DAILY MORNING CHAI

The S&P 500 futures trade 28 points, or 0.8%, above fair value to begin the abbreviated trading week and bounce back from last week's decline. Investors are buying the dip while digesting the second day of Q4 bank earnings. Briefly, shares of Bank of America (BAC 32.33, -0.68, -2.1%) and Goldman Sachs (GS 306.96, +6.96, +2.0%) are trending in opposite directions following their results. Bank of America provided a mixed report, missing revenue estimates but beating EPS estimates, while Goldman exceeded top and bottom-line expectations. Separately, Treasury Secretary nominee Janet Yellen is scheduled to speak at her confirmation hearing at 10:00 a.m. ET. Ms. Yellen is expected to say that the U.S. does not want a weak dollar and that it's time to "act big" on fiscal stimulus, according to Bloomberg. Reports also indicate that President-elect Biden's $1.9 trillion stimulus plan will face GOP opposition. Longer-dated Treasuries remain under selling pressure despite the threat of a stimulus package being slowed down. The 10-yr yield is up three basis points to 1.12%, and the 2-yr yield is up one basis point at 0.14%. The U.S. Dollar Index is down 0.3% to 90.52. WTI crude futures are up 0.3% to $52.56/bbl. Today's economic data will be limited to Net Long-Term TIC Flows for November, which will be released when the stock market closes at 4:00 p.m. ET. In U.S. Corporate news: Bank of America (BAC 32.33, -0.68): -2.1% after missing revenue estimates, although it did beat EPS estimates and authorized the repurchase of $2.9 billion in common stock through March 31, 2021. Goldman Sachs (GS 306.96, +6.96): +2.0% after beating top and bottom-line estimates. American Express (AXP 124.50, +2.35): +1.9% after the stock was upgraded to Overweight from Underweight at JP Morgan. Lumentum (LITE 96.68, -9.64): -9.1% after agreeing to acquire Coherent (COHR 205.00, +53.05, +34.9%) in a cash and stock transaction valued at $5.7 billion. On a related note, Lumentum issued upside Q2 EPS guidance. Western Union (WU 23.31, +1.38): +6.3% after entering an agreement to offer western union money transfers at Walmart (WMT 145.01, +0.37, +0.3%). Reviewing overnight developments: Equity indices in the Asia-Pacific region had a strong showing in most cases, excluding the Shanghai Composite, which declined 0.8%. Japan's Nikkei: +1.4% Hong Kong's Hang Seng: +2.7% China's Shanghai Composite: -0.8% India's Sensex: +1.7% South Korea's Kospi: +2.6% Australia's ASX All Ordinaries: +1.2%. In economic data: (from the weekend) China's Q4 GDP +2.6% qtr/qtr (expected 3.2%; last 3.0%) and 6.5% yr/yr (expected 6.1%; last 4.9%); December Industrial Production +7.3% yr/yr (expected 6.9%; last 7.0%); December Retail Sales +4.6% yr/yr (expected 5.5%; last 5.0%); December Fixed Asset Investment +2.9% yr/yr (expected 3.2%; last 2.6%) (from the weekend) Japan's Industrial Production -0.5% m/m (last 0.0%); January Reuters Tankan Index -1 (last -9) In news: A 2.7% surge in Hong Kong's Hang Seng Index reportedly came at the expense of mainland equities. Over the weekend, China reported 6.5% yr/yr growth in Q4 GDP, which was better than expected. There were reports that China is sanctioning unnamed U.S. officials due to Taiwan dealings, that the PBOC isn't planning any sudden shifts in policy this year, and that regulations are being tightened for rare-earth miners. The Trump Administration is said to be revoking licenses for suppliers