March 23, 2017 Market Wrap up

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It appeared that the coast was clear after seeing some heavy volatility on Tuesday. However, the markets sold off late in the day as it now appears that voting for the health bill will be delayed. With that said, every major index sold off, except for the Russell 2000 which managed to close the day up +0.59%.

The VIX continues to spike higher, as it’s now trading above 13, closing at 13.12 on the day.

ETF Performers: United States Oil Fund (USO) -0.99%, iShares 20+ Year Treasury Bond (TLT) -0.14%, SPDR Gold Shares (GLD) -0.13%.

On the options front, we saw large call buying activity in Twenty First Century Fox (FOXA), which traded 4.8 times normal option volume. In addition, we saw heavy put buying in Zillow Group Inc (Z), which traded 5.8 times normal option volume.

For the most part, earnings have died down. However, we did get results from Micron and KB Home, both positive reactions. On the other hand, Gamestop was down more than 10% in the after hours, as they announced they will be closing at least 150 stores.

Here is what is on tap for tomorrow:

Key Economic Data:
24 March 2017- Durable Goods Orders 8:30 AM ET; PMI Composite Flash 9:45 AM ET

Key Earnings:
24 March 2017- FINL

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March 21, 2017 Market Wrap up

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The markets saw their first taste of downside volatility today, mainly due to some political headlines that hit the tape. As of now, it appears that the new Trump healthcare bill might not pass. When traders realized that there was going to be greater uncertainty, their initial instinct was to sell. That being said, we see selling pressure across the board. The Dow Jones Industrials were down 1.14%, S&P 500 -1.24%, Nasdaq -1.82%, Russell 2000 -2.72%

The VIX shot up nearly 10% today, closing at 12.47.

ETF Performers: United States Oil Fund (USO) -0.17%, iShares 20+ Year Treasury Bond (TLT) +0.83%, SPDR Gold Shares (GLD) +0.83%.

On the options front, we saw large call buying activity in Fortive Corporation (FTV), which traded 15.7 times normal option volume. In addition, we saw heavy put buying in Quanta Services Inc (PWR), which traded 11.8 times normal option volume.

Earnings have more or less died down. However, Nike reported today with some disappointing numbers. The stock was trading down four percent in the after hours when this was written.

Here is what is on tap for the rest of the week:

Key Economic Data:
22 March 2017- Existing Home Sales 10:00 AM ET, EIA Petroleum Status Report 10:30 AM ET
23 March 2017- Jobless Claims 8:30 AM ET; New Home Sales 10:00 AM ET;
24 March 2017- Durable Goods Orders 8:30 AM ET; PMI Composite Flash 9:45 AM ET

Key Earnings:
22 March 2017- FIVE
23 March 2017- GME, KBH, MU, OXM
24 March 2017- FINL

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March 19, 2017 The Week Ahead

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The markets were relatively mixed on the week, as traders and portfolio managers took some time to digest the latest interest rate hike from the FOMC, and their plans on future rate decisions. With that said, the S&P 500 and Dow Jones Industrials sold off on the week. However, the Russell 2000 was extremely strong, gaining nearly 2% on the week.

There isn’t a whole lot this week in terms of economic announcements or earnings. Most likely, traders will be paying attention to politics and single stock name opportunities.

Where is the VIX in all of this?

The VIX continues to hangout below 12. On Friday, the VIX closed at 11.75. Based on some of the volatility estimators that we look at, the SPDR S&P 500 has a 20-day volatility of 7.26% compared to its median of 10.91% over the last 3 years.

Now, here is how some of the other closely followed ETFs did on the week: United States Oil Fund (USO) +0.39%, iShares 20+ Year Treasury Bond (TLT) +1.19%, SPDR Gold Shares (GLD) +1.98%.

