Headed for a lower start
S&P futures vs fair value: -16.38. Nasdaq futures vs fair value: -99.62. The S&P 500 futures trade 16 points, or 0.4%, below fair value, as the market continues to consolidate near record territory. Futures tied to the other major indices also trade in negative territory, with selling interest picking up in recent action. Yesterday, the market was home to several narratives like the reopening narrative and the "peak growth" narrative, which fittingly dovetailed with the indecisive intraday price action. What seems to be clear right now, though, is that investors have been partial to buying any sort of dip in this policy-driven environment. We'll see if that's the case today. The health care space could be in focus after Pfizer (PFE 40.40, +0.57, +1.4%) and CVS Health (CVS 79.51, +1.82, +2.3%) beat top and bottom-line estimates and raised their full-year guidance above consensus. In addition, the FDA is reportedly preparing to authorize Pfizer's COVID-19 vaccine in adolescents 12-15 years old by early next week, according to The New York Times. On the data front, investors will receive the Trade Balance for March (Briefing.com consensus -$74.7 billion) at 8:30 a.m. ET and Factory Orders for March (Briefing.com consensus 0.7%) at 10:00 a.m. ET.U.S. Treasuries trade little changed. The 2-yr yield is up one basis point to 0.16%, and the 10-yr yield is up one basis point to 1.62%. The U.S. Dollar Index is up 0.4% to 91.31. WTI crude futures are up 1.7%, or $1.09, to $65.58/bbl. In U.S. Corporate news:Pfizer (PFE 40.40, +0.57, +1.4% after beating top and bottom-line estimates and raising its FY21 EPS and revenue guidance above consensus. CVS Health (CVS 79.51, +1.82): +2.3% after beating top and bottom-line estimates and guiding FY21 EPS above consensus. Chegg (CHGG 85.60, +2.59): +3.7% after beating revenue estimates, although it guided Q2 revenue below consensus.Reviewing overnight developments:Equity indices in the Asia-Pacific region ended Tuesday on a mixed note while markets in China and Japan remained closed for holidays. Japan's Nikkei: CLOSED Hong Kong's Hang Seng: +0.9% China's Shanghai Composite: CLOSED India's Sensex: -1.0% South Korea's Kospi: +0.6% Australia's ASX All Ordinaries: +0.5%.In economic data:South Korea's April CPI 0.2% m/m (expected 0.1%; last 0.1%); 2.3% yr/yr (expected 2.2%; last 1.5%)Australia's March trade surplus AUD5.574 bln (expected surplus of AUD8.000 bln; last surplus of AUD7.595 bln). March Imports 4% m/m (last 5%) and Exports -2% m/m (last -1%). March Home Loans 3.3% m/m (last -1.8%)Hong Kong's March Retail Sales 20.1% yr/yr (last 30.0%)In news:South Korea's CPI grew at its fastest pace since mid-2017 in the April reading, exceeding the Bank of Korea's target for the first time in two years. Subaru reported record sales for the month of April while Toyota's April sales were 30% above the level from April 2019. The Reserve Bank of Australia left its cash rate at 0.10%, as expected. The central bank increased Australia's growth forecast for 2021 to 4.75% from 3.5%.Major European indices trade on a mostly higher note while Germany's DAX (-0.1%) underperforms. STOXX Europe 600: +0.3% Germany's DAX: -0.1% U.K.'s FTSE 100: +0.9% France's CAC 40: +0.7% Italy's FTSE MIB: +0.3% Spain's IBEX 35: +1.2%.In economic data:U.K.'s March Mortgage Approvals 82,740 (expected 92,300 (last 87,390) and March Mortgage Lending GBP11.83 bln (expected GBP5.80 bln; last GBP6.43 bln). April Manufacturing PMI 60.9 (expected 60.7; last 58.9)France's March government budget balance -EUR60.10 bln (last -EUR47.50 bln)Swiss Q2 SECO Consumer Climate -18 (last -30)In news:Germany's Association of Chambers of Industry and Commerce expects 2021 export growth of 8.0%. Bank of France Governor Villeroy de Galhau said there is no reason to believe that business bankruptcies will increase significantly. British Prime Minister Johnson indicated that coronavirus lockdown rules and social distancing guidelines will be removed in seven weeks. The comments were made ahead of Thursday's local and regional elections.