"Sittin' in the morning sun, I'll be sittin' when the evening come, Watching the ships roll in and then I'll watch 'em roll away again....yeah....I'm sittin on the dock of the bay - Watching the tide roll away..." - Otis Redding - December 1967 (just days before he died in a plane crash)
And that ladies and gents is what is going on right now - As we sit in the morning sun - we take it all in -and then the day begins....The "tide (of the S&P) rolls in and then it rolls away again....."
Yesterday saw the tide roll in - bringing the high tide a little closer to the sea wall....as global investors jumped in - gapping it up on the open only to stall a bit as the day wore on........mkts around the world were all higher and again this morning as the tide rolls in - investors are enjoying the weather once again forcing global mkts higher as they weigh the impact of earnings, data and politics.
The strength attributed to calming tensions around the world and better global macro data - with Asia a clear standout..... China, India and Japan led the way higher. It seems that as investors/analysts/strategists continue to analyze the data from last week - they are finding that Chinese economy is in fact stabilizing - this is a clear positive for the broader global picture. Chinese credit growth is accelerating, and the money supply is expanding, which is helping to boost property developer sales and clear inventory. In addition second qtr GDP came in at an annual rate of 7.5%, while June industrial production at 9.2%, was ahead of expectations of 9%.
As the sun rose over Europe - the fun continued. Here at home we got a slew of key earnings - and although not all of them were 'outstanding' - techs and energy drove broad sentiment.....consumer non durables (KO, MCD) a bit of a disappointment - but that goes to a change in healthy mindset of the consumer vs. a struggling consumer. It seems Americans are opting for less sugary drinks and 'fast fattening foods' to more health conscious choices - Chipotle Mexican Grill - a clear winner in this category.
In addition - we got some better macro data - in this case existing home sales....now this is a bit of beaten up topic....because - yes they did rise more than expected in June, but remain below the level this time last year....so what does it really tell us? No one is making broad investment decision based on existing home sales - so check the box and move on.
Housing names - Lennar, Toll Brothers and KB Homes did rally - now these are home builders and the report was on existing homes not new homes...but the sense you have to draw is that if existing homes are doing better than new homes should also be a beneficiary......and we will find that out at 10 am tomorrow morning when New Home Sales get reported....exp of 475k - which would be down 5% over last month....I'm just sayin.....
The Russell - which has been a bit of a concern lately managed to do almost nothing and is still churning at its' 200 dma... The S&P did close at a new high at 1983...and like I have been saying - they WANT to take this index to 2000 and won't rest until they do.....will today be the day.
US Futures are +4 this morning - Boeing (beat) , Pepsi (beat), Delta, General Dynamics, Norfolk Southern all on the docket this morning as investors/traders await earnings. After the bell - look for Facebook, Gilead and American Telephone.
Last night after the bell - the mkt anxiously awaited earnings from Apple and Microsoft - Apple - beat on earnings but missed on revenues with Tim Cook gushing on CNBC -
"I couldn't be happier. This is the best execution of any quarter since I've been at Apple"
They rallied the stock into the close and then did nothing after the announcement. Today we will see if investors/traders think Timmy Cook is right.
And in a twist of fate - Bill Ackman brought himself to tears as he again presented his analysis on why Herbalife should go out of business.....I guess I would be crying too if I had a $1 bil SHORT bet on the stock as investors rallied it 25% during my speech....(What is Uncle Carl doing right about now?). And the saga plays on.....
US futures are now +3. The only macro data today is Mortgage apps - and they came in at +2.4%....kind of in line with yesterday's existing home sales report. Do not look for this to be the ignition switch today.....Traders/investors to focus on earnings and geo-politics.....As long as the politics is under control then watch for earnings to be the directional driver.
Watch as strategists hash out yesterday's CPI report.....Wage inflation is beginning to set in (according to the report).....meaning that the FED may get painted into a corner - listen for the comments.....and Argentina is only 168 hours away from DEBT DEFAULT - something that seems to have dropped off the radar.
We are right there....if the S&P can push into the 1990's - then the leap to 2000 will only be hours away.....You will be able to tell once the day gets started - will you feel the excitement? Will the momo guys and the computers drive us to all time highs on the S&P today?
On a side note - did you see the latest news concerning Obamacare? Not good - DC circuit court and VA 4th District court issue 'conflicting rulings on the health care subsidies.....It's off to the Supreme court now - either way - Americans should brace themselves for huge premium increases - Democrats should be worried -since they shoved this down our throats - Republicans should take the opportunity to LEAD the nation through this 'pending national crisis'. And the plot thickens....Mid-Term election season is sure to be exciting.
And if you missed it - BATS President William O'Brien is OUT. Please refer to the CNBC video when he wasn't 'completely honest' about the inner workings of the BATS exchange....causing more uproar in an industry that is battling for market structure reform - with many now calling for 'more transparency' not less - especially in light of the recent revelations concerning 'Dark Pools and Internalization Engines'.....
Brighter days are ahead.....and the 'NYSE' is taking the lead in this epic battle....stay tuned.
In a slow cooker - put
1 c of ketchup, 1/2 c of beer, 1/2 c of light brown sugar, 1/2 c chopped onion, 1/4 c of red wine vinegar, 1/4 c of Worcestershire sauce, 1 tbl of steak seasoning, 1 tsp garlic powder and 1 tsp Cajun seasoning. Mix well and then add a 3 - 5 lb pork butt/shoulder.
Cook for 8 hours - remove and shred with a fork reserving the sauce for the sandwich!
