February 16, 2016 Market Wrap Up

The equity markets started the week off with a strong start, up more than 1.5% in the S&P 500. In addition, the Nasdaq and Russell 2000 posted gains greater than 2% respectfully. The gains held from last night’s session, as the Shanghai Index gained more than 3% along with a boost in crude oil futures prices.

The gains in oil came after an announcement that Qatar, Saudi Arabia, Russia, and Venezuela agreed “freeze” output. However, those gains faded as the news was not as bullish sounding as a production cut.

Despite the risk on appetite, the VIX only dropped about 5% and closed above 24.

On the options front, we saw large call buying activity in Chegg Inc (CHGG). In addition, we saw heavy put buying in CPI Card Group (PMTS), about 51.2 times usual options volume.

Stocks in play included: Gogo (GOGO) -29%, Community Health Systems (CYH) -22% and ADT (ADT) +49%.

We also saw a ton of SEC filings from funds, updating their status on new and old positions. For some stocks, these have the potential to move stock prices. For example, after the close, Berkshire Hathaway announced a stake in Kinder Morgan (KMI), which popped more than 6% higher in the after hours session.

Here’s what’s going on tomorrow and the rest of the week:

Key Economic Data:
17 February 2016- Housing Starts 8:30 AM ET, PPI 8:30 AM ET, Industrial Production 9:15 AM ET, FOMC Minutes 2:00 PM ET
18 February 2016- Jobless Claims 8:30 AM ET, Philly Fed Survey 8:30 AM ET, EIA Petroleum Status Report 11:00 AM ET
19 February 2016- Consumer Price Index 8:30 AM ET

Key Earnings:
17 February 2016- DPS, GRMN, TMUS, PCLN, SHOP, BLMN, HST, BRCD, CF, CYH, GDDY, JIVE, MAR, MRO, NTAP, NVDA, SPWR, WMB, PKD
18 February 2016- CAB, DAN, DISCA, DUK, HOT, LNG, MGM, MPEL, WM, WMT, PCG, AMAT, JWN, SAM, WAGE
19 February 2016- DE

Key Conferences:
15 February 2016- CAGNY Conference (runs till 2/19)
17 February 2016- Barclay’s Industrial Conference (runs till 2/19)