After Hours Summary: FRPT -13.2%, ASNA -11.6%, ALOG +8.5%, YY +3.4% following earnings/guidanceAfter Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: TNTR +10.6%, ALOG +8.5%, TEDU +6.3%, HAIR +6.3% (light volume), NX +5.2% (ticking higher), EGLE +4.8%, YY +3.4%
Companies trading higher in after hours in reaction to news: GNCA +18.4% (initiated with Overweight rating/$5 tgt at Cantor Fitzgerald after the close), QDEL +6.6% (receives FDA clearance for its point-of-care Sofia Lyme Fluorescent Immunoassay), TI +1.6% (indicated higher on reports of Paul Singer' Elliott Management stake), ADRO +1.5% (earned $3.0 mln development milestone payment under its worldwide licensing agreement with Merck for the initiation of a Phase I clinical trial of its anti-CD27 antibody), DPZ +0.8% (initiated after the close with a Outperform at Baird), MU +0.6% (mentioned positively on MadMoney)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: FRPT -13.2%, ASNA -11.6%, NLS -8.7% (also approves additional $15 mln share repurchase program), SNDX -5.6%, FATE -3.8%, ANTH -3.7%, STRL -2.4% (light volume)
Companies trading lower in after hours in reaction to news: GLYC -19.5% (announces design of Ph 3 clinical trial for GMI-1271 in relapsed/refractory AML with enrollment in Q3; reports earnings tomorrow will provide more details on call), SCYX -13.6% (commences offering of shares of common stock and warrants), ARES -10.9% (announces 15 mln share offering -10 mln by selling shareholder and 5 mln by the company), UQM -6.2% (co and CNHTC have withdrawn their CFIUS Application), JWN -2.7% (announces the receipt and rejection of proposal to acquire the company; Nordstrom family offered $50.00/share), CDEV -1.7% (ticking lower -- commences 25 mln share underwritten public offering by selling shareholders), TRU -0.5% (launches secondary offering 19,889,564 shares of common stock)
![]()
Asian stocks rallied after a second session of gains in the U.S. signaled investor concerns about a potential trade war in wake of President Donald Trump’s proposed tariffs are waning. U.S. Treasury yields stayed higher. Japan’s Topix index closed up 1.3 percent after advancing as much as 2 percent, and benchmarks from Hong Kong to Seoul clawed back losses incurred since Trump’s protectionist broadside on Thursday. Ten-year Treasury yields hovered around 2.89 percent, though that offered scant support for the dollar, which was little changed.
Nikkei +1.79% HAng Seng +2.10% CSI +0.95% Shanghai +0.77% Shenzen +1.03%
Eur$ 1.2343 CNH 6.3430 CNY 6.3458 JPY 106.27 GBP 1.3834 CHF 0.9399 RUB 56.4747 WTI$ 62.67 +0.16%
S&P +0.21% EuroStoxx +0.39% FTSE +0.57% Dax +0.76% SMI +0.455
Macro :
- Kuroda Sees QE Exit Unthinkable Before Target: Macro Squawk Wrap
- JPMorgan Starts MSCI Futures Rollover Report to Track Indexes
- U.S. Tariffs Could Cut American Steel Imports in Half: WoodMac
- Deutsche Boerse: Covestro to Replace PROSIEBENSAT.1 in DAX
- Volcker Rule to Undergo ‘Material Changes,’ Fed’s Quarles Says
Keep an eye on :
- AENA SM : Aena in Talks to Acquire Stake in Luton Airprot: Expansion
- AGK LN : Aggreko Full Year Revenue Beats Highest Estimate
- AIR FP : GE Readies Durability Fix for 500 Engines on Upgraded 737, A320
- AIR FP : Airbus Is Said to Set Service Rev., Productivity Goals: Reuters
- ALV GY : Allianz Germany Anticipates Stable Growth Rate in 2018: BZ
- AMZN US : Amazon Expands Whole Foods Delivery to Atlanta, San Francisco
- BKIA SM : Cerberus to Manage Bankia Real Estate Assets: Expansion
- BYW6 GY : BayWa Full Year Revenue Meets Estimates
- BLT LN : BHP Sees China’s Price Premium For Iron Ore Being ’Long-Lived’
- BMW GY : BMW Cuts Europe CO2 Fleet Emissions as Electric-Car Share Rises