Here is a list of some events that traders will be following during the week:

Key Economic Data:
22 March 2017- Existing Home Sales 10:00 AM ET, EIA Petroleum Status Report 10:30 AM ET
23 March 2017- Jobless Claims 8:30 AM ET; New Home Sales 10:00 AM ET;
24 March 2017- Durable Goods Orders 8:30 AM ET; PMI Composite Flash 9:45 AM ET

Key Earnings:
20 March 2017- JMBA, MOV
21 March 2017- FRAN, GIS, LEN, AIR, FDX, NKE, SCS
22 March 2017- FIVE
23 March 2017- GME, KBH, MU, OXM
24 March 2017- FINL

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March 16, 2017 Market Wrap Up

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The markets took a day to digest yesterday’s FOMC announcement. Volumes today were not bad, however there wasn’t much going on in terms of action.

One notable sector was in the shippers. For example, Top Ships Inc. (TOPS) was up more than 100% today, closing at $2.20 per share. In addition, Globus Maritime Ltd. (GLBS) closed up significantly higher, finishing the day at 6.74, a gain of 56%.

The VIX closed lower, finishing the trading day at 11.22.

ETF Performers: United States Oil Fund (USO) -0.19%, iShares 20+ Year Treasury Bond (TLT) -0.51%, SPDR Gold Shares (GLD) +0.50%.

On the options front, we saw large call buying activity in Sanchez Energy Corporation (SN), which traded 3.1 times normal option volume. In addition, we saw heavy put buying in America Movil SAB (AMX), which traded 8.2 times normal option volume.

Here is what is on tap for tomorrow:

Key Economic Data:
17 March 2017- Industrial Production 9:15 AM ET

Key Earnings:
17 March 2017- TIF

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March 14, 2017 Market Wrap Up

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We saw some weakness in the market today, lead by declines seen in small caps. It’s worth mentioning that volumes were relatively low, as most of the northeast was dealing with the winter storm Stella.

All eyes will be on the FOMC tomorrow and their much anticipated announcement on key interest rates. As of now, the market is anticipating a rate hike, however; they would like to get greater clarity on how quickly they plan raising them.

The VIX closed higher today, at 12.30, a gain of 8.37%

ETF Performers: United States Oil Fund (USO) -0.88%, iShares 20+ Year Treasury Bond (TLT) +0.48%, SPDR Gold Shares (GLD) -0.54%.

On the options front, we saw large call buying activity in Gerdau SA (GGB), which traded 2.3 times normal option volume. In addition, we saw heavy put buying in Zynerba Pharmaceuticals Inc. (ZYNE), which traded 2.0 times normal option volume.

Here is what is on tap for tomorrow and the rest of the week.

Key Economic Data:
15 March 2017- Consumer Price Index 8:30 AM ET; Retail Sales 8:30 AM ET; EIA Petroleum Status Report 10:30 AM ET; FOMC Meeting Announcement 2:00 PM ET; FOMC Forecasts 2:00 PM ET, Fed Chair Press Conference 2:30 PM ET
16 March 2017- Housing Starts 8:30 AM ET; Jobless Claims 8:30 AM ET; Philly Fed Business Outlook Survey 8:30 AM ET
17 March 2017- Industrial Production 9:15 AM ET

Key Earnings:
15 March 2017- AXAS, ALRM, EVOK, GES, ORCL, WSM, JBL
16 March 2017- INSY, ADBE, CATB, MNKD, XONE, VSLR
17 March 2017- TIF

Key Events:
13 March 2017- J.P. Morgan 2017 Aviation, Transportation & Industrials Conference, 3/13-3/15;
14 March 2017- Barclays Global Healthcare Conference, 3/14-3/16, in Miami, FL

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March 12, 2017 The Week Ahead

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Nearly all major indices closed the week lower, except for the Nasdaq which bucked the trend. The weakest performer was the Russell 2000 Index, which saw a drop of nearly 2%. Interestingly, it also happens to be the weakest performing index year to date as well, posting gains of less than 1%

With earnings mostly behind us, the attention will shift towards the FOMC, and the upcoming policy meeting which will be conducted on Tuesday and Wednesday. On Friday, nonfarm payrolls rose to 235,000 compared to expectations of 200,000. Some market pundits believe that those positive numbers should give the FOMC enough confidence to raise the key interest rate at this upcoming meeting.

We’ll find out soon enough.

Where is the VIX in all of this?

