Risk Off Stocks, Gold, Oil Copper euro Down Bonds, Bunds, Dollar Higher
Stock Earnings News:
Goldman Sachs; Highest fixed income trading revenue in 5 years, earnings in line with expectations but profit down 47% vs 1 year ago stock -1%
Bank of America profit down 46% vs 1 year ago, Money set aside for loan losses $4.76B highest since 2010 stock -3%
Citi Earnings missed expectations they said not surprisingly that pandemic has impacted earnings. Loan loan loss reserves $7 B 4x higher then last quarter and higher than Market expected
Tesla Upgraded at Goldman Sachs
China’s Central bank offered $14B in short term loans after lowering the rate by .2% Worries about this weekend’s GDP reported may have prompted the central bank to et ahead of the expected ugly data point
European Bourses being led lower by the Oil, banks and basic resource sectors. Crude Oil Below $20 as IEA basically says there will be no more to store all the oil. Also, API Data showed hefty builds across the board. It appears markets have turned focus to earnings and Economic slowdown then the virus for now. New York reported an additional 3700+ deaths after officials said they were now including people who never got tested positive for virus but presumably died from it (BBg)
Bid in the Long end bonds is a bit of mystery as morning outlooks I read are all asking how come? Buxl yields -10 Bps,9 Bps lower in Finland and Austria.U.S. bonds +2 handles yields 8 bps lower.
Watch Currencies G7 getting hit hard vs USD Aussie and New Zealand -2,2%, CAD -1.44 GBP and Euro both down greater than 1%
Heavy Economic Calendar today, going to be ugly, Retail sales, Empire and Industrial production. Empire was -75 vs F/c -35 nasty first look at April Data retail sales less bad.