, and unexpected readings could shake up AUD/USD.

The US ended the week on a high note, courtesy of strong data from the manufacturing sector. Core Durable Goods Orders jumped 0.8%, beating the estimate of 0.6%, and rebounding nicely from a decline of 0.1% in May. Durable Goods Orders followed suit, posting a gain of 0.7%, compared to a weak reading of -1.0% last month. This easily surpassed the estimate of 0.4%. Unemployment Claims tumbled last week, as the key indicator fell to 284 thousand, its lowest level since February 2008. This surprised the markets, which had expected a reading of 310 thousand. The strong release continues a string of solid employment data, which has helped the dollar. As well, positive news on the employment front is bound to increase speculation about a rate increase by the Federal Reserve.

  • AUD/USD dipped lower in the Asian session, but reversed directions in the European session, moving above the 0.94 line.
  • 0.9361 is providing support.
  • 0.9446 is an immediate resistance line. This is followed by strong resistance at 0.9617.

Further levels in both directions:

  • Below: 0.9361, 0.9229, 0.9119 and 0.9000
  • Above: 0.9446, 0.9617, 0.9757 and 0.9842
Sergey Golubev
Moderator
113476
Sergey Golubev  

EUR/USD firms on disappointing U.S. home sales data

In U.S. trading, EUR/USD was up 0.08% at 1.3440, up from a session low of 1.3427 and off a high of 1.3442.

The pair was likely to find support at 1.3421, Friday's low, and resistance at 1.3485, Thursday's high.

The dollar took a hit on Monday after the National Association of Realtors reported that U.S. pending home sales fell 1.1% in June, disappointing expectations for a 0.5% gain.

Sergey Golubev
Moderator
113476
Sergey Golubev  

What Could Make Or Break the Dollar This Week? (based on forexminute article)

Last week was a really good week to be a dollar bull. The currency gained against all of its major counterparts and even established new highs against some. EUR/USD is currently trading at its 8-month lows around 1.3430; GBP/USD tapped its 4-week lows around 1.6960; USD/CAD is at its 5-week highs above 1.08100.

However, the currency’s fate on the charts could quickly turn this week as the focus shifts back to the United States and the reports due out of the country. The following are the biggest event risks for USD-pairs in the next few days:

1. Q2 2014 Advance GDP

Price action should start to get interesting by Wednesday when the advance GDP report for the second quarter of 2014 is released. Due at 6:00 pm GMT, the report is anticipated to print at 3.1%.

Analysts expect a rebound from the weakness in economic growth that we saw in the first three months of the year because the weather has significantly improved and should not have hampered economic activity anymore in April to June.

2. FOMC Statement

Policymakers are then scheduled to take center stage with the Federal Open Market Committee (FOMC) statement. At 6:00 pm GMT on Wednesday, July 30, no changes to interest rates are expected to be announced.

The Federal Reserve has been notably optimistic about labor market conditions in its past few announcements. And so, market participants will be looking for traces of the central bank’s positivity in this week’s upcoming statement too. The lack of which may cause the dollar to give up ground against some of its counterparts.

3. NFP report for July

The jobs report for July is arguably the biggest market-mover for the dollar this week. On Friday, August 1, at 12:30 pm GMT, markets expect to see another month of strong job growth with the forecast up at 230,000 to follow the 288,000 reading that we saw for June.

Federal Reserve Chairman Janet Yellen as well as other key Fed policymakers have been vocal about how important the health of the labor market is in their future monetary policy decisions. And so, the release could once again spark volatility in the markets, like it usually does every month.

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1993
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UK Markets
United Kingdom - Ireland
BP released 2Q results: "Underlying replacement cost profit for 2Q2014 was $3.6B, 34% higher than the $2.7B reported for the same period in 2013 and 13% higher than the $3.2B result for 1Q2014. The Co also announced a quarterly dividend of 9.75 cents per ordinary share, the same level as the previous quarter but 8.3% higher than a year earlier. (...) BP's Upstream segment reported $4.7B underlying pre-tax replacement cost profit, compared with $4.3B a year earlier and $4.4B in 1Q2014. (...) The Downstream reported underlying pre-tax replacement cost profit of $0.7B, compared with $1.0B in the previous quarter and $1.2B for 2Q2013. (...) This operational momentum keeps us well on track to meet our 2014 targets and underpins our longer-term commitment to grow distributions to our shareholders. (...) Divestments with a cumulative value of $3.4B have now been agreed towards BP's expected total of $10B divestments agreed by the end of 2015."