to Huawei. Japan's Nikkei had another good day, gaining 1.4% with help from its semiconductor and auto components. The BOJ has a policy meeting Jan 20-21. There are press reports that market participants think the BOJ, in its March review, might start talking about tapering its purchases of ETFs. Major European indices are mixed, showing only modest changes on either side of the unchanged line. STOXX Europe 600: +0.2% Germany's DAX: +0.3% U.K.'s FTSE 100: +0.04% France's CAC 40: -0.03% Italy's FTSE MIB: +0.3% Spain's IBEX 35: -0.4%. In economic data: Eurozone's January ZEW Economic Sentiment 58.3 (last 54.4); November Construction Output +1.41% m/m (last 0.47%); November Current Account Balance EUR24.6B (last EUR26.6B) Germany's January ZEW Economic Sentiment 61.8 (expected 60.0; last 55.0); December CPI +0.5% m/m (expected 0.5%; last -0.8%) and -0.3% yr/yr (expected -0.3%; last -0.3%); December Car Registrations +7.3% m/m (last 5.8%) and +9.9% yr/yr (last -3.0%) UK December Car Registrations +16.6% m/m (last -19.3%) and -10.9% yr/yr (last -27.4%) Italy's December Car Registrations -13.7% m/m (last -11.8%) and -14.9% yr/yr (last -8.3%) France's December Car Registrations +47.8% m/m (last -26.3%) and -11.8% yr/yr (last -27.0%) Switzerland's December PPI +0.5% m/m (last -0.1%) and -2.3% yr/yr (last -2.7%) In news: Eurogroup finance ministers are said to be aligned around ensuring there is adequate fiscal support to fight the pandemic; meanwhile, the FT is reporting that the EU is planning to warn markets about the inherent vulnerabilities of relying too much on the U.S. dollar. Italy's PM Conte won a vote of confidence in Italy's lower house, but faces a more challenging vote in the upper house. There is an ECB policy decision coming on Thursday. Separately, there are reports that President-elect Biden won't lift travel restrictions on the UK and EU on Jan. 26 like the Trump Administration had been planning. U.S. equity futures: S&P 500 Futures +27 @ 3789 DJIA Futures +209 @ 30922 Nasdaq 100 Futures +100 @ 12902 Overseas: Europe: DAX +0.3%, FTSE +0.04%, CAC -0.03% Asia: Nikkei -0.6%, Hang Seng +0.3%, Shanghai Flat Commodities: Crude Oil +0.17 @ 52.59 Nat Gas -0.120 @ 2.617 Gold +6.60 @ 1836.50 Silver +0.411 @ 25.277 Copper +0.0275 @ 3.6295 U.S. Summary: Earnings/Guidance (Full Earnings Calendar): Bank of America (BAC) beats by $0.05, misses on revs Coherent (COHR) sees Q1 revs above consensus Comerica (CMA) beats by $0.30 Citrix Systems (CTXS) beats by $0.12, beats on revs; guides Q1 EPS below consensus, revs in-line; guides FY21 EPS in-line, revs in-line FMC Corp (FMC) lowers Q4 guidance Fortuna Silver Mines (FSM) reports production results for the fourth quarter and full year 2020 from its three operating mines in Latin America, the San Jose Mine in Mexico, the Caylloma Mine in Peru, and the Lindero Mine in Argentina Gannett (GCI) sees Q4 revs above consensus Goldman Sachs (GS) beats by $4.72, beats on revs Halliburton (HAL) beats by $0.04, reports revs in-line Kforce (KFRC) sees Q4 EPS and revs above consensus Logitech Int'l SA (LOGI) beats by $1.11, beats on revs Lumentum (LITE) sees Q2 EPS above consensus Nexa Resources (NEXA) meets 2020 production, exceeds sales guidance and provides 2020 operational results and 2021-2023 guidance NOV Inc. (NOV) sees Q4 revs below consensus Pan Am Silver (PAAS) reports FY20 silver production; provides FY21 outlook Pretium Resources (PVG) reports production