• Asian indices are subdued following on from their US counterparts where the E-mini S&P dropped below the 2800 level as US-China tensions remain a key trading theme
• US Treasury released their currency report placing 9 countries, including China, on the watchlist but did not name any as manipulators
• Looking ahead, highlights include French GDP, German Unemployment, BoC Rate Decision, ECB’s Weidmann, Mersch, Rehn & Visco, supply from Germany and the...

• European Indices [Euro Stoxx 50 -0.6%] are broadly softer as the region failed to capitalise on the positive Asia-Pac momentum
• On the trade front SCMP reports that US-China talks hit a snag as the US side ‘kept adding new demands in late stages of the negotiations’
• Looking ahead, highlights include US Consumer Confidence and supply from the US

EU PARLIAMENTARY ELECTIONS SUMMARY

European elections failed to deliver any drastic upsets; right wing anti-EU parties...

• MON: UK and US Market Holiday.
• TUE: Hungary rate decision.
• WED: BOC rate decision, German Jobs Report, Richmond Fed.
• THU: Aussie Building Approvals, CAPEX; NZ Budget; US GDP, Pending Home Sales.
• FRI: Japanese jobs data, Tokyo CPI, industrial output; BOK rate decision; German retail sales, CPI; US personal spending, core PCE, Michigan; Canadian GDP

• Asian indices are moderately higher following on from yesterday’s holiday lull, with Chinese indices supported by a substantial PBoC liquidity injection
• In FX, DXY extended on gains as its major counterparts EUR/USD and GBP/USD languished following a pullback below 1.1200 and 1.2700 respectively
• Looking ahead, highlights include German GFK Sentiment and import prices, EZ Consumer Confidence (final), US Consumer Confidence, supply from Italy, Germany and the...

• Asian equity markets began the week mixed as a lack of risk drivers and an extended weekend in some major global markets resulted to a non-committal tone in the region
• Preliminary results from the European Parliament elections indicate the centre-right and centre-left groups are set to remain the biggest groups but have fallen short of a majority
• President Trump suggested a US-Japan trade deal can wait until after the Japanese upper house elections in...

• UK PM May resigns, to step down as Tory leader on June 7th and is to remain as PM until a new leader is elected
• European Indices [Euro Stoxx 50 +0.9%] have extended on initial gains following their Asian counterparts which were somewhat boosted by upbeat US-China comments from President Trump
• In FX, the USD is weighed on by G10 counterparts bar safe havens in consolidation from yesterday’s DXY highs and amidst the risk-on tone this morning
• Looking ahead, highlights include; US Durable...

• Asian equity markets were mixed with the region cautious following the headwinds from US. ASX 200 underperformed amid the slump in oil prices 
• US President Trump said there is a good possibility of a US-China trade deal and that Huawei could be included in any trade deal
• UK PM May is to announce her timetable to step down on Friday, according to reports 
• In FX markets, the DXY languished near this week’s lows whilst AUD was subdued...

• European indices [Euro Stoxx 50 -1.7%] are sinking following the weak lead from Asia and poor EZ data
• In FX, USD outperforms all G10 bar safe havens as dismal data and Brexit woes afflict sentiment
• Looking ahead, highlights include, US Initial Jobless Claims & New Home Sales, NZ Trade Balance, ECB Minutes, European Parliament Election, Fed's Kaplan

ASIA-PAC

Asian stock indices were mostly lower amid spillover selling from Wall St as US-China trade...

• Asian indices (ex-India) are subdued as US-China updates continue to drive markets; China’s Foreign Minister Wang Yi warned China will fight to the end
• FOMC minutes largely neutral, emphasis on patience and that the inflation downturn is transitory
• UK PM May is to meet 1922 Committee Chair Brady on Friday, where leadership changes will be discussed; HoC Leader Leadsom resigned
• Looking ahead, highlights include German GDP & Ifo, French,...

• European Indices [Euro Stoxx 50 +0.3%] are positive, but have traded choppily for much of the session ahead of FOMC and as markets await further US-China updates
• On the Brexit front, the 1922 Committee are due to meet at 16:00BST, with speculation that if over half of the committee are in favour then Graham Brady will instruct PM May to leave
• Looking ahead, highlights include Canadian Retail Sales, DoEs, FOMC minutes, Fed’s Williams, Bostic, and BoE’s...

• Asian indices were mixed as markets await further US-China updates and FOMC minutes
• US is contemplating blacklisting as many as 5 Chinese surveillance firms
• UK PM May’s latest Brexit offer has led to a backlash from both Conservative Eurosceptics and the Labour Party
• Looking ahead, highlights include UK CPI, Canadian Retail Sales, DoEs, FOMC minutes, ECB’s Draghi, Praet, Fed’s Williams, Bostic, and BoE’s...

• European indices [Euro Stoxx 50 +0.6%] extend advances ahead of the US’s entrance to market
• In FX, the dollar broadly outperforms its G10 counterparts particularly antipodeans following RBA Governor Lowe stating they will consider a rate cut at June’s meeting
• Looking ahead, highlights include US Existing Home Sales, EZ Consumer Confidence (Flash), US & Japan Trade Talks, Fed’s Evans & Rosengren

ASIA-PAC

Asian stocks eventually traded mostly...

