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OVERNIGHT MARKETS AND NEWS

Dec E-mini S&Ps (ESZ17 +0.42%) this morning are up +0.44% at a new record nearest-futures high and European stocks are up +0.85% at a 2-1/4 year high. Global stocks rallied today, led by strength in energy and mining stocks, as crude oil and metals prices surged. Dec WTI crude oil (CLZ17 +1.14%) is up +1.25% at a 9-3/4 month high after API inventory data released late Tuesday showed U.S. crude stockpiles fell by -5.09 million bbl and gasoline supplies fell by -7.7 million bbl last week. Nickel prices surged to a 2-year high on expectations of strong demand from electric car makers, while Dec COMEX copper (HGZ17 +1.87%) is up +2.25% on signs of strength in global manufacturing activity that will boost industrial metals demand after the UK Oct Markit manufacturing PMI expanded more than expected and the China Oct Caixin manufacturing PMI remained unchanged in expansionary territory. Asian stocks settled higher: Japan +1.86%, Hong Kong +1.23%, China +0.08%, Taiwan +0.12%, Australia +0.49%, Singapore +0.52%, South Korea +1.56%, India +1.17%. Japan's Nikkei Stock Index jumped to a 21-1/3 year high, led by a 11% surge in Sony, after the company increased its annual operating profit outlook to a record 630 billion yen ($5.6 billion), well above analysts' estimates of 591 billion yen.

The dollar index (DXY00 +0.10%) is up +0.09%. EUR/USD (^EURUSD) is down -0.05%. USD/JPY (^USDJPY) is up +0.31%.

Dec 10-year T-note prices (ZNZ17 -0.10%) are down -5 ticks.

The UK Oct Markit manufacturing PMI unexpectedly rose +0.3 to 56.3, stronger than expectations of no change at 55.9.

The China Oct Caixin (flash) manufacturing PMI was unch at 51.0, right on expectations.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) weekly MBA mortgage applications (previous -4.6% with purchase sub-index -6.1% and refi sub-index -3.0%), (2) Oct ADP employment (expected +200,000, Sep +135,000), (3) Treasury refunding announcement for Nov 7-9, (4) revised Oct Markit U.S. manufacturing PMI (expected unch at 54.5, prelim-Oct +1.4 to 54.5), (5) Oct ISM manufacturing index (expected -1.4 to 59.4, Sep +2.0 to 60.8), (6) Sep construction spending (expected -0.1%, Aug +0.5% m/m), (7) 2-day FOMC meeting concludes with expectations for an unchanged federal funds target range of 1.00%-1.25%, (8) Oct total vehicle sales (expected 17.50 million, Sep 18.47 million), (9) EIA weekly Petroleum Status Report.

Notable S&P 500 earnings reports today include: Facebook (consensus $1.28), Allergan (4.05), Southern Co (1.08), Estee Lauder (0.97), MetLife (0.92), Allstate (0.87), Kraft Heinz (0.82), Garmin (0.66), Symantec (0.43), Williams Cos (0.17), Occidental Petroleum (0.11), Marathon Oil (-0.15).

U.S. IPO's scheduled to price today: LiveXLive Media (LIVXD), Spero Therapeutics (SPRO), Evoqua Water Technologies (AQUA), Allena Pharmaceuticals (ALNA).

Equity conferences this week: VancAnalysts Association of Boston Conference on Thu-Fri, American College of Rheumatology Meeting on Fri, North American Cystic Fibrosis Conference on Fri.

OVERNIGHT U.S. STOCK MOVERS

American Airlines Group (AAL -0.91%) was upgraded to 'Overweight' from 'Neutral' at JP Morgan Chase with a price target of $65.

Altria (MO +0.27%) was upgraded to 'Buy' from 'Hold' at Edward Jones.

Check Point Software Technologies Ltd (CHKP +1.05%) fell 8% in after-hours trading after it said in an earnings call that it expects Q4 revenue to be $485 million-$525 million, below consensus of $529.1 million.

Fiserv (FISV -0.02%) lost 5% in after-hours trading after it lowered guidance on the top end of its full-year adjusted EPS view to $5.05-$5.12 from a prior view of $5.03-$5.17.

Paycom Software (PAYC +2.58%) dropped 5% in after-hours trading after it said it sees Q4 revenue of $111.5 million-$113.5 million, the mid-point below consensus of $113.1 million.

B&G Foods (BGS -2.00%) rallied almost 7% in after-hours trading after it reported Q3 adjusted EPS of 55 cents, better than consensus of 46 cents, and then said it sees full-year adjusted EPS of $2.03 to $.217, the mid-point above consensus of $2.05.

Sturm Ruger (RGR -1.00%) fell over 8% in after-hours trading after it reported Q3 sales fell -35% to $104.8 million.

