16Mar2017 Pre-Market Commentary: Wall Street To Open Slightly Higher, The US Dollar Attempted A Slight Rebound Before Sliding Again, Crude Prices Remain Strong

Written by Gary

US stock market future indexes pointed to a fractionally higher open (SPY +0.05%) this morning, extending strong gains from the prior session after the Federal Reserve raised interest rates, but struck a more dovish tone than expected.

Here is the current market situation from CNN Money
	European markets are higher today with shares in Germany leading the region. The DAX is up 0.69% while London’s FTSE 100 is up 0.51% and France’s CAC 40 is up 0.48%.

Looking at the last three columns (below), the first one (Actual), is what was reported this morning. The second column (Forecast) is what analysts had forecast and the third column is the previous report. Full calendar HERE.

What Is Moving the Markets

Here are the headlines moving the markets.
	U.S. jobless claims fall as labor market tightens WASHINGTON, (Reuters) – The number of Americans filing for unemployment benefits fell last week, pointing to a further tightening in the labor market.
	Fed raises rates as job gains, firming inflation stoke confidence WASHINGTON (Reuters) – The U.S. Federal Reserve raised interest rates on Wednesday for the second time in three months, a move spurred by steady economic growth, strong job gains and confidence that inflation is rising to the central bank’s target.
	Futures up on Fed’s dovish rate-hike outlook (Reuters) – U.S. stock index futures rose on Thursday after the Federal Reserve raised interest rates for the first time this year, but indicated it was in no hurry to increase the pace of tightening.
	Yahoo cyber indictment shows Kremlin, hackers working hand-in-hand (Story corrects first name of U.S. Senator Warner to Mark, not John in 15th paragraph of March 15th item.)
	Britain asks regulator to investigate Sky takeover by Murdoch’s Fox LONDON (Reuters) – The British government said on Thursday it would refer Rupert Murdoch’s planned takeover of European pay-TV group Sky to regulators to decide if the deal was in the public interest.
	Fed rate moves could spell end to Asian easing SINGAPORE (Reuters) – The long cycle of falling interest rates in Asia could be over after the U.S. Federal Reserve’s third rate rise in 15 months was followed quickly by monetary tightening in the world’s second-biggest economy, China.
	Tesla to raise about $1.15 billion in stock, notes; Musk to buy shares SAN FRANCISCO (Reuters) – Tesla Inc said on Wednesday it expects to raise about $1.15 billion from a stock and senior notes offering, an infusion of needed capital as the electric car maker enters pre-production of its upcoming Model 3 electric sedan.
	Dollar General’s sales beat; to raise store managers’ pay (Reuters) – U.S. discount retailer Dollar General Corp reported a better-than-expected 13.7 percent increase in quarterly sales on Thursday, helped by higher spending at its stores driven by strong demand for home products.
	Hedge funds to reap big stock gains from bankruptcy of coal miner Peabody CHICAGO/WILMINGTON, Del (Reuters) – When leading U.S. coal miner Peabody Energy Corp emerges from bankruptcy next month, a group of seven investment funds could reap hundreds of millions of dollars in gains from an unusual sale of discounted company stock.
	Gold Surges Most Since Brexit After ‘Dovish’ Fed Hike With the focus overnight on the Rutte ‘win’ despite the surge in populist angst, and headlines from The Fed, PBOC, BoJ, and BoE sending global stocks to record highs, one might be forgiven for not noticing that Gold is surging (most since Brexit) following Janet’s decision to raise rates for the 3rd time in 11 years – far outperforming other assets classes. The Dollar continued to get pounded overnight as China unexpectedly tightened policy… Gold the big winner (thogh WTI is rallying also on the heels of the tumbling dollar) This is gold’s biggest day since Brexit… Gold is above its 50- and 100-day moving averages and $1225, and Silver is above $17… Helped by the dollar and the news of the split vote (the first in 8 months) at th …
	Frontrunning: March 16 Fed’s ‘dovish hike’ sends shares to record highs, dollar dips (Reuters); Markets Rally After Fed Rate Increase Decision (BBG) Yellen Calms Fears Fed’s Policy Trigger Finger Is Getting Itchy (BBG) Europe Gets Reprieve in Dutch Election, But the Center Fragments (BBG); Relief in EU capitals as Dutch PM sees off far-right’s Wilders (Reuters) Trump’s first budget: military wins; environment, aid lose (Reuters) Trump Says He Based Charge of Obama Wiretapping on Media Reports (BBG) Trump Adviser Carl Icahn Lobbies for Rule Change That Benefits Icahn (BBG) Queen formally approves law giving UK PM May power to trigger EU exit talks (Reuters) Tillerson calls for ‘new approach’ to North Korea, no details (Reuters); Tillerson Tells North Korea It Has Nothing to Fear From U.S. (
	Letter Bomb Explodes At French IMF Headquarters, One Person Injured – LIve Feed One day after a package of explosives was discovered at the German finance ministry, moments ago French BFM TV reported, and Reuters confirmed , that a letter exploded when it was opened at the headquarters of the IMF, injuring one person according to police. BREAKING: One person injured in Paris in explosion after opening an envelope at IMF offices – BFM TV pic.twitter.com/wiUJCxietj — Reuters World (@ReutersWorld) March 16, 2017 BFM TV adds that an explosion took place following the opening of an envelope, injuring one person at 66, Avenue d’Iéna, the headquarters of the International Monetary Fund (IMF). The structure of the building is not damaged. The police are on location. According to Bloomberg, a Paris police official says an envelope exploded leaving only one person with slight injuries. The official said police is investigating but the explosion is “nothing serious.” Representatives at IMF Paris office weren’t immediately available for comment. “I have been informed about the explosion in the IMF’s Paris office, which caused injuries to one of our staff,” IMF Managing Director Christine Lagarde said in an e-mailed statement. “I have been in touch with the office, and my compassion goes to the colleagues there. I condemn this cowardly act of viole …
	The Trump Job Banks Care About Most A pending appointment will reveal whether pro-Wall Street forces are truly ascendant in the Trump administration.
	Dutch Elections: Markets Breathe Easy Until Next European Test The absence of an upset in the Netherlands election means the political discount for eurozone assets should fade. But with bigger, more important elections still to come, jitters will persist.
	Fed and Investors Are a Happy Couple, for Now Markets and the central bank agree on three rate increases this year, but stocks are pricing in stronger growth than the Federal Reserve expects.
	11 March 2017 Initial Unemployment Claims Rolling Average Again Marginally Worsens The market expectations for weekly initial unemployment claims (from Bloomberg / Econoday) were 240 K to 250 K (consensus 242,000), and the Department of Labor reported 241,000 new claims. The more important (because of the volatility in the weekly reported claims and seasonality errors in adjusting the data) 4 week moving average moved from 236,500 (reported last week as 236,500) to 237,250. The rolling averages generally have been equal to or under 300,000 since August 2014.
	Beer Goggles: How a Michelin-star brewpub presages the future for craft beer Craft beer brewers are learning that keeping things small and simple is not only the best way, but maybe the only way.
	Economic Report: Jobless claims drop 2,000 to 241,000 The number of Americans who applied for unemployment benefits fell by 2,000 to 241,000 in mid-March, as layoffs remained near the lowest level in decades.
	Economic Report: Philly Fed survey shows staying power in March The Philadelphia Fed’s monthly index on regional manufacturing slipped to 32.8 in March from 43.3 in February, which was the highest reading in 33 years, according to data released Thursday.