U. S. And chinese negotiators agree on a tariffs rollback if and when a trade deal is reached but stocks and futures slipped from asia to europe. In europe, Jeanclaude Juncker says President Trump will spare autos from tariffs ahead of next weeks deadline. The hong kong protests caused revenues to slump. The city prepares for another weekend of demonstrations. Good morning. Matt good morning. Less than a halfhour from the start of u. S. Trading. We saw haven assets really catch a bid, especially over the last few days. This is the threeday chart of treasuries. You can see the yield jumped up past 195. It is coming off a bit today. Right now, we see 1. 91. Yesterday, we saw a real change in sentiment, it looks like. For example, gold, which had been catching a bid in the last few weeks and months on concerns about the trade war, dropped 30. We will watch that and talk about that today. In terms of what we are looking at in terms of the trade in less than 30 minutes time, we see futures
The european equities failing to. Arry on that rally you are seeing france down 6 10 of a percent and the dax in germany down 6 10 of a percent. The ftse 100 down 7 10 of a percent. You are seeing some broadbased losses, but also if you look across the Industry Groups, most Industry Groups losing on the stoxx 600. The biggest losses coming from carmakers and household good companies. You are seeing Dollar Strength with a little bit of a bounce back from that threeyear low. Cable on the back foot at 1. 3992. Euro strength against the pound is what we are seeing, but a bit of Euro Weakness against the dollar. Look at what is happening in fixed income and you can see yields moving higher in the core and the periphery. The 10year bund yield up. Yields moving higher. Also, oil moving higher. Wti above 62 a barrel. Some of that might have been down to the dollar weakness. Lets check in the bloomberg first word news. Jessica summers has more in new york. Jessica President Trump is open to imp
Coming up in a few minutes. First, we have julie hyman 30 minutes into the trading day. Stocks climbing after smaller clients yesterday, with all three major averages reaching intraday milestones, in part because of consumer stocks and the news we got from individual consumer companies, and also, we have continued to see a rally week after week after week. We take a look at the bloomberg terminal, you look at the effect that dividends has had on the ongoing rally that we have seen for the s p 500. You are looking at the s p 500 in blue here. Is climbing and white. If you look at the total return index, including reinvested dividends can you see how much that magnifies the gains, particularly in recent years, and as Companies Continue to raise their dividends. Not only has the absolute price return worked out well for investors, but also, of course, the dividends have had a big effect. Getting to the consumer names from one of the biggest of the big reporting news today, that is walmart
Barcelona, you are out of luck. Yields moving down by 10 basis point and a softer stock market in spain. Down by 1 led lower by financials. Also watching brent crude up by 1 with the home of barkindo speaking Mohammed Barkindo. They say come join us in a cut, we need you. Jonathan lets head to spain. A moment of truth for catalonia. The president is expected to address lawmakers today. The National Police force is set to be ready to arrest him if he declares independence. Maria tadeo is in barcelona where she has been for the past few weeks. Get us up to speed. Maria two things you need to know. One is that is about to give a press conference. He will address the parliament at 6 00 p. M. , but there will be a press conference at 1 00 p. M. Nothing unusual. There is a story we put on the terminal, our very own scoop saying theres a unit of Spanish Police that will be ready to arrest him if they think it is necessary. That means if we get a declaration of independence. The whole Parliame
Protestg a symbolic perhaps, or a wakeup call for investors . Can investors expect more pay for automakers, to deal with the biggest industry shift in many matt . Ecades, matt matt we less than a half hour away. Im excited to talk about that story. Theres so many automotive stories to talk about. Take a look at equity Index Futures. Its a risk on day. Possibility of some kind of tax reform in the u. S. We have equity Index Futures up across the board trade ive got, not the bund yield today. Because i was talking about the smp with someone so sucked skeptical about the continued climb of this index, it forward priceearnings ratio, he thinks its too expensive, especially considering what earnings has done. In yellow, actual earnings per share. Although everybody seems so optimistic about the rise in earnings this year and next, this goes back five years. Were just going where we started. This has been moved to that much over the past 3040 years. Guide . Guy the cadillac story is going to