(Exane) STOXX Europe 600 September 2016 Review: forecasts

Indivior, H. Lundbeck, Schaeffler, Centamin, Moncler and IMCD should be added. The highly likely deletions are Banca Monte dei Paschi di Sienna, Banco Comercial Portugues, Unipol Gruppo Finanziario, Thomas Cook, Eurobank Ergasias and OCI. Dong Energy and Paysafe could also be added, pushing Bilfinger and Air France-KLM out. Bovis Home, PageGroup, Topdanmark and Raiffeisen Bank should manage to stay in the STOXX Europe 600.


STOXX will announce the results of the STOXX Europe 600 September 2016 Quarterly Review on Tuesday 23 August, after the close of the North American markets
The cut-off date for this review was Friday 29 July. The preliminary free float factors are expected to be out on 24 or 25 August. The final underlying data will be out on Friday 9 September, after the close. Implementation is to take place on Friday 16 September, at the close. The new composition and weights will become effective from the open on Monday 19 September.

We also look at the likely transitions between Large (LCXP), Mid (MCXP) and Small (SCXP)
We expect to see upgrades from the STOXX Europe Mid 200 to the STOXX Europe Large 200 (ArcelorMittal, Deutsche Wohnen, Randgold Resources, Aena and Hexagon B) and also downgrades to the Mid (Marks & Spencer, Commerzbank, Banco Sabadell, Aegon and Standard Life). Six stocks should leave the STOXX Europe Small 200 and join the Mid: Auto Trader, Neste, Gamesa, Fresnillo, Zalando and IG Group. Six stocks should move the other way: Capital & Counties Properties, Man Group, Easyjet, UBI Banca, Eutelsat and Boskalis Westminster. All stocks added to the STOXX Europe 600 should join the Small, and all other deletions from the Broad index would leave the Small.

>>> What to look at today - 3rd of August 2016

Dow -0.49% S&P -0.64% Nasdaq -0.90% Russell -1.38%
US Market closed lower and broked the last 15 days trading range. disappointment surrounding Japan's latest fiscal stimulus package and continued weakness from European banking names contributed to pressure. WTI crude finished its session lower by 1.5% ($39.49/bbl; -$0.60), extending its weekly loss to 5.0%. The S&P 500 (-0.6%) finished off its worst level of the day, reclaiming technical support near the 2152/2153 price level. However, nine sectors finished in the red with technology (-0.8%), industrials (-0.9%), financials (-0.9%), and consumer discretionary (-1.5%) rounding out the leaderboard. The remaining decliners finished with losses between 0.1% (consumer staples) and 0.6% (utilities). Conversely, energy (+0.9%) ended with the only gain. IBB +0.2% helped by news of potebntial interest from Allergan & Merck for Biogen (BIIB). Volume were above average with 916mil shares. US After Hours GNW +19%, BGFV +12%, FIT +6%, XXIA +6% higher following earnings/guidance, STLY +61% on strategic alternatives news... CRAY -20%, RUBI -19%, MXWL -16%, CYH -13.5% on earnings/guidance. Asian equity markets are trading with a negative bias, tracking a more pronounced selloff on Wall St. Traders are turning increasingly cautious going into the NFP US jobs release on Friday while also taking note of soft US auto sales and persistent pressure in the energy space. China Services Caixin PMI remained in expansion at 51.7 but fell a full point from the prior month. In Hong Kong, July composite PMI Contracted for the 17th straight month. Bearish sentiment has been more pervasive in Japan since yesterday when the govt announced the makeup of its fiscal stimulus. A critical Nikkei report today highlighted the lack of labor reform measures such as little effort on productivity improvement and lowering the barrier of entry for top industries.

Nikkei -1.58% Hang Seng -1.61% CSI +0.11% Shanghai +0.24%

Eur$ 1.1208 CNH 6.6363 CNY 6.6297 JPY 101.04 GBP 1.3329 CHF 0.9653 RUB 66.7847 WTI $39.59 (+0.20%)

S&P -0.13% EuroStoxx -0.03% Dax -0.10% SMI +0.12%

Macro :
- China Said to Plan Index Futures Revival After Volumes Drop
- ECB’s Bond Buying Boosts Parts of the Market It Can’t Even Touch
- Why the Rise of the One Percent Makes Janet Yellen’s Job Harder