• Asian indices were mixed following the negative Wall St lead, although, respite was granted as the US announced a 90-day general license for Huawei
• The RBA further tied their outlook to the labour market and Governor Lowe stated the board will consider lowering rates at the June meeting
• Looking ahead, highlights include US Existing Home Sales, EZ Consumer Confidence (Flash), US & Japan Trade Talks, Fed’s Evans & Rosengren, ECB’s de...

• European Indices [Euro Stoxx 50 -1.2%] have continued to move lower, after a relatively uneventful opening, with the downside stemming from unconfirmed negative reports on US-China trade
• In FX, the USD is subdued vs all G10 counterparts in particular the AUD following PM Morrison’s surprise victory
• Saudi Energy Minister Al Falih, at the JMMC, stated that there is consensus to gently drive inventories down and that Saudi Arabia see no need to quickly boost production with oil around USD...

• SUN: JMMC meeting
• MON: Japan GDP
• TUE: RBA mins, US/Japan trade talks
• WED: FOMC mins, Japan trade balance, UK CPI
• THU: ECB mins, SARB, EZ flash PMI, German Ifo
• FRI: Japan CPI, US durable goods, UK retail sales, Trump to visit Japan
• SUN: European Parliamentary Election Results

• Asian indices mixed with focus on Australian elections and reports that US-China trade talks have stalled
• Saudi Energy Minister Al Falih stated that there is consensus to drive down inventories gently and Saudi Arabia sees no need to boost production quickly now with oil at around USD 70/bbl
• Reports around UK PM May’s Brexit bill differ, some indicate it contains improved measures others that it contains nothing new and retains the Irish...

• Major European indices [Euro Stoxx 50 -0.5%] are subdued following from a mixed Asia session, with sentiment afflicted by reports that China potentially has no current interest in the continuation of US talks
• Opposition Labour Leader Corbyn confirms that cross-party Brexit talks have gone as far as they can
• Looking ahead, highlights include US University of Michigan Sentiment, Fed's Clarida & Williams, ECB's de Guindos

ASIA-PAC

Asian equity markets...

• Asian indices were predominantly positive following a firmer close on Wall St.; although markets were afflicted by negative US-China updates
• China's state media reported that China potentially has no interest in furthering talks with the US right now; little sincerity seen by China in US President Trump’s approach
• Cross-party talks between Conservatives and Labour are near to drawing to a close without an agreement; focus now turns to Parliamentary voting...

• European indices [Euro Stoxx 50 +0.3%] are volatile, following on from the somewhat mixed performance of their Asian counterparts
• China’s MOFCOM spokesman stated that they have no information regarding a US visit to Beijing
• Looking ahead, highlights include US Building Permits, Housing Starts, Initial Jobless Claims & Philadelphia Fed Business Index, Canadian Manufacturing Sales, ECB’s de Guindos & Coeure, Fed’s Kashkari & Brainard, BoC’s Poloz & Wilkins
• Earnings: Applied Materials,...

• Asian indices were mixed as the auto-driven positivity from Wall St. was countered by the blacklisting of Huawei and disappointing regional earnings
• UK PM May is to face the 1922 committee today, with the committee to hold a meeting immediately after; cross-party talks with Labour remain on the verge of collapsing
• Looking ahead, highlights include US Building Permits, Housing Starts, Initial Jobless Claims & Philadelphia Fed Business Index, Canadian...

• European Indices [Euro Stoxx 50 -0.6%] fail to maintain the positive lead from Asia-Pac as sentiment turns risk-off
• Bunds have breached the 167.00 level supported by the deteriorating sentiment and the ongoing political turmoil in Italy with the BTP spread blowing out further towards 300bp
• Looking ahead, highlights include US NY Fed Manufacturing, Retail Sales, Industrial Production, Manufacturing Output, Business Inventories, NAHB, Canadian CPI, Fed’s Quarles, Barking, Rosengren & George; ECB’s Coeure...

• Asian indices were firmer after positive comments from US President Trump regarding China trade; although, gains were capped by poor earnings and data
• UK PM May’s government has confirmed that the Withdrawal Agreement will be put to Parliament in the first week of June
•  Looking ahead, highlights include EZ GDP, US NY Fed Manufacturing, Retail Sales, Industrial Production, Manufacturing Output, Business Inventories, NAHB, Canadian CPI, IEA Monthly Oil Report,...

• Major European indices [Euro Stoxx 50 +0.6%] are firmer as risk sentiment begins to unwind slightly after yesterday’s sell-off
• China Global Times Editor states that China may release additional retaliatory measures; notably, China declined to comment on US Treasury holdings
• Two Saudi Aramco oil pumping stations have been attack in Riyadh; Saudi Energy Minister states that Aramco has halted pumping in the east-west pipeline
• In FX, the risk sentiments improvement has happened at the detriment of safe...

• Asian indices were subdued after China’s tariff retaliation and the USTR posting details on tariffs for an additional USD 300bln; although, sentiment was aided by optimism from US President Trump
• Cross party Brexit talks reportedly made no progress, while PM May is under pressure to abandon compromise attempts and is considering definitive votes to break the Brexit deadlock
• Looking ahead, highlights include German CPI (F), ZEW, UK Employment Change, US Import &...

• European indices are downbeat [Euro Stoxx 50 -0.5%] following on from the performance of their Asian counterparts as focus remains firmly on US-China trade uncertainty
• China Global Times Editor believes that China has not yet released countermeasures immediately as China may be drafting a plan which will have precise effects
• In FX, the safe haven’s JPY and CHF are outperforming while antipodeans are underperforming with FX largely dictated by the trade induced...