22 May 2020, 06:54 by Newsquawk Desk
- Asian indices weakened as markets digested today's key events including the BoJ off-schedule meeting and start of China's NPC
- China omitted setting a GDP growth target for this year due to coronavirus, as well as uncertainties surrounding economy and trade
- China's draft Hong Kong legislation stated that Hong Kong should finish enacting as soon as possible the regulations in basic law regarding national security
- US Senators are reportedly introducing a bipartisan bill that would sanction Chinese...
21 May 2020, 11:52 by Newsquawk Desk
- European bourses continue to move further into negative territory after a subdued APAC session as US-China rhetoric ramped up; Stateside, futures are also softer but by a smaller magnitude
- US President Trump suggested China could have stopped the COVID-19 plague and that China’s disinformation and propaganda attack on the US and Europe was a “disgrace”
- Furthermore, diplomatic backchannels between US and China are said to have dried up and some suggest behind the scenes meetings/messages between officials...
21 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets struggled to sustain the impetus from the rebound on Wall St where stocks were underpinned by hopes of a pick-up in economic activity
- US President Trump alleged the incompetence of China was behind the “mass worldwide killing” and that China’s disinformation and propaganda attack on the US and Europe was a “disgrace”
- US Senate passed a bill aimed at increasing oversight of Chinese companies which could require Chinese firms to de-list from US exchanges
- The temperamental tone...
20 May 2020, 11:52 by Newsquawk Desk
- European bourses, and sentiment in general, has been choppy this morning but continues to drift higher ahead of the entrance stateside; US futures outperform with gains over 1%
- Lowe’s (LOW) beat on EPS & revenue this morning as did Target (TGT) however they declined to provide FY guidance
- FX sees the USD softer and DXY towards the bottom of a relatively compact range for the session; benefitting major counterparts & antipodeans in particular
- China's Foreign Ministry says China will take...
20 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets traded indecisively following the soured mood on Wall St amid ongoing US-China tensions and a disappointing drug update
- Moderna (MRNA) COVID-19 vaccine reportedly did not produce data critical to assessing the vaccine, according to STAT News citing experts
- In FX markets, the DXY oscillated around the 99.50 level amid the indecisive risk tone
- WTI July crude futures edged mild gains and broke back above the USD 32/bbl level supported by a somewhat encouraging private inventory...
19 May 2020, 11:47 by Newsquawk Desk
- Sentiment has slipped on a few factors with trade in focus and as the European short-selling ban has been removed; US futures are subdued ahead of Powell
- WTI has been firmer for much of the session but has slipped marginally into negative territory on the day ahead of today’s June’20 future expiry
- FX, sees the USD softer to the benefit of most major counterparts aside from the JPY afflicted by the BoJ to hold an off-schedule meeting on May 22nd
- US President Trump criticized the World Health...
19 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets were higher across the board as the region took impetus from the global stock rally
- Germany and France proposed a EUR 500bln recovery fund and to give grants–not loans–to member states
- White House spokesperson called China's USD 2bln pledge to the WHO a "token" to distract from China's failure to warn the world of what was coming
- BoE's Tenreyro said MPC has not ruled out any policy tool and that it is her personal view that negative rates have had a positive impact in...
18 May 2020, 11:55 by Newsquawk Desk
- Sentiment has strengthened following a hefty weekend of central bank speak notably from Fed Chair Powell
- Fed Chair Powell reiterated the US will not have negative interest rates and post coronavirus recovery could last through 2021; not out of ammo & suggested there are no limits to what we can do
- President Trump commented that he has lost a little flavour for the China trade deal
- EU Medicines Agency says Gilead's (GILD) Remdisivir could be granted conditional market authorisation in Europe in...