St James's Place reported 1H results: "The new single investments of £3.92B in the first six months, represent a 21% increase, over the same period last year, with client's continuing to invest pretty evenly across our life, pension and unit trust/ISA investment tax wrappers. (...) net inflows of £2.44B, up 23% on the previous year. (...) report a 7% growth in funds under management to £47.6B since the start of the year. (...) Whilst the IFRS (International Financial Reporting Standards) profit, before shareholder tax, was only marginally higher than last year at £82.4M (2013: £81.2M, excluding one-off items) the underlying post tax cash result, which the Board considers when setting the dividend, was some 17% higher at £78.5M (2013: £66.9M). (...) the Board have resolved to increase the interim dividend at the top end of this range with a 40% increase to 8.93p."

GKN posted 1H results: "Sales (of £3.8B) increased 6% organically, but 1% lower after £247 million currency translation impact (...) Management profit before tax was £296M (2013: £278M). Profit before tax on a statutory basis was £224M (2013: £127M, restated for a hindsight fair value adjustment). (...) Management earnings per share was 14.4p (2013: 13.8p). On a statutory basis earnings per share was 11.2p (2013: 5.5p, restated for a hindsight fair value adjustment). (...) the Board has decided to pay an interim dividend of 2.8p per share (2013: 2.6p), an increase of 8%."

Wm Morrison Supermarkets announced that Andrew Higginson will succeed Sir Ian Gibson as chairman in 2015, pointing out: "Andrew is currently the Chairman of Poundland Plc and N Brown Group Plc and senior independent director of BSkyB Plc. Prior to that he served as an Executive Director at Tesco Plc for 15 years."

Babcock International Bill Tame currently the Co's finance director, will become CEO of the Group's enlarged International division, while Franco Martinelli, currently financial controller, will become the Co's finance director.

Elementis, Informa, Drax Group Brammer: 1H results expected.

Domino's Pizza Group, Tullett Prebon Jardine Lloyd Thompson Group: 1H results expected.

Technology chemicals and retail shares fell most in London on Monday.

Banks: HSBC (+1.48% to 630.9p) reached a new 3-month relative high against the FTSE 100.

Industrial Goods & Services:Electrocomponents (-0.72% to 233.1p), Wolseley (-0.95% to 3116p), Imi Plc (-1.4% to 1412p), Michael Page International (-1.89% to 421.4p) and Royal Mail (-2.52% to 430p) closed at a 3-month relative low against the FTSE 100.

Retail: Sports Direct International (-0.79% to 688.5p), Home Retail (-2.64% to 165.7p) and Kingfisher (-2.89% to 295.8p) reached a new 3-month relative low against the FTSE 100.

Stock/Benchmark ratio(s) 50D MA cross over: Ashmore Group (+0.75% to 362.7p), BSkyB (+3.43% to 904.5p), Reckitt Benckiser (+2.66% to 5205p), Rightmove (+1.75% to 2208p)

Stock/Benchmark ratio(s) 50D MA cross under: Aberdeen Asset Mgmt (-5.31% to 435p), Hiscox Ltd (-2.78% to 683p), Informa (-1.09% to 490.6p), Persimmon (-0.86% to 1269p), Ultra Electronics Holdings (-1.37% to 1800p).

Stock(s) 50D MA cross over: Ashmore Group (+0.75% to 362.7p), BSkyB (+3.43% to 904.5p), Reckitt Benckiser (+2.66% to 5205p), Rightmove (+1.75% to 2208p)

Stock(s) 50D MA cross under: Aberdeen Asset Mgmt (-5.31% to 435p), Hiscox Ltd (-2.78% to 683p), Informa (-1.09% to 490.6p), Smith & Nephew (-2.27% to 1033p).
Latest broker recommendations
Aberdeen Asset Management was downgraded to "cut" from "hold" at Societe Generale.