The VIX continues to hangout below 12. On Friday, the VIX closed at 11.66. Based on some of the volatility estimators that we look at, the SPDR S&P 500 has a 20-day volatility of 7.31% compared to its median of 10.90% over the last 3 years.

Now, here is how some of the other closely followed ETFs did on the week: United States Oil Fund (USO) -9.27%, iShares 20+ Year Treasury Bond (TLT) -1.78%, SPDR Gold Shares (GLD) -2.40%.

Here is a list of some events that traders will be following during the week:

Key Economic Data:
14 March 2017- PPI 8:30 AM ET,
15 March 2017- Consumer Price Index 8:30 AM ET; Retail Sales 8:30 AM ET; EIA Petroleum Status Report 10:30 AM ET; FOMC Meeting Announcement 2:00 PM ET; FOMC Forecasts 2:00 PM ET, Fed Chair Press Conference 2:30 PM ET
16 March 2017- Housing Starts 8:30 AM ET; Jobless Claims 8:30 AM ET; Philly Fed Business Outlook Survey 8:30 AM ET
17 March 2017- Industrial Production 9:15 AM ET

Key Earnings:
13 March 2017- AR, REN, TACO, CHRS, KMG
14 March 2017- BONT, DSW, HDS, ARNA, CLDX, NPTN, PTCT, RUBI
15 March 2017- AXAS, ALRM, EVOK, GES, ORCL, WSM, JBL
16 March 2017- INSY, ADBE, CATB, MNKD, XONE, VSLR
17 March 2017- TIF

Key Events:
13 March 2017- J.P. Morgan 2017 Aviation, Transportation & Industrials Conference, 3/13-3/15; J.P. Morgan Special Situations Investor Forum, 3/13, in Washington, D.C.
14 March 2017- Barclays Global Healthcare Conference, 3/14-3/16, in Miami, FL

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March 9, 2017 Market Wrap Up

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The markets were mixed today, with the all indices gaining except for the Russell 2000 which sold off slightly. Making news today was the energy market and the ECB meeting, which turned out to be a non-event. However, it’s worth noting that volume was above average in all major indices today.

Strong earnings performers included: Signet Jewelers (SIG) and Orbital ATK (OA)

Weak earnings performers included: Stratasys (SSYS) and Ulta Beauty (ULTA)

The VIX closed higher today, at 12.30, a gain of 3.71%

ETF Performers: United States Oil Fund (USO) -1.31%, iShares 20+ Year Treasury Bond (TLT) -0.80%, SPDR Gold Shares (GLD) -0.59%.

On the options front, we saw large call buying activity in Arch Capital Group (ACGL), which traded 50 times normal option volume. In addition, we saw heavy put buying in AmTrust Financial (AFSI), which traded 7.8 times normal option volume.

The only scheduled event worth noting for tomorrow is the employment situation

Key Economic Data:
10 March 2017- Employment Situation 8:30 AM ET

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March 7, 2017 The Week Ahead

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The markets sold off today on rather light volume. The Russell 2000 being the one getting hit the most, dropping 0.69%, while the Dow Jones Industrials were down 0.14%, and the S&P 500 was down 0.29%. However, the intraday ranges still remain tight. Interestingly, the tech sector was the only one up on the day.

Strong earnings performers included: H&R Block (HRB) and Nimble Storage (NMBL)

Weak earnings performers included: Dick’s Sporting Goods (DKS) and Navistar International (NAV)

ETF Performers: United States Oil Fund (USO) -0.18%, iShares 20+ Year Treasury Bond (TLT) -0.30%, SPDR Gold Shares (GLD) -0.81%.

On the options front, we saw large call buying activity in Seachange International (SEAC), which traded 250 times normal option volume. In addition, we saw heavy put buying in News Corp (NWSA), which traded 79 times normal option volume.

One of the big events on the week is the ECB meeting which will be held on Thursday. In addition, the FOMC meeting will be held next week.