Keep an eye on :
- AC FP : Hyatt Cuts ’16 Expense Guidance as RevPAR Slows Near End of 2Q
- AF FP : Air France, Unions to Resume Talks on Aug. 24, Le Figaro Says
- MT NA : ArcelorMittal Will Sell Valin Stake, Keep Steel Joint Venture
- AKE FP : Arkema 2Q Ebitda Beats Ests.; Sees 2016 Ebitda Growth of 7%-9%
- CS FP : Axa 1H Net EU3.2b vs Est. EU3.6b; Solvency II Ratio 197%
- SPR GY : Axel Springer 2Q Revenue Misses; Confirms 2016 Ebitda Forecast
- BIIB US : Biogen Draws Takeover Interest From Allergan, Merck: WSJ
- BMSA GY : Braas Monier 2Q Sales Falls 1.8%; Adjusts 2016 Outlook
- ACA FP : Credit Agricole 2Q Net Beats; LCL Revenue Down 10%
- DIC GY : DIC Asset 2Q FFO Falls 9%; Raises Parts of 2016 Outlook
- DPW GY : Deutsche Post 2Q Profit Beats Estimate; Forecast Confirmed
- DSM NA : DSM CEO Sees Company Making Acquisitions Again in 2017: FD
- ELG GY : Elmos Semiconductor 2Q Up 1%; Sees Higher Sales, Earnings in 2H
- ELE FP : Euler Hermes 1H Net, Rev. Fall; Claims Rate Is ‘Reassuring’
- GAM SW : GAM Holding Says 1H Profit Falls on Reduced Performance Fees
- GBB FP : Bourbon Says Adjusted Sales Will Possibly Improve End 2016
- HSBA LN : HSBC’s 2Q Profit Misses Est., to Start Up to $2.5b Buyback
- HSBA LN : HSBC Shares to React Positively on 2Q Results, Buyback: Goldman
- INGA NA : ING 2Q Net Income Jumps; Group CET1 Ratio Rises
- KU2 GY : Kuka 2Q Sales Below Ests.; Sees FY Revenues of More Than EU3b
- MDM FP : Maison du Monde Expects to Beat FY Targets; Details in October
- MAN GY : Class 8 Truck Orders Down 19% M/m in July: Jefferies, Citing ACT
- MOR GY : Morphosys Successfully Completes Safety Run-in of MOR208
- NOVN VX : Novartis Inhibitor LEE011 Gets FDA Breakthrough Designation
- LIGHT NA : Philips Lighting CEO Exercises Philips Options, Sells Shrs: AFM
- PST IM : Poste Italiane 1H Rev. Beats Ests., Net Profit Rises
- SFER IM : Ferragamo 1H Ebitda In Line With Estimates
- SFR FP : SFR Wants to Wrap Up Its Restructuring Plan This Week: Le Figaro
- GLE FP : SocGen 2Q Net Income Beats, Rises 8.1% Y/y; CET1 Ratio Stable, Can Deliver 10% ROE in ’Normalized Environment’: Cabannes
- VIV FP : Mediaset: No Meeting With Vivendi Has Been Scheduled for Now
- VOLVB SS : Class 8 Truck Orders Down 19% M/m in July: Jefferies, Citing ACT
- VOW3 GY : Volkswagen Expects Better Full-Year Sales in China This Year
- VOW3 GY : Class 8 Truck Orders Down 19% M/m in July: Jefferies, Citing ACT

>>> Europe : Brokers Upgrades & Downgrades - 3rd of August 2016

>>> Up
*EDF RAISED TO BUY VS HOLD AT INVESTEC
*ISS RAISED TO HOLD AT HSBC
*LAIRD RAISED TO BUY VS NEUTRAL AT UBS
*QEP RESOURCES RAISED TO OVERWEIGHT AT BARCLAYS
*SSE RAISED TO NEUTRAL VS SELL AT CITI

>>> Down
*CLARIANT CUT TO EQUALWEIGHT VS OVERWEIGHT AT MORGAN STANLEY
*DIRECT LINE CUT TO UNDERPERFORM VS NEUTRAL AT MACQUARIE
*DRAX CUT TO SELL VS NEUTRAL AT CITI
*ENDOLOGIX CUT TO SECTOR PERFORM VS OUTPERFORM AT RBC
*INFINEON CUT TO NEUTRAL VS BUY AT UBS (note attached)
*INTU PROPERTIES CUT TO REDUCE AT HSBC
*LUFTHANSA CUT TO SELL VS REDUCE AT ALPHAVALUE
*NEMETSCHEK CUT TO REDUCE VS NEUTRAL AT ODDO SEYDLER
*SENIOR CUT TO HOLD VS BUY AT PEEL HUNT
*UNITED UTILITIES CUT TO SELL VS NEUTRAL AT CITI