Admiral Group was downgraded to "underweight" from "equalweight" at Morgan Stanley.

BTG was upgraded to "buy" from "hold" at Jefferies.

 

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1993
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European Markets
Germany / Austria
ECB: Publication of the Euro area economic and financial developments by institutional sector, 10 a.m. CET. Publication of the Consolidated Financial Statement of the Eurosystem, 3 p.m. CET

Deutsche Bank reported 2Q net income fell to E238M from E338M in the previous year, while pre-tax income was up 16% YoY to E917M. The Bank pointed out: "The effective tax rate of 74% was mainly impacted by expenses, such as litigation, that are not deductible for tax purposes and income taxes of prior periods. (...) Group provision for credit losses declined 47% in 2Q2014 to E250M compared to 2Q2013. This reduction reflects lower provisioning in NCOU (Non-Core Operations Unit), good credit quality in the German retail portfolio and the non-recurrence of large single items in 2Q2013. (...) Group noninterest expenses fell 4% from 2Q2013 to E6.7B. (...) Group income before income taxes was E917M in 2Q2014, 16% higher than 2Q2013, as the decline in revenues was offset by the aforementioned decline in costs and lower provision for credit losses."

Commerzbank may cut an additional 450 jobs apart from the 5,200 already announced, reported Reuters citing sources familiar with the matter.

Linde reported 1H net income of E624M, down from E660M in the previous year, and operating profit down 3.6% YoY to E1.9B on revenue of E8.2B, flat compared to the previous year (+5.6% adjusted for exchange rate effects).

QIAGEN, Aixtron SE Puma: 2Q results expected.

Automobiles & Parts: Volkswagen (-2.17% to E176.1), Daimler (-3.18% to E63.08) and Porsche Automobil (-3.51% to E70.91) reached a new 3-month relative low against the Dax.

Health Care: Merck KGaA (+1.29% to E65.21) closed at a 3-month relative high against the Dax.

Personal & Household Goods: Adidas (-1.75% to E70) reached a new 3-month relative low against the Dax.

Telecommunications: Freenet (-6.11% to E19.2) reached a new 3-month relative low against the Dax.

Banks: Raiffeisen Bank International (-2.82% to E21.2) reached a new 3-month relative low against the ATX.

DE - Stock(s) 50D MA cross under: BMW (-2.22% to E92.21), Deutsche Wohnen (-0.96% to E15.98), Hannover Re (-0.79% to E65.23).
France
Renault reported that 1H net income surged to E749M from E39M in the prior year and operating profit increased to E729M from E583M on revenue of E19.8B, down 3.0%. The Co said: "In the first half, trends in Group's key markets were contrasted. While its main emerging markets were slowing down, the European market recovery was stronger than foreseen. In this still uncertain environment, the Group expects a continuing decline in the market of its emerging countries, but upgrades its 2014 expectations for the European market at +3% to 4% from +2% to 3% previously. (...) Renault confirms its guidance: increase registrations and Group revenues (at constant exchange rates), improve Group operating profit and that of the Automotive division, achieve positive Automotive operational free cash flow."

Casino reported 1H underlying net income of E176M, down from E193M in the previous year, trading profit of E880M vs E894M and EBITDA of E1.35B vs E1.38B on sales of E23.2B, down 1.9%. The Co confirmed its targets for 2014: "A return to positive organic sales growth in France; Continued strong organic sales growth internationally; Further trading profit growth in organic terms; Continued improvement in the financial structure."

Michelin posted 1H net income up 23% YoY to E624M and operating income before non-recurring items flat at E1.2B (+16% at constant scope of consolidation and exchange rates) on sales of E9.7B, down 5%. The Co said: "In 2H, global demand for Car and Light truck and Truck tires should remain supportive in the mature markets and China. On the other hand, the other new markets are seeing a slowdown, (...) Michelin is maintaining its view that volumes will increase by around 3%, in line with projected 2014 market growth. The Group is confirming its objectives of i) higher operating income before non-recurring items (at constant exchange rates)."

