In this holiday-shortened week (markets closed for Good Friday), focus turns to several inflation prints in G10 in the week ahead, with US and UK inflation data likely to get the most attention. In addition, there are a few scheduled speaking engagements by Fed officials, including a speech by Fed Chair Yellen on Monday.
S&P futures point to a slightly lower open, while Asian and European stocks are likewise modestly in the red. Trading volumes are muted for most markets on Monday with investors spooked by rising geopolitical tensions in the Middle East and the Korean peninsula. It is also a holiday-shortened week in much of the West.
"As U.S. exports ramp up, we’re going to see even more flexibility with more people trying to buy and trade volumes. The old models of stable long-term contracts will really have to change. We’ve already seen the impact of U.S. LNG on contract trends, with more destination flexibility coming into play."
A US aircraft carrier strike group is headed toward the Korean Peninsula, according to US officials cited by news wires on Saturday night. The move of the Vinson strike group is in response to recent North Korean provocations, an official said.
Just a week ago we warned of China's record glut of Iron Ore (enough to build 13,000 Eiffel Towers), and following warnings from Barclays and RBA of a likely pullback, futures in Dalian sank to lowest since November as steel sags.
Markets seem more concerned about missing the upside associated w/a final tax deal than they are about being caught long on a tax disappointment, thus for the time being headlines such as “Trump and Ryan discuss taxes” or “tax plan makes progress in Washington” will help to buoy stocks more than “Trump has neither a clear WH tax plan nor adequate staff yet to see through a planned tax reform” will hurt them.
After the best quarter for US stocks since 2015, global equities have started off Q2 on the right foot, despite caution about the upcoming meeting between President Trump and China's Xi Jinping later this week, and Fed Minutes which are expected to be more hawkish than the FOMC statement.
China’s ambassador to Canada, Lu Shaye, told the Globe and Mail that Beijing is seeking full access to Canada’s economy ahead of free trade talks, a move that could result in Chinese state-owned companies bringing their own employees to work on projects in Canada
Investigators in the Netherlands arrested two individuals on Thursday, seizing a gold bar, paintings, jewelry and bank account information as part of a tax-evasion probe by Credit Suisse clients who concealed millions of euros from authorities by placing them in Swiss bank accounts
If we ever allow our government to roll out facial recognition cameras on a wider scale, lots of innocent people are going to be hurt. Whether by mistake or by malice, it will become shockingly easy for law enforcement to identify ordinary people as criminals.
The GCHQ and the British government have cried foul over reports they surveilled Trump’s transition team on behalf of the Obama administration. However, there is a wealth of historical information on such cooperation between the 'Five Eyes'. The fact that GCHQ squawked publicly about it being implicated in political eavesdropping makes it more likely that it was caught red-handed.