Market Alert - Pre-Market

Futures vs FV: SP -4.35; DJ-63.15; NASDAQ -11.32

Futures opened soft and have range-traded all morning. Currently at the bottom of the morning range. Soft opens are not bad, giving buyers the opportunity to buy if they desire. The issue in this market is that with tariffs, geopolitics, domestic politics, economic slow patch, bond yields there is not a lot of buying. Not a lot of selling either, and thus the lateral moves in the ranges continues.


May Day/Labor Day: Most European markets are closed

Tariffs: Exemptions extended 30 days for Mexico, Canada, EU. South Korea wins exemptions as well.


Wages: Small business surveys report the strongest wage gains in 2 years.

Irony: Restaurants in New York are petitioning the mayor to allow a surcharge to make up for the losses caused by the rising minimum wage. Other cities/states allow this in areas with minimum wage laws and NY restaurants say without it they go under. Ironically, in cities such as Seattle where there are min wage laws and a surcharge, restaurants are still cutting staff and in some cases eliminating tipping to try and keep costs at a level people will come in. I mean, spending $4 for a glass of iced tea? Seriously? People will bring their own teabags soon, giving a whole new meaning to tea bagger.


Earnings beats: UA (BL); ADM; AKAM; TNH; BP; NUTRI; CMI (but warns ahead)

Misses: PFE (TL); MRK (TL)

CMI: Market strong, not making as much money. It is down and we have a downside play on DE. Will see if we can get an entry on it.

AAPL: of course AAPL's earnings are what everyone is watching after the close. AAPL received an upgrade today. Lots are negative and thus others say use that as a reason to buy. Perhaps. Still feel a downside play on earnings is a money maker even if it is short term.


FOMC: Meeting starts today, rate hike decision tomorrow. Oh yes, THAT is hanging out there as well.

OTHER MARKETS
Bonds: 2.955% vs 2.975%. Bond yields continue to fade away from 3%

EUR/USD: 1.2029 vs 1.2103. Dollar continues its rally

USD/JPY: 109.63 vs 109.28

Oil: 67.89, -0.68

Gold: 1309.00, -10.20


The stock indices continue their working in the ranges, continue looking for a catalyst that earnings have been unable to provide given the overhand of other issues.

Money is moving around, however, and we will continue looking at those areas where it is heading AND where it is leaving.

Jon Johnson, Chief Market Strategist
InvestmentHouse.com
______________________________________
Alert Key
http://www.investmenthouse.com/alertkey.htm

PLEASE DO NOT REPLY TO THIS EMAIL. USE THE CONTACT US PAGE ON OUR WEBSITE.

Customer Support: http://investmenthouse.com/contact_us.php