guidance above mid-point PTC (PTC) sees ARR growth to be near the high end of guidance Rio Tinto (RIO) releases fourth quarter production results Sierra Metals (SMTS) reports FY20 production; provides FY21 production and EBITDA guidance State Street (STT) reports Q4 (Dec) results, beats on revs Tronox (TROX) sees Q4 revs above consensus; plans to raise dividend Turquiose Hill Resources (TRQ) announces fourth quarter 2020 production, 2021 operational and financial guidance and provides an update on undercut criteria discussions General News: Treasury Secretary nominee Janet Yellen at her confirmation hearing today at 10:00 is expected to say that US does not want a weak dollar and that it's time to "act big" on fiscal stimulus, according to Bloomberg Republicans are against President-elect Joe Biden's $1.9 trillion stimulus package which could slowdown passage and require Democrats to remove certain parts that require 60 Senate votes to pass, according to the Washington Post President-elect Joe Biden will issue executive orders on Wednesday including extending student loan pandemic benefits, issuing a mask mandate for federal property, and rejoining the Paris Climate Accord, according to the New York Times President-elect Joe Biden will cancel Keystone pipeline permit on Wednesday, according to Reuters President-elect Joe Biden is preparing to rejoin Iran nuclear deal, according to Fox News Treasury Department begins distributing $15 bln in support for airlines, according to Reuters Armin Laschet was selected as head of Germany's CDU party, according to CNBC President-elect Joe Biden will select Gary Gensler as SEC Chairman and Rohit Chopra as head of CFPB FAA regulators approve first fully automated commercial drone flights, according to the Wall Street Journal Accuray (ARAY) announces that data from a prospective, phase II trial of 338 women with low-risk breast cancer showed 98.8% had local disease control seven years after receiving once-daily accelerated partial breast irradiation delivered with the TomoTherapy System Aclaris Therapeutics (ACRS) announced positive preliminary topline results from a 12-week, Phase 2a trial of ATI-450 in subjects with moderate to severe rheumatoid arthritis Allot Comms (ALLT): Tier-1 Telecom service provider in Europe selects Allot HomeSecure and BusinessSecure to provide cyber-protection to consumers and SMbs Agios (AGIO) presents final data from Phase 3 ClarIDHy study of TIBSOVO (ivosidenib tablets) in patients with previously treated IDH1-mutant Cholangiocarcinoma Amazon (AMZN): Lawsuit filed that accuses it of driving up e-books prices, according to the Wall Street Journal Apple (AAPL) has begun early development of iPhone model with foldable screen, according to Bloomberg Bank of America (BAC) authorized the repurchase of $2.9 billion in common stock through March 31, 2021 Biohaven (BHVN) provides update on Phase 2/3 Trial and Alzheimer's Disease program Boeing (BA): Canada will remove Boeing 737 Max flight ban on Wednesday, according to Reuters Capital One (COF) fined $390 mln for alleged violations of the Bank Secrecy Act, according to Reuters Celyad Oncology (CYAD) presents data update from Phase 1 alloSHRINK trial for CYAD-101 in mCRC at ASCO-GI Symposium Century Casinos (CNTY) extends closure of Polish casinos due to COVID-19 Chiasma (CHMA) appoints John Doyle as CFO CME Group (CME) reports record ADV for 2020 CureVac (CVAC) details EC advance