Morning Call: U.S. equities higher on strength in mining and energy stocks; Jun E-mini S&Ps up +0.23% at a 1-1/2 month high; Jul COMEX copper up +0.23% at a 2-week high.
Related Stocks
 ESM18 - S&P 500 E-Mini
SymLastChgPct
ESM182,718.25s-9.25-0.34%
CLM1872.13s-0.11-0.15%
GCM181,303.7s-0.7-0.05%
HGN183.0775s-0.0185-0.60%
DXY0094.188s+0.430+0.46%
ZNM18119-275s+0-115+0.30%
SIN1816.546s-0.141-0.84%
RBM182.1814s-0.0524-2.35%
GXP33.64+0.86+2.62%
EEFT81.74-0.42-0.51%
PPG103.40+0.90+0.88%
SATS48.01-0.51-1.05%
NKTR79.96-0.62-0.77%
TTD82.56-0.43-0.52%
GLOB51.15+0.44+0.87%
FSCT30.29-0.20-0.66%
MOS28.03+0.17+0.61%
SYMC21.06+0.07+0.33%
MCFT30.06-0.14-0.46%
XON15.66+0.16+1.03%
VRAY6.99+0.02+0.29%
ZIOP4.51unchunch

Overnight Markets and News

Jun E-mini S&Ps (ESM18 +0.23%) this morning are up +0.23% at a new 1-1/2 month high on expectations for the Fed to maintain their slow pace to interest rate hikes after Thursday's CPI data came in below expectations. Energy stocks are stronger with Jun WTI crude oil (CLM18 +0.04%) up +0.14% as Middle East tensions simmer and as the market assesses how the renewed sanctions on Iran will affect global crude supplies. Mining stocks and metal producers are higher as well with Jun COMEX gold (GCM18 +0.19%) up +0.19% at a 1-1/2 week high and Jul COMEX copper (HGN18 +0.02%) up +0.23% at a 2-week high. The 10-year T-note yield also held below 3%, another positive for equity prices. European stocks are down -0.27%, weighed down by losses in healthcare stocks. Asian stocks settled mixed: Japan +1.16%, Hong Kong +1.02%, China -0.35%, Taiwan +0.92%, Australia -0.04%, Singapore +0.92%, South Korea +0.38%, India +0.82%. Japan's Nikkei stock Index rallied to a 3-month high after weak U.S. inflation data on Thursday eased concern the Fed would have to speed up the pace of their rate hikes. Reduced geopolitical concerns also aided Asian equity markets with U.S. President Trump and North Korean leader Kim Jong Un set to meet in Singapore on June 12.

The dollar index (DXY00 -0.11%) is down -0.19%. EUR/USD (^EURUSD +0.16%) is up +0.16%. USD/JPY (^USDJPY -0.09%) is down -0.10%.

Jun 10-year T-note prices (ZNM18 +0-015) are up +2 ticks.

China Apr new yuan loans were 1.18 trillion yuan, stronger than expectations of 1.10 trillion yuan. Apr aggregate financing rose +1.56 trillion yuan, stronger than expectations of 1.35 trillion yuan.

U.S. Stock Preview

Key U.S. news today includes: (1) Apr import price index (expected +0.5% m/m and +3.9% y/y, Mar unch m/m and +3.6% y/y), (2) St. Louis Fed President James Bullard (non-voter) speaks on the U.S. economy and monetary policy at a Springfield Area Chamber of Commerce breakfast in Springfield, MO and (3) University of Michigan U.S. May consumer sentiment (expected -0.5 to 98.3, Apr -2.6 to 98.8).

Notable Russell 2000 earnings reports today include: Consolidated Water (consensus $0.18), Cambrium Learning Group (0.05), WideOpenWest (0.16), National Presto Industries, Oconee Federal Financial.

U.S. IPO's scheduled to price today: none.

Equity conferences this week: none.

Market Comments

June S&P 500 E-minis (ESM18 +0.23%) this morning are up +6.25 points (+0.23%) at a fresh 1-1/2 month high. Thursday's closes: S&P 500 +0.94%, Dow Jones +0.80%, Nasdaq +1.02%. The S&P 500 on Thursday rallied to a 1-1/2 month high and closed higher on the U.S. weekly jobless claims report of unchanged at 211,000 (better than expectations of +8,000 to 219,000) and the U.S. Apr core CPI report of +0.1% m/m and +2.1% y/y (slightly weaker than expectations of +0.2% m/m and +2.2% y/y). There was also strength in technology stocks led by a 1.4% increase in Apple to a new record high.

June 10-year T-notes (ZNM18 +0-015) this morning are up +2 ticks. Thursday's closes: TYM8 +4.00, FVM8 +0.25. Jun 10-year T-notes on Thursday closed higher on increased safe-haven demand for T-notes on increased tensions in the Middle East after Israel launched a major attack on Iranian military positions in Syria. T-notes were also supported by the weaker-than-expected U.S. Apr core CPI report.

