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Global Stocks declining with Turkey and Argentina dominating news headlines

Sep 04, 2018

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US Stocks

  • Global stocks are declining to start the short week as global trade tensions are back in focus  
  • Investors are back to worrying about a contagion effect from economic crises in emerging markets with Turkey and Argentina in the news again 
  • US stocks index futures are pointing to a negative open in NY with the Dow Jones minis -0.15%, S&P500 minis –0.01% and Nasdaq 100 minis +0.03% 
  • The VIX is little changed this morning and is currently at 13.4 after closing at 12.86 last week
  • Apple (AAPL) September 07 OTM Calls, General Electric (GE) October 19 OTM Puts, SPY September 04 OTM Calls, and Electronic Arts (EA) March 2019 OTM Calls are the most heavily traded options contracts in the US pre-market
  • US 10-Year Treasury Bonds are lower with yields up 1.08 basis points to 2.8712%
  • The US Treasury 2s-10s Spread has widened 0.47 basis points to 0.24%
  • WTI Crude is currently down -0.64% to USD$69.8/bbl with the Brent-WTI spread up USD$2.67 to USD$9.24/bbl
  • Gold is currently down -0.58% to USD$1194.26/oz

Stocks Trending in the News

Click name for Q-Factor score and financial data.

  • Amazon (AMZN) is in talks with Chile to house and mine data that its telescopes generate according to press reports this morning.  The idea is to be able to boost data processing capabilities in Latin America.  Amazon is rated ‘Attractive’ in our US Large-Cap Global Top Picks and ‘Top Buy’ in our US Consumer Discretionary Global Top Picks.
  • China is considering a merger of China United Network Communications (China Unicom-6000050 CH) and China Telecommunications Corp to speed up the development of 5G, according to a report in Bloomberg.  These two players are dwarfed by the much larger China Mobile (941 HK).  No official announcement has been made by China yet.  China Mobile is rated ‘Neutral’ in our China All-Cap Global Top Picks.  China Unicom and China Telecom are not rated in Global Top Picks.
  • Deutsche Bank (DBK GR) will be dropped from the Euro Stoxx 50 for the first time since its creation in 1998.  Deutsche Bank’s ADRs peaked in 2007 at US$152.44 and have since fallen 90% to US$11.26. The ordinaries closed at EUR9.70. Deutsche Bank is rated ‘Unattractive’ in our European Large-Cap Global Top Picks.
  • Iliad (ILD) reported results showing subscriber losses in both its broadband and mobile units as well as a cut to its profit forecast for 2020.  Many analyst comments highlighted a coming recovery and the stock is up 10.7%.  Iliad is rated ‘Top Short’ in our European Large-Cap Global Top Picks.
  • JD.com (JD) saw its CEO taken into custody over the weekend in Minnesota for allegation of sexual misconduct but was freed after 16 houra with no charges and no travel restrictions.  JD.com is rated 'Unattractive’ in our China All-Cap Global Top Picks.
  • Line (3938 JP), the largest messaging service in Japan, will be selling US$1.3bn in convertible debt, to fund a push into financial services and AI-powered products.  Plans include the creation of mobile payments service.  Line Corp in not rated in our Global Top Picks
  • Tencent (700 HK) has been taking orders for its US$4.4bn IPO of Meituan Dianping, as it highlights that the company may never be profitable.  The IPO is priced HK$60-72 per share at this point.  Tencent is rated ‘Top Buy’ in our China All-Cap Global Top Picks.
  • WPP (WPP LN) saw its stock trade 8.6% lower to US$76.77 in pre-market trading after it reported a forecast that included a margin squeeze as it tries to revive growth.  WPP is rated ‘Neutral’ in our United Kingdom All-Cap Global Top Picks.

 

European Stocks

  • European stocks are negative, reversing earlier gains this AM, over worries about escalating trade tensions between the US and some of its key trading partners 
  • Utilities (+0.18%), Oil & Gas (+0.04%), and Banks (+0.01%) stocks are the top performers in the Euro Stoxx 600 today
  • Basic Resources (-1.33%), Automobiles & Parts (-1.21%), and Telecommunications (-1.17%) stocks are the worst performers in the Euro Stoxx 600 today
  • Investor sentiment for European stocks is negative with the advance/decline ratio for the Euro Stoxx 600 currently at 0.3x
  • 47 stocks in the Euro Stoxx 600 are at 4-week highs while 78 stocks are at 4-week lows
  • 28 stocks in the Euro Stoxx 600 are overbought while 22 stocks are oversold according to the 16-day RSI Measure
  • VSTOXX, the European stocks equivalent of the VIX, is moving little changed this morning and is currently at 16.43 after closing at 15.49 last week
  • EUR€ is currently down -0.551% against the USD$ to 1.1555
  • GBP£ is currently down -0.389% against the USD$ to 1.282
  • CHF is currently down -0.465% against the USD$ to 1.027
  • German 10-Year Bunds are lower with yields up 0.6 basis points to 0.339%
  • UK 10-Year GILTs are higher with yields down -0.2 basis points to 1.402%