>>> PT Change


>>> Initiation
*DKSH RATED NEW BUY AT KEPLER CHEUVREUX
*GVC HOLDINGS RATED NEW BUY AT LIBERUM, PT 738P
*LINDE ASSUMED OVERWEIGHT AT MORGAN STANLEY, PT EU146

>>> Call

>>> Asian Update

Asian Mid-session Market Update: Services PMIs mixed; Japan fiscal stimulus found underwhelming

***Economic Data***
- (CN) CHINA JULY CAIXIN PMI SERVICES: 51.7 V 52.7 PRIOR
- (HK) HONG KONG JULY COMPOSITE PMI: 47.2 V 45.4 PRIOR (17th consecutive month of contraction)
- (JP) JAPAN JULY SERVICES PMI: 50.4 V 49.4 PRIOR; COMPOSITE PMI: 50.1 V 49.0 PRIOR
- (AU) AUSTRALIA JULY AIG PERFORMANCE OF SERVICE INDEX: 53.9 V 51.3 PRIOR
- (NZ) NEW ZEALAND Q2 AVERAGE HOURLY EARNINGS Q/Q: 0.8% V 0.9%E; PRIVATE WAGES EX-OVERTIME Q/Q: 0.4% V 0.5%E; PRIVATE WAGES INCL OVERTIME Q/Q: 0.4% V 0.4%E
- (NZ) NEW ZEALAND JULY ANZ COMMODITY PRICE M/M: 2.0% V 3.7% PRIOR
- (UK) JULY BRC SHOP PRICE INDEX Y/Y: -1.6% v -2.0% PRIOR (39th month of decline)

***Index Snapshot (as of 04:30 GMT)***
- Nikkei225 -0.9%, S&P/ASX -1.1%, Kospi -0.7%, Shanghai Composite +0.3%, Hang Seng -1.7%, Sep S&P500 -0.1% at 2,151

***Commodities/Fixed Income***
- Dec gold -0.2% at $1,369/oz, Sep crude oil +0.7% at $39.77/brl, Sep copper flat at $2.20/lb
- (US) Weekly API Oil Inventories: Crude: -1.3M v -0.8M prior; 3rd straight draw
- GLD: SPDR Gold Trust ETF daily holdings rise 6.0 tonnes to 970.0 tonnes; highest since July 11th
- SLV: iShares Silver Trust ETF daily holdings fall to 10,911 tonnes from 10,915 tonnes prior; First fall since June 24th
- (CN) PBOC to inject CNY55B in 7-day reverse repos
- USD/CNY: (CN) PBOC SETS YUAN MID POINT AT 6.6195 V 6.6451 PRIOR; strongest Yuan fix since Jun 24th
- (CN) China MoF sells 1-year and 10-year bonds
- (JP) BOJ offers to buy ¥430B in 5-10yr JGBs, ¥200B in 10-25yr JGBs and ¥120B in JGBs with maturity over 25-yr
- (AU) Australia sells A$900M 2.75% in 2027 bonds; avg yield 2.0054%; bid-to-cover 2.31x

***Market Focal Points/FX***
- Asian equity markets are trading with a negative bias, tracking a more pronounced selloff on Wall St. Traders are turning increasingly cautious going into the NFP US jobs release on Friday while also taking note of soft US auto sales and persistent pressure in the energy space. Services/Composite PMI figures in Asia have also been mixed, with China weakening somewhat while Japan and Hong Kong improved. In FX majors, NZD/USD took a tumble of about 50pips below 0.72 after soft New Zealand wage data, USD/JPY traded in a 50pip range above 100.80, AUD/USD was in 20pip range around 0.76, and Yuan fex was set much stronger as USD succumbed to broad selling in the past 24 hours.

