Stock Market Update from Briefing.com

Briefing.com

8:32 am: [BRIEFING.COM] S&P futures vs fair value: -10.30. Nasdaq futures vs fair value: -25.50. The S&P 500 futures trade ten points below fair value.

The latest weekly initial jobless claims count totaled 302,000, while the Briefing.com consensus expected a reading of 310,000. Today's tally was above the revised prior week count of 279,000 (from 284,000). As for continuing claims, they rose to 2.539 million from 2.508 million.

Separately, the Q2 Employment Cost Index rose 0.7%, while the Briefing.com consensus expected an increase of 0.4%.

8:05 am: [BRIEFING.COM] S&P futures vs fair value: -9.40. Nasdaq futures vs fair value: -25.00. U.S. equity futures are on the defensive amid cautious action overseas. Global equities have been pressured by disappointing earnings from heavyweights like Adidas, Samsung, and Lufthansa. The S&P 500 futures hover nine points below fair value.

Reviewing overnight developments:

  • Asian markets ended mixed. Japan's Nikkei -0.2%, Hong Kong's Hang Seng +0.1%, and China's Shanghai Composite +0.9% 
    • In economic data: 
      • Japan's Average Cash Earnings increased 0.4% year-over-year (expected 0.7%, previous 0.6%), while Housing Starts fell 9.5% year-over-year (consensus -11.5%, previous -15.0%) 
      • Australia's Building Approvals fell 5.0% month-over-month (expected -2.0%, previous 10.3%), while Private Sector Credit rose 0.7% month-over-month (consensus 0.4%, previous 0.4%). Separately, Import Price Index declined 3.0% quarter-over-quarter (expected -1.3%, previous 3.2%) 
      • Hong Kong's Retail Sales fell 6.9% year-over-year (expected -5.1%, previous -4.1%) 
      • Singapore's Unemployment Rate held steady at 2.0%, as expected 
    • In news: 
      • Samsung tumbled 3.7% in Seoul after reporting earnings in line with the warning that was issued earlier in the month
  • Major European indices trade lower across the board. Great Britain's FTSE -0.2%, France's CAC -1.0%, and Germany's DAX -1.2%. Elsewhere, Italy's MIB -1.5% and Spain's IBEX -1.9% 
    • Participants received several data points: 
      • Eurozone CPI rose 0.4% year-over-year (expected 0.5%, previous 0.5%), while Core CPI increased 0.8% (consensus 0.8%, prior 0.8%). Separately, the Unemployment Rate ticked down to 11.5% from 11.6% (expected 11.6%) 
      • Germany's Unemployment declined by 12,000 (expected -5,000, previous 7,000), while the Unemployment Rate held steady at 6.7%, as expected 
      • Great Britain's Nationwide HPI rose 10.6% (expected 11.3%, previous 6.0%) 
      • France's Consumer Spending rose 0.9% month-over-month (expected 0.1%, previous 0.7%), while PPI was unchanged month-over-month (consensus -0.1%, previous -0.5%) 
      • Italy's Monthly Unemployment Rate slipped to 12.3% (expected 12.6%, previous 12.5%), while CPI ticked down 0.1% month-over-month (expected 0.1%, previous 0.1%). Also of note, PPI ticked up 0.1% month-over-month (consensus -0.1%, previous -0.1%) 
      • Spain's Current Account deficit narrowed to EUR580 million from EUR1.60 billion 
    • In news: 
      • Germany and Russia have reportedly engaged in discussions to broker a diplomatic solution to the situation in Ukraine with Russia pushing for the international community to recognize Crimea's independence
In U.S. corporate news:
  • Alcatel Lucent (ALU 3.54, -0.30): -7.8% after missing bottom-line estimates 
  • AstraZeneca (AZN 73.40, +0.21): +0.3% after beating earnings and revenue expectations
  • Colgate-Palmolive (CL 65.01, -1.10): -1.7% following its in-line earnings on better than expected revenue 
  • Sony (SNE 18.00, +0.47): +2.7% after reporting strong results and raising its guidance 
  • Western Digital (WDC 97.25, -3.92): -3.9% after its cautious guidance overshadowed better than expected earnings and revenue 
  • Whole Foods Market (WFM 37.75, -1.36): -3.5% after beating estimates and issuing disappointing guidance. The company announced a share repurchase program in the amount of $1 billion 
  • Yelp (YELP 71.00, -4.60): -6.1% despite beating earnings estimates and guiding above consensus 
Weekly initial claims (Briefing.com consensus 310K) and the Q2 Employment Cost Index (consensus 0.4%) will be released at 8:30 ET and the day's data will be topped off with the 9:45 ET release of the Chicago PMI for July (expected 61.8).

8:01 am: [BRIEFING.COM] S&P futures vs fair value: -9.50. Nasdaq futures vs fair value: -24.50.

8:01 am: [BRIEFING.COM] Nikkei...15620.77...-25.50...-0.20%.  Hang Seng...24756.85...+24.60...+0.10%.

8:01 am: [BRIEFING.COM] FTSE...6762.52...-10.90...-0.20%.  DAX...9466.30...-127.40...-1.30%.

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