OVERNIGHT MARKETS AND NEWS
June E-mini S&Ps (ESM15 +0.23%) this morning are up +0.20%, led by a +3.6% increase in Intel in pre-market trading, after the company late yesterday forecast Q2 earnings that weren’t as dire as some analysts’ predicted. European stocks are up +0.78% ahead of today’s ECB meeting and comments from ECB President Mario Draghi. Asian stocks settled mostly lower after China’s economy in Q1 grew at the slowest pace since 2009: Japan -0.20%, China -1.24%, Taiwan -1.06%, Australia -0.64%, South Korea +0.08%, India -0.84%.
The yield on Greece’s 10-year bond climbed to a 2-year high of 12.249% as time is running out for Greece to secure the next tranche of EU aid to avoid default. Eurozone finance ministers will meet in Latvia on Apr 24 to assess whether Greece has made enough progress to warrant additional bailout funds. Concern over a Greek default has hammered Greek bank stocks which fell over 4% today to their lowest level in at least 20 years.
Commodity prices are mixed. May crude oil (CLK15 +1.01%) is up +1.09% at a 1-3/4 month high and May gasoline (RBK15 +1.37%) is up +1.33% at a 3-week high after Iran joined Libya in calling for cuts in OPEC oil production. Metals prices are weaker as the dollar strengthened. Jun gold (GCM15-0.07%) is down -0.10%. May copper (HGK15 -0.56%) is down -0.37%. Agriculture prices are mixed.
The dollar index (DXY00 +0.41%) is up +0.51% and EUR/USD (^EURUSD) is down -0.57% on speculation ECB President Draghi will reiterate his commitment to easy monetary policy when he speaks later today. USD/JPY (^USDJPY) is up +0.06%.
Jun T-note prices (ZNM15Â +0.04%) are up +2 ticks on carry-over support from a rally in European government bonds as yields in Germany, France, Belgium, Austria, Finland and Ireland all fell to record lows. The 10-year bund yield dropped to an all-time low of 0.124%.
China Q1 GDP rose +7.0% y/y, right on expectations and the slowest pace of expansion since Q1 2009.
