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OVERNIGHT MARKETS AND NEWS

Dec E-mini S&Ps (ESZ17 -0.11%) this morning are down -0.12% on concern about the progress on U.S. tax reform after the Washington Post reported that Senate Republican leaders were considering holding tax cuts back a year. European stocks are down -0.31% at a 1-1/2 week low, led by losses in banking stocks, as Credit Agricole slid 3% after it reported a slump in trading revenue. Mining stocks are weaker as well, as Dec COMEX copper (HGZ17 -0.24%) dropped -0.06% to a 4-week low on Chinese demand concerns after China Oct copper imports fell -30% m/m to 330,000 MT, the smallest amount in 6 months. Asian stocks settled mixed: Japan -0.10%, Hong Kong -0.30%, China +0.06%, Taiwan -0.20%, Australia +0.03%, Singapore +0.24%, South Korea +0.31%, India -0.46%. China's Shanghai Composite rallied to a 1-3/4 year high on signs of stronger domestic demand after China Oct imports rose more than expected, although stocks gave up most of their gains on economic growth concerns after China Oct exports rose less than expected.

The dollar index (DXY00 -0.01%) is down -0.08%. EUR/USD (^EURUSD) is up +0.06%. USD/JPY (^USDJPY) is down -0.34%.

Dec 10-year T-note prices (ZNZ17 -0.04%) are down -1 tick.

Philadelphia Fed President Harker said he has "not at this point" seen anything that would push him away from a Fed rate hike at next month's FOMC meeting, but he wants to see signs of inflation moving higher before backing additional rate hikes next year.

The China Oct trade balance widened to a surplus of $38.17 billion, smaller than expectations of $39.10 billion. Oct exports rose +6.9% y/y, weaker than expectations of +7.1% y/y. Oct imports rose +17.2% y/y, stronger than expectations of +17.0% y/y.

U.S. STOCK PREVIEW

Key U.S. news today includes: (1) weekly MBA mortgage applications (previous -2.6% with purchase sub-index -0.8% and refi sub-index -4.5%), (2) Treasury auctions $23 billion of 10-year T-notes, (3) EIA weekly Petroleum Status Report.

Notable S&P 500 earnings reports today include: Humana (consensus $3.26), Regeneron Pharma (3.84), Rockwell Automation (1.72), Equifax (1.49), Twenty-First Century Fox (0.49), MGM Resorts (0.34), Monster Beverage (0.40).

U.S. IPO's scheduled to price today: LiveXLive Media (LIVXD), Apellis Pharmaceuticals (APLS).

Equity conferences this week: Credit Suisse Health Care Conference on Tue-Wed, Bernstein Technology Innovation Summit on Tue-Wed, Stephens Fall Investment Conference on Tue-Wed, RBC Capital Markets Technology, Internet, Media and Telecommunications Conference on Tue-Wed, Robert W. Baird Global Industrial Conference on Tue-Wed, Wells Fargo Technology, Media & Telecom Conference on Tue-Wed, Deutsche Bank Gaming, Lodging & Leisure Conference on Wed.

OVERNIGHT U.S. STOCK MOVERS

Brown & Brown (BRO -0.61%) was downgraded to 'Sell' from 'Neutral' at Citigroup with a price target of $47.

Take-Two Interactive Software (TTWO -0.57%) rallied 8% in after-hours trading after it reported Q2 EPS of $1.09, higher than consensus 74 cents, and then raised guidance on fiscal 2018 adjusted EPS to $2.81-$3.00 from an Aug 2 estimate of $1.95-$2.16, well above consensus of $2.22.

DXC Technology (DXC -0.53%) rose 5% in after-hours trading after it reported Q2 adjusted EPS of $1.93, well ahead of consensus of $1.53.

Coherent (COHR -0.25%) jumped 8% in after-hours trading after it reported Q4 net sales of $490.3 million, better than consensus of $475.4 million.

DaVita (DVA -0.76%) lost 5% in after-hours trading after it reported Q3 adjusted EPS of 81 cents, well below consensus of 94 cents.

Match Group (MTCH -3.06%) climbed 5% in after-hours trading after it reported Q3 total revenue of $343.4 million, higher than consensus of $329.3 million.

ACADIA Pharmaceuticals (ACAD -0.28%) gained nearly 3% in after-hours trading after it reported Q3 revenue of $35.6 million, better than consensus of $32 million.

Carvana (CVNA -7.40%) lost over 5% in after-hours trading after it cut the upper end of its full-year revenue estimate to $850 million-$880 million from a prior view of $850 million-$910 million.