purchase agreement CytoSorbents (CTSO) announces approval of CytoSorb in Korea in collaboration with partner Fresenius Medical Care Delta Air Lines (DAL) expects to receive $2.9 bln in payroll support payments DPW Holdings (DPW) has changed its name from DPW Holdings to Ault Global Holdings effective today Eli Lilly (LLY) and Merus NV (MRUS) announce collaboration to discover novel T-Cell re-directing bispecific antibodies Equinor (EQNR) has been awarded 17 new production licenses by Norway's Ministry of Petroleum and Energy in the 2020 Award in Predefined Areas (APA) - 10 licences as operator and 7 licences as partner Fiat Chrysler (FCAU) changes corporate name to Stellantis; new ticker "STLA" General Motors (GM) to invest nearly $800 million to convert CAMI into Canada's first large-scale commercial electric vehicle manufacturing plant GlaxoSmithKline (GSK) presents positive efficacy data of dostarlimab in mismatch repair-deficient (dMMR) solid cancers at ASCO Gastrointestinal Cancers Symposium; data from cohort F shows a 38.7% objective response rate Google (GOOG): State attorneys general are planning to file a fourth lawsuit against Google, according to the New York Post Gracell Biotechnologies (GRCL) receives IND approval from China NMPA for GC019F, a fastcar-enabled CAR-T therapy for the treatment of relapsed or refractory adult B-ALL Grifols (GRFS) begins clinical trial of a new treatment that would provide immediate immunity against COVID-19 Gritstone Oncology (GRTS) advances second generation COVID-19 vaccine 'coral' program with support from NIAID; program has potential to protect against mutant variants of SARS-CoV-2 Halozyme Therapeutics (HALO) announces that Janssen Biotech has received FDA approval of DARZALEX FASPRO Infosys (INFY) announced the launch of an Infosys Cobalt offering - its applied AI cloud Intersect ENT (XENT) announces CMS approval of coding application for PROPEL sinus implant KBR (KBR) has been awarded a contract to provide technical advisory solutions to SK E&S for its hydrogen development business in South Korea Lockheed Martin (LMT) awarded $250 mln Missile Defense contract Metacrine (MTCR) announces FDA fast track designation for MET642 as a treatment of NASH Miragen Therapeutics (MGEN) announced its name change to Viridian Therapeutics - will trade on NASDAQ under the ticker symbol "VRDN" tomorrow NGL Energy Partners (NGL) is providing certain information regarding its global settlement with Extraction Oil and Gas (XOG) following its expected emergence from bankruptcy, including ON Semiconductor (ON) announces that William Schromm will retire as COO, effective on April 11 Orchard Therapeutics (ORTX) to extend the company's commercial reach in the Middle East and Turkey through exclusive agreements with GenPharm Services and GEN Peloton's (PTON) delivery delays are becoming a concern, according to the New York Times Pfizer (PFE): New York Governor Andrew Cuomo wants PFE to sell vaccines directly to his state Precision BioSciences (DTIL): FDA has accepted the IND application for PBCAR19B for patients with relapsed/refractory (R/R) Non-Hodgkin Lymphoma Reliance Steel (RS) promotes Karla Lewis to President; Arthur Ajemyan to CFO Resolute Forest Products (RFP) announces appointment of Sylvain A. Girard as Chief Financial Officer Seacor Hldgs (CKH) explains why SEACOR disagrees with T. Rowe and why the Board continues to recommend that SEACOR's stockholders accept the