Morning Update: U.S. Imposes Sanctions Against Iran; Markets Unmoved

First Look

Major indices are relatively unchanged ahead of the open Tuesday. President Trump continues to increase pressure on Iran. Trump has imposed additional “hard hitting” sanctions against the country, in what he describes as a “strong and proportionate response to Iran’s increasingly provocative actions” following the downing of a U.S. drone late last week. The additional sanctions also target the office of Iran’s supreme leader Ayatollah Ali Khamenei, denying Khamenei access to financial resources which would Inevitably fund parts of the Iranian regime such as the Islamic Revolutionary Guard Corps. Iranian President Hassan Rouhani called the move ” outrageous and idiotic”, adding that the Trump administration had become “become mentally crippled” and that the administration has permanently closed any diplomatic path with the country. The Dow Jones is down -0.08%, the S&P 500 is down -0.13%, the Nasdaq is down -0.23%.

Today's market outlook is Neutral

We can only see a short distance ahead, but we can see plenty there that needs to be done.
Alan Turing

Stocks on the Move

Allergan plc (AGN), Lennar Corporation (LEN) and PulteGroup, Inc. (PHM) are moving higher this morning, while AbbVie Inc (ABBV), Kellogg Company (K) and Carnival Corp (CCL) are headed lower. GrubHub Inc (GRUB), SiteOne Landscape Supply Inc (SITE) and GasLog Ltd (GLOG) were upgraded by analysts this morning, while Tiffany & Co. (TIF), Kellogg Company (K) and Caesars Entertainment Corporation Common Stock (CZR) were downgraded.

International Markets

Stocks in Asia are mixed. The Mumbai Sensex is up 0.8%, the Australia ASX All Ordinaries is down -0.16%, the Nikkei 225 is down -0.43% the Shanghai SE Composite Index is down -0.87% and the Hang Seng is down -1.27%. Stocks in Europe are down. The Euro Stoxx 50 is down -0.2%, the CAC 40 is down -0.12%, the FTSE 100 is down -0.09% and the DAX is down -0.03%.

Futures and Currencies

Energy futures are down today. The price for West Texas Intermediate crude oil is down -0.16 at 57.74 per barrel. Brent crude is down -0.31 at 64.55 per barrel. Natural Gas is down -0.02 at 2.29. Precious metals are mixed this morning. Gold is up 8.42 at 1428.14 per ounce. Platinum is down -0.92 at 814.12 while silver is up 0.03 at 15.51. The dollar is mixed compared to the major currencies today. The greenback is up against the euro, down against the Yen and up against the Pound.

Put/Call Ratio

Yesterday, 848,390 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 507,784 put contracts. The single-session put/call was 0.6 while the 20-day moving average is now at 0.64.

Earnings Expected Today

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  • Last Price:
    $298.54
  • Previous Close:
    $297.90
  • Day's Range:
    $298.26 - $299.19
  • 52-week Range:
    $301.13 - $233.76
  • Last Price:
    $272.42
  • Previous Close:
    $271.65
  • Day's Range:
    $272.17 - $272.93
  • 52-week Range:
    $273.99 - $216.97
  • Last Price:
    $192.78
  • Previous Close:
    $192.53
  • Day's Range:
    $192.41 - $193.60
  • 52-week Range:
    $194.19 - $143.46

Today's Economic Calendar

What's Happening Period Release Time
S&P Case-Shiller Home Price Index Apr 08:00
FHFA Housing Price Index Apr 09:00
Consumer Confidence Jun 10:00
New Home Sales May 10:00

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