- China Services Caixin PMI remained in expansion at 51.7 but fell a full point from the prior month. Companies reported employment falling in Services for the first time in 4 months even though overall rate of job shedding eased to its weakest for six months. Input prices were also a positive surprise for both components, portening a more healthy increase in CPI next week. In Hong Kong, July composite PMI Contracted for the 17th straight month, even as "rates of contraction in some key variables such as output and new orders eased since the end of Q2." Hong Kong employment also remained under pressure, though input costs rose modestly after a slight decline in June. Separately, China state planner NDRC recommended that China cut rates and RRR further as appropriate, adding that the downward pressure on investment should not be ignored.

- Bearish sentiment has been more pervasive in Japan since yesterday when the govt announced the makeup of its fiscal stimulus. A critical Nikkei report today highlighted the lack of labor reform measures such as little effort on productivity improvement and lowering the barrier of entry for top industries. Japan Services PMI returned to expansion after a 1-month dip into contraction, as new orders declined at weaker pace. Staffing numbers were reportedly lower last month however, as participants also pointed out risks related to Brexit.

- New Zealand avg hourly earnings were underwhelming, sending NZD/USD below $0.72. ASB subsequently cut is Q2 employment forecast to 0.3% from 0.7% prior guided, adding the survey "reinforce the downside risks to the inflation outlook and the need for further RBNZ OCR cuts." The case for more RBNZ easing was also built up by latest report from real estate agency Barfoot & Thompson, which saw Auckland July avg house price -4.5% m/m v +3.9% prior and +4.9% y/y v +9.9% prior.

***Equities***
US equities / ADRs:
- FIT: Reports Q2 $0.12 v $0.11e, R$586.5M v $573Me; +6.2% afterhours
- ETSY: Reports Q2 -$0.06 v -$0.03e, R$85.3M v $83.2Me (2 est); +5.0% afterhours
- AIG: Reports Q2 $0.98 v $0.91e; P&C Net Premiums Written $4.42B v $5.58B y/y; to add $3B to buyback program (5% of market cap); +3.0% afterhours
- CAR: Reports Q2 $0.63 v $0.74e, R$2.24B v $2.21Be; +1.6% afterhours
- CERN: Reports Q2 $0.57 v $0.57e, R$1.22B (adj) v $1.21Be; -0.5% afterhours
- BIIB: Sources say Allergan is unlikely to pursue a Biogen takeover - CNBC; -2.0% afterhours
- EA: Reports Q1 +$0.07 v -$0.02e, R$1.27B v $1.20B y/y; -2.5% afterhours
- CYH: Reports Q2 $0.09* adj v $0.58e, R$4.59B v $4.54Be; -13.1% afterhours
- CRAY: Reports Q2 -$0.33 v -$0.20e, R$100.2M v $103Me (2 est); -20.5% afterhours


Notable movers by sector:
- Consumer discretionary: FamilyMart Co. 8028.JP +14.6% (to be added to Nikkei 225 index); Adastria Holdings Co 2685.JP -14.9% (JPMorgan Chase cuts to Neutral); Sega Sammy Holdings Inc 6460.JP +10.0% (Q1 result); Seven Group Holdings SVW.AU +5.7% (Credit Suisse cuts to Neutral, FY16 result); Kangwon Land Inc 035250.KR -3.1% (lawmaker proposes new casino law)
- Financials: Genworth Mortgage Australia GMA.AU +6.6% (H1 result); Seven & I Holdings 3382.JP -1.1% (guidance)
- Industrials: Iriso Electronics Co 6908.JP -9.5% (Q1 result); Yamaha Corp 7951.JP +11.4% (Q1 result); Xinyi Glass Holding Co 868.HK +4.3% (H1 result)
- Technology: HTC Corp 2498.TW -1.2% (Q2 result)
- Materials: Furukawa-Sky Aluminum Corp 5741.JP +7.6% (Q1 result); Stella Chemifa Corp 4109.JP +4.8% (Q1 result); Itochu Corp 8001.JP -0.7% (Q1 result)
- Energy: Xinyi Solar 968.HK +3.0% (H1 result); Beach Energy BPT.AU -3.7% (sells oil assets); Idemitsu Kosan Co 5019.JP -4.9% (Q1 result)
- Telecom: Hutchison Telecom Hong Kong 215.HK -3.5% (H1 result); KDDI Corp 9433.JP +5.2% (Q1 result)
- Utilities: Huaneng Power International 902.HK -2.7% (H1 result)