Glaukos (GKOS -10.94%) rose 5% in after-hours trading after it reported an unexpected Q3 profit of 4 cents a share, better than consensus for a -2 cents a share loss.

Extreme Networks (EXTR +0.17%) lost more than 2% in after-hours trading after it said it sees Q2 adjusted EPS of 10 cents to 14 cents, weaker than consensus of 18 cents.

Chubb (CB +0.40%) was upgraded to 'Overweight' from 'Neutral' at JP Morgan Chase with a target price of $175.

Applied Optoelectronics (AAOI +0.24%) gained 3% in after-hours trading after it said it sees "solid" datacenter demand for its 100G CWDM transceivers, and revenue for its CATV products reached a new record.

LendingClub (LC -6.67%) tumbled 17% in after-hours trading after it reported Q3 net revenue of $154 million, below consensus of $156.3 million, and then said it sees Q4 net revenue of $158 million to $163 million, weaker than consensus of $171.7 million.

Fossil Group (FOSL -1.86%) dropped 13% in after-hours trading after the company predicted bleak sales over the holiday season and says it sees Q4 net sales down -3.5% to -11%, well below consensus of down -1%.

Redhill Biopharma Ltd (RDHL -9.64%) plunged 20% in after-hours trading after it announced that it intends to offer $15 million in American Depository Shares, each representing ten of its ordinary shares, in an underwritten public offering.

MARKET COMMENTS

Dec S&P 500 E-mini stock futures (ESZ17 -0.11%) this morning are down -3.00 points (-0.12%). Tuesday's closes: S&P 500 -0.02%, Dow Jones +0.04%, Nasdaq +0.11%. The S&P 500 on Tuesday posted a new record high, but fell back and closed little changed. Stocks were undercut by carry-over weakness from a slide in European stocks to a 1-week low and by weakness in energy stocks after crude oil prices fell -0.26%. Stocks were supported by the U.S. Sep JOLTS job openings report of +3,000 to 6.093 million (stronger than expectations of -7,000 to 6.075 million) and by the +$20.83 billion increase in U.S. Sep consumer credit (stronger than expectations of +$17.50 billion and the biggest increase in 10 months).

Dec 10-year T-note prices (ZNZ17 -0.04%) this morning are down -1 tick. Tuesday's closes: TYZ7 +2.00, FVZ7 +0.25. Dec 10-year T-notes on Tuesday rallied to a 2-1/2 week high and closed higher on carry-over support from a rally in 10-year German bunds to a 1-3/4 month high and by weakness in stocks, which boosted the safe-haven demand for T-notes.

The dollar index (DXY00 -0.01%) this morning is down -0..079 (-0.08%). EUR/USD (^EURUSD) is up +0.0007 (+0.06%) and USD/JPY (^USDJPY) is down -0.39 (-0.34%). Tuesday's closes: Dollar Index +0.156 (+0.16%), EUR/USD -0.0023 (-0.20%), USD/JPY +0.30 (+0.26%). The dollar index on Tuesday climbed to a 1-week high and settled higher on the unexpected increase in U.S. Sep JOLTS job openings, a sign of labor market strength that bolsters the case for additional Fed rate hikes. In addition, EUR/USD tumbled to a 3-1/2 month low after German Sep industrial production fell -1.6% m/m, the biggest decline in 9 months.

Dec crude oil (CLZ17 -0.42%) this morning is down -29 cents (-0.51%) and Dec gasoline (RBZ17 -0.74%) is -0.0148 (-0.82%). Tuesday's closes: Dec WTI crude -0.15 (-0.26%), Dec gasoline -0.0147 (-0.80%). Dec crude oil and gasoline on Tuesday closed lower on a stronger dollar and on profit-taking after OPEC in its World Oil Outlook report said it expects North American shale oil production to soar to 7.5 million bpd in 2021 from 5.1 million bpd in 2017. Losses were limited by expectations that Wednesday's EIA crude inventories will fall by -2.75 million bbl.

Metals prices this morning are mixed with Dec gold (GCZ17 +0.37%) +4.9 (+0.38%), Dec silver (SIZ17 +0.59%) +0.110 (+0.65%) and Dec copper (HGZ17 -0.24%) -0.002 (-0.06%) at a 4-week low. Tuesday's closes: Dec gold -5.8 (-0.45%), Dec silver -0.295 (-1.71%), Dec copper -0.0685 (-2.17%). Metals on Tuesday closed lower with Dec copper at a 1-week low. Metals prices were undercut by the rally in the dollar index to a 1-week high, and by the -1.6% m/m decline in German Sep industrial production, the biggest decline in 9 months and a sign of weaker industrial metals demand.