18 May 2020, 06:54 by Newsquawk Desk
- Asia-Pac bourses mostly began the week with mild gains and US equity futures extended on their rebound
- Fed Chair Powell reiterated the US will not have negative interest rates and post coronavirus recovery could last through 2021
- President Trump commented that he has lost a little flavour for the China trade deal
- US House on Friday narrowly passed the new USD 3tln coronavirus stimulus relief bill. However, it is expected to be rejected in the Senate
- BoE’s Haldane suggested the Bank was...
15 May 2020, 12:09 by Newsquawk Desk
- European bourses were extending on opening gains but Huawei reports waylaid this; sending US futures into negative territory
- US is moving to prevent Huawei from acquiring semiconductors and chip-sets made using US software/technology, Commerce Department; expects this will be the final '90-day extension'
- US Treasury Secretary Mnuchin said China needed to provide a lot more information about coronavirus and that President Trump is reviewing all his options on China
- White House are reportedly likely...
15 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets initially traded indecisively before moving into broadly positive territory
- The session saw mixed Chinese data in which Industrial Production topped estimates but Retail Sales disappointed
- The DXY traded choppy beneath resistance at 100.50, EUR/USD rangebound above 1.0800, GBP/USD consolidated above 1.2200
- US Senate passed legislation to impose sanctions on China over human rights abuses against Uighur Muslims
- The White House will likely support a fresh round of stimulus...
14 May 2020, 11:51 by Newsquawk Desk
- European bourses follow, and extend on, the negative APAC lead; US futures have been either side of U/C throughout the session
- US President Trump is reportedly looking into Chinese Co’s listed on NYSE and NASDAQ, adds he is very disappointed in China and reiterated preference for NIRP
- Trump said it is a great time to have a strong USD; remarks which sent the DXY to fresh session highs just shy of the 100.44 May peak
- UK is drawing up plans to reduce tariffs on US agricultural imports to advance...
14 May 2020, 06:54 by Newsquawk Desk
- Asian stocks traded negatively with global risk appetite dampened by ongoing US-China tensions and questions about reopening efforts
- China will soon impose countermeasures on US individuals and entities filing lawsuits seeking COVID-19 damages from China, according to sources
- US President Trump extended the executive order protecting the US supply chain from Huawei and ZTE for an additional year, according to a statement
- US President Trump...
13 May 2020, 11:57 by Newsquawk Desk
- European bourses remain in proximity to negative opening levels while US futures are modestly firmer ahead of Fed Chair Powell before the open
- US Republican Senators proposed legislation which would empower President Trump to impose sanctions on China if it does not provide a "full accounting" for the coronavirus outbreak.
- Ahead of Powell (preview on Newsquawk feed), Fed’s Mester (Voter) said she would like to stay away from negative rates because it would impact money markets and suggested that negative...
13 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets were mostly negative following the late slump on Wall St. with sentiment soured over second wave fears and US-China tensions
- Republican Senators proposed legislation which would empower President Trump to impose sanctions on China if it does not provide a "full accounting" for the coronavirus outbreak
- US House Democrats are reportedly moving ahead with a new stimulus bill worth more than USD 3tln
- UK is on course for a budget deficit of GBP 337bln this year compared to the GBP...
12 May 2020, 11:56 by Newsquawk Desk
- European bourses opened marginally lower but have since been bolstered as US participants enter the fray; US futures firmer as such
- US President Trump stated he is not happy with China and that he is not interested in reopening the US-China trade deal
- China's Finance Ministry have released a second list of tariff waivers for some US goods; exemptions will last 1-year from May 19th
- NY Fed said the Secondary Market Corporate Credit Facility...
12 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets traded cautiously following the indecisive performance of Wall St peers as US-China trade concerns resurfaced
- US President Trump stated he is not happy with China and that he is not interested in reopening the US-China trade deal
- DXY extended on gains above 100.00, EUR/USD and GBP/USD briefly slipped below 1.0800 and 1.2300 respectively, AUD lags
- Fed’s Bostic and Evans both pushed back against the idea of negative rates for the US
- UK Brexit negotiators are to reportedly...