Faurecia said 1H net income surged to E88M from E35M in the prior year and operating income was up 21.2% YoY to E311M on sales of E9.3B, up 0.7% (+4.0% at constant exchange rates and scope). The Co said: "The Group is revising its operating margin guidance upward for the 2014 fiscal year. Faurecia now anticipates the following for fiscal 2014: an increase in sales of between 2% and 4% (at constant exchange rates); growth in operating margin of between 30 and 60 basis points (compared with the previous forecast of "20 to 50 basis points" announced on February 12, 2014)."

Orange posted 2Q restated EBITDA of E3.12B vs E3.09B expected on revenue of E9.8B (as expected). The Co confirmed its 2014 targets.

Atos reported 1H results: "Revenue was E4.18B, representing an organic evolution of -1.9% compared to the first half of 2013. Operating margin was E274.6M, representing 6.6% of revenue, an improvement of +20bps compared to the same period last year. (...) Net income Group share was E76M." The Co confirmed all 2014 objectives.

Teleperformance posted 1H net income up 7.3% YoY to E57M (EPS up 6.4% to E1.00) and EBITA before non-recurring items up 4.5% to E100M on revenue of E1.2B, up 4.1% YoY (+10.3% like-for-like). The Co has raised its FY14 like-for-like revenue growth target to over 7% from 5-7% previously and its EBITA margin target (before non-recurring items) to over 9.7% from 9.5-9.7% previously.

Eiffage announced sales down 4.1% YoY to E3.5B in 2Q and down 0.2% (-1.7% like-for-like) to E6.5B in 1H. The Co added: "The order book reached E12.3B on 1 July 2014. This represents an increase of 4.8% compared with 1 January 2014 (but a 1.5% over one year). (...) supporting the confirmation of slight increase in annual sales."

CFAO said 1H net income fell 23.0% YoY to E42M and recurring operating income dropped 9.1% to E124M on revenue of E1.8B, down 4.1%. The Co pointed out: "During the first six months, the automotive business was affected by a sharp contraction of the Algerian auto market and the gradual termination of some vehicle distribution agreements."

Fimalac reported that 1H consolidated revenue surged to E52M from E24M a year earlier, adding: "Fitch's revenue rose 4.8% on a reported basis and 4.4% like-for-like to E396.6M ($543.7M) in 1H2014."

Arkema announced the start-up of its new plant for the production of methyl acrylate on its Clear Lake site in Texas, saying that the investment "represents the last phase of a $110M investment plan intended to strengthen Arkema's rankings in the US acrylics market".

Worldline unveiled 1H OMDA (operating margin before depreciation and amortization) of E99M (vs E95.0M in the previous year at constant scope and exchange rates) on revenue of E556M, up 2.2% organic growth. The Co confirmed its 2014 objectives: 3-4% organic growth in revenue, improvement of 50 basis points in OMDA.

Altran Technologies: 2Q sales expected.

Industrial Goods & Services: Bolloré (+2.35% to E474.95) closed at a 3-month relative high against the Cac 40.

Media: Lagardère (-0.87% to E22.9) and TF1 (-2.1% to E11.21) reached a new 3-month relative low against the Cac 40.

Stock/Benchmark ratio(s) 50D MA cross under: Gecina (-1.32% to E101.05).

Stock(s) 50D MA cross over: Air Liquide (+0.75% to E98.35), Bolloré (+2.35% to E474.95), Vivendi (+1.3% to E18.67).
Benelux
Reed Elsevier said it has bought back 73.5K shares at E17.1292 per share on July 28.

Food & Beverage: AB InBev (-1.09% to E81.63) reached a new 3-month relative low against the BEL 20.

Industrial Goods & Services: Gemalto (-1.57% to E71.51) and TNT Express (-5.8% to E6.11) closed at a 3-month relative low against the AEX.

Stock/Benchmark ratio(s) 50D MA cross under: Aalberts Industries (-0.84% to E23.57), Boskalis Westminster (-0.76% to E40.73), TNT Express (-5.8% to E6.11).

BE - Stock(s) 50D MA cross over: Belgacom (+0.74% to E24.37)
Spain - Portugal - Greece
Banco Comercial Portugues reported 1H net loss of E62.2M vs a loss of E488.2M a year ago citing recovering profitability in Portugal and growing contribution of international activities.

