{"id":4765,"date":"2016-08-08T16:15:59","date_gmt":"2016-08-08T20:15:59","guid":{"rendered":"http:\/\/www.thet3trader.com\/?p=4765"},"modified":"2016-08-08T16:15:59","modified_gmt":"2016-08-08T20:15:59","slug":"t3s-take-3-a-record-high-in-a-serious-snoozefest","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2016\/08\/08\/t3s-take-3-a-record-high-in-a-serious-snoozefest\/","title":{"rendered":"T3&#8217;s Take 3: A Record High in a Serious Snoozefest"},"content":{"rendered":"<p dir=\"ltr\"><strong><span data-mce-mark=\"1\">What do you really know about prop trading?<\/span><\/strong><\/p>\n<p dir=\"ltr\">Join my friends Amber Capra and Sami Abusaad for a FREE live webinar on the exciting world of prop trading, including:<\/p>\n<ul>\n<li><span data-mce-mark=\"1\">The unique financial benefits of a prop trading account<\/span><\/li>\n<li><span data-mce-mark=\"1\">How to select a program that\u2019s right for you<\/span><\/li>\n<li><span data-mce-mark=\"1\"><span data-mce-mark=\"1\">Pitfalls you must avoid<\/span><\/span><\/li>\n<\/ul>\n<p><strong><span data-mce-mark=\"1\"><a href=\"https:\/\/t3campaigns.clickfunnels.com\/prop-trading-1\" target=\"_blank\" shape=\"rect\">Click here for more information<\/a><\/span><\/strong><\/p>\n<p><strong><span data-mce-mark=\"1\"><span data-mce-mark=\"1\">1) New All-Time Highs\u2026 and Not Much Else<\/span><\/span><\/strong><\/p>\n<p><span data-mce-mark=\"1\">The <strong>S&P 500<\/strong> opened higher today and quickly made another record high at 2185.44.<\/span><\/p>\n<p><span data-mce-mark=\"1\">However, the index quickly settled into a tight trading range, extending <strong><a href=\"http:\/\/www.thet3trader.com\/index.php\/2016\/08\/05\/for-the-love-of-everything-that-is-holy-can-we-please-get-a-real-move\/\" target=\"_blank\" shape=\"rect\">the summer snoozefest<\/a><\/strong>.<\/span><\/p>\n<p><span data-mce-mark=\"1\">The S&P has not made a 1% move since July 8, a span of 21 trading days.<\/span><\/p>\n<p><span data-mce-mark=\"1\">This action is reminiscent of the exceedingly boring April-May stretch, which is odd considering that we\u2019re in the middle of earnings season with plenty of central banks news and economic data surprises.<\/span><\/p>\n<p><span data-mce-mark=\"1\">Health care was weak today after drug giant <strong>Allergan<\/strong> (AGN) reported a revenue miss, though to be fair, the sector rose just rose 12% in a\u00a0<\/span><span data-mce-mark=\"1\">straight line off the post-Brexit lows.<\/span><\/p>\n<p><span data-mce-mark=\"1\">The S&P fell -0.1% to 2180.86 today, and the Nasdaq and Russell 2000 also posted small losses.<\/span><\/p>\n<p><strong><span data-mce-mark=\"1\"><span data-mce-mark=\"1\">2) Crude Oil Bounces Back<\/span><\/span><\/strong><\/p>\n<p><span data-mce-mark=\"1\">Oil\u2019s revival off the August 3 low continued today on OPEC bullishness, with WTI crude hitting $43 for the first time since July 27.<\/span><\/p>\n<p><span data-mce-mark=\"1\">OPEC President Mohammad Al Sada said today that the current bear market in oil is \u201conly temporary,\u201d and that higher crude oil demand will push up prices later this year.<\/span><\/p>\n<p><span data-mce-mark=\"1\">OPEC will also meet in Algeria next month to continue discussions about a possible output ceiling, though it\u2019s not clear that the meeting will result in any actual output changes.<\/span><\/p>\n<p><span data-mce-mark=\"1\">While the equity markets were lackluster overall, crude oil\u2019s bounce drove solid gains in energy stocks, particularly oil service names. The <strong>Vaneck Vectors Oil Service ETF<\/strong> (OIH) rose 2.3% to $28.96 today.<\/span><\/p>\n<p><span data-mce-mark=\"1\">The strong oil action also boosted the high-yield bond market, which is sensitive to oil prices.<\/span><\/p>\n<p><span data-mce-mark=\"1\"><strong>\u00a0<\/strong><\/span><span data-mce-mark=\"1\"><strong><span data-mce-mark=\"1\">3) Not Completely Awful Is Good Enough<\/span><\/strong><\/span><\/p>\n<p><span data-mce-mark=\"1\"><strong><span data-mce-mark=\"1\">\u00a0<\/span><\/strong><\/span><span data-mce-mark=\"1\">FactSet just updated their second-quarter earnings season stats for\u00a0<strong>S&P 500<\/strong>\u00a0companies so let's take a look at just how awful things are:<\/span><\/p>\n<ul>\n<li><span data-mce-mark=\"1\">69% of companies are beating earnings estimates (vs. 5-year average of 67%)<\/span><\/li>\n<li><span data-mce-mark=\"1\">54% of companies are beating sales estimates (vs. 5-year average of 55%)<\/span><\/li>\n<li><span data-mce-mark=\"1\">Q2 earnings have declined -3.5%, which is less awful than the -5.5% estimated as of June 30.