Asian shares slid on Monday and oil prices took another tumble as fears mounted that the global shutdown for the coronavirus could last for months, doing untold harm to economies. "We continue to mark down 1H20 global GDP forecasts as our assessment of both the global pandemic's reach and the damage related to necessary containment policies has increased," said JPMorgan economist Bruce Kasman. E-Mini futures for the S&P 500 skidded 1.2% right from the bell, and Japan's Nikkei 3.2%....
Asian share markets looked set for a rocky start on Monday as U.S. stock futures took an early spill amid fears the global shutdown for the coronavirus could last for months, doing untold harm to economies. Rodrigo Catril, a senior FX strategist at NAB, said the main question for markets was whether all the stimulus would be enough to help the global economy withstand the shock. "To answer this question, one needs to know the magnitude of the containment measures and for how long they will be implemented," he added....
(Bloomberg) -- U.S. stock futures fell, rolling back more of last week’s surge, as traders reacted to weekend news that included U.S. coronavirus cases topping 132,000 and warnings that U.K. lockdowns could last six months.Contacts on the S&P 500 expiring in June fell 2% to 2,472 as of 6:59 p.m. in New York, paring a drop that exceeded 3% in the first minutes. Friday’s session had a turbulent end, with the cash market tumbling about 3% in the last half hour. The S&P 500 still managed to end the week with a 10% gain, its biggest in 11 years, boosted by a historic three-day rally.Dramatic swings have been the rule in global markets for five weeks as investors tried to price in an outbreak that has shut down economies, put millions out of work and made it all but certain corporate earnings will drop. The S&P 500 is trading at just...
The U.S. took a step forward in its battle against the coronavirus pandemic by taking steps to eventually slow the spread of the virus, former FDA head Scott Gottlieb said Friday evening on CNBC.What Happened April will prove to be a "tough month," but the country is prepared to "get through it" and the epidemic curve should start improving in May, Gottlieb said.Multiple cities like New Orleans, Detroit and Miami will need to manage their own outbreaks. This does show that the coronavirus outbreak is not limited to any one single epicenter. Some of the "more optimistic models" suggest the virus will peak in mid-April, but a more realistic timeline places the peak two or so weeks later, he said.See Also: Abbott Labs To Launch Point-Of-Care Test That Can Detect Coronavirus Within 5 MinutesWhy It's Important Hope is underway after a recent study has found plasma derived from people who were...
(Bloomberg) -- Mortgage bankers are sounding alarms that the Federal Reserve’s emergency purchases of bonds tied to home loans are unintentionally putting their industry at risk by triggering a flood of margin calls on hedges lenders have entered into to protect themselves from losses.In a Sunday letter, the Mortgage Bankers Association urged the U.S. Securities and Exchange Commission and the nation’s main brokerage regulator to address the problem by telling securities firms not to escalate margin calls to “destabilizing levels.” The MBA, whose members underpin the housing market, asked the watchdogs to issue guidance directing brokers to work constructively with lenders.The rally in prices for mortgage-backed securities that’s been fueled by the Fed’s large-scale buying is “leading to broker-dealer margin calls on mortgage lenders’ hedge positions that are unsustainable for many such lenders,” the trade group wrote in its letter to SEC Chairman Jay Clayton and Financial Industry Regulatory Authority President...
Will the new coronavirus cause a recession in US in the next 6 months? On February 27th, we put the probability at 75% and we predicted that the market will decline by at least 20% in (Recession is Imminent: We Need A Travel Ban NOW). In these volatile markets we scrutinize hedge fund filings to […]...
