Overseas Weakness

Good morning. Notable weakness in overseas markets this have put investors in a defensive mood. Aloca's (AA) earnings report, a warning from Chevron (CVX), good news from Sears (SHLD), some more M&A activity, and a narrowed U.S. trade deficit are in focus. Later today we have a report on Wholesale Inventories at 10:AM, the EIA Petroleum Status report at 10:30AM, and Chicago Federal Reserve Bank President Michael Moskow will speak about the U.S. economic outlook at 12:30PM.

According to my premarket scans, notable winners to watch today are TSTC, IMCL, FMDAD, PLSB, ECOL, PRFT, RFMD, SNCR, ERS, SHLD, BRLC, AAPL, INSM, MAGS, and UAUA. Premarket losers are EGLE, LFC, GTRC, JCOM, LIHR, FFHL, CYTR, KNXA, AKAM, and BRCM.

Traders are currently looking for confirmation that we're only seeing beginning of the year consolidation and until we start to see a very positive reaction to earnings reports, most will likely avoid making very aggressive trades. For now the meltdown in commodities and weakness in global markets have caused some reasonable nervousness considering how good many markets have been around the world. Have a wonderful Wednesday!