We will talk to the man himself, jeff currie, later on this hour. I want to talk about what is happening in the u. K. , take a look at sterling. Marcel barnier says a brexit transition is not a given if a decent agreement if a disagreement persists. David he says never mind. Now lets turn to our top two stories. Jeffrey gun lock is right all along, the the 10year yield. L on the 10 year and keeping the government open. Lisa joining us is abramowicz of bloomberg you have the 200day moving average with the s p starting to flirt with that 200day, and that goes to be correction we have not seen in a while. We bounced off the 200day twice in 2016. Luc, have we found the bottom . I am not sure yet. Lets check out another chart. We were talking about early in january, world equity index euphoria, right now, looking at my terminal, s p 500 members are overbought. 0. 4 . The shares oversold up to about 1 3. It might be good news of a contrarian indicator, but around these time, the chinese deva
U. S. And turkey continues to heat up and its having an impact across all markets in turkey. Dollarlira is up by 2. 4 . We saw a 6 rally earlier during the thin liquidity trading but now we are well off the highs of that session. The stock market continues to get hit come off by 3 and airlines are really week in turkey. You wind up having a monster selloff happening in the bond market. Are seeingt, you some buying an outperformance in spain. David it is time for the morning brief. We have a big week ahead starting with a Parliament Meeting today. Tomorrow is the meeting with the imf and world bank. We will get Bank Earnings from jpmorgan and wells fargo thursday and on friday, we will get u. S. Economic data including cpi and retail sales. On top of all that, markets will continue to watch the growing tension between the united turkey. Nd over the weekend, both countries suspended granting of these is for one anothers us citizen to visit and the lira and turkish stock market took a hit
That is what ive been hearing. Lets look at the risk off tone in europe that is being hit the hardest. We are now at eight straight down days and have not seen that kind of streak since 2014, the dax hit particularly hard. A bit of a safe haven bid as far as bund yields. That does not feel like a risk off move in bunds. The dollaryen down 6 10 of 1 . The bloomberg Commodity Index down 3 10 of 1 . Not just oil and copper, the base metals across the board hurt. David now we turn to emma chandra. Emma Senate Republican leaders may have made tax reform a little more complicated. They decided to add repeal of the obamacare individual mandate to their tax package to help them meet the fiscal target but will change the vote calculations in the senate and house. Twice the senate tried and failed this year. The russians have agreed to restructure more than in venezuelan debt. The Credit Rating firm declared venezuela and its state oil company to be in default after missing payments. In zimbabwe
Equities are trading now. Just under 13 minutes to the close. Here, im looking at the guilt yield curve. Whatcommentary about the flattening of the curve means. We are looking at the flattening. Is it a question of the market mispricing the event of brexit . Lt money moving into gi markets . Off the comments of mark carney saying he is worried about the impact of brexit on the economy. Not be rushing to raise Interest Rates anytime soon. Here, i have a trend channel chart for sterling. We had been seeing sterling extend its losses. It has gone below 127. 126. 17 right now. The pound might extend. It has dropped for the longterm support. On the one hand eight dovish boe, on the other hand a hawkish fed. Sterling below is more than a week in todays session. If we look at what else i have here, i want to show you european stocks. The charts are not coming up, but we are watching the stoxx 600 trade lower. Posting losses after two days of gains. The dax hit a record coming off of those hig
Numbers from germany higher than atected, Business Confidence 115. 1, estimated 114. 5. Global stocks advancing. Nestle is the one we are watching. It did spark a rally in european dan loeb looking at the company. The other one im looking out for is intesa. Lets get straight to bloomberg first word news. The u. K. Prime minister due to meet the leader of dup. Also, theresa will publish details how she intends to protect European Union nationals living in britain. David davis has said that in said britain will fight any demands. Are secretary of tate says qat will find it difficult to meet demands from of the Rex Tillerson said they could be a basis for talks. The list of demands includes shutting al jazeera, cutting back ties with iran, and ending turkeys military presence. Pakistan, more than 150 killed after a tanker exploded. Officials said dozens more are in critical condition. Villagers had gathered to collect leaking fuel. The final round of election showed a resurgence in for fo