Markets opened higher as expected and then made the morning dip falling close to the unchanged line. From there the SP500 melted higher just above the 2055 resistance where it has traded sideways mostly ignoring the OPEC rumors of an agreement is close at hand. Don't hold your breath on the markets following this trend very far into the future.
Here is the current market situation from CNN Money
North and South American markets are broadly higher today with shares in Brazil leading the region. The Bovespa is up 2.41% while U.S.'s S&P 500 is up 0.73% and Mexico's IPC is up 0.36%.
WASHINGTON (Reuters) - U.S. import prices rose in March for the first time in nine months as the cost of petroleum products increased, but the lingering effects of a strong dollar suggested inflation will continue to increase gradually.
WASHINGTON (Reuters) - The International Monetary Fund cut its global growth forecast for the fourth time in the past year on Tuesday, citing China's slowdown, persistently low oil prices and chronic weakness in advanced economies.
DETROIT (Reuters) - Ford Motor Co said on Tuesday it will modernize and consolidate its sprawling Dearborn, Michigan, engineering and headquarters facilities over the next decade into two Silicon Valley-style locations.
(Reuters) - Uber Technologies Inc [UBER.UL] on Tuesday released its first ever transparency report detailing the information requested by not only U.S. law enforcement agencies, but also by regulators.
BRUSSELS/LONDON - Anheuser-Busch InBev has formally informed European Union antitrust regulators of its plan to sell SABMiller's premium European brands to try to secure approval for its $100 billion-plus takeover of the London-based brewer.
OSLO/STOCKHOLM (Reuters) - When top earners' tax returns are published in Finland, they call it "national envy day". In Sweden, one phone call will get you your lawmaker's tax bill. Norwegians' fascination with each others' taxes has been labeled "financial porn".
EU competition regulators have resumed their scrutiny of U.S. oil industry services group Halliburton Co's plan to acquire smaller rival Baker Hughes , a deal which U.S. authorities say is uncompetitive and wants to block.
One month ago, when the Treasury sold 3 Year paper the reception was rather lukewarm when ahead of the March FOMC there was some concern that the Fed may actually hike. Now that any speculation of a rate hike has been shelved indefinitely, there was no problem for the US Treasury to sell this month's batch of 3 Year paper. With the WI trading at 0.894% at 1pm, the high yield printed 0.890%, stopping 0.4 bps through the When Issued.
The Bid To Cover was in line with last month's 2.710 rising fractionally to to 2.721 and still relatively low for the series, but it was the internals which saw a dramatic surge in foreign central banks and official entities, as the Indirect takedown soared from 44.7% to a whopping 56.0%, the highest since June 2013. Dealers were allotted 32.6%, far below the TTM average of 49.2%, while Directs rose modestly from 9.1% to 11.5%.
The curve's reaction has been favorable and resulted in a floor to the selling which has accompanied today's dramatic risk on euphoria driven once again by the usual suspect: a headline attributed to an unnamed political source.
Submitted by Salil Mehta via Statistical Ideas blog,
One would think that active managers would eventually outperform somewhere after the negative press that ensued a year ago. And now that 2015 performance data has been properly audited and tabulated, we can see what the new results are.
We normally don't delve into the same topic twice, but as with some matters there is ample public curiosity to see what might have changed. This is one of those times where is it is critical to revisit our numerous warnings about the skill of active managers in outperforming their benchmarks, particularly now. Over the past year, through today, a number of interesting folks (too many to list here but will do so on social media) at the tip-top of the investment community and in journalism have taken a key interest in the Indomitable benchmarks article. In it we showed that in all 17 mutually-exclusive risky segments of the U.S. markets, active managers underperformed their benchmarks.
The gap was so wild that it was probabilistically a once in a multi-thousand year event due to chance alone. In other words, they were specifically bad for your money, can't blame it on luck, and the government has listened. And the article was one of the most popular ever for this site. Today we take a unique look at the 2015 data recently released by S&P Indices. We scan not just U.S. fund managers, but also examine fund managers in ...
We have closely watched the spring borrowing-base redetermination period for US shale drillers because for many cash burning oil and gas companies it could mean the difference between survival and a quick death in bankruptcy court, as it represents the semi-annual event that determines if they have enough liquidity to sustain operations for the next few quarters or, alternatively, if they have to hand over keys to creditors.
As we previewed most recently on March 28, while many companies have already utilized the max of their revolver facility and are thus not immediately in danger of seeing their borrowing base yanked from underneath them (good luck to the banks who hope to see companies return funds following a net working capital redetermination without lots of legal costs) such as the names listed below...
... "the companies most at risk may actually be those with that currently have some of the most highly utilized borrowing bases, ranging anywhere from 62% for Contango to 94% for Vanguard. It is these companies that will suddenly find themselves with zero incremental sources of liquidity as the banks proceed to whack anywhere from 30 to 50% of their borrowing base, leaving them scrambling to preserve liquidity and ultimately leading to bankruptcy court, in no small part under the pressure of secured and soon to be DIP lenders (and in most cases, the post reorg equity) who will demand the least amount of Enterprise Value be wiped out in the months before bankruptcy. Here are the names."
While many establishment Republicans would love Paul Ryan to emerge in Cleveland to rescue the party from what they think is a doomed presidential bid, as The Hill reports, some among their number recognize that any effort to take the nomination away from Trump or Cruz, if either goes to Cleveland with far more delegates than anyone else, could hurt the GOP for years.
Having surged from nowhere to "a contender" during March's fiascos, April has seen Speaker Ryan's odds of a nomination decline substantially...
But as The Hill asks - What is Paul Ryan up to? Republicans inside and outside the Beltway see the young Speaker and 2012 vice presidential candidate as a shining star for the party and a stronger general election opponent against Hillary Clinton than either Trump or Sen. Ted Cruz. Many would love Ryan to emerge in Cleveland to rescue the party from what they think is a doomed presidential bid.
Still, there are a number of reasons to think that Ryan, a policy wonk who is no wink-and-a-nod politician, has no intention of being the GOP standard-bearer this year.
Rules in place would make it difficult. The GOP's current rules state that the nominee must win the majority of delegates ...
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