The dollar index (DXY00 -0.11%) this morning is down -0.176 (-0.19%). EUR/USD (^EURUSD +0.16%) is up +0.0019 (+0.16%). USD/JPY (^USDJPY -0.09%) is -0.11 (-0.10%). Thursday's closes: Dollar Index -0.390 (-0.42%), EUR/USD +0.0064 (+0.54%), USD/JPY -0.34 (-0.31%). The dollar index on Thursday closed lower on the weaker-than-expected U.S. Apr CPI report, which was dovish for Fed policy. There was also weakness in USD/JPY as the yen strengthened after BOJ Governor Kuroda said the BOJ has no plans to conduct another comprehensive assessment of monetary easing.

Metals prices this morning are higher with Jun gold (GCM18 +0.19%) +2.5 (+0.19%) at a 1-1/2 week high, Jul silver (SIN18 +0.30%) +0.046 (+0.27%) at a 2-1/2 week high, and Jul copper (HGN18 +0.02%) +0.007 (+0.23%) at a 2-week high. Thursday's closes: Jun gold +9.30 (+0.71%), Jul silver +0.220 (+1.33%), Jul copper +0.00525 (+1.72%). Metals on Thursday closed higher with Jun gold at a 1-week high and Jul copper at a 2-week high. Metals prices were boosted by a weaker dollar and by increased geopolitical risks that boosted the safe-haven demand for precious metals after Israel launched a major attack on Iranian military positions in Syria. Copper prices were boosted by news that LME copper inventories fell by -7,950 MT to a 3-1/2 month low.

Jun WTI crude oil prices (CLM18 +0.04%) this morning are up +10 cents (+0.14%) and Jun gasoline (RBM18 +0.05%) is +0.0038 (+0.17%). Thursday's closes: Jun crude +0.22 (+0.31%), Jun gasoline +0.0217 (+1.00%). Jun crude oil and gasoline on Thursday closed higher with Jun crude at a 3-1/2 year high and Jun gasoline at a 2-3/4 year high. Crude oil prices were boosted by the weaker dollar and by heightened Middle East tensions after Israel launched a major attack on Iranian military positions in Syria. Crude oil prices were undercut by the comment from Saudi Arabian Energy Minister Khalid Al-Falih that Saudi Arabia will work with OPEC and non-OPEC producers to "mitigate the effects of any supply shortages," which signals Saudi Arabia is willing to boost its crude output to make up for lost Iran oil exports.

Overnight U.S. Stock Movers

Great Plains Energy (GXP +0.84%) was upgraded to 'Buy' from 'Hold' at SunTrust Robinson Humphrey with a price targetof $36.

Euronet Worldwide (EEFT +0.93%) was rated a new 'Buy' at Needham & Co with a price target of $100.

PPG Industries (PPG -0.88%) fell 3% in after-hours trading after it said it is unable to predict when it will file its Q1 Form 10-Q because it needs more time to investigate its accounting policies and procedures.

EchoStar (SATS +0.80%) was upgraded to 'Strong Buy' from 'Outperform' at Raymond James with a price target of $75.

Nektar Therapeutics (NKTR -0.69%) dropped 3% in after-hours trading after it reported a Q1 loss of -60 cents per share, wider than consensus of -53 cents.

Trade Desk (TTD +2.35%) surged 20% in after-hours trading after it reported Q1 revenue of $85.7 million, above consensus of $73.2 million, and then forecast Q2 revenue of $103 million, better than consensus of $93.1 million.

Globant SA (GLOB +0.30%) rose more than 2% in after-hours trading after it forecast Q2 revenue of $124 million to $126 million, stronger than consensus of $120.8 million.

ForeScout Technologies (FSCT -2.26%) jumped 7% in after-hours trading after it forecast 2018 revenue of $270.4 million to $280.4 million, above consensus of $267.8 million.

Mosaic (MOS +2.25%) rose more than 1% in after-hours trading after it was upgraded to 'Outperform' from 'Sector Perform' at RBC Capital Markets with a price target of $32.

Symantec (SYMC +1.50%) dropped 13% in after-hours trading after it forecast full-year adjusted EPS of $1.50 to $1.65, weaker than consensus of $1.80.

MCBC Holdings (MCFT +1.09%) jumped more than 9% in after-hours trading after it reported Q3 revenue of $93.8 million, higher than consensus of $88.8 million.

Intrexon (XON +0.11%) fell 5% in after-hours trading after it reported a Q1 loss per share of -33 cents, wider than consensus of -18 cents.

ViewRay (VRAY +2.38%) rallied 11% in after-hours trading after it reported Q1 revenue of $26.2 million, stronger than consensus of $11.9 million.

Ziopharm Oncology (ZIOP -2.17%) slid nearly 5% in after-hours trading after it reported Q1 revenue of $150,000, much weaker than consensus of $1.5 million.