11 May 2020, 11:47 by Newsquawk Desk
- European bourses are softer in-spite of a modestly firmer open, given APAC performance, as sentiment has faded throughout a quiet session – US futures exhibiting similar pressure
- US source familiar with recent discussions stated US officials acknowledged China was largely delivering its pledges on structural issues, reports noted that a Chinese government adviser suggested the deal itself was fragile
- French Finance Minister said the Eurogroup have reached a deal on a EUR 240bln Treasury line for countries...
11 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets begun the week on the front foot after last Friday’s gains on Wall St
- US source familiar with recent discussions stated US officials acknowledged China was largely delivering its pledges on structural issues
- US Chamber of Commerce called on China to dramatically accelerate purchases of US goods under the Phase One trade deal
- Japan is reportedly considering lifting the state of emergency declaration in most prefectures this month
- UK PM Johnson outlined a conditional...
08 May 2020, 11:53 by Newsquawk Desk
- Sentiment remains positive on trade updates in quiet markets so far ahead of NFP
- Chinese Vice Premier Liu He, US Treasury Secretary Mnuchin and USTR Lighthizer spoke over the phone and agreed to keep communications, strengthen cooperation and vowed efforts to implement the phase 1 deal
- Chinese Gov't Adviser, on the US-China phone call, suggested that the fact that “the dialogue has now gone straight to ministerial level may indicate the problem is quite severe, SCMP
- France are reportedly proposing a...
07 May 2020, 11:59 by Newsquawk Desk
- Sentiment is bolstered on trade updates; as such, European bourses and US futures are comfortably positive with US futures outperforming
- US and China Trade Chiefs are said to plan a phone conversation as soon as next week on progress in implementing the trade deal
- BoE left rates at 0.1% and maintained Gilt purchases, 2 dissenters on QE who wanted an extra GBP 100bln
- Norges Bank defied consensus, cutting rates to 0.0% & announced further F-loans; but, do not envisage making further...
06 May 2020, 12:01 by Newsquawk Desk
- European bourses are overall mixed in a choppy and relatively quiet session so far
- China are reportedly considering dropping their numerical GDP growth target for 2020.
- European Commission Spring Economic Forecasts: EZ 2020 GDP to contract 7.7% before rebounding 6.3% in 2021
- DXY has reclaimed the 100.00 mark, touching 100.20 at best, much to the detriment of G10 peers
- Looking ahead, highlights include US ADP & DoEs
- Earnings from: PayPal, T-Mobile US, General Motors, Metlife,...
06 May 2020, 06:54 by Newsquawk Desk
- Asian equity markets traded mixed with the region lacking solid conviction after the choppy price action on Wall St
- The DXY heads into the EU open relatively flat, EUR/USD below 1.0850 and GBP/USD below 1.2450
- The ECB said it takes note of the German court ruling and remains fully committed to its mandate
- UK Chancellor Sunak is to wind down the coronavirus furlough scheme amid concerns Britain is addicted to the wage subsidy
- Looking ahead, highlights include EZ services & composite PMIs,...
05 May 2020, 11:57 by Newsquawk Desk
- German Constitutional Court did not find ECB's PSPP to be in violation of prohibition on monetary financing
- Sentiment has been dented by the German Court ruling, but remains firmer following a strong APAC handover
- However, GCC ruled that some actions are not valid in Germany relating to the proportionality of PSPP; ECB now has 3-months to demonstrate this – will meet at 17:00BST/12:00ET to discuss
- EUR, Bunds and BTPs were the biggest losers on this; EUR weakness propelled DXY to new session high of...
05 May 2020, 06:54 by Newsquawk Desk
- Asian equities traded positively after taking impetus from the rebound on Wall St where major indices gradually pared initial losses
- Senior Trump administration aides have signaled there will not be any economic punishment for China if it sticks to the trade agreement made in January
- University of Washington Institute for Health Metrics and Evaluation (IHME) updated model predicted the number of US deaths from coronavirus could reach over 134k by August
- In FX, the DXY was softer and traded below the...