NEW YORK ( TheStreet) -- It's working! The ginormous fiscal stimulus program undertaken by the ECB is having an effect. Economic activity in the eurozone showed its fastest growth in four years as evidenced by Markit's Composite Flash Purchasing Managers' Index, which came in at 54.1 in June, up from 53.6 in May.
Meanwhile, China's stimulus still needs some time to work its way through the system, as its factory activity contracted for the fourth month in a row as the June HSBC/Markit Flash China Manufacturing Purchasing Managers' Index came in at 49.6 in June. That was up from 49.2 in May, but still below 50 which is the level that delineates growth from contraction.
And still no change in Greece, as the market remains hopeful that some reform measures submitted by the Greeks yesterday may be enough to get the creditors back into serious negotiations.
We remain unenthused by the latest developments in the Greek drama and believe the Greek lawmakers are playing a dangerous game of chicken, as some have criticized Greece's latest offer to the IMF and said they would work to block the reforms' passage.
U.S. stock index futures point to a higher open for Wall Street. Asian stocks ended in the green after a roller coaster ride for the Shanghai index, while European shares are up on hopes for a deal for Greece.
Some earnings calls of note today include IHS (IHS), BlackBerry (BBRY), Darden Restaurants (DRI), and Carnival (CCL).
Today's domestic economic calendar includes the May Durable Goods Orders at 8:30 a.m., with estimates calling for -1.0%, the FHFA House Price Index for April at 9 a.m., with consensus at 0.5%, the preliminary June Markit U.S. Manufacturing PMI report at 9:45 a.m. with consensus at 54.1, the May New Home Sales report with analysts looking for 523,000 at 10 a.m., and lastly, the API weekly oil inventories report at 4:30 p.m.
- Chinese stocks fell further on Tuesday, fueling fears that a year-long boom is coming to an end, despite attempts by the local media to calm spirits. The CSI 300, an index of the biggest companies listed on the two stock exchanges in mainland China, Shanghai and Shenzhen, has lost more than 14% since the start of trading last week.
- Chinese factory activity showed signs of stabilization in June. The HSBC/Markit Flash China Manufacturing Purchasing Managers' Index (PMI) edged up to 49.6 in June, a three-month high, from 49.2, but was still below the 50 mark separating contraction from expansion.
- Greece's creditors have suggested that the proposals made by the Greek government were promising enough so that talks on a deal to rescue the country from default and possibly exiting the eurozone can continue. Greece's government made significant concessions on pension reforms, and eurozone finance ministers plan to meet again on Wednesday to finalize the deal.
- The chairman of the world's biggest producer of crop chemicals, Swiss company Syngenta's (SYT), reaffirmed his opposition to a takeover offer made by Monsanto (MON), saying a deal needed to offer a fair price and provide high certainty that it would clear regulatory hurdles.
- Japanese manufacturing has shrunk in June as new orders dipped, flash PMI data show. The Markit/JMMA flash Japan Manufacturing Purchasing Managers Index (PMI) fell to a seasonally adjusted 49.9 in the current month from a final 50.9 in May.