Morning 5-6

News:

*EU SEES EURO-AREA GDP FALLING 7.7% IN 2020, RISING 6.3% IN 2021
*EU COMMISSION WARNS THAT EURO-AREA STABILITY IS AT RISK       
*EU SEES ITALY, SPAIN, GREECE SHRINKING MORE THAN 9% THIS YEAR  
*EU SEES 2020 EURO-AREA UNEMPLOYMENT RISING TO 9.6% FROM 7.5%(BBG)

  • At 7:30 Treasury May Boost its Quarterly debt auctions of 3-.10- and 30-year securities to historic levels today and expand the round to include 20- year bonds
  • Sign of the times Wing stop same-store sales up 33.4% in the U.S. in April (BBG)
  • Disney takes $1.4 Billion hit to earnings net income fell 91% and company said pandemic would affect every part of its business (WSJ)
  • Bitcoin’s developers have made over 500 commits in April, a new high for the flagship cryptocurrency’s number one software implementation. It’s unclear why developer activity surged, but users suspect the halving and the lockdown have played a role (Crypto roundup)
  • June Crude prices have doubled over last 5 days, Russian oil production down 16% so far in may, Plains all -American pipelines sees close to 1million barrels of Permian shut-ins in may
  • Gold. Worldwide holdings of the traditional haven in bullion-backed exchange-traded funds have topped 3,000 tons to hit a fresh record, according to data compiled by Bloomberg
  • GM Earnings better than expected stock +6%
  • Fitch Cutting Brazil’s outlook to Negative

Markets:

 A bit of Risk On Sentiment, yesterday close was not good for the bulls so good to see Stocks with a bit of a bid today. Bonds will focus on treasury announcement at 7:30 more so then the ADP report at 7:15 which is expected to show job losses of 20 million  Omph.  Natural gas has been a tear to the upside as diminished production, cold weather and a damaged pipeline have all played a role in Pushing prices higher, today Giving back some of these gains. European stocks sideways Spoos up a few handles. Many States are reopening which is a great thing but worries by some that new cases of the virus will surge, Some  Plains states  that are reopening  are seeing an increase in cases  lets hope the reopening  is not premature. Focus is on these states if cases do surge the markets will not take this kindly. Gold little changed June Crude has turned lower down 5% Nat Gas following down 3%

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