<\/span><\/li>\n<li><span data-mce-mark=\"1\">Health care and tech have had the highest percentage of companies reporting earnings beats<\/span><\/li>\n<\/ul>\n<p><span data-mce-mark=\"1\">This means that the same trend that's persisted for several quarters is still in place &#8212; earnings are nothing to write home about, but they are just a little better than expected.<\/span><\/p>\n<p><span data-mce-mark=\"1\">And that\u2019s enough to get investors to hold their noses and buy.\u00a0<\/span> <br clear=\"none\" \/><br clear=\"none\" \/><span data-mce-mark=\"1\">Or maybe they're just fooled by central banks drenching the market in monetary perfume?<\/span><\/p>\n<p><strong><span data-mce-mark=\"1\">Tuesday's Trading Calendar<\/span><\/strong><\/p>\n<p><span data-mce-mark=\"1\"><strong>US Economics (Time Zone: EDT)<\/strong><\/span><\/p>\n<p><span data-mce-mark=\"1\">06:00 NFIB Small Business Optimism (Jul): exp. 94.5, prior 94.5<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">08:30 Nonfarm Productivity (2Q P): exp. 0.40%, prior -0.60%<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">08:30 Unit Labor Costs (2Q P): exp. 1.80%, prior 4.50%<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">10:00 Wholesale Inventories MoM (Jun): exp. 0.00%, prior 0.10%<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">10:00 Wholesale Trade Sales MoM (Jun): exp. 0.50%, prior 0.50%<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">10:00 IBD\/TIPP Economic Optimism (Aug): exp. 47.3, prior 45.5<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">12:00 DOE Short-Term Crude Outlook (Aug): prior 52.15<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">12:00 DOE Short-Term Mogas Outlook (Aug): prior 2.28<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">12:00 DOE Short-Term Diesel Outlook (Aug): prior 2.71<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">12:00 DOE Short-Term Ht Oil Outlook (Aug): prior 2.64<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">12:00 DOE Short-Term NatGas Outlook (Aug): prior 10.57<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">Mortgage Delinquencies (2Q): prior 4.77%<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">MBA Mortgage Foreclosures (2Q): prior 1.74%<\/span> <br clear=\"none\" \/><br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Global Economics<\/strong><\/span><\/p>\n<p><span data-mce-mark=\"1\">04:30 GBP Manufacturing Production<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">04:30 GBP Goods Trade Balance<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\">23:05 AUD RBA Gov Stevens Speaks<\/span><\/p>\n<p><span data-mce-mark=\"1\"><strong>Earnings<\/strong><\/span><\/p>\n<p><span data-mce-mark=\"1\">Before the Open:<\/span><\/p>\n<p><span data-mce-mark=\"1\"><b>Bitauto Holdings\u00a0<\/b>(BITA)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Coach Inc<\/strong>\u00a0(COH)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Incyte Corp<\/strong><b>\u00a0<\/b>(INCY)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Norwegian Cruise Line<\/strong>\u00a0(NCLH)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Wayfair<\/strong>\u00a0(W)<\/span><\/p>\n<p><span data-mce-mark=\"1\">After the Close:<\/span><\/p>\n<p><span data-mce-mark=\"1\"><b>Clean Energy Fuels\u00a0<\/b>(CLNE)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Cyberark Software<\/strong><b>\u00a0<\/b>(CYBR)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Exone<\/strong><b>\u00a0<\/b>(XONE)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Fossil Group<\/strong>\u00a0(FOSL)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Infinity Pharma<\/strong><b>\u00a0<\/b>(INFI)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Solar<\/strong>\u00a0<strong>City<\/strong><b>\u00a0<\/b>(SCTY)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>SunPower<\/strong><b>\u00a0<\/b>(SPWR)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Twilio<\/strong>\u00a0(TWLO)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Walt Disney<\/strong>\u00a0(DIS)<\/span> <br clear=\"none\" \/><span data-mce-mark=\"1\"><strong>Yelp Inc<\/strong>\u00a0(YELP)<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>What do you really know about prop trading? Join my friends Amber Capra and Sami Abusaad for a FREE live webinar on the exciting world of prop trading, including: The unique financial benefits of a prop trading account How to select a program that\u2019s right for you Pitfalls you must avoid Click here for more information 1) New All-Time Highs\u2026 and Not Much