>>> US After Hours Summary: GNW +19%, BGFV +12%, FIT +6%, XXIA +6% hig


After Hours Summary: GNW +19%, BGFV +12%, FIT +6%, XXIA +6% higher following earnings/guidance, STLY +61% on strategic alternatives news... CRAY -20%, RUBI -19%, MXWL -16%, CYH -13.5% on earnings/guidance

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: GNW +18.9%, BGFV +12.2%, OCLR +9.9%, XCO +7.8%, FIT +6.4%, XXIA +6.4%, BOFI +6.3%, BOFI +6.3%, HDSN +5%, ETSY +4.8%, WMGI +3.9%, NBR +3.6%, RIGL +3.2%, FNGN +3.1%, BEAT +2.6%, ELGX +2.5%, TRUP +1.8%, AR +1.8%, RPXC +1.6%, LOCK +1.5%, HLTH +1.5%, SUPN +1.4%, FUEL +1.3%, ZAGG +1.2%, MRCY +1%, ARR +1%

Companies trading higher in after hours in reaction to news: STLY +61.2% (Stanley Furniture announces its Board, in its review of strategic alternatives, intends to issue to shareholders two special dividends totaling up to $1.50/share), CALM +2.5% (Cal-Maine Foods to acquire substantially all of the assets of Foodonics International and its related entities doing business as Dixie Egg Company; terms not disclosed), SVU +1.1% (Supervalu reaffirmed that it is preparing for a separation of Save-A-Lot business; prepared to consider alternatives and is also evaluating a possible sale of Save-A-Lot)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: SGY -23.6%, CRAY -20.1%, RUBI -18.7%, MXWL -16%, CYH -13.5%, OESX -10.3%, ECR -9.7%, QRVO -8.9%, FARO -8.1%, CALD -7.4%, BECN -7.3%, GLUU -6.1%, DXCM -5.7%, TSRA -5.4%, CHUY -5.3%, ESIO -5.3%, HBI -4.9%, VRSK -4.4%, ZEN -4.1%, (also confirms that the final day of employment for Alan Black, former CFO, will be August 12), REXX -3.7%, NFX -3.1%, QUMU -2%, SLCA -1.9% (also plans to acquire Sandbox Enterprises for a combination of $75 million of cash on hand and ~4.2 million its common shares; expected to be modestly accretive to 2016 EPS and generate EPS accretion of $0.20 to $0.30 in 2017), PBPB -1.7%, DATA -1.2%, DATA -1.2%, EA -1%, TNAV -1%

Companies trading lower in after hours in reaction to news: VGZ -12.3% (Vista Gold announces $15 million bought deal offering of units), RGC -4.7% (Regal Entertainment announces secondary offering 13 mln shares of Class A common stock by Anschutz Corporation pursuant to the shelf registration statement), BIIB -2.1% (following late surge higher on M&A speculation - CNBC reported after the close that Allergan is unlikely to be interested in a Biogen deal, according to sources)

>>> US Close Dow -0.49% S&P -0.64% Nasdaq -0.90% Russell -1.38%


Closing Market Summary: U.S. Stocks Slip Alongside Global Markets

The stock market ended the Tuesday affair on a lower note as the key U.S. indices moved lower lockstep with global bourses. Today's decline was facilitated by disappointment surrounding Japan's latest fiscal stimulus package and continued weakness from European banking names. Additionally, a failed rebound attempt in oil and the underperformance of heavily-weighted technology (-0.8%), industrials (-0.9%), financials (-0.9%), and consumer discretionary (-1.5%) contributed to today's loss. The Nasdaq Composite (-0.9%) settled behind the S&P 500 (-0.6%) and the Dow Jones Industrial Average (-0.5%).

U.S. equities began the day under pressure, responding to losses from Japan's Nikkei (-1.5%) and European markets. In Japan, Prime Minister Shinzo Abe's latest round of stimulus elicited a sell-the-news response as participants eyed limited direct stimulus. Separately, weak earnings results from Commerzbank kept pressure on European banks while Deutsche Bank (DB 12.58, -0.49) and Credit Suisse (CS 10.81, -0.53) lost their spots in the Euro Stoxx 50 Index (-2.0%). 

The major averages pulled back through the afternoon as oil and equities yielded to selling pressure in the broader market. The energy component trimmed an early advance, falling into negative territory near midday. WTI crude finished its session lower by 1.5% ($39.49/bbl; -$0.60), extending its weekly loss to 5.0%. On a side note, investors will receive the latest stockpile data from the American Petroleum Institute this evening while the Department of Energy's more influential stockpile data will be release tomorrow at 10:30 ET.

