No critical data covering the recent coronavirus spread period has been published, except for the Canada Markit Manufacturing PMI that dropped to 46 from 51.8 prior, and lower than the 53.3 anticipated. The PMI is a leading economic indicator, and it suggests that the Canadian economy has slowed down sharply. We also know that the…
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EUROPEAN SHARES Early declines on European stocks erased the advance registered during pre-market trading with uncertainty reigning everywhere this morning. Despite a new stimulus plan announced by Beijing overnight, investor sentiment continues to be dominated by the recent disappointing developments in the struggle to stem the spread of the coronavirus. The death toll continues to…
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The deputy governor of the BoE, Sam Woods contacted other bank executives to ask them to cut dividend payments and to confirm by Tuesday evening. Prudential Regulation Authority, part of BoE, stated: Although the decisions taken today will result in shareholders not receiving dividends, they are a sensible precautionary step given the unique role that…
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Banks do away with dividends, buybacks under regulator pressure London-listed stocks rallied yesterday, following the release of data showing manufacturing in China had rebounded in March as the country emerged from its coronavirus-induced shutdown, although concerns over the accuracy of the figures persist. Despite closing the day higher, it was still a rollercoaster day for…
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GOLD The gold price fell yesterday as low as $1,570, breaking down the first support level of $1,590 in the process, on growing fears that central banks will buy much less gold and other precious metals in the next few years. Despite this quick descent and despite the strength of greenback seen in the last…
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Health names soar in Monday rally All three of the major US stock indices finished more than 3% up on Monday, with healthcare the best performing of the 11 sectors in the S&P 500. The sector gained 4.7%, driven by the healthcare technology and pharmaceutical sub-sectors, which gained 7.1% and 5.8% respectively. Hospital firm Universal…
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OIL Oil price is attempting a difficult rebound with WTI climbing back above $21 after sinking to a 17-year-low of $19.40 yesterday evening. Rumours about talks between Putin and Trump, will include discussions on the oil price, are giving some hope to the barrel amid a backdrop of its dramatic performance YTD that shows a…
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Key data points Bold indicates the most important releases for this symbol. Monday 30 March, 23.30 GMT: Japanese unemployment rate (February) - consensus 2.4%, previous 2.4% Monday 30 March, 23.30 GMT: Japanese annual retail sales (February) - consensus -1.2%, previous -0.4% Tuesday 31 March, 23.50 GMT: Tankan Large Manufacturers’ Index - consensus -10, previous 0…
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What to watch Pending home sales data: On Monday, the US National Association of Realtors will report its February pending home sales figures. Economists are predicting that there will be significant pullback after a 5.2% bump in January. While the period being reported on doesn’t include the recent depths of the crisis, it may provide…
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OIL The weakness of stock markets is adding further bearish pressure on the oil price, with the WTI benchmark again approaching the psychological threshold of $20. Markets are now betting that the crisis could be relatively long, and the barrel is the perfect asset to be shorted by traders. From a technical point of view,…
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