Asian Stocks

  • Asian stocks started the week negative with rising trade tensions between the US and China pressuring investor sentiment in the region 
  • The Nikkei 225 finished down --0.05%, the Hang Seng ended up +0.94%, the Hang Seng China Enterprise up +0.71%, and the CSI 300 was +1.27%
  • Pulp And Paper (+0.92%), Securities & Commodity Futures (+0.6%), and Land Transportation (+0.26%) stocks were the top performers among Japanese stocks today
  • Rubber Products (-1.28%), Mining (-1.18%), and Air Transportation (-1.17%) stocks were the worst performers among Japanese stocks today
  • Investor sentiment for Japanese stocks finished negative with the advance/decline ratio for the Nikkei 225 closing at 0.51x
  • 18 stocks in the Nikkei 225 hit 4-week highs while 21 stocks reached 4-week lows
  • 9 stocks in the Nikkei 225 closed overbought while 5 stocks closed oversold according to the 16-day RSI Measure
  • Investor sentiment for Hong Kong stocks finished positive with the advance/decline ratio for the Hang Seng closing at 3.17x
  • 3 stocks in the Hang Seng hit 4-week highs while 5 stocks reached 4-week lows
  • 1 stocks in the Hang Seng closed overbought while 2 stocks closed oversold according to the 16-day RSI Measure
  • Japan 10-Year Government Bonds are lower with yields up 0.5 basis points to 0.123%
  • JGBs 2s-10s Spread has widened 1 basis points to 0.24%
  • JPY¥ is currently up +0.252% against the USD$ to 111.35

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

Stock Sentiment

Top Stocks by 7-day News Volume

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Name 7 Day News
Volume
7 Day Average
News Buzz
1M EPS Net
Revisions
3M EPS Net
Revisions
1M EPS
% Chg
3M EPS
% Chg
Alphabet Inc 1966 8.00 -3 -25 0.07% 3.83%
Morgan Stanley 919 8.71 1 4 0.00% -0.14%
Microsoft Corp 734 8.00 2 25 0.13% 6.22%
Bank of America Corp 652 8.86 0 -4 0.02% 0.20%
Wells Fargo & Co 626 9.29 -4 -10 -1.65% -0.79%

Note: Please see our General FAQs to learn how we define and measure News Volume

Top Stocks by 7-Day Average News Buzz

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Name 7 Day News
Volume
7 Day Average
News Buzz
1M EPS Net
Revisions
3M EPS Net
Revisions
1M EPS
% Chg
3M EPS
% Chg
General Electric Co 77 9.43 1 2 -1.81% -24.94%
Wells Fargo & Co 626 9.29 -4 -10 -1.65% -0.79%
BlackRock Inc 550 9.14 0 -7 0.00% -1.96%
Bank of America Corp 652 8.86 0 -4 0.02% 0.20%
Morgan Stanley 919 8.71 1 4 0.00% -0.14%

Note: Please see our General FAQs to learn how we define and measure News Buzz

Implied Volatility Data For Liquid Macro Index ETFs

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ETF 30D IV 30D IV
Percentile
90D IV 90D IV
Percentile
90D/30D IV 90D/30D IV
Percentile
30D IV-
20D HV
30D IV-20D HV
Percentile
90D IV-
60D HV
90D IV-60D HV
Percentile
SPY 9.31 52.38% 11.16 59.72% 1.2 57.34% 2.32 78.17% 3.39 78.37%
QQQ 13.72 45.24% 15.94 62.9% 1.16 78.57% 4.99 89.29% 3.28 76.19%
IWM 11.85 29.56% 12.97 16.87% 1.09 52.58% 3.3 73.41% 2.31 49.6%
FEZ 15.39 80.16% 15.64 82.14% 1.02 26.98% -2.8 18.25% 0.82 48.81%
EEM 18.31 76.98% 18.76 76.79% 1.02 28.97% -3.29 11.51% 0.52 41.67%

Note: Please see our Options FAQs to learn more about Implied Volatility and other advanced options volatility measures

S&P 500 Sector Performance (as of Aug. 31)

*Data in Price Return as of Previous Day's EOD, Source: StockDio

Russell 1000 Factor Performance (as of Aug. 31)

*Data in Price Return as of Previous Day's EOD, Source: StockDio

Stock Movers From Our US Large-Cap Model

Top Buy Winners and Losers

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Winners Ticker Sector Industry 1D Return 5D Return YTD
DOLLAR GENERAL CORP DG Consumer Discretionary Multiline Retail 1.94% -0.26% 14.45%
FACTSET RESEARCH SYSTEMS INC FDS Financials Capital Markets 1.65% 2.52% 18.86%
DUNKIN' BRANDS GROUP INC DNKN Consumer Discretionary Hotels, Restaurants & Leisure 1.62% 2.02% 12.2%
SERVICEMASTER GLOBAL HLDGS SERV Consumer Discretionary Diversified Consumer Services 1.54% -0.55% 16.6%
MSCI INC MSCI Financials Capital Markets 1.46% 3.52% 35.32%
 
