US Futures remain firm, watch AAPL, NVDA, QCOM
Jean-Christophe Rolland June 16, 2020 7:57 PM
The S&P 500 Futures remain on the upside, lifted by the Fed's decision to buy individual corporate bonds.
The S&P 500 Futures remain on the upside after they closed in positive territory yesterday, lifted by the Federal Reserve's announcement that it would start buying individual corporate bonds. Separately, Bloomberg reported that the Trump administration would prepare a 1 trillion dollars infrastructure proposal.
Due later today are May Retail Sales (+8.0% on month expected), Industrial Production (+3.0% on month expected) and capacity utilization (66.9% expected). The National Association of Home Builders will release Housing Market Index for June (45 expected). Last but not least, the U.S. Federal Reserve Chairman Jerome Powell will deliver semi-annual policy report to the Senate.
European indices are posting a rebound. ZEW survey results of June were released for Germany at -83.1 for Current situation, vs -84 expected. Economic Sentiment was released at 63.4, vs 60.0 expected. The German Federal Statistical Office has posted final readings of May CPI at +0.6% on year, as expected. The U.K. Office for National Statistics has reported jobless rate for the three months to April at 3.9% (vs 4.7% expected).
Asian indices posted strong gains today. This morning, the Bank of Japan kept its benchmark rate unchanged at -0.10% as expected, while expanding its special lending program to 110 trillion yen from 75 trillion yen.
WTI Crude Oil Futures are searching for a trend. Later today, API would release the change of U.S. oil stockpile data for June 12.
Gold remains firm while the US dollar eases on Fed's decision to buy corporate bonds.
Gold rose 6.61 dollars (+0.38%) to 1731.77 dollars. The dollar index fell 0.02pt to 96.688.
US Equity Snapshot
Apple (AAPL), the tech giant, is facing two antitrust probes launched by the European Commission regarding the App store rules and Apple Pay.
Nvidia (NVDA), a leading designer of graphics processors, was downgraded to "equal-weight" from "overweight" at Morgan Stanley.
QUALCOMM (QCOM), a maker of digital wireless communications equipment, was upgraded to "overweight" from "equal-weight" by Morgan Stanley.
Tiffany (TIF), the jeweler, received the approval of South Korea regarding a potential merger with LVMH. Tiffany expects to close the merger in the middle of 2020.
T-Mobile US (TMUS): Softbank confirmed it is still exploring a potential sale of T-Mobile shares.
Lennar (LEN), the homebuilder, reported second quarter EPS up to 1.65 dollar a share from 1.30 dollar a year earlier, on sales down 5.29 billion dollars from 5.56 billion dollars a year ago. Those figures beat estimates. The company said that business rebounded "significantly" in May.
Source : TradingVIEW, Gain Capital
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.
Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit cityindex.com.sg for the complete Risk Disclosure Statement.
Cryptocurrencies are not legal tender currency and trading of derivatives on Cryptocurrencies are currently not covered under any regulatory regime in Singapore. Consequently, investors should be aware they do not have protection under the Securities and Futures Act (Cap. 289). Please ensure that you are fully aware of the risks.