Warns of a major decline in asset prices if the pandemic worsens, also saying commercial real estate could endorse , and flags stress risks with regard to financials. We are going to dig deeper later, but this is quite the yearly report. The main headline here is that there is a major decline in asset prices. Also crossing the wire right at, march investment inflows 350 billion. 349. 9 if you want to be precise. Still with us is the Capital Markets u. S. Equities strategy head. Lori, when we get past what weve seen in equities, can you talk to me about what we are seeing in the treasury market, specifically with some of the expectations we saw late last week that the fed might have to go into negative territory with its nominal rates. There is still this concern that given the fed support and the trajectory of the economy that some sort of near zero if not below zero rate policy may be in the cards. What do you make of it . Negativeonomists think rates are unlikely at this point. What
The last halfhour or so. The morning started out on a grim note with initial jobless claims very close to 3 million once again. Of smallerixth week jobless claims, but nevertheless , at those rates, it is still pretty dire. The dollar index is stronger today. Weaker euro and weaker sterling, too. We continue to see gains in the oil patch. 37, and brent crude trading above 30 a barrel. Governor Andrew Bailey also seeing the bank of england is not currently considering lowering Interest Rates below zero. His comments coming a day after fed chair Jerome Powell pushed back against the idea. Lets get to our guest, patrick chiefong, Plurimi Wealth investment officer. Expected. Ire as we maybe u. K. Data wasnt quite as bad as we were looking for, but still a contraction of nearly 1. 6 . Of 5. 6 . Do the Central Banks need to start considering negative rates . Patrick i think it is a bit of a mixed bag. I dont think the benefits of negative rates are that compelling at this point. If we see it
The dollar index is above 100. Crude is trading at 1. 30 right now. Europe, guy. Vincent lets take a look at what is happening here guy lets take a look at what is happening here. As you can see, it is down heavily on the day, but still trading at 20 a barrel. Down by 20 on the session. We are hearing the currency effect coming through. One of those is the norwegian krone. The dollar benefiting as a result. Copper trading sharply down as well. We are seeing this bleed into other parts of the commodity space, as a result of which the lead sectors down are the oil and gas sector and the mining sector. European equities down by 2. 37 at the moment. Every single sector in negative territory. Vonnie a rough day, for sure. For more on the ripple effects of the oil selloff, we are cibcd by rebecca babin, private wealth senior trader. Anticipating that it would run out of shares, waiting for the sec to issue more. What do you read from this . Should we think of it as having wider implications
Sectorsre your main leading the rally today. We should mention this is unlimited volume as well. It is up 11 . In the case of the dow and s p lower than it was a day ago. Passover begins tonight. We might see limited trading. Friday is a public holiday. Monday there might be people off. Jay powell is speaking, and that might provide some catalyst for market pricing. Romaine joining us is christina from invesco. ,hen you look at these rallies it is an encouraging sign, but the market seems to be very focused on the virus data we are getting, the number of deaths and what is a decline in the number of new cases in certain regions. The market will start to focus on little less on the virus count, and focus more on the economic numbers, corporate profitability, the more traditional metrics, and is it going to matter knowing that we know it is going to be bad . Kristina that is the point you are making is right. It is going to be bad. The market is likely not to focus on it which is the rig
The oil news really make up for that . As you can see, crude is up about 25 or so, but the rest of the market trying to hang in there as well. Every economist was very surprised here that the jobless claims were double what they were last weekend, more so than a lot of economist had been expecting. Indeed, 10 million jobs claims in two weeks, that really gets your attention. What is going on with bonds . I want to take a look at the bond market, i do think we have the board there, david. I dont know, we are going to have to leave it there, sorry. David ok, thats all right. Any sense of exactly what went on between President Trump and mohammad bin salman . The only headlines that we were getting is that he came out with a tweet saying that he expects saudi arabia and russia to cover the option by about 10 million 10 Million Barrels per day or so. Not sure if this is 10 Million Barrels per day or not, if that was barrels per day, that would be 10 of the Global Demand we had seen. For the