Losers Ticker Sector Industry 1D Return 5D Return YTD
MARTIN MARIETTA MATERIALS MLM Materials Construction Materials -2.32% -3.24% -11.76%
MARRIOTT VACATIONS WORLDWIDE VAC Consumer Discretionary Hotels, Restaurants & Leisure -2.17% -4.78% -12.96%
PG&E CORP PCG Utilities Electric Utilities -1.8% 7.58% 3.73%
VULCAN MATERIALS CO VMC Materials Construction Materials -1.21% -0.73% -16.72%
ADOBE SYSTEMS INC ADBE Information Technology Software -1.1% 0.76% 39.4%

Source: S&P Capital IQ, StockDio

Top Short Winners and Losers

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Winners Ticker Sector Industry 1D Return 5D Return YTD
REGENXBIO INC RGNX Health Care Biotechnology -4.37% 6.3% 70.67%
AMBARELLA INC AMBA Information Technology Semiconductors & Semiconductor Equipment -3.69% -2.42% -48.67%
BAKER HUGHES A GE CO BHGE Energy Energy Equipment & Services -3.02% 0.58% 3.87%
FOSSIL GROUP INC FOSL Consumer Discretionary Textiles, Apparel & Luxury Goods -2.87% -15.8% 96.35%
MURPHY OIL CORP MUR Energy Oil, Gas & Consumable Fuels -2.21% -1.86% -1.64%
 
Losers Ticker Sector Industry 1D Return 5D Return YTD
PORTOLA PHARMACEUTICALS INC PTLA Health Care Biotechnology 5.37% 5.79% -49.07%
CARVANA CO CVNA Consumer Discretionary Specialty Retail 4.18% 7.47% 126.29%
BLOOM ENERGY CORP-REDH BE Industrials Electrical Equipment 4.09% -3.16% 18.07%
TANDEM DIABETES CARE INC TNDM Health Care Health Care Equipment & Supplies 3.66% 17.46% 288.97%
CALIFORNIA RESOURCES CORP CRC Energy Oil, Gas & Consumable Fuels 2.98% 14.93% 73.14%

Source: S&P Capital IQ, StockDio

Cryptos

  • Andreas Antonopoulos, Bitcoin evangelist, believes Bitcoin ETFs will be negative for Bitcoin long-term as it will let investor speculate about its price more easily.  Antonopoulos believes a Bitcoin ETF will permit market makers to manipulate Bitcoin markets and that individual investors would move away from playing an important part in the decision-making process of the cryptocurrency ecosystem (since they would inevitably shy away from the responsibilities of owning Bitcoin key). 
  • Bittrex, the US cryptocurrency exchange, is buying a 10% stake in Malta-based blockchain firm Palladium according to the Times of Malta. 
  • Bittrex has decided to delist Bitcoin Gold following failure by the cryptocurrency to pay Bittrex the monthly listing fee of USD$262,907. 
  • Industrial & Commercial Bank of China, the largest bank in China,  has announced it will focus on investing in “intelligent banking” and the deployment of new financial technologies.   The goal of the bank is to introduce “smart banking” to the financial ecosystem in China. 

Cryptocurrencies Today

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

Events Calendar

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Company Name Ticker Event Date Event Type Q-Factor Score
Workday, Inc. WDAY 9/4/2018 Earnings Release Date US Large-Cap: D, US Information Technology: C
HealthEquity, Inc. HQY 9/4/2018 Earnings Release Date US Large-Cap: C
Coupa Software Incorporated COUP 9/4/2018 Earnings Release Date US Large-Cap: D, US Information Technology: C
RH RH 9/4/2018 Earnings Release Date US Large-Cap: D, US Consumer Discretionary: B
Cloudera, Inc. CLDR 9/4/2018 Estimated Earnings Release Date US Large-Cap: F, US Information Technology: D
HD Supply Holdings, Inc. HDS 9/5/2018 Earnings Release Date US Large-Cap: C, US Industrials: C
Ollie's Bargain Outlet Holdings, Inc. OLLI 9/5/2018 Earnings Release Date US Large-Cap: A, US Consumer Discretionary: B
DocuSign, Inc. DOCU 9/5/2018 Earnings Release Date US Large-Cap: F
Guidewire Software, Inc. GWRE 9/5/2018 Earnings Release Date US Large-Cap: D, US Information Technology: D
Zscaler, Inc. ZS 9/5/2018 Earnings Release Date US Large-Cap: F, US Information Technology: F
Navistar International Corporation NAV 9/6/2018 Earnings Release Date US Large-Cap: D, US Industrials: B
Okta, Inc. OKTA 9/6/2018 Earnings Release Date US Large-Cap: F, US Information Technology: F
Five Below, Inc. FIVE 9/6/2018 Earnings Release Date US Large-Cap: A, US Consumer Discretionary: A
Palo Alto Networks, Inc. PANW 9/6/2018 Earnings Release Date US Large-Cap: D, US Information Technology: D
GameStop Corp. GME 9/6/2018 Earnings Release Date US Large-Cap: D, US Consumer Discretionary: C

Source: S&P Capital IQ