Analytics, 09 September 2019
Daily comment Sep 10
Daily comment Sep 10
- Wall St opens lower ahead of CBs rate decisions
- AAPL -0.5% ahead of the annual event
- Ford -4.8% on Moody’s downgrade
- Ctrip -+0.4% on 2Q EPS beat
- China factory deflation deepens
- WTI’s up 0.5%
Market movers:
- Apple (-0.5%) ahead of the annual event that starts at 1:00 PM (EST). AAPL is expected to reveal new iPhones as well as Apple Watch and updated AirPods and service-focused additions. (https://bit.ly/2m2Dn2z)
- Ford (-4.8%) as Moody’s cut company’s credit rating to “junk”, citing expectations of weak earnings. (https://cnb.cx/2lLWwWE)
- Ctrip (+0.4%) after 2Q EPS beat. 2Q rev. +18.7% y/y to ¥8.69bn (est. ¥8.65bn). Gross margin was 79% vs 80% y/y. Adj. EPS +18.4% y/y to ¥2.3 (est. ¥2.1). The Co. is planning to change the name to “Trip.com”. (https://bit.ly/2kC1fd5)
Macro:
- China’s Aug CPI grew 2.8% y/y vs. est. +2.7% and flat m/m. PPI fell 0.8% vs. est. -0.9% and -0.3% in Jul. (https://bloom.bg/2kEulZf)
- PM Johnson reiterated he wouldn’t request for another Brexit delay, after bill blocking “no-deal” became a law. (https://reut.rs/2lMsUYU)
Commodities:
- WTI (+0.5%) following news US inventories probably declined by 2.8mn bls last week. (Bloomberg)
- Meanwhile, Goldman Sachs lowered its forecast on 2019 oil demand growth to 1mn bpd but left its 2020 estimate at ~1.4mn bpd. (https://yhoo.it/2lMuXfy).
- Citi analysts see 2019 demand growth even lower at 0.94mn bdp. (https://bloom.bg/2k9OBlr)
Coming up:
- Central banks rate decisions: ECB on Thurs 9/12 and FOMC on Wed 9/18
- OPEC’s monthly oil market report is due Wed 9/18.