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Global Stocks Pause Ahead Of GDP Report; Nasdaq Hits Fresh Record High

Despite yesterday's whopping beats by Amazon and Google which sent the Nasdaq to new record highs after hours, this morning futures S&P futures are little changed ahead of the closely watched Q1 GDP report, European stocks and Asian equities are slightly lower, oil is higher after Russia said it had reached the 300kbpd oil cut per the OPEC pact, and the dollar was modestly in the red.

Immigrants Flood Into Japan At A Record Pace

The net inflow of foreign residents into Japan was the largest ever during the last statistical year, reaching 136,000 or 40% higher than the previous year, as the government pushes policies to attract foreign workers to offset the organic decline of its own graying population.

RBC: Two Things Are Behind Today's Rally

"With the ‘hawkish Fed/dovish ECB’ scenario, the USD is experiencing ‘signs of life.’  In turn, this could in fact reinvigorate ‘US domestic reflation’ trades which had been on life-support or unwound outright over the prior weeks / months."

S&P Futures Fade Overnight Gains As Euro Slides; China Stumbles

Asian shares and oil are lower, European shares are little changed, and S&P futures are fractionally in the red after gaining for most of the overnight session, perhaps troubled by warnings by two Fed presidents who warned that markets and valuations appear frothy, and the Federal Reserve may have to raise rates more times than currently forecast.

Key Events In The Coming Week

The key economic releases this week are the consumer confidence report on Tuesday, the third estimate of Q4 GDP on Thursday, and the PCE report as well as Personal Income & Spending data on Friday. In addition, there are several scheduled speaking engagements by Fed officials this week.

Warning Signs

Like gasoline, all of these warnings are inert and, other than smelling really bad, are harmless... Well, that is until your cousin “Randy” shows up and decides to have a quick smoke.

Global Stocks, US Futures Surge, Bonds Tumble On "Presidential" Trump Speech, Hawkish Fed Speakers

The dollar and U.S. Treasury yields jumped on Wednesday, while global stocks and S&P futures rose as investors gave generally favorable marks to President Donald Trump's first speech to Congress, while paying more attention to the sudden onslaught of Fed hawks who repriced March Fed hike odds from 50% to 80% in a single afternoon. Strong economic data from China and Europe helped propell global risk assets higher.