In Asian Equity Markets Japan’s Nikkei ended flat in choppy trade on Friday as investors awaited the release of the U.S. monthly jobs report, which will set the tone for the Federal Reserve’s policy outlook, while bank stocks outperformed on higher yields. The Nikkei was flat at 18,918.20 points after traversing positive and negative territory. The broader Topix gained 0.3 percent at 1,514.99 and the JPX-Nikkei Index 400 rose 0.2 percent to 13,576.07. MSCI’s broadest index of Asia-Pacific stocks outside Japan was down 0.3 percent. China’s Shanghai composite fell 0.59 percent after initially opening flat, while the Shenzhen composite was down 0.43 percent. Meanwhile in Hong Kong, the Hang Seng Index was down 0.62 percent.

In Currency Markets the recently beleaguered dollar rose to its session high against the yen on Friday after the Bank of Japan offered to buy Japanese government bonds in a surprise operation aimed at bringing down JGB yields, as investors awaited U.S. jobs data later in the session. The dollar was up 0.2 percent at 113.04 yen after rising as high as 113.24 earlier. It fell to 112.05 yen overnight, its lowest since late November, and was still on track to fall 1.8 percent for the week. The euro was steady at $1.0759 after rising as high as $1.0829 overnight, its loftiest peak since Dec. 8. The Australian dollar fell 0.04 percent to $0.7653. The dollar index edged up 0.1 percent to 99.870.

In Commodities Markets oil prices edged up on Friday on news that U.S. President Donald Trump could be set to impose new sanctions on multiple Iranian entities, firing geopolitical tensions between the two nations. Brent crude futures had risen 0.4 percent, to $56.77 a barrel, after settling down 24 cents at $56.56 in the previous session. Front month U.S. crude futures climbed 0.5 percent, to $53.82 a barrel, after ending Tuesday down 34 cents. Spot gold edged down 0.3 percent to $1,212.91 an ounce. Spot silver fell 0.8 percent to $17.30, after hitting its strongest in over 11 weeks at $17.73 in the last session. Platinum fell 0.8 percent to $991.20 and palladium fell 0.8 percent to $751.28.

In US Equity Markets stocks ended little changed on Thursday as the recent rally continued to stall following President Donald Trump’s latest comments on trade and the policies he will pursue. The S&P 500 gained 0.06 percent, to 2,280.85 and the Nasdaq Composite lost 0.11 percent, to 5,636.20. After the closing bell, Amazon shares fell 3.7 percent as the retailer’s revenue missed analyst estimates. Macy’s shares rose 5.2 percent. The New York Post reported the retailer’s outgoing CEO Terry Lundgren has become open to offers from potential buyers. Mead Johnson Nutrition jumped 21.4 percent after Reckitt Benckiser said it was in advanced talks to buy the company for $16.7 billion.

In Bond Markets Japanese government bond yields were yanked back from one-year highs on Friday after the Bank of Japan conducted a special bond buying operation for only the second time, arresting an earlier rise in yields. The benchmark 10-year yield was up half a basis point at 0.110 percent after climbing to 0.150 percent, its highest since late January 2016. The 20-year yield was up 2 basis points at 0.705 percent after declining briefly to 0.685 percent after the BOJ’s special buying operation from a one-year high of 0.730 percent.

Economic Calendar
10:30 GMT+0 UK Services PMI
14:30 GMT+0 US Average Hourly Earnings m/m
14:30 GMT+0 US Non-Farm Employment Change
14:30 GMT+0 US Unemployment Rate
16:00 GMT+0 US ISM Non-Manufacturing PMI

