Stocks and U.S. equity futures declined Monday, while Treasury yields rose, as a jump in energy costs again highlighted the inflation concerns that are weighing on both the global economy and investor sentiment. Japanese and Chinese shares dropped along with S&P 500 and Nasdaq 100 contracts. Treasuries fell on the prospect of rapid Federal Reserve monetary tightening to curb price pressures, pushing the 10-year yield to about 2.86%. The cautious mood aided the dollar and gold. The yen fluctuated after Bank of Japan Governor Haruhiko Kuroda said its recent retreat was “very rapid.” Natural gas and oil advanced, partly on risks chf from Russia’s war in Ukraine. These include the possibility of a de facto European Union embargo on Russian gas and the threat of some curbs on crude in the next European sanctions. In China, economic data were mixed -- while first-quarter gross domestic product growth accelerated, retail sales shrank in March for the first time since 2020. The latter hinted at ongoing damage from Covid lockdowns in the last few weeks. Officials cut the reserve requirement ratio Friday but refrained from lowering interest rates in a cautious approach to policy easing. China’s Covid restrictions are snarling supply chains and stoking global inflation pressures. The latter were already exacerbated by disruptions to commodity flows due to the war and Russia’s isolation. Concern is growing that the U.S. economy faces a downturn as the Fed pivots toward aggressive policy tightening to contain the cost of living. History suggests the Fed will face a difficult task in tightening policy to cool inflation without causing a U.S. recession, according to Goldman Sachs Group Inc. It put the odds of a contraction at about 35% over the next two years. In Shanghai, officials reported the first deaths from a surging Covid-19 outbreak. The city has also published plans to resume productionafter a prolonged lockdown, recommending businesses adopt so-called closed-loop management, where workers live on-site and are tested regularly.
Markets in Australia, Hong Kong and much of Europe remain shut for Easter.
Nikkei -1,41% Hang Seng Closed CSI -0,91% Shanghai -0,78% Shenzen -0,06%
Eur$ 1,0791 CNH 6,3839 CNY 6,3741 JPY 126,62 GBP 1,3021 CHF 0,9444 RUB 82,6453 TRY 14,6296 WTI$ 107,95 Gold 1984,85 BTC 38,817 -3,4% ETH 2912 -3,45%
S&P -0,56% Nasdaq -1,02% EuroStoxx Closed FTSE Closed Dax Closed Cac closed SMI Closed
Macro :
- U.K. Ministers to Soften Clampdown on Tech Deals: Telegraph
- EU Can Cut Russian Energy Dependence Sooner Than Thought: Draghi
- Putin, Saudi Crown Prince Upbeat on OPEC+, Kremlin Says of Call
- Crypto Fund Founder Warns Industry on North Korean Cyber Attacks
- Biden Plans to Nominate Michael Barr as Fed Banking Supervisor
- ECB’s Muller Says APP Stimulus May End Already in July
- Hedge-Fund Giant Man Group Questions Whether 60/40 Ever Worked
Keep an eye on :
- ADS GY : Nike Positive on China Business Despite Lockdowns, JPMorgan Says
- ADP FP : ADP March Passengers 5.97M
- CAMB BB : Campine Offers to Buy Recyclex’s Lead Battery Recycling Plants
- CHRONO24 IPO : Chrono24 Plans IPO in Coming Year, Handelsblatt Reports
- DIDI US : DiDi Plans Shareholder Meeting in May to Vote on U.S. Delisting
- ECONB BB ; Econocom 1Q Organic Revenue +3.2%
- EL FP : EssilorLuxottica Says GrandVision’s CEO and CFO Step Down
- GBLB BB : GBL Said Near to $1.7 Billion Affidea Deal With Swiss Tycoon
- G IM : Generali Files Complaint to Consob Over Challengers Statements
- GLEN LN : ISS Urges Glencore Holders to Vote Down Climate Plan: Reuters
- GES US : Guess Shareholders Urged by ISS to Oust Marcianos From Board
- IDEA LN : Cinven Confirms It’s in Early Stages on Possible Ideagen Offer
- LDO IM : Leonardo Board Disagrees With Bluebell’s Statements About CEO
- RUI FP : Rubis Completes Purchase of Solar Energy Player Photosol
- RYA ID : Ryanair Faces Belgian Staff Action April 22-April 24: RTL Info
- SCR FP : SCOR’s 1Q Results Will Be Impacted by Russia’s War in Ukraine
- STLA IM : Macron Backs Pay Cap for CEOs in Bid for Votes From the Left
- TSLA US : Judge Rules Musk Go-Private Tweet False, Tesla Investors Say
- TWTR US : Twitter Board’s Interest Not Aligned With Holders, Musk Says (2)
- TWTR US : Twitter Brings on JPMorgan as Adviser Alongside Goldman
- VK FP : Vallourec Names Sascha Bibert as New CFO
- VRP FP : Virbac Sees FY Organic Revenue at Constant FX +5% to +10%