US Futures extending gains, watch CPB, ZM, TWTR, LYFTI, CCL, NCLH
Jean-Christophe Rolland June 3, 2020 12:46 PM
The S&P 500 Futures advance further on expectations of continued economic recovery
The S&P 500 Futures advance further as expectations of continued economic recovery outweighed impact of violence and looting across the country.
Later today, the Automatic Data Processing (ADP) jobs report is expected to show a reduction of 9.000 million private jobs in May. Also, April Factory Orders (-13.4% on month expected) and Durable Goods Orders (final reading, -17.2% expected) will be reported. The Institute for Supply Management will post its Non-manufacturing Index for May (44.4 expected). Markit May Services PMI is expected at 37.3.
European indices remain on the upside. Research firm Markit has published final readings of May Services PMI for the eurozone at 30.5 (vs 28.7 expected), for Germany at 32.6 (vs 31.4 expected), for France at 31.1 (vs 29.4 expected) and for the U.K. at 29.0 (vs 28.0 expected). The European Commission has posted April jobless rate at (vs 8.2% expected) and PPI at (vs -4.2% on year expected). The German Federal Statistical Office has reported May jobless rate at 6.3% (vs 6.2% expected).
Asian indices closed on a very optimistic mood. This morning, official data showed that the Australian economy grew 1.4% on year as expected.
WTI Crude Oil Futures remain on the upside on rumors that the OPEC would agree for a further output cut.
Gold and US dollar weaken on rallying equities and hopes of economic recovery.
Gold fell 8.38 dollars (-0.48%) to 1719.33 dollars.
EUR/USD rose 22pips to 1.1192 while GBP/USD gained 19pips to 1.257.
US Equity Snapshot
Campbell Soup (CPB), a manufacturer of branded food products, raised its fiscal 2020 guidance. The company expects full year adjusted EPS to be 2.87-2.92 dollars vs a previous forecast of 2.55-2.60 dollars, while organic sales are seen up 5.5%-6.5% vs an earlier guidance of down 1%-up 1%. Separately, the company reported third quarter adjusted EPS up 57% to 0.83 dollar on sales up 15% to 2.23 billion dollars. EPS beat estimates while sales missed.
Zoom Video Communications (ZM), a leader in modern enterprise video communications, reported first quarter sales up to 328.2 million dollars from 122 million dollars a year earlier. Adjusted EPS was 0.20 dollar vs 0.03 dollar a year ago. The company lifted its full year forecasts for sales and profit.
Twitter (TWTR), a social networking service provider, announced that appointment of Patrick Pichette, currently an independent director and former Google CFO, as new Chairman.
Lyft (LYFT), the ride-sharing company, gained ground in extended trading after saying that rides on the company's platform in May increased 26% versus April.
Carnival (CCL) and Norwegian Cruise (NCLH), the cruise companies, were both rated "underweight" at Morgan Stanley. Norwegian was downgraded from "equal-weight" while Carnival was reinstated.
Source : TradingVIEW, Gain Capital
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.