But growth was soft. Thats not something the fed wants to hear. Similarly you take a look at data out of japan, tokyo cpi, even accounting for the start of education subsidies, something the boj might not want to hear, but we are still seeing stocks powering ahead today and this is six in large part to what we got on the earnings front, you had microsoft and alphabet. It really showed how ai is fueling growth. Stocks are reversing, some of the softness from yesterday. We are seeing chinese tech, really stealing the limelight and hong kong markets headed for their best week since 2022. The yen is hovering flat against the dollar as we wait for what we get from the boj, lets take a look at stock Market Movers because i think that is what highlights how quickly sentiment can turn for some chip related names and how closely they are still tied to their u. S. Peers and big tech names. Yesterday, they slid and today recovering. Lets look at jgb futures as well. As i said, we got data out of
Move of the fed could be to tighten. All bets are off. We had the reverse situation in china as well. Cpi for the month of march, 1 10 of 1 . Ppi contracting for 18 months and around now. Take a look at that board. The reaction is profound really with the big movements and yields. Yields rising in some cases. The u. S. Twoyear knocking on the door of 5 right now. Japan 10 year at its highest since november. Big move and exit fx at well as well. So thats now the new threshold for intervention from the ministry of finance. We heard from the currency diplomat earlier saying hes not ruling out any options so the currency chiefs in japan trying to drop on. No action is yet. Oil going up. We will get to that more in a moment. Geopolitical tensions pushing that higher as well. Lets bring in garfield reynolds. Lets start with you. Lets talk about the bond Market Reaction from the hotter than expected cpi print. Where do we go from here . Garfield we should consolidate for them for a while. Big
Market picture this morning. As you can see were pointing higher to the tune of about five points or so the dow is up 27 the nasdaq up 13 we were a little bit lower yesterday, but not too much. The nasdaq was the laggard the other two were just below the flatline although it was the fourth negative session out of five for the dow. Albeit up 2 on the dow for the month as a whole which is the ninth straight month of gains for the dow. The s ps also looking at nine straight months of gains after december if we hold the gains at the moment which is pretty extraordinary, consistent gains through the course of this year. Lets have a look at oil prices coming up next as we said. Jumped significantly yesterday still up there near that 60 mark for wti. All right. Lets have a look at markets around the rest of the world hong kong was closed yesterday for the boxing day holiday most other markets open yesterday. Everything open today. Shanghai down a percent or so, but elsewhere slight gains for
Moves and mixed trading for the major averages. We do have alltime highs for the three major averages. This follows similar action anticipation of the shortterm funding plan being passed by congress to keep the government open until february 8. Some asking what could possibly stop this bull market but lets ask what is the tailwind . Lets hop into the bloomberg to see one potential answer. This is a look at the earnings picture for the all world equity index. For several years, it was flatlining. That led into the correction that we saw in early 2016, thats turning to climb in 2017 and take a look at the spike early in 2018. Lots of analysts boosting the profit Outlook Companies based on that tax reform, especially here in the u. S. This could be a tailwind for the record highs that we have seen for the markets, more recently as valuation becomes more reasonable. Lets take a look at two winners laggers. Acquers netflix up nearly 10 . They also boosted the guidance nicely. The company no
Won, i want the gold i watched a couple hours of it unbelievable, right . Im still trying to understand you try to get it in the center thing or not you want to new york the other guy out. Whats the hammer if you have the hammer. I dont know the terminology come on i know we won by knocking them out those guys are intense. This guy has been there for several olympics when the guys get what is he called . Who does the pushing . Yeah. They score. Hes like 9 or something. When the guy on the other side is holding the brush i think theyre getting rid of the friction in between to make sure it goes the right direction. I know, but the guy at the other end, he is not moving, theyre aiming it . Theres a lot more skill involved than we have given them credit for yeah. And what if theyre running down and a foot hits is that a technical they have to be careful it is slippery theres a deal breaking not a curling deal. General mills buying blue buffalo for 8 billion in cash or 40 a share. Blue buf