US Equity Earnings
Facebook (FB) – Q4 Adj. EPS 1.41 vs. Exp. USD 1.34, Q4 Revenue USD 8.81bln vs. Exp. USD 8.47bln, Q4 MAUS 1.86bln vs. Exp. 1.84bln, Q4 DAUS 1.23bln vs. Exp. 1.21bln
Cigna (CI) – Q4 EPS USD 1.87 vs. Exp. USD 1.74, Q4 revenue USD 9.89bln vs. Exp. USD 9.59bln
Becton Dickinson (BDX) – Q1 EPS USD 2.33 vs. Exp. USD 2.11, Q1 revenue USD 2.92bln vs. Exp. USD 2.85bln
Xcel Energy (XEL) – Q4 EPS USD 0.45 vs. Exp. USD 0.44, Q4 revenue USD 2.79bln vs. Exp. USD 2.86bln
Eaton (ETN) – Q4 EPS USD 1.12 vs. Exp. USD 1.10, Q4 Revenue 4.87bln vs. Exp. 4.92bln
Merck & Co (MRK) – Q4 Adj. EPS USD 0.89 vs. Exp. USD 0.89, Q4 revenue USD 10.1bln vs. Exp. USD 10.24bln
Estee Lauder (EL) – Q2 Adj, EPS USD 1.22 vs. Exp. USD 1.17, Q2 sales USD 3.21bln vs. Exp. USD 3.25bln
Boston Scientific (BSX) – Q4 Adj. EPS USD 0.30 vs. Exp. USD 0.29, Q4 revenue USD 2.19bln vs. Exp. USD 2.16bln
Philip Morris International (PM) – Q4 Adj. EPS USD 1.10 vs. Exp. USD 1.10, Q4 Revenue 6.97bln vs. Exp. 6.79bln
BCE (BCE) – Q4 EPS of USD 0.76 vs. Exp. USD 0.59, Q4 revenue USD 5.7bln vs. Exp. USD 4.36bln
Sirius XM (SIRI) – Q4 Adj. EPS USD 0.04 vs. Exp. USD 0.04, Q4 revenue USD 1.31bln vs. Exp. USD 1.30bln
Chicago Mercantile Exchange (CME) – Q4 Adj. EPS USD 1.14 vs. Exp. USD 1.11, Q4 revenue USD 912.9mln vs. Exp. USD 903mln
Marsh & McLennan (MMC) – Q4 EPS USD 0.89 vs. Exp. USD 0.85, Q4 revenue USD 3.36bln vs. Exp. USD 3.46bln
ConocoPhillips (COP) – Q4 loss/shr 0.26 vs. Exp. loss/shr 0.42

US Equity Upgrades
ACACIA COMMUNICATIONS (ACIA) UPGRADED TO OVERWEIGHT AT MORGAN STANLEY
ALCOA (AA) UPGRADED TO OVERWEIGHT FROM NEUTRAL AT JPMORGAN
APPLE (AAPL) UPGRADED TO HOLD FROM SELL AT BGC FINANCIAL
APPTIO (APTI) UPGRADED TO OUTPERFORM FROM SECTOR PERFORM AT RBC CAPITAL
ARCELORMITTAL (MT) UPGRADED TO CONVICTION BUY FROM NEUTRAL AT GOLDMAN
AXIS CAPITAL (AXS) UPGRADED TO BUY FROM NEUTRAL AT MKM PARTNERS
CELANESE (CE) UPGRADED TO BUY FROM NEUTRAL AT CITI
COACH (COH) UPGRADED TO NEUTRAL FROM SELL AT GOLDMAN
FOOT LOCKER (FL) UPGRADED TO BUY FROM NEUTRAL AT GUGGENHEIM
GOL LINHAS (GOL) UPGRADED TO BUY FROM HOLD AT DEUTSCHE BANK
INTEVAC (IVAC) UPGRADED TO BUY FROM NEUTRAL AT B. RILEY
LULULEMON (LULU) UPGRADED TO NEUTRAL FROM SELL AT GOLDMAN
MARATHON PETROLEUM (MPC) UPGRADED TO BUY FROM NEUTRAL AT UBS
NOBLE CORP. (NE) UPGRADED TO EQUAL WEIGHT FROM UNDERWEIGHT AT MORGAN STANLEY
OLIN CORP. (OLN) UPGRADED TO NEUTRAL FROM UNDERPERFORM AT LONGBOW
ONEOK (OKE) UPGRADED TO OUTPERFORM FROM NEUTRAL AT CREDIT SUISSE
PACIFIC COAST OIL (ROYT) UPGRADED TO BUY FROM HOLD AT STIFEL
PEARSON (PSO) UPGRADED TO NEUTRAL FROM UNDERPERFORM AT CREDIT SUISSE
SCIENTIFIC GAMES (SGMS) UPGRADED TO BUY FROM HOLD AT UNION GAMING
SEADRILL PARTNERS (SDLP) UPGRADED TO OVERWEIGHT FROM EQUAL WEIGHT AT MORGAN STANLEY
TESORO (TSO) UPGRADED TO OVERWEIGHT FROM NEUTRAL AT JPMORGAN
TSYS (TSS) UPGRADED TO BUY FROM HOLD AT STIFEL
U.S. STEEL (X) UPGRADED TO BUY FROM NEUTRAL AT BOFA/MERRILL
WABCO (WBC) UPGRADED TO BUY FROM NEUTRAL AT BOFA/MERRILL