Offer Seres Therapeutics (MCRB) will present new data from its SER-109 Phase 3 ECOSPOR III clinical study that confirm the intended pharmacological properties of this investigational microbiome therapeutic for recurrent C. difficile infection SMTC Corp (SMTX) initiated a plan to expand its Chihuahua, Mexico campus and consolidate its current operations from its Fresnillo, Mexico facility Southwest Air (LUV) to receive $1.73 bln in PSP funds Taysha Gene Therapies (TSHA) receives rare pediatric disease and orphan drug designations for TSHA-105 for the treatment of epilepsy caused by SLC13A5 Deficiency Tesla (TSLA) begins Model Y deliveries in China, according to the Wall Street Journal TransEnterix (TRXC) receives CE mark for machine vision system in robotic surgery Trimble (TRMB) to be added to S&P 500; YETI Holdings (YETI) to be added to S&P MidCap 400; Hilltop Holdings (HTH) to be added to S&P SmallCap 600 Velodyne Lidar (VLDR) announced a strategic partnership with Beijing Trunk Technology Co Vermilion Energy (VET) reports FY21 budget Verrica Pharmaceuticals (VRCA) present data from post-hoc pooled analyses of the pivotal Phase 3 CAMP trials evaluating the safety and efficacy of VP-102 in molluscum contagiosum (molluscum) in specific body regions at each visit Vipshop (VIPS) receives notice of investigation from Chinese govt Western Union (WU) and Walmart (WMT) enter agreement to offer western union money transfers at Walmart M&A: Ashland (ASH) acquire personal care business of Schlke & Mayr GmbH, a portfolio company of EQT Cisco (CSCO): China regulators will approve Cisco acquisition of Acacia (ACIA), according to Reuters Citrix Systems (CTXS) to acquire Wrike, delivering modern digital workspace and advancing future of work for $2.25 billion in cash Lumentum (LITE) and Coherent (COHR) to combine to accelerate the future of photonics Proto Labs (PRLB) entered into a definitive agreement to acquire 3D Hubs Syndicate: Akerna (KERN) files for 6,119,091 share common stock offering by selling shareholders Beam (BEAM) announces $260 million common stock investment from multiple investors CRISPR Therapeutics (CRSP) files for $600 mln common stock offering EyePoint Pharmaceuticals (EYPT) files for $250 mln mixed securities shelf offering Kindred Biosciences (KIN) files for $150 mln mixed securities shelf offering ProPhase (PRPH) announces the pricing of an underwritten public offering of 3,000,000 shares of common stock at an offering price of $12.50/share ReneSola (SOL) files for $250 mln mixed securities shelf offering Senseonics (SENS) enters registered offering to sell 40 mln shares of its common stock at $1.25 per share TCR2 Therapeutics (TCRR) announced that it has commenced an underwritten public offering of $125 mln of shares of its common stock IPOs: Expected to Price: Dream Finders Homes (Nasdaq: DFH): The private homebuilder is expected to price its 9.6 M share IPO between $12-$15. Mytheresa (NYSE: MYTE): The Netherlands-based luxury e-commerce platform is expected to price its 15.7 M share IPO between $16-$18. Patria Investments (Nasdaq: PAX): The private market investment firm in Latin America is expected to price its 26.7 M share IPO between $14-$16. RLX Technology (NYSE: RLX): The leading provider of e-vapor products in China is expected to price its 116.5 M share IPO between $8-$10. Gapping Up/Down Gapping up: GRTS +45.1%, COHR +35%, MTCR +14%, SSP +9.2%, CYAD +7.9%, GRFS +7.6%, MRUS +7.3%, WU +7.2%, TRQ +5.9%, ALLT +4.9%, LOGI +4.4%, SOL +4%, SKYW +4%, FSM +4%, GRCL +3.6%, CRSP +3.5%, AZN +3%, HAL +2.7%, EQNR +2.4%, APT +2%, GM +1.8%, LLY +1.5%, DAL +1.1%, SMTS +1.1%, LUV +1%, LMT +0.8%, RIO +0.8%, BEAM +0.8% Gapping down: PRPH -20.4%, BHVN -10.5%, AGIO -7.3%, LITE -6.9%, SENS -5.7%, KERN -3%, GCI -1.8%, NGL -1.4%, TROX -1.4%, CMA -0.5% Analyst Research (see Upgrades/Downgrades calendarfor full list): Upgrades: American Express (AXP) upgraded to Overweight from Underweight at JP Morgan; tgt $148 Arch Capital (ACGL) upgraded to Mkt Outperform from Mkt Perform at JMP Securities; tgt $43 Brixmor Property (BRX) upgraded to Buy from Neutral at BofA Securities; tgt raised to $18.50 Brown & Brown (BRO) upgraded to Outperform from Mkt Perform at Keefe Bruyette; tgt raised to $54 Bryn Mawr Bank (BMTC) upgraded to Overweight from Equal-Weight at Stephens; tgt $40 Carlyle Group (CG) upgraded to Outperform from Mkt Perform at Keefe Bruyette; tgt $40 Cleveland-Cliffs (CLF) upgraded to Outperform from Neutral at Exane BNP Paribas CMC Materials (CCMP) upgraded to Neutral from Sell at Goldman; tgt raised to $164 Darden Restaurants (DRI) upgraded to Overweight from Equal-Weight at Morgan Stanley; tgt $142 Digital Realty Trust (DLR) upgraded to Strong Buy from Outperform at Raymond James; tgt $175 Eli Lilly (LLY) upgraded to Buy from Neutral at Mizuho; tgt raised to $222 Emerson (EMR) upgraded to Buy from Neutral at Goldman; tgt raised to $97 Entercom (ETM) upgraded to Overweight from Equal Weight at Wells Fargo; tgt $7 EPAM Systems (EPAM) upgraded to Hold from Sell at VTB Capital; tgt $350 Equinix (EQIX) upgraded to Strong Buy from Outperform at Raymond James; tgt $835 Facebook (FB) upgraded to Outperform from Market Perform at BMO Capital Markets; tgt raised to $325 Galapagos NV (GLPG) upgraded to Overweight from Equal-Weight at Morgan Stanley; tgt lowered to $129 Gilead Sciences (GILD) upgraded to Overweight from Equal-Weight at Morgan Stanley; tgt $83 Illinois Tool (ITW) upgraded to Neutral from Sell at Goldman; tgt raised to $217 J.B. Hunt Transport (JBHT) upgraded to Outperform from Neutral at Credit Suisse; tgt raised to $175 NASDAQ (NDAQ) upgraded to Buy from Neutral at UBS; tgt $164 PagSeguro Digital (PAGS) upgraded to Buy from Neutral at Goldman; tgt raised to $70 QTS Realty Trust (QTS) upgraded to Strong Buy from Outperform at Raymond James; tgt $74 Retail Opportunity Investments (ROIC) upgraded to Buy from Underperform at BofA Securities; tgt raised to $16 Schneider National (SNDR) upgraded to Outperform from Neutral at Credit Suisse; tgt raised to $29 Southern (SO) upgraded to Buy from Neutral at BofA Securities; tgt $64 Synchrony Financial (SYF) upgraded to Overweight from Neutral at JP Morgan; tgt $46 Tower Semi (TSEM) upgraded to Outperform from Neutral at Credit Suisse; tgt raised to $37.50 Werner Enterprises (WERN) upgraded to Neutral from Underperform at Credit Suisse; tgt raised to $44 XP (XP) upgraded to Buy from Neutral at Goldman; tgt $50 Downgrades: Acadia Realty Trust (AKR) downgraded to Neutral from Buy at BofA Securities ArcelorMittal (MT) downgraded to Neutral from Outperform at Credit Suisse; tgt $24 Cerner (CERN) downgraded to Underperform from Buy at BofA Securities Discovery (DISCA) downgraded to Underweight from Equal Weight at Barclays; tgt raised to $29 Essent Group (ESNT) downgraded to Neutral from Overweight at JP Morgan; tgt $52 FEMSA (FMX) downgraded