Ferrovial posted 1H net income of E168.4M (vs E145M expected, E287.3M in the previous year) on net sales of E4.16B vs E3.73B a year ago. Meanwhile the Co announced a E350M share buyback program.

Jazztel generated 2Q net income of E25M (vs E19.2M expected) on revenue of E295M, up 15% YoY. The Co confirmed its 2014 objectives.

Jeronimo Martins: 1H results expected.

ES - Stock/Benchmark ratio(s) 50D MA cross over: Bankia (+1.31% to E1.47).

ES - Stock(s) 50D MA cross over: Bankia (+1.31% to E1.47)

Stock(s) 50D MA cross under: Ferrovial (-1.28% to E15.75)

PT - Stock(s) 50D MA cross over: Galp Energia (+2.6% to E13.44).
Italy
Generali said it would buy the remaining 24% stake in GPH, an eastern European JV formed with Czech group PPF, for E1.2B by January 2015.

S&P affirmed "BB-/B" ratings on Banco Popolare, outlook "Negative". The ratings agency pointed out: "The affirmation reflects our view that Banco Popolare's business and financial profiles remain consistent with our previous expectations."

Saipem, Snam Rete Gas Mediaset: 1H results expected.

Automobiles & Parts: Pirelli & C (-1.12% to E11.49) closed at a 3-month relative low against the FTSE MIB.

Banks: Banca Popolare dell'Emilia Romagna (-1.6% to E6.45) reached a new 3-month relative low against the FTSE MIB.

Industrial Goods & Services: CNH Industrial (-1.83% to E6.7) closed at a 3-month relative low against the FTSE MIB.

Stock/Benchmark ratio(s) 50D MA cross under: Banca Popolare Di Milano (-1.93% to E0.63).
Switzerland
UBS posted 2Q net income of SF792M (vs SF1.05B in the 1Q, SF690M in the prior-year quarter), saying: "Results in UBS’s wealth management businesses, Retail & Corporate and Global Asset Management were affected by charges for provisions for litigation, regulatory and similar matters, which totaled SF254M for the Group." The Bank added: "Wealth Management achieved an adjusted profit of SF684M on stronger recurring income driven by its strategic initiatives to grow mandate sales and lending. The business attracted very strong net new money at SF10.7B. Wealth Management Americas delivered record revenues, and invested assets passed $1T for the first time."

Health Care: Lonza Group (+2% to SF101.9) reached a new 3-month relative high against the SMI.

Technology: Logitech International (+1.47% to SF13.8) closed at a 3-month relative high against the SMI.

Stock/Benchmark ratio(s) 50D MA cross under: Galenica (-3.5% to SF840).

Stock(s) 50D MA cross under: Galenica (-3.5% to SF840).
Scandinavia
Nokia said it has bought back 818,724 shares at an average price of E6.1071 per share on July 28.

Orion: 2Q results expected.

Automobiles & Parts: Nokian Renkaat (-1.44% to E26.7) reached a new 3-month relative low against the OMXH.

Oil & Gas: Aker Solutions (-1.89% to NOK91) and TGS Nopec Geophysical (-2.88% to NOK175.2) reached a new 3-month relative low against the OBX.

Construction & Materials: NCC AB (-0.84% to SEK225.2) and Skanska (-1.07% to SEK147.6) reached a new 3-month relative low against the OMX Stockholm 30.

NO - Stock/Benchmark ratio(s) 50D MA cross under: Yara International (-2.11% to NOK292)

SE - Stock/Benchmark ratio(s) 50D MA cross under: Castellum (-1.26% to SEK117.9).

NO - Stock(s) 50D MA cross under: Seadrill (-2.82% to NOK227.1), Yara International (-2.11% to NOK292).


