Infections heading towards 16 million. Hong kong says the situation is increasingly severe. Has extended the Wage Subsidy Program beyond september to protect the economy from fallout from coronavirus. Shery a quick check of how the markets are trading. We are seeing u. S. Futures kicking off unchanged. This after we saw u. S. Stocks rally amid encouraging vaccine news, this time from the university of oxford and astrazeneca. The s p 500 finished at the highest since february, turning positive for the year. Tech and discretionary stocks outperforming. The vaccine optimism sort of faded. We have a very Competitive Landscape that failed to impress. Risk was revived in the afternoon session following improved u. S. Infection numbers. California and arizona reporting a slow down infections. We still have that stayathome defense rate being back with strength. The underperformance from the russell 2000 very pronounced, while the nasdaq also finished at another record high. Take a look at what
Global virus infections tops 2. 5 million with more than 175,000 deaths. U. S. Cases climbed 5 . Their biggest increase since april 10. Its get you started when it comes to the state of trading in asia. We are setting up for this wednesdays session. Sophie kamaruddin in hong kong for us. Sophie we are seeing mckay futures edge slightly higher with s p eminis expecting more eruptions in the region after asia was led lower by india on tuesday. Earnings adding to that drag. The yen just Holding Steady in the face of a stronger dollar, which is trading at a twoweek high and gold just resuming gains with spot prices up 11 this year and bank of america is bullish on bullion, raising its cold 18 month target to 3000 an ounce. Moving onto oil now, wti for june back above 13 a barrel after slipping below 10 in the new york session, which was pricing weakness in the front month contract. They are allowing for negative options to be lifted from april 22. We are seeing the Oil Forward Curve shifti
We have three markets. Maybe even more. After a day where the dow advanced 39 points, s p declined. 05 , nasdaq did one point, i want you to forget about the averages for a second or a week or a year or until the end of the pandemic. Thanks to the onslaught of the coronavirus, something that no ones ever seen, were seeing Something Else thats incredible not just the complete untethering of main street from wall street, but the disentangling of even small publicly traded companies and medium size ones from the big dogs that have it easy and can handle this hellatious moment. We all know main street isnt wall street. When we get another hideous jobs loss claims number like we did this morning, now were seeing more separation, that is its stunning. In my 40 years of investing, i have never seen anything like what im about to talk about so im going to walk you through what could amount to a destruction of a fair share of American Business that incredibly might not impact much of the stock
Ten states are beginning to work on plans to open parts of their economy. Maybe in may, the fed launches a commercial paper funding fa s t facili facility there is an argument that calls for stocks to retest are fading. I thought yesterday was an important day with the dave kostin change. I did a lot of work, help with larry williams, about how many times when you have a 50 retracement or more, we have a retest the answer is almost never i think theres a lot of people coming on someone came on the air this morning and said in every single case you have to have a retest. Thats completely untrue if you bounced up 50 beginning last friday thats what we did. A lot of people say this thing is based on large cap companies. Thats what we do. Were not trading luncheonettes here thats not to the detriment of luncheonettes. Were not trading hair salons. Thats not the way it works. We trade Large Capitalization Companies that do better than smaller ones in this environment. Thats life. Is it fair
Lows. Stoxx 600 down by 0. 3 percent. The pound is getting a battering. Increasingly, noise out of the bank of englands adjusting we are heading for a rate cut toward the end of this month. Pound suffering as well on gdp data today. German tenyear, we are up by four basis points. We are trading 16. Chinese vice premier liu he is set to arrive today before an expected signing of a phase i trade deal with the United States on wednesday. For more, we are joined by kristina hooper, invesco chief Global Market strategist. Essentially, it is a very tiny deal, and we are not even sure if everything will be followed up upon. Correct, but ais lot of this has to do with psychology. Even though not a lot is tackled in this deal, it should provide a very nice psychological boost markets and to Business Leaders who, keep in mind, have really been reluctant to spend because Economic Policy uncertainty has been so high. Vonnie do you really think that after all this time and all of the wrangling back