US Futures up, watch GS, GOOGL, AAPL
Jean-Christophe Rolland May 18, 2020 12:38 PM
The S&P 500 Futures continue to rebound after they closed slightly higher on Friday despite data showing sharp economic contraction.
The S&P 500 Futures continue to rebound after they closed slightly higher on Friday despite data showing sharp economic contraction. On Sunday, Fed Chairman Powell says GDP could shrink more than 30%, but he doesn’t see another Depression.
Later today, the National Association of Home Builders will release Housing Market Index for May (34 expected).
European indices are posting a rebound. Bank of England Chief Economist Andy Haldane said BOE is looking at monetary policy options, including negative interest rates and purchasing riskier financial assets. In the meantime, European Union chief negotiator Michel Barnier said, after the latest round of E.U. and U.K. trade talks, "no progress had been made on the most difficult issues" and he was "still determined but not optimistic."
Asian indices closed in the green except the Chinese CSI. This morning, government data showed that Japan's first quarter annualized GDP declined 3.4% on quarter (-4.5% expected).
WTI Crude Oil Futures remain on the upside. OPEC+ production cut this month could reach 9.7 million barrels per day, nearly 10% of global supplies, according to Bloomberg.
Gold hit its highest level since October 2012 on weak economic data while the US dollar is consolidating as investors assess the effects of gradual reopening economies.
Gold rose 21.25$ (+1.22%) to 1764.92 dollars. The EUR/USD fell 6pips to 1.0814.
USD/CAD dropped 50pips to 1.4059 in boucing oil prices.
US Equity Snapshot
Goldman Sachs (GS): Warren Buffett's Berkshire Hathaway Inc reported in a securities filing that it had sold over 10 million shares in the banking group, trimming its stake to 1.9 million shares or less than 0.6%.
Alphabet's (GOOGL) Google, a tech giant, could face antitrust suits by the U.S. Justice Department after nearly a year of investigation, reported the Wall Street Journal.
Apple (AAPL), a multinational technology company, has reopened about 100 stores worldwide, according to Bloomberg.
Source : TradingVIEW, Gain Capital
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.