CH Robinson Worldwide (CHRW +0.23%) gained 2% in after-hours trading after it reported Q3 revenue of $3.78 billion, better than consensus of $3.65 billion.

Papa John's International (PZZA +1.51%) slid almost 3% in after-hours trading after it lowered guidance on 2017 North American comparable sales to up +1.5%, below a prior view of up 2% to 4%.

Qualys (QLYS +1.44%) jumped nearly 8% in after-hours trading after it reported Q3 adjusted EPS of 31 cents, well above consensus of 22 cents, and then said it sees full-year adjusted EPS of $1,04 to $1.06, better than consensus of 90 cents.

Envision Healthcare (EVHC +1.31%) plunged over 25% in after-hours trading after it reported Q3 adjusted EPS of 73 cents, weaker than consensus of 88 cents, and then said it sees Q4 adjusted EPS of 44 cents to 54 cents, well below consensus of $1.00.

Wabash National (WNC +2.23%) dropped 11% in after-hours trading after it reported Q3 adjusted EPS of 34 cents, below consensus of 39 cents, and then said it sees full-year EPS of $1.33 to $1.37, weaker than consensus of $1.45.

Modine Manufacturing (MOD +1.94%) climbed over 3% in after-hours trading after it reported Q2 net sales of $508.3 million, stronger than expectations of $466.5 million.

3D Systems (DDD +4.74%) tumbled 14% in after-hours trading after it reported an unexpected loss of -20 cents per share, weaker than consensus of EPS of 12 cents.

MARKET COMMENTS

Dec S&P 500 E-mini stock futures (ESZ17 +0.42%) this morning are up +11.25 points (+0.44%) at a fresh nearest-futures record high. Tuesday's closes: S&P 500 +0.09%, Dow Jones +0.12%, Nasdaq +0.34%. The S&P 500 on Tuesday closed higher on the +5.3 point increase in U.S. Oct consumer confidence (Conference Board) to 125.9, stronger than expectations of +1.7 to 121.5 and a 16-3/4 year high, and on the unexpected +1.0 point increase in the Oct Chicago PMI to 66.2, stronger than expectations of -5.2 to 60.0 and the fastest pace of expansion in 6-1/2 years. Stocks were undercut by the -0.8 point decline in the China Oct manufacturing PMI to 51.6, weaker than expectations of -0.4 to 52.0, which raises Chinese economic growth concerns.

Dec 10-year T-note prices (ZNZ17 -0.10%) this morning are down -5 ticks. Tuesday's closes: TYZ7 -2.50, FVZ7 -2.25. Dec 10-year T-notes on Tuesday settled slightly lower on the larger-than-expected increase in U.S. Oct consumer confidence to a 16-3/4 year high, and on the unexpected increase in the Oct Chicago PMI to a 6-1/2 year high. T-notes found some underlying support from expectations that President Trump on Thursday will appoint Jerome Powell as next Fed Chair, which would signal a continuation of Fed Chair Yellen's monetary policy direction.

The dollar index (DXY00 +0.10%) this morning is up +0.088 (+0.09%). EUR/USD (^EURUSD) is down -0.0006 (-0.05%) and USD/JPY (^USDJPY) is up +0.35 (+0.31%). Tuesday's closes: Dollar Index -0.008 (-0.01%), EUR/USD -0.0005 (-0.04%), USD/JPY +0.46 (+0.41%). The dollar index on Tuesday closed slightly lower on the stronger-than-expected Eurozone Q3 GDP report of +2.5% y/y, which is supportive for EUR/USD, and long liquidation in the dollar ahead of the outcome of Wednesday's FOMC meeting.

Dec crude oil (CLZ17 +1.14%) this morning is up +68 cents (+1.25% at a 9-3/4 month high and Dec gasoline (RBZ17 +1.31%) is +0.0269 (+1.55%). Tuesday's closes: Dec WTI crude +0.23 (+0.42%), Dec gasoline +0.0193 (+1.13%). Dec crude oil and gasoline on Tuesday closed higher on a weaker dollar and on expectations for Wednesday’s EIA crude inventories to fall -2.0 million bbl. Crude oil prices were also supported by data from Jbc showing that OPEC compliance with its production cut agreement rose to 103% in Oct from 100% in Sep.

Metals prices this morning are stronger with Dec gold (GCZ17 +0.66%) +9.1 (+0.72%), Dec silver (SIZ17 +1.72%) +0.292 (+1.75%) and Dec copper (HGZ17 +1.87%) +0.071 (+2.29%). Tuesday's closes: Dec gold -7.2 (-0.56%), Dec silver -0.154 (-0.91%), Dec copper -0.0110 (-0.35%). Metals on Tuesday closed lower on the rally in stocks, which reduced the safe-haven demand for precious metals, and on some concern about Chinese copper demand after the China Oct manufacturing PMI declined more than expected.