Today’s economic events (CE time)
GE 08:00: Jun Import Price Idx MoM, exp.: 0.3% 
UK 10:30: Jun Net Consumer Credit, exp.: 0.8B 
UK 10:30: Jun Net Lending Sec. on Dwellings, exp.: 1.9B 
UK 10:30: Jun Mortgage Approvals, exp.: 63.0K 
UK 10:30: Jun Money Supply M4 MoM 
UK 10:30: Jun M4 Ex IOFCs 3M Annualised, exp.: 3.8% 
US 15:00: May S&P/CS 20 City MoM SA, exp.: 0.3% 
US 15:00: May S&P/CaseShiller Home Price Idx NSA, exp.: 171.25 


mazen nafee
1993
mazen nafee  
US Markets
Market hours
Tyson Foods (TSN +2.58% to $40.56) reported 3Q EPS of $0.73 vs $0.68 a year ago on revenue of $9.7B vs $8.7B. Looking forward, the Co said: "We expect 2014 sales to appx $38B. We expect fiscal 2015 sales to appx $42B as we integrate Hillshire Brands and continue to execute our strategy of accelerating growth in domestic value-added chicken sales and Prepared Food sales". Separately, the Co announced the sale of its poultry businesses in Mexico and Brazil to JBS SA for $575M in cash.

Roper Industries (ROP +3.85% to $148.26) reported 2Q diluted EPS up 41% YoY to $1.56 on revenue of $885M, up 13%. Looking ahead, the Co said: "As a result of its 2Q performance, Roper is increasing its FY diluted earnings per share guidance from $6.22 - $6.36 to $6.27 - $6.37. 3Q diluted earnings per share is expected to be $1.49 - $1.53. The Co's guidance excludes the impact of future acquisitions."

Cummins (CMI -3.2% to $145.35) reported 2Q EPS of $2.43 vs $2.39 expected ($2.20 last year) on revenues of $4.84B ($4.53B a year ago). The Co raised its 2014 revenue growth estimate to 8-11% from 6-10% based on improving demand in North America.

RPM Intl (RPM +2.37% to $45.44) posted 4Q EPS of $0.80 vs $0.78 estimated ($0.72 last year) on sales of $1.28B ($1.17B prior year).The Co has agreed to pay $797.5M to settle asbestos-related claims against its Bondex and Specialty Products units.

Tenneco (TEN -1.13% to $67.25) released 2Q EPS of $1.45 vs expectations of $1.26($1.10 a year ago) on sales of $2.24B ($2.07B prior year).

Zillow (Z +0.92% to $160.32) is to acquire Trulia (TRLA +15.42% to $65.04) for $3.5B. Trulia shareholders will receive 0.444 shares of Class A Zillow Common Stock for each share of Trulia. The deal will make Zillow the largest entity in online real estate advertising.

Hospira (HSP +0.23% to $51.84) is negotiating the purchase of the medical nutrition unit of French dairy group Danone and the deal could be priced up to $5B, reported the FT citing sources familiar with the matter.

Dollar Tree (DLTR +1.2% to $54.87) announced the purchase of Family Dollar Stores (FDO +24.86% to $75.74) for $74.5 per share ($59.60 in cash and $14.90 equivalent in the Co's shares), adding: " At closing, Family Dollar shareholders will own no less than 12.7% and no more than 15.1% of the outstanding common stock of Dollar Tree."

First Solar (FSLR +2.31% to $65.53) and Japan's XSOL Co signed an agreement "to supply First Solar's cadmium telluride (CdTe) thin film modules in Japan. The agreement targets installation of 100 megawatts (MW)(DC) per year."

Zions Bancorp (ZION -2.13% to $29.42) announced the public offering of $525M of its common stock, adding: "Zions intends to use the net proceeds of this offering for general corporate purposes."

PG&E (PCG +0.57% to $47.37) was downgraded to "sell" from "neutral" at Goldman Sachs.

Xerox (XRX -0.38% to $13.1) was upgraded to "neutral" from "underweight" at JPMorgan.

Industrial Goods & Services: Family Dollar Stores (FDO +24.86% to $75.74) and Chipotle Mexican Grill (CMG +0.66% to $678.01) reached a new 52w high.

