US Futures flat, watch NKE, BA, EBAY

The S&P 500 Futures are relatively flat after Thursday rebound recorded mostly during the last trading hour.


The S&P 500 Futures  are relatively flat after Thursday rebound recorded mostly during the last trading hour. Thursday end of the trading session saw major information impacting the financial sector with the financial regulators easing up "Volcker Rule" restrictions on banks' risk-taking, allowing them to invest in hedge fund and private equity. The Federal Reserve released the results of its stress tests, stating: "The banking system has been a source of strength during this crisis, and the results of our sensitivity analyses show that our banks can remain strong in the face of even the harshest shocks." In anticipation of a prolonged economic downturn, the Fed announced measures to bar the nation's biggest banks from buying back their own stocks or increasing dividend payments in the third quarter.

Due later today are reports on May Personal Income (-6.0% on month expected), Personal Spending (+9.0% expected), and the University of Michigan's Consumer Sentiment Index (a rise to 79.2 in June expected).

European indices are up more than 1% on average. On the statistical front, in the euro zone, M3 annual growth of money supply was 8.9% in May, compared with +8.7% forecast by economists and +8.2% (revised from +8.3%) the previous month. In Germany, import prices rose by 0.3% in May after a decline of 1.8% the previous month. Economists expected an increase of 0.4%. In France, June consumer confidence index rose to 97 from 93 the previous month and 95 expected.

Asian indices ended mostly higher. The Japanese Nikkei rose 1.13% and the Australian ASX 200 jumped by 1.49% while Hong Kong HIS, closed on Thursday, played catch up with Thursday global Asian decline and lost 0.93% on Friday. Mainland China markets remain closed for holidays.

WTI Crude Oil Futures are trading higher. Russia's oil export from its three main western ports, which are Primorsk, Ust-Luga and Novorossiysk, would drop 40% on month to 785K b/d in July, reported Bloomberg citing the loading plans. Later today, Baker Hughes will report weekly rig count report.

Gold consolidates but remains firm near 8-year high while the US dollar edges higher on rising COVID-19 cases. 

Gold fell 0.97 dollar (-0.05%) to 1762.82 dollars.

EUR/USD fell 6pips to 1.1212 while GBP/USD declined 28pips to 1.2391.

US Equity Snapshot

Nike (NKE), the sportswear company, dipped after reporting fourth quarter LPS of 0.51 dollar, significantly missing estimates, vs an EPS of 0.62 dollar a year ago, on revenue of 6.3 billion dollars, below forecasts, down from 10.2 billion dollars last year.

Boeing (BA), the aircraft maker, was downgraded to "market perform" from "outperform" at Bernstein. (AMZN) price target was raised to 3,333 dollars from 2,750 dollars by Deutsche Bank.

EBay (EBAY), the global electronic commerce platform, was upgraded to "buy" from "hold" at Deutsche Bank.

Source : TradingVIEW, Gain Capital

More from Equities


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 for the complete Risk Disclosure Statement.

Important Notice:

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.