Exclusive: Brazil’s Temer to overhaul economy, central bank to rescue confidence

http://www.reuters.com/article/us-brazil-politics-exclusive-idUSKCN0XN2EV

Weak U.S. factory, consumer confidence data cloud growth outlook

http://www.reuters.com/article/us-usa-economy-durable-idUSKCN0XN1IC

U.S. economy seen growing 0.4 percent in first quarter: Atlanta Fed

http://www.reuters.com/article/us-usa-economy-atlantafed-idUSKCN0XN1YY

Required Reading

The Closing Look

Stocks were relatively quiet on Tuesday as the Fed began its two day meeting and investors digested the latest round of mixed earnings and economic data. U.S. durable goods orders rose +0.8% in March, missing estimates for a gain of +1.6%. Consumer confidence fell to 94.1, and missed estimates for 96. The PMI Service Flash index came in at 52.1, almost inline with the Street’s estimate of 52. The S&P Case Shiller Index came in at 0.7%, matching estimates for 0.7%. Meanwhile, the Richmond Fed Manufacturing Index came in at 14, beating estimates for 12. After Tuesday’s close Apple reported earnings.

Gary’s Take: Commodities, commodities and more commodities! Energy really starting to perk up now…even more!

The Morning Look

Stock Market Overview: 

Futures are lower ahead of Wednesday’s open and today’s Fed meeting Remember, we are in the heart of earnings season with approximately 35% of S&P 500 stocks are expected to release earnings this week. The first look at Q1 2016 GDP will be released on Thursday.

Gary’s Thoughts:  Apple not helping QQQ but SPY not down much. Oil again popping as oil prices breaking out fo range…and oh yeah…the freaking fed today!

Economic Data:

  • MBA Mortgage Applications 7:00 AM ET
  • International Trade in Goods 8:30 AM ET
  • Pending Home Sales Index 10:00 AM ET
  • EIA Petroleum Status Report 10:30 AM ET
  • FOMC Meeting Announcement 2:00 PM ET

Highlights Of The Day:

    • Exxon Mobil Loses Top Credit Rating It Held Since Depression
      Gary’s Thoughts: Oops! 
    • Ackman to Testify With Pearson at Senate Drug-Pricing Hearing
      Gary’s Thoughts: An investing genius but cardinal sin…don’t hold bad bets all the way down.

The Morning Look

Stock Market Overview: 

Futures are up ahead of Tuesday’s open and yesterday’s late reversal as investors wait for the latest round of earnings data to be released. 35% of S&P 500 stocks are expected to release earnings this week. Plus the Fed is scheduled to meet on Wednesday and GDP will be released on Thursday.

Gary’s Thoughts: Earnings stink but most are beating the lowered guidance. Durable goods came in crappy but markets cannot sell off as central banks are MORE THAN all in. Just read about major European company offering debt at 0%…does the ECB know how badly they are distorting things as well as SCREWING THE OTHER SIDE…meaning THE INVESTORS! Tomorrow, we get Yellen. We think it a comedy act that pundits wonderiung about June rate hike. THERE WILL BE NO MORE RATE HIKES. They saw what one rate hike would do to markets so they had to back off. 

Economic Data:

  • FOMC Meeting Begins
  • Durable Goods Orders 8:30 AM ET
  • Redbook 8:55 AM ET
  • S&P Case-Shiller HPI 9:00 AM ET
  • Consumer Confidence 10:00 AM ET
  • Richmond Fed Manufacturing Index 10:00 AM ET
  • State Street Investor Confidence Index 10:00 AM ET

Highlights Of The Day:

    • Crowded Trade: Hedge Funds Are Bearish on Dollar for First Time Since July 2014
      Gary’s Thoughts: That will change on the first strong up day.
    • Bank of Japan Owns 10% Of The Nikkei and 55% Of Japan’s ETF’s…
      Gary’s Thoughts: But don’t worry. It is normal for central banks to buy up markets. Remember, we once joked about Bernanke and asked: why doesnt he just buy up the whole freaking S&P? Looks like the BOJ listened.

Listen To Monday’s Investor’s Edge Radio Show: Stoolander Edition 04/25/2016

Highlights:

  1. Market Wrap
  2. Gary Talks Sectors and Tells You Potential Areas For Near Term Highs
  3. Gary Talks Earnings and Central Bank Madness