to Equal Weight from Overweight at Barclays; tgt raised to $75 Genmab (GMAB) downgraded to Equal-Weight from Overweight at Morgan Stanley; tgt $41 Guild Holdings (GHLD) downgraded to Neutral from Overweight at JP Morgan; tgt $18.50 Navient (NAVI) downgraded to Neutral from Overweight at JP Morgan; tgt $12.50 Premier (PINC) downgraded to Underperform from Buy at BofA Securities; tgt lowered to $36 Rocket Companies (RKT) downgraded to Underweight from Overweight at JP Morgan; tgt $20 STAAR Surgical (STAA) downgraded to Hold from Buy at The Benchmark Company Total SE (TOT) downgraded to Market Perform from Outperform at Cowen; tgt $48 ViacomCBS (VIAC) downgraded to Underweight from Overweight at Barclays; tgt lowered to $35 Others: 3D Systems (DDD) initiated with a Hold at Stifel; tgt $28 Airbnb (ABNB) initiated with a Sell at Redburn; tgt $74 Ballard Power (BLDP) initiated with an Outperform at BMO Capital Markets; tgt $39 Bloomin' Brands (BLMN) initiated with a Sell at Goldman; tgt $20 Brinker (EAT) initiated with a Buy at Goldman; tgt $65 Cheesecake Factory (CAKE) initiated with a Neutral at Goldman; tgt $37 Chipotle Mexican Grill (CMG) initiated with a Buy at Goldman and added to Conviction Buy List; tgt $1650 Dada (DADA) initiated with an Outperform at CICC; tgt $50 Darden Restaurants (DRI) initiated with a Buy at Goldman; tgt $136 Desktop Metal (DM) initiated with a Buy at Stifel; tgt $30 Domino's Pizza (DPZ) initiated with a Buy at Goldman; tgt $425 DraftKings (DKNG) initiated with a Sell at Berenberg; tgt $41 ExOne (XONE) initiated with a Buy at Stifel; tgt $20 Jack In The Box (JACK) initiated with a Buy at Goldman; tgt $111 Li Auto (LI) initiated with a Buy at Jefferies; tgt $44.50 Maxeon Solar (MAXN) initiated with a Buy at ROTH Capital; tgt $43 McDonald's (MCD) initiated with a Buy at Goldman; tgt $237 Medallia (MDLA) initiated with a Buy at BofA Securities; tgt $50 NIO (NIO) initiated with a Hold at Jefferies; tgt $60 Old Dominion (ODFL) initiated with a Buy at UBS; tgt $239 Restaurant Brands Int'l (QSR) initiated with a Sell at Goldman; tgt $60 Roku (ROKU) initiated with an Overweight at JP Morgan; tgt $475 Saia (SAIA) initiated with a Neutral at UBS; tgt $200 Shake Shack (SHAK) initiated with a Neutral at Goldman; tgt $107 Starbucks (SBUX) initiated with a Buy at Goldman; tgt $115 Stratasys (SSYS) initiated with a Buy at Stifel; tgt $40 Texas Roadhouse (TXRH) initiated with a Neutral at Goldman; tgt $79 Transcat (TRNS) initiated with a Buy at H.C. Wainwright; tgt $42 Wendy's (WEN) initiated with a Neutral at Goldman; tgt $23 Wingstop (WING) initiated with a Buy at Goldman; tgt $165 XPO Logistics (XPO) initiated with a Buy at UBS; tgt $138 Yum! Brands (YUM) initiated with a Sell at Goldman; tgt $103 Upcoming Events: Econ Data: 16:00 ET: Net Long-Term TIC Flows for November (Briefing.com Consensus NA; Prior $51.9 B) Earnings Monday (Jan 18) Holiday Tuesday (Jan 19) Morning: BAC SCHW CMA GS HAL LOGI ONB PETS SBNY STT Afternoon: FNB FULT IBKR JBHT NFLX PNFP UCBI ZION Wednesday (Jan 20) Morning: ASML BK BOKF CFG CBSH FAST MS PG USB UNH Afternoon: AA DFS HWC KMI PLXS STL UMPQ UAL WTFC Thursday (Jan 21) Morning: BKR BANC BKU CTXS FITB FBC HOMB KEY MTB NTRS TALTRV TRV UNP WBS Afternoon: ASB OZK CSX IBM INTC ISRG NBHC PBCT PPG STX SIVB TCBI WAL Friday (Jan 22) Morning: ALLY FHB FHN HBAN KSU EDU RF SLB Asia & Europe detail: Asia: Nikkei +1.4%, Hang Seng +2.7%, Shanghai -0.8% Equity indices in