MAY 5-10 ECONOMIC CALENDAR: LIGHT and blah. Cook Stats like Chicken Soup Fri
It couldn't hurt.
Sunday, May 5 China PMI composite
Monday, May 6 Three-year anniversary of the Flash Crash. President Obama will meet South Korean president Park Geun-hye at the White House Japan PMI composite
Earnings: Tyson Foods (TSN), Sysco (SYY), First Solar (FSLR)
Tuesday, May 7 CONSUMER CREDIT 3pm
Annual meeting: Nokia (NOK)
Earnings: Disney (DIS), Electronic Arts (EA), Whole Foods (WFM), Zillow (Z), HSBC (HBC)
Auctions: 4-week bill, 3-year note
Wednesday, May 8 7:00 AM MBA Mortgage Index 05/04 10:30 AM Crude Inventories
MBA mortgage applications
Auction: 10-year note
Key earnings: Toyota (TM), AOL (AOL), Wendy's (WEN), Green Mountain (GMCR), Groupon (GRPN), Monster Beverage (MNST), Tesla Motors (TSLA), NewsCorp (NWSA)
Fed speaker: Jeremy C. Stein
Annual Washington conference on the Americas, focusing on foreign policy
Thursday, May 9 8:30 AM Initial Claims 340K 336K 324K 8:30 AM Continuing Claims 04/27 - 3050K 3019K 3019K 10:00 AM Wholesale Inventories Mar - 0.3% 0.3% -0.3% -
10:30 AM Natural Gas Inventories 05/04 - NA NA 43 bcf -
FRIDAY May 10 2:00 PM Treasury Budget Apr - NA NA +$59.1B Bank of England monetary policy announcement Data: Weekly jobless claims, chain store sales, Fed balance sheet/money supply, natural gas inventories, wholesale inventories Fed speaker: Jeffry GLOOM AND DOOM Lacker
Lacker talks about the Fed leaving QE and artificially keeping irates low this morning, while jobless claims slightly decline enough to give his comments traction. The market will continue to sell off on the news imho, which lends credence to QE never ending.
Buy the dips. Next week it's back going "to the moon".
Claims suck, but they suck better than they have in five years, and somebody leaked that was allegedly "reliable" that the Fed was arguing how to disentangle themselves from mortgage buying and overnight rate crushing, and sure enough, on cue, the market took a lot of air out of itself chasing the end of the artificial bubble.
If this was just a teaser to see what might happen, they got a good answer on what will happen when the party brought to you by the Fed is over.