Matt stocks and freefall. The s p 500 sees its worst session since 2011 and the fastest stock Market Correction ever. 5 trillion in Global Market cap are erased in a week. Virus fears intensify. Cases and south korea to knock 2000 cases in south korea top 2000. Jp morgan joints citigroup and Goldman Sachs in slashing estimates for u. S. Companies, and crude slumps. Oil set for its worst week since 20 11 as well as opecs secretarygeneral says there is a renewed commitment for joint action. A report says saudi arabia wants producers to agree on additional cuts of one Million Barrels a day. Just under an hour away from what could be a bloody day of trading. Futures that i looked at were the worst since at least 2016 on the stoxx 600. Anna good morning. Is this what fear looks like . Markets down by more than 4 . You will see how much scary looking red there is on that screen. Futures in europe down by more than 4 on the cac, as you can see, and expect them to see significant losses. U. S.
Joint action. Saudi arabia wants producers to agree on additional cuts of one Million Barrels per day. Nejra what a wipe out on wall street. We will get to that in a moment, but first, breaking headlines coming through. We are still in earnings season. Basf sees significant first half Coronavirus Impacts on the Global Economy, and it sees 2020 point 2 ebit of four billion euros to 4. 8 billion euros versus 4. 5 billion euros in 2018. Those are the two red headlines. They are saying they do not expect the virus effect to be fully offset over the years, so some important headlines coming through on the impact of coronavirus. Elsewhere in the numbers, it is proposing a full year Dividend Per Share meeting the highest estimate, but it sees a significant first half Coronavirus Impact on the Global Economy, bracing for a possible profit drop on coronavirus but also the slump in autos. That is the main takeaway here, adding to industrial gloom by adding to the profit drop due to the impact of
Record lows. This has been such an exceptional move. Not a good sign. Everyone is kind of getting out of its way. The bond market seems to be concerned about a recession. The bond market is telling you it is a very dark outlook. Its not just about growth, its about potential qe, potentially lower forward guidance. Whether that is the right plan or not, they are going to zero. The u. S. , unfortunately, will be dragged down more toward europe. The rates market has another 25 basis points it could go. There are so many assumptions that are being repriced now. Be careful out there. Jonathan joining me around the table is george rusnak, oksana aronov, and gershon distenfeld. Oksana, lets begin with you. Remember the payrolls report . Oksana vaguely. Jonathan do you remember the rate cut earlier this week . How long has this week been . Oksana one of the longest but also one of the most exciting. If you were coming into this with a lot of dry powder, as we are, this is like christmas mornin
600, youok at the s p can see it stands at 0. 7 . It is mostly travel or leisure stocks. Index is a great test for how much fear is on the market. You can see it is gaining 12 . S p futures are having one of the biggest routes since 2008. Is ats. 10 year yield 1. 18. Urges deep cuts. This is in the review. I dont know whether it comes from commerzbank itself. We will have plenty more on that shortly. Crop gin with facing in thekrupp selling biggest private equity deal in a decade. Consortium beat out a rival bid from a another group. Now to saudi arabia. The kingdom is planning to sell more of its stake in aramco. It is looking to fuel its plans for economic diversification, according to the head of saudi aramco. But an International Listing could face hurdles. Investors may question the valuation at a time when crude prices are slumping. It toare looking into have more offerings. Saudi. Ontinue to be in have any stocks we think could bring Value Investors to us, we will consider it. Y
Countries. We are continuing to see the corporate fallout, we will get more details on airlines. Delta saying it is suspending u. S. To china flying routes through april 30. Asked theirsoft staff to work from home. Amazon as well. The longer it takes to test anybody, the greater the risk they will be spreading the disease. Mike pence saying most cases are mild and they have flulike symptoms. Compared to the tests the u. S. Have carried out, 2000 by the end of last week, compared to 140,000 in south korea. In the u. S. We are seeing 11. Lities rising to this is having a concerning impact on the markets. Lets get to the Market Action. Speaks,president pence we see markets accelerating losses. Now trading at the lowest level since september. The chinese equity come back facing a roadblock. Seng headedg hang for its lowest level of 2020, and s p 500 futures extending the trading session losses, closing down 3. 4 , now off 0. 8 . Earlier futures were moving higher as much as 0. 7 , so quite