- BRE IM : Brembo May Finalize New Purchase in 24 Mos., Likely in China: MF
- BUCN SW : Bucher Full Year Dividend Per Share Beats Estimates
- 1COV GY : Deutsche Boerse: Covestro to Replace PROSIEBENSAT.1 in DAX
- DAI GY : Volvo Cars CEO Says Geely-Daimler Ties Won’t Change Strategy
- DB1 GY : Deutsche Boerse: Covestro to Replace PROSIEBENSAT.1 in DAX
- DOKA SW : Dormakaba Sees Full Year Sales About +3.5%
- EDF FP : France to Set Deadline for Curtailing Nuclear Output by End-June
- ERF FP : Eurofins Scientific Full Year Revenue Meets Estimates
- EVK GY : Evonik to Exit Methacrylates Unit With EU1.5 Billion in Sales
- FCA IM : Fiat Chrysler Is Said Mulling Magneti Marelli Listing: Reuters
- FORN SW : Forbo Full Year Sales 1.6% Above Estimates
- GATE SW : Gategroup Plans to Raise CHF350m in Swiss IPO
- GLB ID : Glanbia Faces ‘Choppy Waters,’ Guidance Challenging: Jefferies
- IHG LN : Belmond Gains as Reuters Reports on IHG CEO Plans for M&A
- ITRK LN : Intertek Full Year Revenue Matches Estimates
- INSTAL SS : Herakles Sells Instalco Shares at SEK51.30/Share in Bookbuilding
- LISN SW : Lindt & Spruengli Full Year Ebit Meets Estimates
- LOGN SW : Logitech Sees 2019 Sales Growth in High Single-Digit
- MELI US : MercadoLivre Gets Injunction on Brazil Shipping Fee Hike
- NOVN VX : Novartis’ Xolair Recommended in New Chronic Urticaria Guideline
- OERL SW : Oerlikon Full Year Sales Beat Highest Estimate
- ONTEX BB : Ontex Full Year Adjusted EPS Misses Estimates
- ORA FP : Orange CEO Richard Says Management Structure Too Heavy: Figaro
- PNN LN : U.K. Water Offers Good Value, But MS Says Proceed With Caution
- PSM GY : Deutsche Boerse: Covestro to Replace PROSIEBENSAT.1 in DAX
- SIKA SW : Sika Successfully Places CHF 300 Million Bond
- SKG ID : Smurfit Kappa Rejects Approach From International Paper
- SWEDA SS : Swedbank Top Nordic Bank Pick at JPMorgan, DNB Cut to Neutral
- TIT IM : Elliott Is Said to Build Telecom Italia Stake to Take on Vivendi
- TSLA US : Tesla Shareholders Should Reject Musk Pay Plan: Glass Lewis
- HO FP : Thales FY Ebit Jumps 14%; Co. Targets Higher 2018 Earnings
- TIE1V FH : Tieto Says CFO Lasse Heinonen Is Leaving Co. by Aug. 1
- TWEKA NA : TKH Fourth Quarter Ebita EU38.6 Mln
- VOLVB SS : Volvo Cars CEO Says Geely-Daimler Ties Won’t Change Strategy
- VNA GY : Vonovia 2017 FFO 1 Climbs 21%, Confirms Forecast for 2018
- VOW3 GY : Volkswagen’s CEO Mueller Predicts a Diesel Demand Renaissance
- WKL NA : Wolters Kluwer Health to Buy Firecracker
- ZAL GY : Zalando to Install New Distribution Centre in Netherlands:L’Echo
- ZAG AV : Zumtobel Boosts Full Year Revenue Forecast
>>> Up
* Deutsche Telekom Raised to Overweight at Morgan Stanley
* De' Longhi Upgraded to Buy at Berenberg
* LafargeHolcim Upgraded to Buy at DZ Bank; PT 56.50 Francs
* Mondi Upgraded to Outperform at Credit Suisse; PT 23.45 Pounds
* MTU Aero Upgraded to Buy at Berenberg
* Mylan Upgraded to Overweight at Morgan Stanley; PT $50
* Petrofac Upgraded to Buy at Jefferies; Price Target 6 Pounds
* Plastic Omnium Upgraded to Buy at Invest Securities; PT 48 Euros
* Sartorius Stedim Upgraded to Add at AlphaValue
* Siemens Upgraded to Buy at Nord/LB; Price Target 125 Euros
* UPS Upgraded to Buy at Stifel; PT $121
* va-Q-tec Upgraded to Outperform at MainFirst; PT 19 Euros
>>> Down
* Adecco Downgraded to Hold at ABN Amro Bank
* DNB Downgraded to Neutral at JPMorgan; PT 165 Kroner
* General Mills Downgraded to Hold at Gabelli
* Glanbia Downgraded to Hold at Jefferies; PT 15.15 Euros
* Travis Perkins Downgraded to Hold at Jefferies; PT 13.80 Pounds
>>> Initiation
>>> Call
Asia Market Update: Trade war talk dominates talk in the region, equities track higher following US
