OVERNIGHT MARKETS AND NEWS
September E-mini S&Ps (ESU15 -0.24%) are down -0.15% and European stocks are little changed, up +0.02%. Losses in basic-resource companies and energy producers are pressuring stocks with copper prices (HGU15 -1.70%) sliding to a new 6-year low and crude oil (CLU15 -0.69%) just above Friday’s 6-1/3 year low. European stocks recovered losses and moved higher as technology and health-care stocks gained. A 6% plunge in Chinese stocks also undercut U.S. and European equity markets after Chinese data showed Jul home prices rose, which reduced speculation the government will boost stimulus measures. Asian stocks closed lower: Japan -0.32%, Hong Kong -1.43%, China -6.15%, Taiwan -0.44%, Australia -1.20%, Singapore -0.58%, South Korea -0.07%, India -0.17%. China’s Shanghai Composite fell to a 1-week low as the yuan weakened, which pressured other Asian markets on economic growth concerns.
The dollar index (DXY00 -0.05%) is up +0.02%. EUR/USD (^EURUSD) is down -0.16%. USD/JPY (^USDJPY) is down -0.09%. GBP/USD is up +0.73% at a 1-1/2 month high after UK Jul core CPI rose +1.2% y/y, higher than expectations of +0.9% y/y and the fastest pace of increase in 5 months.
Sep T-note prices (ZNU15 -0.05%) are down -2.5 ticks.
China Jul home prices rose in 31 cities of the 70 tracked by the government, up from 27 in Jun, while prices dropped in 29 cities, the first time in 16 months that Chinese home price rose more than declined.
U.S. STOCK PREVIEW
Key U.S. news today includes: (1) Jul housing starts (expected +0.8% to 1.183 million) and (2) Jul building permits (expected -8.0% to 1.230 million).
There are 4 of the S&P 500 companies that reports earnings today: Home Depot (consensus $1.71), Wal-Mart (1.12), TJX Companies (0.76), Analog Devices (0.75).
U.S. IPO’s scheduled to price today include: Amplify Snack Brands ($18.00), Integra LifeSciences Holdings (61.00), RSP Permian (22.50), Central Pacific Financial Corp. (22.35), Retail Opportunity Investments (16.55), Roadrunner Transportation Systems (24.75), Zynerba Pharmaceuticals (14.00).
