This is bloomberg surveillance. This is what the markets are focused on. The markets are looking at some of the data out of germany. Business confidence coming in. 86. 2. Instead of the estimated 85. We are watching out for the case surges in the virus. Something i dont look at very often, but we decided to put in aussiedollar. It did reverse gains. It does seem that european stocks are slumping as investors figure out asset types. Now lets get straight to the bloomberg first word news. Here is dani burger. Dani the pandemic spread in the u. S. Is leaving some state officials to consider slowing or even reversing plans to reopen. Infectious disease expert Anthony Fauci is concerned about the uptick. Struggling to pump out its 2 trillion of virus aid. Much of it remains stuck in tokyos aging bureaucracy. Still 40 of the funds have not reached people despite being approved in late april. For loans to Small Businesses, only 14 have been lent out. For job protection subsidies, it is even w
I wanted to point to the mexican peso. Has not moved much today but we are keeping an eye on the earthquake that struck the country. Now lets get a status report on the credit markets. 13 u. S. Companies sought bankruptcy parks section protection last week. It comes even with the intervention of the fed which has injected liquidity across the markets and given borrowers. For more insight, lets bring in srikanth sankaran. The last time we spoke, we were already seeing a calming in the credit markets. Where do we go from here now that the fed has backstopped entire curve in the credit market . Srikanth our thesis over the next 12 months is we get a grind tighter with respect to spreads. Our call is for credit markets to deliver positive exit returns across investmentgrade and highyield markets. Effectively, you want to be more selective, but at the end of the day, this is an environment where you have to look at rerisking portfolios in times of weakness rather than missing out when the m
Down today. We will speak with an analyst on this later on. What else . We have claims data today. Pretty stable, which is concerning coming to be brutally honest, so we will talk about that later on. We will discuss what is happening with eugene scalia, u. S. Labor secretary. And we will talk about the people being affected by all this. Alix we cannot get into that without setting the stage for where our markets are. David kelly is joining us. David, you say there is another likelihood of a sizable correction, so when we get the headlines today like the florida covid19 cases are rising at 4. 6 , but new york is going into phase three, and texas is a stopping elective surgeries. How do we look at that . David what is clear is we have seen the northeast really dealt with the program very painfully, but they have pushed the cases down. And provided they maintain their behavior, which when you go around new york people are wearing their masks and people are being careful if you maintain t
We will bring that to you live and keep you updated. We will get the market take, what do you do when Retail Investors are crushing it and the sophisticated guys are not . We will break it down. Story, the the top market is paying close attention to the Central Banks economic protection. Theres a lot of stuff going on. Our guest joins us now. We have a laundry list of things that everyone is watching for, what are you most interested in . We are all watching for a lot of things but i dont think anything will really happen. Im not expecting any new announcements yet the most interesting thing will be the summary of economic ejections, projections. This is a good sign at the fed now feels like they can actually day forecast together. But it will be uncertain. I think bloombergs forecast quarter,t for this which we are already most of the way through, theres contraction by 7 , and 65 growth for this quarter. Just to show how incredibly uncertain rings are, they are putting together a fore
Worldwide trade has been slashed. Postnba future, we will hear from lebron james. Feeling more risk as we head into the last trading session of the week for asia. Lasttrading flat after the halfhour of frenzied gains, s p 500 up 20 loss in the previous session. Nikkei futures at the moment looking flat. Dollaryen holding at 107. Gainingg dollar index with the exception of the kiwi and aussie dollar. It feels like we will see modest over in spite of concerns increased virus numbers, particularly in the u. S. And globally we are averaging 150,000 new cases per day. The underscores uncertainty. The senate in the u. S. Approving a bipartisan bill that would limit banks doing business with chinese officials involved in hong kong. Tom mackenzie is in beijing. It still has to be signed into law. Given unanimous consent, how likely is it this will be enacted . Tom very likely at this stage. It has bipartisan support in the house and it has been signed off in the senate. It will end up on trump