Stocks 50D MA cross over: AGL Resources (GAS +1.14% to $54.15), American Electric Power (AEP +2.69% to $54.65), Berkshire Hathaway (BRK/B +0.64% to $128.37), Crown Castle (CCI +2.38% to $74.95), DTE Energy (DTE +1.36% to $77.03), Family Dollar Stores (FDO +24.86% to $75.74), First Solar (FSLR +2.31% to $65.53), Mastercard (MA +0.58% to $76.19), Nordstrom (JWN +1.34% to $68.99), Northeast Utilities (NU +1.68% to $46.1), Patterson Cos (PDCO +0.63% to $39.66), Pepco Holdings (POM +0.55% to $27.55), Roper Industries (ROP +3.85% to $148.26), Varian Medical Systems (VAR +0.68% to $83.3), Ventas (VTR +0.98% to $64.84), Wisconsin Energy (WEC +2.08% to $46.09), Wynn Resorts (WYNN +3.18% to $210.97).

Stocks 50D MA cross under: Actavis (ACT -1.15% to $214.94), Alexion Pharmaceuticals (ALXN -2.57% to $162.74), Allegion (ALLE -2.78% to $53.57), Alliance Data Systems (ADS -1.43% to $266.7), Electronic Arts (EA -2.64% to $35.09), Ensco International (ESV -1.41% to $52.5), Estee Lauder (EL -0.98% to $74.93), Expeditors International of Washington (EXPD -1.23% to $44.86), Fifth Third Bancorp (FITB -1.42% to $20.88), Hudson City Bancorp (HCBK -1.76% to $9.77), JM Smucker (SJM -0.53% to $104.08), M&T Bank (MTB -1.22% to $122.68), Marsh & McLennan (MMC -0.54% to $51.15), Molson Coors Brewing (TAP -1.69% to $70.36), Salesforce.com (CRM -1.62% to $54), Tiffany & Co (TIF -1.09% to $98.25), UPS (UPS -0.88% to $102.66), Walgreen (WAG -2.51% to $71.45).

Stock/S&P500 ratios 50D MA cross over: American Electric Power (AEP +2.69% to $54.65), Boston Properties (BXP +1.14% to $121.45), Centerpoint Energy (CNP +1.13% to $25.15), CMS Energy (CMS +1.19% to $30.58), Dollar Tree (DLTR +1.2% to $54.87), Dominion Resources (D +1.46% to $70.88), Edison International (EIX +1.5% to $57.47), Exxon Mobil (XOM +1.15% to $104.37), Family Dollar Stores (FDO +24.86% to $75.74), HCP Inc (HCP +0.73% to $42.63), Humana (HUM +1.85% to $130.93), Kimco Realty (KIM +0.56% to $23.46), Nielsen (NLSN +1.16% to $48.77), ONEOK (OKE +0.81% to $67.37), PGE Corp (PCG +0.57% to $47.37), Pinnacle West Capital (PNW +1.44% to $57.1), Prologis (PLD +1.27% to $42.16), Public Storage (PSA +1.05% to $175.49), Roper Industries (ROP +3.85% to $148.26), Scana Corp (SCG +1.44% to $53.71), Sempra Energy (SRE +1.53% to $103.09), Simon Property (SPG +0.89% to $170.47), Southern Co (SO +1.39% to $45.36), TECO Energy (TE +1.79% to $18.15), Weyerhaeuser (WY +1.1% to $32.27), Wynn Resorts (WYNN +3.18% to $210.97), Xcel Energy (XEL +1.71% to $32.07).

Stock/S&P500 ratios 50D MA cross under: Anadarko Petroleum (APC -1.43% to $107.65), Baker Hughes (BHI -1.06% to $72.64), Borgwarner (BWA -0.53% to $65.49), Boston Scientific (BSX -1.07% to $12.97), Comerica (CMA -1.27% to $49.76), CSX (CSX -0.87% to $30.73), Eaton Corp (ETN -0.93% to $76.75), EOG Resources (EOG -1.25% to $113.39), Honeywell (HON -0.62% to $95.17), Ingersoll-Rand (IR -1.43% to $62.18), Joy Global (JOY -1.53% to $61.79), Martin Marietta Materials (MLM -1.57% to $128.84), Molson Coors Brewing (TAP -1.69% to $70.36), Mylan (MYL -2.34% to $50.53), Zions Bancorporation (ZION -2.13% to $29.42).
After hours
Jacobs Engineering (JEC) posted 3Q EPS of $0.49 (vs $0.83 in the previous year) on revenue of $3.2B, up 4.9%. The Co said it expects FY14 EPS to be "slightly below the midpoint of Q2 guidance which was $3.15 to $3.55 per share".