GLOBAL EVENT CALENDAR11/01/2017
Wednesday, Nov 1
US 0700 ET Weekly MBA mortgage applications, previous -4.6% with purchase sub-index -6.1% and refi sub-index -3.0%.
0815 ET Oct ADP employment change expected +200,000, Sep +135,000.
0830 ET Treasury announces amount of 3-year T-notes (previous $24 billion), 10-year T-notes (previous $20 billion) and 30-year T-bonds (previous $12 billion) to be auctioned Nov 7-9 in the Nov quarterly refunding.
0945 ET Revised Oct Markit U.S. manufacturing PMI expected unch at 54.5, prelim-Oct +1.4 to 54.5.
1000 ET Oct ISM manufacturing index expected -1.4 to 59.4, Sep +2.0 to 60.8. Oct ISM new orders, Sep +4.3 to 64.6. Oct ISM employment, Sep +0.4 to 60.3. Oct ISM prices paid expected -4.0 to 67.5, Sep +9.5 to 71.5.
1000 ET Sep construction spending expected -0.1%, Aug +0.5% m/m.
1030 ET EIA weekly Petroleum Status Report.
1400 ET FOMC announces interest rate decision; 1.00%-1.25% fed funds rate target expected unchanged.
n/a Oct total vehicle sales expected 17.50 million, Sep 18.47 million. Oct domestic vehicle sales expected 13.70 million, Sep 14.33 million.
Thursday, Nov 2
US 0730 ET Oct Challenger job cuts, Sep -27.0% y/y.
0830 ET Weekly initial unemployment claims expected +2,000 to 235,000, previous +10,000 to 233,000. Weekly continuing claims expected +1,000 to 1.894 million, previous -3,000 to 1.893 million.
0830 ET Q3 non-farm productivity expected +2.6%, Q2 +1.5%. Q3 unit labor costs expected +0.4%, Q2 +0.2%.
0830 ET USDA weekly Export Sales.
1220 ET New York Fed President William Dudley delivers closing remarks at an Alternative Reference Rates Committee Roundtable.
U.S. STOCK CALENDAR11/01/2017
NameTickerTimeDescriptionPeriodEstimate
NiSource Inc NI US Bef-mkt Q3 2017 Earnings Release Q3 17 0.07
Allergan PLC AGN US Bef-mkt Q3 2017 Earnings Release Q3 17 4.046
TE Connectivity Ltd TEL US Bef-mkt Q4 2017 Earnings Release Q4 17 1.156
PPL Corp PPL US Bef-mkt Q3 2017 Earnings Release Q3 17 0.538
Cognizant Technology Solutions Corp CTSH US Bef-mkt Q3 2017 Earnings Release Q3 17 0.954
Clorox Co/The CLX US 06:30 Q1 2018 Earnings Release Q1 18 1.418
Estee Lauder Cos Inc/The EL US 06:45 Q1 2018 Earnings Release Q1 18 0.971
Zimmer Biomet Holdings Inc ZBH US 07:00 Q3 2017 Earnings Release Q3 17 1.74
Molson Coors Brewing Co TAP US 07:00 Q3 2017 Earnings Release Q3 17 1.327
Garmin Ltd GRMN US 07:00 Q3 2017 Earnings Release Q3 17 0.664
Southern Co/The SO US 07:30 Q3 2017 Earnings Release Q3 17 1.077
Zimmer Biomet Holdings Inc ZBH US 08:00 Q3 2017 Earnings Call Q3 17
Cognizant Technology Solutions Corp CTSH US 08:00 Q3 2017 Earnings Call Q3 17
Allergan PLC AGN US 08:30 Q3 2017 Earnings Call Q3 17
CH Robinson Worldwide Inc CHRW US 08:30 Q3 2017 Earnings Call Q3 17
Verisk Analytics Inc VRSK US 08:30 Q3 2017 Earnings Call Q3 17
Envision Healthcare Corp EVHC US 08:30 Q3 2017 Earnings Call Q3 17
TE Connectivity Ltd TEL US 08:30 Q4 2017 Earnings Call Q4 17
PPL Corp PPL US 08:30 Q3 2017 Earnings Call Q3 17
NiSource Inc NI US 09:00 Q3 2017 Earnings Call Q3 17
Anadarko Petroleum Corp APC US 09:00 Q3 2017 Earnings Call Q3 17
Concho Resources Inc CXO US 09:00 Q3 2017 Earnings Call Q3 17
Estee Lauder Cos Inc/The EL US 09:30 Q1 2018 Earnings Call Q1 18
Garmin Ltd GRMN US 10:30 Q3 2017 Earnings Call Q3 17
Molson Coors Brewing Co TAP US 11:00 Q3 2017 Earnings Call Q3 17
Newfield Exploration Co NFX US 11:00 Q3 2017 Earnings Call Q3 17
