In washington, lets kick it off with blake. Reporter we are seeing a backtracking away from china in a couple different places across washington today. Lets start with what we first reported exclusively on foxbusiness. Com on monday evening which is that the white house part, President Trump and his top advisers wanted to see the federal Retirement Savings plan that relates the federal government workers not have any exposure whatsoever to chinese equities. There was a fund that was shifted, about 4. 5 billion into chinese equities, that was expected to go into play, the white house said they did not want that to happen wanted to answer by the end of business today, that fund responded to the white house and said that they will not be putting the nearly 5 billion worth of government Retirement Funds into a fund that has significant exposure to china. Thats a big win for President Trump in his own visors who thought not only there was a risk for the workers but a National Security risk
Bottom of the stoxx 600 after the German Airline posts a loss and warns it will run out of cash in weeks if it does not get Government Support nestle sales drop as the lockdown bites but they say it is too early to know the impact. The spread between the italian and german tenure lead ahead of the rescue fund unresolved despite more support translator substantial investments to the European Union will be necessary. I have made it clear we will not be continuing before the pandemic this will also be a mart of the pandemic in the future retail sales with a record surge in march not enough to help with the free fall in foot fall and other goods. A very warm welcome to street signs. Fresh tape out of germany. Painting a grim picture now crossing the tape, weve got the ifo Business Survey showing the Business Climate index in april has come in at 74. 3. Thats well below expectations of an 80 print the current index has come in at 70. 5 in april just below the fra forecasted 81 there. The ge
There are conversations floating about about whether brent and go negative. We are trading up 11 today. Up 1. 5 . The peripheral bond market, i massive story at the moment, as you can see. We saw a huge auction in spain earlier on, following on the heels of an auction yesterday in italy. We are continuing to watch what is happening as we build up towards an eu meeting tomorrow that could barely be make or break. The ecb talking about whether it could potentially accept grade that in collateral. Italy is facing a rating review come friday. This is a live debate in europe. Eurodollar trading at 1. 0852. Coming up, we are spending a lot of time talking about what is happening with the oil story. We going to fold that in to what is happening with other assets and how they are being affected. Also coming up shortly, we will hear from the nasdaq president , id enough freedom and nasdaq president , adena friedman. This is bloomberg. This is bloomberg markets. Good morning. Im Erik Schatzker i
Holding onto those gains. The s p 500 up. The nasdaq is up 2. 4 . The dow is up 1. 8 . Chipotle is at the top but like many other companies it beat estimates. The dollar continues to strengthen. Standing by with a deeper dive into the action we have taylor riggs. Taylor you mentioned crude on your board and i wanted to start with oil prices. They were up 20 or so after six days of losses. Theyre trying to rebound but still down where the 50 . It is unbelievable the price action. U. S. Oil inventories have risen for a 13th straight week but there is potential positive news. Yesterday, they were shortselling on a stock and if it plunges more than 10 that would apply to the largest etf. Some of the reasons we are seeing some stability. We need to talk about the largest oil etf. It is tracking crude prices pretty closely on a yeartodate basis. We know that yesterday there was a premium to the shares given that they ran out of what to sell investors. Theyre trying to take advantage of low o
Is looking to perform, so that has the stock nice and higher today. Of most him course of Molson Coors Brewing is leaving, the ceo be replaced by of miller coors. We want to know if the fomc can thread the needle . What does he need to get done today . Guest the first thing is 25 basis points. Everybody knows that if he doesnt cut 25, hes got a credibility problem in the markets. 25 is done. I think youd like to do 50. He and others have given indication that if youre going to do something at this point in just come its really at this level of rates, you need to go big. Weve had reasonably stable sobers from the economy, hed have a hard time getting the hawks. What it comes down to really is anything, he if announces on the Balance Sheet, and what he announces Going Forward. Guy expectations are dovish Going Forward from here. Got four rate cuts priced in at the moment. Is that too much how does he find himself some breathing room is that too much . How does he find himself some room .