JULY 2, 2015
US futures up cautiously at this 7AM hour as traders get ready for the last trading day before the 4th of July, 3-day weekend. European markets, which will be open tomorrow, are skirting along the flat line as investors keep an eye and ear open to any development in the Greece monetary drama. Overnight, most of Asia also traded flat except the Shanghai, which kept its downward trajectory as it fell another 2.2%. US traders will gets a look at jobs data at 8:30 this morning. As the labor market picks up, investors will key in on hourly wage data and labor force participation numbers to validate the health the US economy. Higher paying jobs and more prime-age workers being pulled back into the labor force would be a clearer affirmation that the economy is indeed getting stronger.
NEWS:
- MT: announces cut of 2800 jobs in its Mexican unit
- FB: Facebook set to offer video creators revenue split with new “Suggested Videos” feed, reports The Next Web
- FB: Facebook reportedly talking to music labels, reports trustedreviews
- DIS: Lifetime to debut $3.99 movie streaming service
- BA: raises 2015 jet prices by 2.9%, reports Bloomberg
- SUNE: SunEdison and Gamesa announce MOU to develop 1GW of wind power plants
- ACN: announces new 5-year contract from Dept of Health in England and NHS National Services Scotland
- ACN: announces renewal of 5-year contract with Deutsche Bank
- ACN: announces plans to sell Navitaire subsidiary to Amadeus for $830M
- TSLA: delivers 11,507 vehicles in Q2: deliveries rise 52%
- BIIB: AGTC: Biogen and Enter Ophthalmic Disease Therapy Collaboration, reports streetinsider
- HZNP :Receives Notice of Allowance from USPTO for PENNSAID-Related Application, reports streetinsider
- CNC: HNT: Centene agrees to buy Health Net in $6.8B cash and stock deal
- AAPL: GOOG: AMZN: Android wins 65% Of US market share with help from Galaxy S6 Sales, reports Marketing Land
ON THE ECONOMIC CALENDAR:
- 8:30AM: Non-farm payrolls: expectation consensus 225K
- 8:30AM: Unemployment rate: expectation consensus 5.4%
- 8:30AM: Average hourly earnings: expectation consensus +0.2%
- 8:30AM: Weekly Jobless Claims: expectation consensus 275K
- 9:45AM: Bloomberg Consumer Comfort Index
- 10AM: Factory Orders: expectation consensus -0.5%
- 10:30AM: EIA Natural Gas Inventory
- 4:30PM: Money Supply and Fed Balance Sheet
ANALYSTS’ RATINGS CHANGES:
UPGRADES:
- GRUB: upgrade: sector perform to outperform: RBC Capital: NOTE: pt cut from $46 to $42
- AZN: upgrade: hold to buy: Berenberg:
- CAG: upgrade: equal weight to overweight: Morgan Stanley: $50
- HLS: upgrade: market perform to outperform: JMP Securities
- SQM: upgrade: hold to buy: HSBC:
- T: upgrade: market perform to outperform: Cowen: $40
DOWNGRADES:
- RYI: downgrade: buy to hold: Deutsche Bank: $10
- ZION: downgrade: outperform to market perform: Raymond James
- RF: downgrade: strong buy to outperform: Raymond James: $11.50
- GTS: downgrade: market perform to underperform: Wells Fargo: $18-19 pt range
INITIATIONS:
- T: initiated: buy: Buckingham Research: $41
PRICE TARGET CHANGES:
- CB: pt raised from $104 to $128: RBC Capital
- IMPV: pt raised from $61 to $76: RBC Capital
- BOOT: pt raised from $29 to $41: Piper
- IMPV: pt raised from $64 to $76: RBC Capital
- TPX: pt raised from $65 to $75: Stifel
- DD: pt cut from $69 to $64: RBC Capital
- ACE: pt cut from $127 to $120: RBC Capital
- STX: pt cut from $63 to $55: Citi
- WDC: pt cut from $115 to $100: Citi