Devon Energy Corp DVN US 11:00 Q3 2017 Earnings Call Q3 17
ONEOK Inc OKE US 11:00 Q3 2017 Earnings Call Q3 17
KLA-Tencor Corp KLAC US Annual General Meeting
Southern Co/The SO US 13:00 Q3 2017 Earnings Call Q3 17
Clorox Co/The CLX US 13:30 Q1 2018 Earnings Call Q1 18
CF Industries Holdings Inc CF US Aft-mkt Q3 2017 Earnings Release Q3 17 (0.547)
QUALCOMM Inc QCOM US Aft-mkt Q4 2017 Earnings Release Q4 17 0.823
ANSYS Inc ANSS US Aft-mkt Q3 2017 Earnings Release Q3 17 0.969
Host Hotels & Resorts Inc HST US Aft-mkt Q3 2017 Earnings Release Q3 17 0.332
Brighthouse Financial Inc BHF US Aft-mkt Q3 2017 Earnings Release Q3 17 2.122
American Water Works Co Inc AWK US Aft-mkt Q3 2017 Earnings Release Q3 17 1.085
Prudential Financial Inc PRU US Aft-mkt Q3 2017 Earnings Release Q3 17 2.709
Boston Properties Inc BXP US Aft-mkt Q3 2017 Earnings Release Q3 17 1.537
Williams Cos Inc/The WMB US Aft-mkt Q3 2017 Earnings Release Q3 17 0.171
Hanesbrands Inc HBI US Aft-mkt Q3 2017 Earnings Release Q3 17 0.60
Marathon Oil Corp MRO US Aft-mkt Q3 2017 Earnings Release Q3 17 (0.146)
Qorvo Inc QRVO US 16:00 Q2 2018 Earnings Release Q2 18 1.434
Scripps Networks Interactive Inc SNI US Aft-mkt Q3 2017 Earnings Release Q3 17 0.966
Flowserve Corp FLS US Aft-mkt Q3 2017 Earnings Release Q3 17 0.342
Equinix Inc EQIX US 16:01 Q3 2017 Earnings Release Q3 17 3.534
Extra Space Storage Inc EXR US 16:01 Q3 2017 Earnings Release Q3 17 1.098
Pioneer Natural Resources Co PXD US 16:05 Q3 2017 Earnings Release Q3 17 0.304
Symantec Corp SYMC US 16:05 Q2 2018 Earnings Release Q2 18 0.426
Kraft Heinz Co/The KHC US 16:05 Q3 2017 Earnings Release Q3 17 0.822
Facebook Inc FB US 16:05 Q3 2017 Earnings Release Q3 17 1.283
Federal Realty Investment Trust FRT US 16:05 Q3 2017 Earnings Release Q3 17 1.473
Lincoln National Corp LNC US 16:15 Q3 2017 Earnings Release Q3 17 1.84
Allstate Corp/The ALL US 16:15 Q3 2017 Earnings Release Q3 17 0.874
MetLife Inc MET US 16:15 Q3 2017 Earnings Release Q3 17 0.923
Essex Property Trust Inc ESS US 16:15 Q3 2017 Earnings Release Q3 17 2.967
Occidental Petroleum Corp OXY US 16:15 Q3 2017 Earnings Release Q3 17 0.112
Eversource Energy ES US 16:15 Q3 2017 Earnings Release Q3 17 0.834
Regency Centers Corp REG US 16:15 Q3 2017 Earnings Release Q3 17 0.903
Symantec Corp SYMC US 16:30 Q2 2018 Earnings Call Q3 18
Hanesbrands Inc HBI US 16:30 Q3 2017 Earnings Call Q3 17
QUALCOMM Inc QCOM US 16:45 Q4 2017 Earnings Call Q4 17
Kraft Heinz Co/The KHC US 17:00 Q3 2017 Earnings Call Q3 17
Qorvo Inc QRVO US 17:00 Q2 2018 Earnings Call Q2 18
Facebook Inc FB US 17:00 Q3 2017 Earnings Call Q3 17
Equinix Inc EQIX US 17:30 Q3 2017 Earnings Call Q3 17


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Barchart U.S. Morning Call is written by the experienced members of the Commodity Research Bureau and the Barchart Research Team.  Commodity Research Bureau (CRB) has been providing research to the financial and commodity community since 1934.  If you have any questions for our analysts, please contact us at support@crbtrader.com.

Sent every morning, "Morning Call" summarizes overnight global market news, along with a U.S. market forecast for the day ahead. It Includes upcoming earnings reports, a global financial calendar, and quote board overview of where the markets are standing.

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