the Asia-Pacific region had a strong showing in most cases, excluding the Shanghai Composite, which declined 0.8%. A 2.7% surge in Hong Kong's Hang Seng Index reportedly came at the expense of mainland equities. There wasn't any data of note today. Over the weekend, China reported 6.5% yr/yr growth in Q4 GDP, which was better than expected. There were reports that China is sanctioning unnamed U.S. officials due to Taiwan dealings, that the PBOC isn't planning any sudden shifts in policy this year, and that regulations are being tightened for rare-earth miners. Separately, the Trump Administration is said to be revoking licenses for suppliers to Huawei. Japan's Nikkei had another good day, gaining 1.4% with help from its semiconductor and auto components. The BOJ has a policy meeting Jan 20-21. There are press reports that market participants think the BOJ, in its March review, might start talking about tapering its purchases of ETFs. In economic data: (from the weekend) China's Q4 GDP +2.6% qtr/qtr (expected 3.2%; last 3.0%) and 6.5% yr/yr (expected 6.1%; last 4.9%); December Industrial Production +7.3% yr/yr (expected 6.9%; last 7.0%); December Retail Sales +4.6% yr/yr (expected 5.5%; last 5.0%); December Fixed Asset Investment +2.9% yr/yr (expected 3.2%; last 2.6%) (from the weekend) Japan's Industrial Production -0.5% m/m (last 0.0%); January Reuters Tankan Index -1 (last -9) ---Equity Markets--- Japan's Nikkei: +1.4% Hong Kong's Hang Seng: +2.7% China's Shanghai Composite: -0.8% India's Sensex: +1.7% South Korea's Kospi: +2.6% Australia's ASX All Ordinaries: +1.2% ---FX--- USD/JPY: +0.3% to 103.97 USD/CNH: -0.2% to 6.4808 USD/INR: -0.04% to 73.138 Europe: DAX +0.3%, FTSE +0.04%, CAC -0.03% Major European indices are mixed, showing only modest changes on either side of the unchanged line. Eurogroup finance ministers are said to be aligned around ensuring there is adequate fiscal support to fight the pandemic; meanwhile, the FT is reporting that the EU is planning to warn markets about the inherent vulnerabilities of relying too much on the U.S. dollar. Italy's PM Conte won a vote of confidence in Italy's lower house, but faces a more challenging vote in the upper house. There is an ECB policy decision coming on Thursday. Separately, there are reports that President-elect Biden won't lift travel restrictions on the UK and EU on Jan. 26 like the Trump Administration had been planning. In economic data: Eurozone's January ZEW Economic Sentiment 58.3 (last 54.4); November Construction Output +1.41% m/m (last 0.47%); November Current Account Balance EUR24.6B (last EUR26.6B) Germany's January ZEW Economic Sentiment 61.8 (expected 60.0; last 55.0); December CPI +0.5% m/m (expected 0.5%; last -0.8%) and -0.3% yr/yr (expected -0.3%; last -0.3%); December Car Registrations +7.3% m/m (last 5.8%) and +9.9% yr/yr (last -3.0%) UK December Car Registrations +16.6% m/m (last -19.3%) and -10.9% yr/yr (last -27.4%) Italy's December Car Registrations -13.7% m/m (last -11.8%) and -14.9% yr/yr (last -8.3%) France's December Car Registrations +47.8% m/m (last -26.3%) and -11.8% yr/yr (last -27.0%) Switzerland's December PPI +0.5% m/m (last -0.1%) and -2.3% yr/yr (last -2.7%) ---Equity Markets--- STOXX Europe 600: +0.2% Germany's DAX: +0.3% U.K.'s FTSE 100: +0.04% France's CAC 40: -0.03% Italy's FTSE MIB: +0.3% Spain's IBEX 35: -0.4% ---FX--- EUR/USD: +0.5% to 1.2129 GBP/USD: +0.3% to 1.3616 USD/CHF: -0.3% to 0.8881