***Headlines/Economic Data***
General Trend: Asian equity markets rise amid rebound in steel makers and earlier gains in the US
- Asian automakers also trade generally higher
-Energy producers gain after rise in oil prices on Monday
- RBA expects faster economic growth in 2018 vs 2017; notes wage growth ‘appears to have troughed’
- Weaker yen boosts Japanese exporters, especially auto makers
- Australia Q4 Net Exports expected to subtract from GDP; Q4 GDP data due on Wednesday’s session
-Korean Won (KRW) gains over 0.5% versus US dollar as talks between the two Koreas in focus
Australia/New Zealand
-ASX 200 opened +0.3: closed +1.1%
- ASX 200 Energy Index +2%, Utilities +1.8%, Telecom +1.6% Resources +1.5%, Consumer Discretionary +1.1%, Financials +1%
- NZM.NZ Terminates merger agreement with Fairfax’s Stuff Limited, will continue with appeal
-(AU) Australia Q4 Current Account (A$): -14.0B v -12.2Be; Net Exports of GDP: -0.5% v -0.6%e
- (AU) AUSTRALIA JAN RETAIL SALES M/M: 0.1% V 0.4%e
-(AU) RESERVE BANK OF AUSTRALIA (RBA) LEAVES CASH RATE TARGET UNCHANGED AT 1.50%; AS EXPECTED
Looking ahead: Australia Q4 GDP data due to be released on Wed, RBA Gov Lowe scheduled to speak (topic: ‘The Changing Nature of Investment’)
China/Hong Kong
-Shanghai Composite opened flat, Hang Seng -0.2%
-Hang Seng Energy Index +2.7%, Info Tech +2.6%, Materials +1.8%, Services +1.3%, Consumer Goods +1.2%, Financials +1.2%
-(CN) China PBoC monetary policy expected to be more flexible this year; Should cut RRR to prevent risks from slower growth - China Securities Journal
-(CN) According Financial Stability Board (FSB) stats China shadow banks account for 15% of global market, with ~$7T of the global $45.2T global shadow banking assets
-(CN) China PBoC Open Market Operation (OMO): Skips reverse repo operations for the 2nd consecutive session; Net drain nil v CNY100B prior
- (CN) PBOC SETS YUAN REFERENCE RATE AT 6.3386 V 6.3431 PRIOR
Japan
-Nikkei225 opened +1.7%; closed: +1.8%
- TOPIX Iron & Steel +2.4% Index, Electric Appliances +2.3%
- Cosmetics company Shisheido [4911.JP] gains over 4% following release of FY18-20 corporate strategy
- (JP) Barclays pushes back forecast for BoJ policy changes to 2019 – US financial press
-(JP) Top analysts say a worsening in trade concerns could weigh on foreign demand for Japanese equities – US financial press
-(JP) Japan Trade Min Seko: Japanese products contribute to US growth and jobs
-(JP) Japan's Persol, Recruit, and other major human resource firms to start providing commutation allowances for temporary workers in administrative positions from April this year as labor shortages become an increasingly serious issue - Nikkei
-(JP) Japan Cabinet approves plan to improve the accuracy of prelim GDP data - financial press
-(JP) Japan Govt approves signing of TPP FTA without the US - Nikkei (to happen later this week in Chile)
-(JP) Japan MoF sells ¥800B v ¥800B indicated in 0.8% (0.8% prior) 30-yr bonds; Avg yield: 0.75% v 0.820% prior; Bid to cover: 4.24x v 4.27x prior
-(JP) BoJ Gov Kuroda: BOJ is keeping policy very accomodative, takes time to get rid of deflationary mindset - Confirmation Hearings
Looking Ahead: Additional confirmation hearings for the BoJ Dep Gov Nominees (Amamiya, Wakatabe) set for Wed, March 7th
Korea
-Kospi opens +1.1%
-Shares of Samsung Electronics gain over 3% (declined ~1.8% on Monday’s session)
-LG Display’s shares underperform amid cautious broker commentary
- (KR) North Korea and South Korea hold high level talks today, North Korea has a "firm will" to advance relations with South Korea. Kim Jung Un has agreed to meet with South Korea President Moon after successful talks.