The S&P 500 (-0.6%) finished off its worst level of the day, reclaiming technical support near the 2152/2153 price level. However, nine sectors finished in the red with technology (-0.8%), industrials (-0.9%), financials (-0.9%), and consumer discretionary (-1.5%) rounding out the leaderboard. The remaining decliners finished with losses between 0.1% (consumer staples) and 0.6% (utilities). Conversely, energy (+0.9%) ended with the only gain. 

The consumer discretionary space (-1.5%) displayed broad-based weakness as Ford (F 11.94, -0.54) and General Motors (GM 29.93, -1.37) weighed among auto names. The two fell 4.4% apiece after July U.S. auto sales disappointed. Retail names also underperformed in the group, evidenced by the 2.5% decline in the SPDR S&P Retail ETF (XRT 43.80, -1.13). 

Airlines underperformed in the industrial sector (-0.9%) as the U.S. Global Jets ETF (JETS 21.63, -0.92) lost 4.1%. Delta Air Lines (DAL 36.39, -3.09) pressured the ETF after reporting that passenger revenue per available seat mile declined 7.0% in July. This missed prior guidance given by the airline. Separately, Emerson (EMR 53.03, -2.75) fell 4.9% after missing top- and bottom-line estimates for the quarter and lowering its full-year guidance.

In the technology space (-0.8%), top-weighted Apple (AAPL 104.48, -1.57) was under pressure after being downgraded to "Outperform" from "Buy" at Daiwa. On a side note, the tech giant sports a gain of 8.1% since reporting earnings on July 26. Conversely, data storage names underperformed as Seagate Technology (STX 30.65, -1.78) lost 5.5%. Seagate Technology released its earnings report ahead of today's session, showing in-line results with its pre-announcement from July 11. The high-beta chipmakers underperformed in the group, evidenced by the 1.6% decline in the PHLX Semiconductor Index. 

Biotechnology demonstrated relative strength in the health care sector (-0.3%) as the iShares Nasdaq Biotechnology ETF (IBB 294.69, +0.62) rose 0.2%. The group benefited from intraday reports indicating that Allergan (AGN 250.75, -4.11) and Merck (MRK 58.33, -0.33) may be interested in acquiring Biogen (BIIB 330.11, +28.28). In the broader sector, Dow component Pfizer (PFE 36.39, -0.92) rounded out the price-weighted index after reporting a slight beat. 

The U.S. Dollar Index (95.08, -0.63) finished off its worst level of the day, but the euro, pound, and yen each finished with gains against the greenback. The single currency jumped 0.5% against the greenback (1.1223) while sterling rallied 1.3% against the dollar (1.3345). Separately, the dollar/yen pair finished lower by 1.5% (100.90) as investors responded to the latest fiscal stimulus plan out of Japan.

The Treasury complex ended on a mixed note, but the group finished off its worst level of the day. The yield on the 10-yr note ended higher by two basis point (1.55%) after backtracking from the 1.57% (+4 bps) level.

Participation was above the recent average as more than 916 million shares changed hands on the NYSE floor.

Today's economic data included June Personal Income/Personal Spending reports and Core PCE Prices for June: 

  • Personal income increased 0.2% in June (consensus +0.3%) on the heels of a 0.2% increase for May.
    • The improvement was driven largely by a 0.3% increase in wages and salaries.
  • Personal spending was up 0.4% (consensus +0.3%) on top of a 0.4% increase for May.
    • The personal savings rate fell to 5.3% in June from 5.5% in May.
  • The PCE Price Index increased 0.1% and the core PCE Price Index, which excludes food and energy, also rose 0.1% (consensus +0.2%).
    • On a year over-year basis, both the PCE Price Index and Core PCE Price Index held steady versus May, up 0.9% and 1.6%, respectively.

Tomorrow's economic data will include the 7:00 ET release of the weekly MBA Mortgage Index. Separately, the ADP Employment Change Report (consensus 165k) and ISM Services for July (consensus 55.8) will cross the wires at 8:15 ET and 10:00 ET, respectively. 

  • Russell 2000 +5.8% YTD
  • S&P 500 +5.5% YTD
  • Dow Jones +5.1% YTD
  • Nasdaq Composite +2.6% YTD