Japan

Goldman Downgrades French Bonds Ahead Of Elections

"We recommend going tactically short June French futures (OATM7) at 147-72, for an initial target of 144.00, and stops on a close above 150.00. This position allows one to take a directional view on duration in a market that scores as very expensive on our valuation metrics."

Key Events In The Holiday-Shortened Week

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.

Futures Flat Ahead Of Yellen As Geopolitical Risks Loom; Fear Barometer Spikes

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.

Eric Peters Calls it: "The Change Of Change Is Now Negative"

“The last time we had a major shift in the change of change was a year ago. In Jan/Feb 2016, China was imploding. Then China unleashed explosive credit stimulus, while the Fed blinked. Within a short time, the change of change turned positive. And that marked the time to buy. And now, it's negative."

How U.S. LNG Transformed The Market

"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."

The End Game

"..the debt problem is so pervasive, there is only way one forward - inflate... They will do anything (and everything) to ensure the financial system doesn’t implode on itself... They will keep printing until the bond market takes the keys away."

Saudi Arabia Vs. Russia: The Next Oil Price War

International oil markets could be heading towards a new war, as leading OPEC and non-OPEC producers are vying for increased stakes.  Until 2015, Russian oil supplies had been dominating European markets, as most OPEC producers had no interest in European demand. Due to new players entering Asian markets, and the lower demand in the U.S., the Oil Kingdom is now looking for a confrontation.

US Stock Funds Suffer Biggest Outflow Since 2015 As Bond Inflows Soar

According to Bank of America in the latest week through April 5, there were $7.4BN in outflows from equities, the largest in 40 weeks. At the same time, bonds recorded $12.4 BN of inflows, the highest in 8 weeks, with Treasuries posting largest inflows in 10 weeks as the "great reflationary rotation" crumbled once again. The focus was entirely on the U.S., where stocks saw the largest outflow since 2015, or in the past 82 weeks, as $14.5 billion was redeemed.

US Futures Rebound Sharply, Erase All Syrian Airstrike Losses

After initially tumbling in the aftermath of the U.S. missile attack on Syria which jolted financial markets, boosting haven assets and temporarily shifting investor focus from today's jobs data , S&P futures have managed to recoup all losses (the Nikkei closed up 0.4% after sliding earlier in the session), with Europe also just fractionally lower and climbing fast.

Americans' Self-Contradictory Views Of Socialized Healthcare

Majorities want single-payer, but not from the government...  Lots of other countries are more corrupt in the pettier forms of corruption such as bribery, but perhaps few match America’s higher-level, and far more complex, systemic corruption.