Grows inchment drama washington as President Trump goes on the offensive. The u. S. President also says a trade deal with china could get done quote sooner than you think. Authorize u. S. To tariffs. And warnings from some of londons biggest names. Imperial, pearson, and ing cut guidance for the year. Good morning. Matt good morning, anna. Less than half an hour away from the european open. I am looking at treasuries after the big spike we saw yesterday. Backed up above 1. 7. Indeed, we hit 1. 74. Where coming down as investors by bonds. Buy bonds. We are also looking at risk off trade in terms of european futures. Dax,a look at where we see cac and ftse futures trade. Not a lot of movement at all. The arrows are already, but really, not a lot of movement. What are you seeing on gmm . Ic 30 year treasuries also seeing a retreat. Bit of buying in that department. Indian and indonesia does higher. China is down by. 5 , which is interesting. Have forhe picture we the fx markets. We saw a
Of japan. It was a failed auction in japan, not completely failed, not a good option, the worst we have seen the last couple of years. Jgb marketsg the getting a bit of a fright because the boj is likely to step away. And the pension fund out of japan is going to be potentially foreign butsifying currencyhedged bonds as being domestic, taking some of the bid away from the market. We saw a six basis point move. 12 basis points over the last month. That is a massive move. Vonnie here in the u. S. , after the ism data came in, we saw stocks take a turn. The s p was positive by as much as half a percent. Orer times when we got bad less good data, it sent markets higher, because it was thought the fed might become more dovish. We are back to the old way of things, where bad data equals a selloff. You can see the dow is down 0. 6 . A similar story for treasuries. The high on the 10 year yield we are right down to one point 62, a 13 basis point move down to 1. 62, a 13 basis point move in a f
Euros. Oil prices climb amid mounting tensions between the u. S. And iran as washington ratchets up economic pressure with major new sanctions and President Trump tells nbc news he never threatened to demote fed chair Jerome Powell but claims he has the power to do so if he wants. I have the power to do so. Thats not a threat just a reminder that you can. I have the right to do that but i havent said that. What hes done is 50 billion a nont quantitative tightening, its ridiculous. Well, good morning and happy monday, everybody. To kick off the week were getting german data out. So lets break that down for you. The june efo survey german business moral has fallen in june the Business Climate index came in slightly higher than expectations at 97. 4 versus the forecast of 97. 2 however the execations index come in at 94. 2 versus forecast of 94. 5. Little lower on expectations current condition index risen to 100. 8 in june versus forecast of 100. 2. On forward looking indicators sentimen
There are some other Amazing Things happen, so much for the hope of a rally after the averted Government Shutdown witnessing spasms in the bond market as we kick off the final hour of trade stocks are responding in a jerky fashion of the first dating tray Dow Jones Industrial down 200 reports, s p losing 22. The nasdaq has been toggling a below the flat line right now below seven points, treasury yields that have investors head spinning right now not only is a ten year treasury yield resuming the spike to a 16 year high of 4. 68 the two year treasury yield is near 17 year highs, 5. 1 a 6 , look at the long blonde. This is the thirtyyear hitting 4. 778 earlier and earlier 4. 81, that was the highest since 2010. Why are yields skyrocketing, a couple of reasons, fresh data shows u. S. Manufacturing activity in september slowed less than expected. While it remained a contraction for the 11th straight month it hit the highest level in a year. His Employment Index benefit, that jump back to
Our Net Advantage is so huge. It means they want to avoid it as fast as they can. Im purposely prepared to walk out. It doesnt frighten me to walk out. Two, im a fairly impatient guy. I thought we would get it all done by now. The combination of not having either one makes me unhappy. Three, i was sort of bored this morning and thought it would start a new argument. You have to see those things to understand how the Trump Presidency operates. Im not trying to attack him. Im just suggesting that you have to look at the american tradition. Andrew jackson to have personalities that are as volatile and as aggressive as trump. If you go back and read how they were covered in their time but covering their time they were very much like trump and they were aggressive, they are willing to fight. Those characteristics are at the heart of how they approach everything. Look at iran. Look at nato. He is a very enthusiastic guy at picking fights. I thought that would slow you down. It did. I told th