U.S. equity futures are pointing to a sharply higher open despite the vote yesterday by the Crimea region to join with Russia while leaving the rule of Ukraine. A lack of reaction from the West has investors optimistic that conflict can be avoided in the region. In spite of the relief rally, sanctions from the West could come as early as today as the U.S. and European counterparts will conduct meetings to discuss the situation today. Option volatility spiked into Friday’s close last week as investors positioned themselves ahead of the referendum vote yesterday in Crimea. We should see the CBOE Volatility Index (VIX) lower today if equity futures remain in positive territory throughout the session. Expect stocks to be jittery this week as breaking news at any point may provide some market movement.
Treasuries are modestly lower this morning as traders are in risk-on mode today. Yields fell sharply last week on the stock slide and they may continue to be under pressure throughout the week. Asian equities were mixed with Chinese stocks advancing. Russian stocks are up 2% today despite the threat of more fiscal sanctions from the west. Europe is also up today in conjunction with U.S. pre-market indications. The focus will now be on the vote from Russia on whether to accept Crimea’s decision to join it and this week’s FOMC meeting, which begins tomorrow. There are a few economic reports due today led by data on industrial production and housing.
Stock Stories:
United Parcel Service (UPS) –Inflation? – The global shipping giant announces a 4.4% increase in rates. Effective March 31, the increase applies to non-contractual, less-than-truckload shipments. The move comes following a similar announcement from FedEx. UPS last year said it expected to boost rates by 4.9% this year.
Major Economic Reports:
6:00 am CT – Empire State Mfg. Survey
8:00 am CT – Treasury International Capital
8:15 am CT – Industrial Production
9:00 am CT – Housing Market Index
Notable Earnings:
Before Market: JASO
After Market: none
Tuesday – 3/18: ADBE, CCL, DSW, HTZ, ORCL, PSUN |
发表于 2014-3-17 08:36
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