GLOBAL EVENT CALENDAR11/08/2017
Wednesday, Nov 8
US 0700 ET Weekly MBA mortgage applications, previous -2.6% with purchase sub-index -0.8% and refi sub-index -4.5%.
1030 ET EIA weekly Petroleum Status Report.
1300 ET Treasury auctions $23 billion of 10-year T-notes.
Thursday, Nov 9
US 0830 ET Weekly initial unemployment claims expected +2,000 to 231,000, previous -5,000 to 229,000. Weekly continuing claims expected +1,000 to 1.885 million, previous -15,000 to 1.884 million.
0830 ET USDA weekly Export Sales.
1000 ET Sep wholesale trade sales expected +0.9% m/m, Aug +1.7% m/m. Revised Sep wholesale inventories, prelim Sep +0.3%.
1100 ET Treasury announces amount of 10-year TIPS to be auctioned Nov 16.
1200 ET USDA Nov WASDE crop production.
1300 ET Treasury auctions $15 billion of 30-year T-bonds.
U.S. STOCK CALENDAR11/08/2017
NameTickerTimeDescriptionPeriodEstimate
MGM Resorts International MGM US Bef-mkt Q3 2017 Earnings Release Q3 17 0.344
Rockwell Automation Inc ROK US Bef-mkt Q4 2017 Earnings Release Q4 17 1.717
Regeneron Pharmaceuticals Inc REGN US 06:30 Q3 2017 Earnings Release Q3 17 3.839
Humana Inc HUM US 06:30 Q3 2017 Earnings Release Q3 17 3.261
Global Payments Inc GPN US 06:55 Q3 2017 Earnings Release Q3 17 1.096
Global Payments Inc GPN US 08:00 Q3 2017 Earnings Call Q3 17
Cardinal Health Inc CAH US 08:00 Annual General Meeting
Regeneron Pharmaceuticals Inc REGN US 08:30 Q3 2017 Earnings Call Q3 17
Rockwell Automation Inc ROK US 08:30 Q4 2017 Earnings Call Q4 17
Humana Inc HUM US 09:00 Q3 2017 Earnings Call Q3 17
ConocoPhillips COP US 09:00 Analyst & Investor Meeting
Quintiles IMS Holdings Inc Q US 09:00 Analyst Meeting
Sealed Air Corp SEE US 10:00 Q3 2017 Earnings Release Q3 17 0.462
Marriott International Inc/MD MAR US 10:00 Q3 2017 Earnings Call Q3 17
Sealed Air Corp SEE US 10:00 Q3 2017 Earnings Call Q3 17
Cimarex Energy Co XEC US 11:00 Q3 2017 Earnings Call Q3 17
MGM Resorts International MGM US 11:00 Q3 2017 Earnings Call Q3 17
Equifax Inc EFX US Q3 2017 Earnings Release Q3 17 1.49
Coty Inc COTY US Annual General Meeting
Lam Research Corp LRCX US 12:30 Annual General Meeting
Twenty-First Century Fox Inc FOXA US 16:00 Q1 2018 Earnings Release Q1 18 0.489
Stericycle Inc SRCL US Aft-mkt Q3 2017 Earnings Release Q3 17 1.139
CenturyLink Inc CTL US Aft-mkt Q3 2017 Earnings Release Q3 17 0.452
Andeavor ANDV US Aft-mkt Q3 2017 Earnings Release Q3 17 3.014
Monster Beverage Corp MNST US Aft-mkt Q3 2017 Earnings Release Q3 17 0.396
Hologic Inc HOLX US 16:01 Q4 2017 Earnings Release Q4 17 0.489
Twenty-First Century Fox Inc FOXA US 16:30 Q1 2018 Earnings Call Q1 18
Hologic Inc HOLX US 16:30 Q4 2017 Earnings Call Q4 17
Stericycle Inc SRCL US 17:00 Q3 2017 Earnings Call Q3 17
CenturyLink Inc CTL US 17:00 Q3 2017 Earnings Call Q3 17
Monster Beverage Corp MNST US 17:00 Q3 2017 Earnings Call Q3 17
Albemarle Corp ALB US 17:05 Q3 2017 Earnings Release Q3 17 1.068


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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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