US Equity Downgrades
ALLEGHENY TECHNOLOGIES (ATI) DOWNGRADED TO SELL FROM HOLD AT BERENBERG
ANIXTER (AXE) DOWNGRADED TO IN-LINE FROM OUTPERFORM AT IMPERIAL CAPITAL
CAMECO (CCJ) DOWNGRADED TO SECTOR PERFORM FROM OUTPERFORM AT RBC CAPITAL
CVS HEALTH (CVS) DOWNGRADED TO NEUTRAL AT BAIRD
CVS HEALTH (CVS) DOWNGRADED TO NEUTRAL FROM OUTPERFORM AT BAIRD
EDWARDS LIFESCIENCES (EW) DOWNGRADED TO NEUTRAL ON VALUATION AT BTIG
FACEBOOK (FB) DOWNGRADED TO HOLD FROM BUY AT PIVOTAL RESEARCH
NATUS MEDICAL (BABY) DOWNGRADED TO MARKET PERFORM FROM OUTPERFORM AT RAYMOND JAMES
NIC INC. (EGOV) DOWNGRADED TO UNDERPERFORM FROM MARKET PERFORM AT AVONDALE
NORDSTROM (JWN) DOWNGRADED TO SELL FROM NEUTRAL AT GOLDMAN
NOVOZYMES (NVZMY) DOWNGRADED TO SELL FROM NEUTRAL AT GOLDMAN
OLIN CORP. (OLN) DOWNGRADED TO NEUTRAL FROM BUY AT MONNESS CRESPI
ONEOK PARTNERS (OKS) DOWNGRADED TO MARKET PERFORM FROM OUTPERFORM AT BMO CAPITAL
QORVO (QRVO) DOWNGRADED TO MARKET PERFORM FROM OUTPERFORM AT BMO CAPITAL
ROCKY BRANDS (RCKY) DOWNGRADED TO NEUTRAL FROM BUY AT B. RILEY
SHUTTERFLY (SFLY) DOWNGRADED TO HOLD FROM BUY AT NEEDHAM
SHUTTERFLY (SFLY) DOWNGRADED TO NEUTRAL FROM OUTPERFORM AT BAIRD
TRANSOCEAN (RIG) DOWNGRADED TO UNDERWEIGHT FROM EQUAL WEIGHT AT MORGAN STANLEY
UNITED RENTALS (URI) DOWNGRADED TO HOLD FROM BUY AT ARGUS
URBAN OUTFITTERS (URBN) DOWNGRADED TO SELL FROM NEUTRAL AT GOLDMAN
VF CORP. (VFC) DOWNGRADED TO NEUTRAL FROM BUY AT GOLDMAN
WABASH (WNC) DOWNGRADED TO NEUTRAL FROM OVERWEIGHT AT PIPER JAFFRAY
WEC ENERGY (WEC) DOWNGRADED TO NEUTRAL FROM BUY AT MIZUHO

US Equity Initiations
ACHILLION (ACHN) INITIATED WITH A BUY AT LADENBURG
BIOVERATIV (NIVV) INITIATED WITH A BUY AT GABELLI
CORCEPT THERAPEUTICS (CORT) INITIATED WITH A BUY AT LADENBURG
GROUP 1 AUTOMOTIVE (GPI) INITIATED WITH A NEUTRAL AT SUSQUEHANNA
HUDBAY MINERALS (HBM) INITIATED WITH A MARKET PERFORM AT BMO CAPITAL
ITERIS (ITI) INITIATED WITH A BUY AT CRAIGHALLUM
JUNO THERAPEUTICS (JUNO) INITIATED WITH A NEUTRAL AT WEDBUSH
KITE PHARMA (KITE) INITIATED WITH A NEUTRAL AT WEDBUSH
LITHIA MOTORS (LAD) INITIATED WITH A NEUTRAL AT SUSQUEHANNA
MANITOWOC FOODSERVICE (MFS) INITIATED WITH A BUY AT DOUGHERTY
NEVSUN RESOURCES (NSU) INITIATED WITH A MARKET PERFORM AT BMO CAPITAL
PENSKE AUTOMOTIVE (PAG) INITIATED WITH A POSITIVE AT SUSQUEHANNA
TREVENA (TRVN) INITIATED WITH A BUY AT LADENBURG