Enjoy
Buon Appetito.
And that ladies and gents is what is going on right now - As we sit in the morning sun - we take it all in -and then the day begins....The "tide (of the S&P) rolls in and then it rolls away again....."
Yesterday saw the tide roll in - bringing the high tide a little closer to the sea wall....as global investors jumped in - gapping it up on the open only to stall a bit as the day wore on........mkts around the world were all higher and again this morning as the tide rolls in - investors are enjoying the weather once again forcing global mkts higher as they weigh the impact of earnings, data and politics.
The strength attributed to calming tensions around the world and better global macro data - with Asia a clear standout..... China, India and Japan led the way higher. It seems that as investors/analysts/strategists continue to analyze the data from last week - they are finding that Chinese economy is in fact stabilizing - this is a clear positive for the broader global picture. Chinese credit growth is accelerating, and the money supply is expanding, which is helping to boost property developer sales and clear inventory. In addition second qtr GDP came in at an annual rate of 7.5%, while June industrial production at 9.2%, was ahead of expectations of 9%.
As the sun rose over Europe - the fun continued. Here at home we got a slew of key earnings - and although not all of them were 'outstanding' - techs and energy drove broad sentiment.....consumer non durables (KO, MCD) a bit of a disappointment - but that goes to a change in healthy mindset of the consumer vs. a struggling consumer. It seems Americans are opting for less sugary drinks and 'fast fattening foods' to more health conscious choices - Chipotle Mexican Grill - a clear winner in this category.
In addition - we got some better macro data - in this case existing home sales....now this is a bit of beaten up topic....because - yes they did rise more than expected in June, but remain below the level this time last year....so what does it really tell us? No one is making broad investment decision based on existing home sales - so check the box and move on.
Housing names - Lennar, Toll Brothers and KB Homes did rally - now these are home builders and the report was on existing homes not new homes...but the sense you have to draw is that if existing homes are doing better than new homes should also be a beneficiary......and we will find that out at 10 am tomorrow morning when New Home Sales get reported....exp of 475k - which would be down 5% over last month....I'm just sayin.....
The Russell - which has been a bit of a concern lately managed to do almost nothing and is still churning at its' 200 dma... The S&P did close at a new high at 1983...and like I have been saying - they WANT to take this index to 2000 and won't rest until they do.....will today be the day.
US Futures are +4 this morning - Boeing (beat) , Pepsi (beat), Delta, General Dynamics, Norfolk Southern all on the docket this morning as investors/traders await earnings. After the bell - look for Facebook, Gilead and American Telephone.
Last night after the bell - the mkt anxiously awaited earnings from Apple and Microsoft - Apple - beat on earnings but missed on revenues with Tim Cook gushing on CNBC -
"I couldn't be happier. This is the best execution of any quarter since I've been at Apple"
They rallied the stock into the close and then did nothing after the announcement. Today we will see if investors/traders think Timmy Cook is right.
And in a twist of fate - Bill Ackman brought himself to tears as he again presented his analysis on why Herbalife should go out of business.....I guess I would be crying too if I had a $1 bil SHORT bet on the stock as investors rallied it 25% during my speech....(What is Uncle Carl doing right about now?). And the saga plays on.....
US futures are now +3. The only macro data today is Mortgage apps - and they came in at +2.4%....kind of in line with yesterday's existing home sales report. Do not look for this to be the ignition switch today.....Traders/investors to focus on earnings and geo-politics.....As long as the politics is under control then watch for earnings to be the directional driver.
Watch as strategists hash out yesterday's CPI report.....Wage inflation is beginning to set in (according to the report).....meaning that the FED may get painted into a corner - listen for the comments.....and Argentina is only 168 hours away from DEBT DEFAULT - something that seems to have dropped off the radar.
We are right there....if the S&P can push into the 1990's - then the leap to 2000 will only be hours away.....You will be able to tell once the day gets started - will you feel the excitement? Will the momo guys and the computers drive us to all time highs on the S&P today?
On a side note - did you see the latest news concerning Obamacare? Not good - DC circuit court and VA 4th District court issue 'conflicting rulings on the health care subsidies.....It's off to the Supreme court now - either way - Americans should brace themselves for huge premium increases - Democrats should be worried -since they shoved this down our throats - Republicans should take the opportunity to LEAD the nation through this 'pending national crisis'. And the plot thickens....Mid-Term election season is sure to be exciting.
And if you missed it - BATS President William O'Brien is OUT. Please refer to the CNBC video when he wasn't 'completely honest' about the inner workings of the BATS exchange....causing more uproar in an industry that is battling for market structure reform - with many now calling for 'more transparency' not less - especially in light of the recent revelations concerning 'Dark Pools and Internalization Engines'.....
Brighter days are ahead.....and the 'NYSE' is taking the lead in this epic battle....stay tuned.
Pulled Pork - Frankie D Style
Considering all of the pulling going on around here - try my friend - Frankie D's - Pulled Pork -In a slow cooker - put
1 c of ketchup, 1/2 c of beer, 1/2 c of light brown sugar, 1/2 c chopped onion, 1/4 c of red wine vinegar, 1/4 c of Worcestershire sauce, 1 tbl of steak seasoning, 1 tsp garlic powder and 1 tsp Cajun seasoning. Mix well and then add a 3 - 5 lb pork butt/shoulder.
Cook for 8 hours - remove and shred with a fork reserving the sauce for the sandwich!
Enjoy
Buon Appetito.
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