Else The S&#038;P 500 opened higher today and quickly made another record high at 2185.44. However, the index quickly settled into a tight trading range, extending the summer snoozefest. The S&#038;P has not made a 1% move since July 8, a span of 21 trading days. This action is reminiscent of the exceedingly boring April-May stretch, which is odd considering that we\u2019re in the middle of earnings season with plenty of central banks news and economic data surprises. Health care was weak today after drug giant Allergan (AGN) reported a revenue miss, though to be fair, the sector rose just rose 12% in a\u00a0straight line off the post-Brexit lows. The S&#038;P fell -0.1% to 2180.86 today, and the Nasdaq and Russell 2000 also posted small losses. 2) Crude Oil Bounces Back Oil\u2019s revival off the August 3 low continued today on OPEC bullishness, with WTI crude hitting $43 for the first time since July 27. OPEC President Mohammad Al Sada said today that the current bear market in oil is \u201conly temporary,\u201d and that higher crude oil demand will push up prices later this year. OPEC will also meet in Algeria next month to continue discussions about a possible output ceiling, though it\u2019s not clear that the meeting will result in any actual output changes. While the equity markets were lackluster overall, crude oil\u2019s bounce drove solid gains in energy stocks, particularly oil service names. The Vaneck Vectors Oil Service ETF (OIH) rose 2.3% to $28.96 today. The strong oil action also boosted the high-yield bond market, which is sensitive to oil prices. \u00a03) Not Completely Awful Is Good Enough \u00a0FactSet just updated their second-quarter earnings season stats for\u00a0S&#038;P 500\u00a0companies so let&#8217;s take a look at just how awful things are: 69% of companies are beating earnings estimates (vs. 5-year average of 67%) 54% of companies are beating sales estimates (vs. 5-year average of 55%) Q2 earnings have declined -3.5%, which is less awful than the -5.5% estimated as of June 30. Health care and tech have had the highest percentage of companies reporting earnings beats This means that the same trend that&#8217;s persisted for several quarters is still in place &#8212; earnings are nothing to write home about, but they are just a little better than expected. And that\u2019s enough to get investors to hold their noses and buy.\u00a0 Or maybe they&#8217;re just fooled by central banks drenching the market in monetary perfume? Tuesday&#8217;s Trading Calendar US Economics (Time Zone: EDT) 06:00 NFIB Small Business Optimism (Jul): exp. 94.5, prior 94.5 08:30 Nonfarm Productivity (2Q P): exp. 0.40%, prior -0.60% 08:30 Unit Labor Costs (2Q P): exp. 1.80%, prior 4.50% 10:00 Wholesale Inventories MoM (Jun): exp. 0.00%, prior 0.10% 10:00 Wholesale Trade Sales MoM (Jun): exp. 0.50%, prior 0.50% 10:00 IBD\/TIPP Economic Optimism (Aug): exp. 47.3, prior 45.5 12:00 DOE Short-Term Crude Outlook (Aug): prior 52.15 12:00 DOE Short-Term Mogas Outlook (Aug): prior 2.28 12:00 DOE Short-Term Diesel Outlook (Aug): prior 2.71 12:00 DOE Short-Term Ht Oil Outlook (Aug): prior 2.64 12:00 DOE Short-Term NatGas Outlook (Aug): prior 10.57 Mortgage Delinquencies (2Q): prior 4.77% MBA Mortgage Foreclosures (2Q): prior 1.74% Global Economics 04:30 GBP Manufacturing Production 04:30 GBP Goods Trade Balance 23:05 AUD RBA Gov Stevens Speaks Earnings Before the Open: Bitauto Holdings\u00a0(BITA) Coach Inc\u00a0(COH) Incyte Corp\u00a0(INCY) Norwegian Cruise Line\u00a0(NCLH) Wayfair\u00a0(W) After the Close: Clean Energy Fuels\u00a0(CLNE) Cyberark Software\u00a0(CYBR) Exone\u00a0(XONE) Fossil Group\u00a0(FOSL) Infinity Pharma\u00a0(INFI) Solar\u00a0City\u00a0(SCTY) SunPower\u00a0(SPWR) Twilio\u00a0(TWLO) Walt Disney\u00a0(DIS) Yelp Inc\u00a0(YELP)<\/p>\n","protected":false},"author":6,"featured_media":4101,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,1],"tags":[158,159,104,39,8],"class_list":["post-4765","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","category-uncategorized","tag-crude-oil","tag-market","tag-oil","tag-stock-market-recap","tag-stocks"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/4765","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=4765"}],"version-history":[{"count":0,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/4765\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/4101"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=4765"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=4765"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=4765"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}