Crane (CR) announced 2Q adjusted EPS of $1.15, up from $1.06 in the prior year, on sales of $750M, up 15.6% YoY. The Co proposed raising quarterly dividend by 10% to $0.33 per share. It reaffirmed its FY14 sales guidance at $3.0B while lowered its GAAP EPS guidance to $4.18-4.38 from $4.28-4.48 previously.

General Growth Properties (GGP) reported 2Q FFO per share of $0.31 (as expected, vs $0.27 in the previous year). The Co reaffirmed its FY14 FFO forecast of $1.30-1.32 per share.

Plum Creek Timber (PCL) announced 2Q EPS of $0.31 (vs $0.30 expected, $0.28 a year earlier) on revenues of $356M (vs $303M last year). The Co has lowered FY14 EPS guidance to $1.05-1.25 from $1.30-1.50 previously.

Norwegian Cruise Line (NCLH) reported 2Q EPS of $0.58 (vs $0.57 expected, $0.29 a year earlier) on sales of $766M (vs $644.5M in the prior year).

Herbalife (HLF) posted 2Q EPS of $1.55 (vs $1.57 expected, $1.41 in the previous year) on revenues of $1.31B (vs $1.22B in the prior year). The Co cut its 2014 sales growth view to 8.5-10.5% from 10-12% previously.

Google Trend US - popular searches: Arrowhead Research Corp (ARWR), Dollar Tree (DLTR), Family Dollar Stores (FDO), Helca Mining (HL), Herbalife (HLF)
Expect today
Pfizer (PFE): 2Q EPS seen at $0.57 ($0.56 a year ago), before mkt.

Merck & Co (MRK): 2Q EPS seen at $0.81 ($0.84 a year ago), before mkt.

American Express (AXP): 2Q EPS seen at $1.38 ($1.27 a year ago), after mkt.

UPS (UPS): 2Q EPS seen at $1.25 ($1.15 a year ago) on sales of appx. $14.1B ($13.51B), before mkt.

Amgen (AMGN): 2Q EPS seen at $2.06 ($1.68 a year ago), after mkt.

Anadarko Petroleum (APC): 2Q EPS seen at $1.3 ($1.05 a year ago) on sales of appx. $4.1B ($3.44B), after mkt.

Other Cos expected to report their results: NextEra Energy (NEE), Eaton Corp (ETN), National Oilwell Varco (NOV), Illinois Tool Works (ITW), Ecolab (ECL), Reynolds American (RAI), Aetna (AET), Aflac (AFL), Corning (GLW), Marsh & McLennan (MMC), Equity Residential (EQR), Ameriprise Financial (AMP), Paccar (PCAR), Vertex Pharmaceuticals (VRTX), McGraw Hill Financial (MHFI), International Paper (IP), Sirius Satellite Radio (SIRI), Wynn Resorts (WYNN), Waste Management (WM), Marriott International (MAR), Boston Properties (BXP), Nielsen (NLSN), Fidelity National Information Services (FIS), Fiserv (FISV), Entergy (ETR), Newmont Mining (NEM), Affiliated Managers Group (AMG), CBRE Group (CBG), Verisk Analytics (VRSK), CH Robinson Worldwide (CHRW), Kimco Realty (KIM), Consol Energy (CNX), Edwards Lifesciences (EW), Genworth Financial (GNW), Cincinnati Financial (CINF), Harris Corp (HRS), Xylem (XYL), AGL Resources (GAS), Newfield Exploration (NFX), Martin Marietta Materials (MLM), Owens-Illinois (OI)

 

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Foreign Exchange
The US Dollar was mixed on Monday, under pressure against the CAD and CHF, while rising against the NZD and NOK. On the economic data front, the Markit US Services PMI was 61 (59.8 expected) in July. Pending Home Sales fell 1.1% (+0.5% expected) in June, representing a 4.5% decline YoY. The Dallas Fed Manufacturing Activity was 12.7 (12.8 expected) in July.

The Euro was mixed, gaining against the JPY and NZD, while falling against the CAD and AUD. There was no major economic data reported in Europe on Monday.

The Australian Dollar rose against all of its major counterparts.