Key Economic Data:
8 March 2017- EIA Petroleum Status Report 10:30 AM ET
9 March 2017- ECB Central Bank (ECB) policy decision at 7:45 AM ET, Jobless Claims 8:30 AM ET
10 March 2017- Employment Situation 8:30 AM ET

Key Earnings:
8 March 2017- CIEN, EXPR, BOBE, HOV, OA, SMRT, VAL, CWH, RATE, VVUS, UNFI, WATT
9 March 2017- FCEL, PRTY, SIG, SSYS, ZUMZ, FNSR, FRPT, LOCO, PAY, ULTA

Key Events:
6 March 2017- Citigroup 22nd Annual Global Property CEO Conference (runs till ⅜); Cowen 37th Annual Healthcare Conference (runs till ⅜); Deutsche Bank 25th Annual, Media, Internet and Telecom Conference runs till (⅜); Raymond James 38th Annual Institutional Investors Conference (runs till ⅜)

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March 5, 2017 The Week Ahead

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Week after week, traders are all asking the same question… when is this market going to pullback? Well, we didn’t see a whole lot of upside during the week. However, the market SPDR S&P 500 is up 5.39% over the last 30 days. With earnings mostly behind us, the attention will focus on an FOMC meeting which is 11 days from now, and politics out of Washington.

Where is the volatility?

The VIX continues to hangout below 11. On Friday, the VIX closed at 10.96. Based on some of the volatility estimators that we look at, the SPDR S&P 500 has a 20-day volatility of 7% compared to its median of 11% over the last 3 years.

Moving on to gold and oil.

Crude oil futures closed the week closing, lower at -1.16%. In precious metals, gold futures prices finished the week lower, dropping -1.79%
Now, here is how some of the other closely followed ETFs did on the week: United States Oil Fund (USO) -1.49%, iShares 20+ Year Treasury Bond (TLT) -2.01%, SPDR Gold Shares (GLD) -1.85%.

One of the main highlights over the last week was the IPO of SNAP Inc., the parent company of Snapchat. A successful IPO to say the least, the company has a market cap of $31.35B, after gaining 59% it’s first week.

Here is a list of some events that traders will be following:

Key Economic Data
7 March 2017- International Trade 8:30 AM ET,
8 March 2017- EIA Petroleum Status Report 10:30 AM ET
9 March 2017- ECB Central Bank (ECB) policy decision at 7:45 AM ET, Jobless Claims 8:30 AM ET
10 March 2017- Employment Situation 8:30 AM ET

Key Earnings
6 March 2017- ASNA, MEET, THO
7 March 2017- DKS, MIK, NAV, HRB, NMBL, URBN, WIFI, ZAGG
8 March 2017- CIEN, EXPR, BOBE, HOV, OA, SMRT, VAL, CWH, RATE, VVUS, UNFI, WATT
9 March 2017- FCEL, PRTY, SIG, SSYS, ZUMZ, FNSR, FRPT, LOCO, PAY, ULTA

Key Events
6 March 2017- Citigroup 22nd Annual Global Property CEO Conference (runs till ⅜); Cowen 37th Annual Healthcare Conference (runs till ⅜); Deutsche Bank 25th Annual, Media, Internet and Telecom Conference runs till (⅜); Raymond James 38th Annual Institutional Investors Conference (runs till ⅜)

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March 2, 2017 Market Wrap Up

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The markets sold off today on rather light volume. However, today’s headlines were dominated by Snap. The much anticipated IPO traded over 216M shares on its opening day, closing up more than 40%, at 24.48. With that said, this was the largest IPO in over 2 years.

Strong earnings performers included: Abercrombie & Fitch Company (ANF), Burlington Stores (BURL), and Intrexon (XON)

Weak earnings performers included: Costco Wholesale (COST), Anheuser-Busch (BUD), and Shake Shack (SHAK)

ETF Performers: United States Oil Fund (USO) -2.02%, iShares 20+ Year Treasury Bond (TLT) -0.43%, SPDR Gold Shares (GLD) -1.23%.

On the options front, we saw large call buying activity in HRG Group Inc (HRG), which traded 5.2 times normal option volume. In addition, we saw heavy put buying in Fastenal Company (FAST), which traded 2.6 times normal option volume.

There are no major events on the schedule for tomorrow.

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