ADVISORY SQUAWK BOX – WEEKLY HIGHLIGHTS (WEEK OF APR. 22Nd, 2013)

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WEEKLY MARKET UPDATE

PREVIOUS WEEK RE-CAP:  (4/15 – 4/19)

Monday (4/15) – The S&P 500 posted its worst day in more than four months, as big drops in the price of gold and other commodities  triggered a broad selloff in equities while the Boston Marathon bombings rattled investor confidence.

(S&P 500 -2.3%)

Tuesday (4/16) – Stocks jumped more than 1 percent, a day after their worst decline since November, as earnings from Coca-Cola and Johnson & Johnson improved the outlook for first-quarter results.

(S&P 500 +1.4%)

Wednesday (4/17) – Stocks fell in a broad market selloff, led by a sharp fall in Apple on worries about slowing demand while weaker-than-expected results from Bank of America pressured the financial sector.

(S&P 500 -1.4%)

Thursday (4/18) – Stocks fell for the third day this week after data showed signs of slower growth ahead for the U.S. economy, while bearish technical signals added to doubts about the market’s strength.

(S&P 500 -0.7%)

Friday (4/19) – Stocks rose as earnings from Google and other companies boosted technology shares, but it wasn’t enough to prevent the S&P 500 from suffering its worst week since November.

(S&P 500 +0.9%)

For the previous week, the DJIA fell 2.1%, the S&P 500 fell 2.1% and the NASDAQ fell 2.7%

To begin the current week, the S&P 500 is up approx. 9.0% in the year-to-date period.

Technical Update:  The S&P 500 had a significant pull back finishing down over 2% for the week. After rebounding off the 1,540 support level last week, the S&P appears set to trade in its previous range of 1,540 – 1,570.  If the Index moves above this range, the next resistance level will come in around the 1,593 & 1,597 levels.  However, if we make a sustained move below this band, traders will begin to anticipate a move into the S&P 500’s next notable support range around 1,525 – 1,530.

Key Technical Levels (S&P 500):

On the upside (resistance) – 1,570, 1,593 (new all-time closing high) & 1,597 (new all-time intra-day high).

On the downside (support) – 1,550, 1,540 & 1,525-1,530 are the next major marks in range on the charts.

 * 50-day moving avg. = 1,543 & 200-day moving avg. = 1,473

Economic Data: We are scheduled for a fairly notable week on the economic data front, highlighted by Monday’s Existing Home Sales; Tuesday’s New Home Sales; Wednesday’s Durable Orders; Thursday’s Weekly Jobless Claims Data and Friday’s Q1 GDP Advanced Report & Michigan Consumer Sentiment.  See below for full list of weekly economic reports.

Corporate Earnings:  The pace of corporate earnings really picks up steam this week and will be a main focus for the trading community. As of 4/19/13, of the 91 companies in the S&P 500 that have reported earnings to date for Q1 2013:  70% have reported earnings above analyst expectations, 8% reported earnings in line with analyst expectations and 22% reported earnings below analyst expectations, according to Thomson Reuters.  On the revenue front, 44% have reported earnings above analyst expectations, 0% reported earnings in line with analyst expectations and 56% reported earnings below analyst expectations, according to Thomson Reuters.  Looking ahead, there are 168 S&P 500 companies scheduled to report Q1 2013 earnings during the week of April 22.   See below for full list of corporate earnings reports. 

Crude Oil: To begin the week, NYMEX WTI Crude Oil is trading around the $88.00 a barrel level & Brent Crude is trading near $100.00 a barrel.  In the 2013 YTD period, NYMEX WTI Crude Oil is down 5% while Brent Crude is down over 7%.

___________

MAIN EVENTS OF THE UPCOMING WEEK:  (4/22 – 4/26)

MONDAY (4/22)

– 10:00 AM ET – Existing Home Sales – Mar – Expectations = 5.01M

– Caterpillar Inc Earnings – BMO

– Halliburton Co Earnings – BMO

– Hasbro Inc Earnings – BMO

– Netflix Inc Earnings – AMC

– Texas Instruments Inc Earnings – AMC

TUESDAY (4/23)

– 9:00 AM ET – FHFA Housing Price Index – Feb – Prior = 0.6%

– 10:00 AM ET – New Home Sales – Mar – Expectations = 415K

– Coach Inc Earnings – BMO

– Delta Air Lines Inc  Earnings – BMO

– Ingersoll-Rand PLC Earnings – BMO

– Illinois Tool Works Earnings – BMO

– Lockheed Martin Corp Earnings – BMO

– Ryder Systems Inc Earnings – BMO

– United Technologies Earnings – BMO

– Xerox Corp Earnings – BMO

– Amgen Inc. Earnings – AMC

– Apple Inc Earnings – AMC

– AT&T Inc Earnings – AMC

– Broadcom Corp Earnings – AMC

– Norfolk Southern Corp Earnings – AMC

– Yum! Brands Inc Earnings – AMC

WEDNESDAY (4/24)

– 8:30 AM ET – Durable Orders – Mar – Expectations = -3.1%

Australian and Indian markets close

– Boeing Co Earnings – BMO

– Credit Suisse Group AG Earnings – BMO

– Eli Lilly and Co Earnings – BMO

– EMC Corp Earnings – BMO

– Ford Motor Co Earnings – BMO

– General Dynamics Corp Earnings – BMO

– GlaxoSmithKline PLC Earnings – BMO

– Hess Earnings – BMO

– Motorola Solutions Inc Earnings – BMO

– NASDAQ OMX Group Inc Earnings – BMO

– Northrop Grumman Corp Earnings – BMO

– Proctor & Gamble Co Earnings – BMO

– Rockwell Automation Earnings – BMO

– Sprint Nextel Corp Earnings – BMO

– Aflac Inc Earnings – AMC

– Equifax Inc Earnings – AMC

– Qualcomm Inc Earnings – AMC

– T. Rowe Price Group Inc Earnings – AMC

THURSDAY (4/25)

– 8:30 AM ET – Weekly Jobless Claims – Expectations = 351K

– 3M Co Earnings – BMO

– Altria Group Inc Earnings – BMO

– Bristol Myers Squibb Co Earnings – BMO

– Coca-Cola Enterprises Inc – BMO

– ConocoPhillips Earnings – BMO

– Dow Chemical Company Earnings – BMO

– Exxon Mobil Corp Earnings – BMO

– JetBlue Airways Corp Earnings – BMO

– Raytheon Co Earnings – BMO

– Southwest Airlines Earnings – BMO

– Stanley Black & Decker Earnings – BMO

– Time Warner Cable Inc Earnings – BMO

– United Parcel Service Earnings – BMO

– Amazon.com Inc. Earnings – AMC

– Starbucks Corp Earnings – AMC

FRIDAY (4/26)

– 8:30 AM ET – GDP-Adv. – Q1 – Expectations = 2.8%

– 9:55 AM ET – Michigan Sentiment – Apr – Expectations = 72.4

– The Bank of Japan meets and is expected to revise its price forecasts sharply higher, after a policy board member said Japan’s inflation rate would likely top 1% in the next fiscal year. The BOJ will release a semi-annual forecast on economic growth and consumer-price trends.

– Chevron Corp – BMO

– The Goodyear Tire & Rubber Co Earnings – BMO

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