Frontrunning: August 3

Tyler Durden's picture
  • China Joins Russia in Blasting U.S. Borrowing After Debt Ceiling Agreement (Bloomberg)
  • Eurozone Moves to Prop Up Rescue Fund (FT)
  • SNB Cuts Rate to Zero to Counter Franc Strength (WSJ)
  • US Retreats from Brink of Debt Default (FT)
  • Strains Ease on Short-Term Credit Markets (Hilsenrath)
  • China’s Non-Manufacturing Industries Expanded in July, PMI Surveys Show (Bloomberg)
  • Moody's, Fitch Maintain U.S. Triple-A Rating (Reuters)
  • Britain’s ‘Weak’ Economy May Need Tax Cuts to Boost Demand, Institute Says (Bloomberg)
  • Japan Keeps Up Warnings on Yen After U.S. Debt Deal (Reuters)
  • No Double-Dip Seen in GDP (Shanghai Daily)

European economic data:

  • Euro-Zone PMI Composite for July 51.1 – higher than expected.Consensus 50.8. Previous 50.8
  • Euro-Zone PMI Services for July 51.6 – higher than expected.Consensus 51.4. Previous 51.4
  • Euro-Zone Retail Sales for June 0.9% m/m -0.4% y/y – higher than expected. Consensus 0.5% m/m -1.0% y/y. Previous -1.3% m/m -2.3% y/y (revised from -1.1% m/m -1.9% y/y)
  • France PMI Services for July 54.2 – as expected.Previous 54.2.
  • Switzerland UBS Real Estate Bubble Index for Q2 0.65.Previous 0.63
  • UK PMI Services for July 55.4 – higher than expected. Consensus 53.2. Previous 53.9
  • UK Official Reserves (Changes) for July $2,082M. Previous -$148M

Global economic highlights from Egan-Jones:

  • Asian shares fall heavily, with investors selling on fears about slowing global growth.
  • China's service sector growth eased in July: HSBC Survey.
  • Chinese credit-rating agency Dagong Global again downgrades U.S. debt.
  • Gold briefly hits new record above $1,660/ounce.
  • Obama eyes payroll tax-cut extension beyond 2011; says economy needs more than spending cuts.
  • ABB wins $1 billion order to connect wind farms in Germany.
  • ADM profit falls 14.5% to $381M, misses expectations, on higher taxes, corn costs.
  • Ally Financial's net income plummeted 80% on mortgage losses, lower auto-lending profits.
  • American Honda July sales drop 25.6% on decreased demand for Accord.
  • Arthur J. Gallagher acquires Group Benefits of Arkansas; terms were not disclosed.
  • Becton Dickinson net up 12%, aided by forex shifts. Ups full year EPS f'cast.
  • Cantel Medical acquires substantially all the assets of Byrne Medical for $100M.
  • Charles River's Q2 net jumps to $32.3M on gains tied to a life-insurance policy.
  • Chrysler Group's US vehicle sales rose 20% in July, to 112,026 units.
  • Coach Inc.'s Q4 earnings rose 3.6% to $202.5M, as sales improved by 8.5% to $1.03B.
  • Daimler AG's Mercedes-Benz unit's July sales increased 16.7% YoY to 21,065 units.
  • Emerson Electric Co.'s Q3 earnings rose 17%, though sales grew slower than expected.
  • Ford said its July sales totaled 180,865 vehicles, up 9% over a year ago.
  • Hertz Global swings to profit in Q2 at $55M, as revs rose 10% to $2.07B.
  • Hyatt Hotels Q2 net income rose to $37M, up 48% YoY. Revs up 5.3% at $936M.
  • India's Wockhardt Ltd. to sell its nutrition business to Danone SA for €250M.
  • Marathon Oil profit jumps 40% to $996M on higher prices. Revs rose 33% to $3.87B.
  • Mercer Intl announces a $25M share repurchase program.
  • Northeast Utilities' Q2 net rises 7.4% to $77.3M on lower operating costs.
  • OfficeMax reported a loss of $2.46M in Q2, revs slid 0.3% to $1.65B.
  • Oneok Inc. Q2 profit grew 32% to $55.1M, lower than expectation.
  • Pfizer net rises 5.2% to $2.61B on fewer charges, lower tax rate. Revs fell 1%.
  • Tenet Healthcare's Q2 earnings surged 97% as admissions and outpatient visits rose.
  • XL Group Q2 profit rises 17% to $225.6M as revs rose 9% to $1.69B.

Economic Calendar: MBA Mortgage Index, Factory Orders, ISM Services to be released.
Earnings Calendar: AES, AGN, ANDE, ASCA, ATML, AWK, CEG, CLX, CMCSA, CQB, CSII, DNKN, EQY, FBN, GAS, ICE, JOE, MA, MMC, TWX.