-(KR) SOUTH KOREA FEB CPI M/M: 0.8% V 0.5%E; Y/Y: 1.4% V 1.2%E
-(KR) South Korea Jan Current Account: $2.68B v $4.1B prior; Balance of Goods (BOP): $8.11B v $8.2B prior
-(KR) South Korea to talk about revision of property holding tax - Korean press
-(KR) South Korea to challenge US steel tariffs in G20 - Korean press
-(KR) South Korea to announce scale and date of military drills with US after the 18th (were delayed due to Olympics)
- (KR) South Korea sells 30-yr bonds; avg yield 2.735%
Other Asia
- (PH) Philippines Feb CPI M/M: 0.8% v 1.0% prior; Y/Y: 4.5% v 4.1%e (Highest annual pace since 2014)
-Punjab National Bank [PNB.IN] Foreign banks said to stop sales of gold to the bank - Indian Press
North America
-US equity markets ended broadly higher: Dow +0.7%, S&P500 +0.8%, Nasdaq +0.7%, Russell 2000 +0.7%
-S&P500 Utilities +2%, Financials +1.4%, Real Estate +1.4%
- (US) On Thursday (Mar 8th), US President Trump expected to discuss impact of planned tariffs with US companies that use aluminum and steel - US financial press
- (US) President Trump: Will not back down on trade; I don't think we will have a trade war; Reiterates threat to raise tax on car imports
- LOGI Guides initial FY19 Rev growth in 'high single-digit'; Op $310-320M; affirms FY18 Rev +12-14% y/y; Op $270-280M
Looking ahead: US Weekly API Crude Oil Inventories due for release
Europe
-(UK) Reportedly the EU's initial offer on trade will not be very detailed; The lack of detail in the offer would leave the UK having to renegotiate large parts of its trade agreement with the EU during the post-Brexit period. The UK has been seeking to have the entire trade accord squared away before the March 2019 Brexit – press
-(UK) Senior EU Brexit negotiator Rynck: not likely that there will be certainty about future ties to the EU by this fall [*Note: previously EU had sought to wrap up trade negotiations by Nov]
- (UK) Feb BRC Sales LFL y/y: 0.6% v 0.5%e
-OPEC Sec Gen Barkindo: Demand has not been this solid and positive since before the financial crisis; Have to wait on a decision about whether production cuts will be extended into 2019; Shale producers are interested in a dialogue with OPEC, but will not be discussion production cuts or prices
-Telecom Italia [TIT.IT]: Elliott said to build stake in the company - US financial press
***Levels as of 01:00ET***
- Hang Seng +1.7%; Shanghai Composite +0.8%; Kospi +1.5%
- Equity Futures: S&P500 +0.0%; Nasdaq 100 +0.2%, Dax +0.1%; FTSE100 -0.1%
- EUR 1.2332-1.2363; JPY 106.16-106.47; AUD 0.7761-0.7792 ; NZD 0.7203-0.7245
- Apr Gold +0.3% at $1,324/oz; Apr Crude Oil +0.2% at $62.70/brl; Mar Copper +0.5% at $3.14/lb