27Mar2020 Pre-Market Commentary: Wall Street Experts Fearing A Bull-market Trap, DOW Down 635 Points, WTI Is Opening The Door To The Basement 21.80, US Dollar Down To 99.57, Gold Range Bound At 1620

Here is the current market situation from CNN Money

European markets are sharply lower today with shares in London off the most. The FTSE 100 is down 5.16% while France’s CAC 40 is off 4.45% and Germany’s DAX is lower by 3.79%.

‘Maximum bearish’: funds in record rush to cash in past week

Investors rushed into cash and out of bonds at a record pace over the past week as the coronavirus pandemic caused mayhem in markets, BofA said on Friday, though it noted a key positioning signal at “maximum bearish” could signal a big rally ahead.

Oil falls as demands fears outweigh stimulus efforts

Oil prices fell on Friday as demand destruction caused by the coronavirus outweighed stimulus efforts by policymakers around the world and the United States faced the prospect of becoming the next global epicenter of the pandemic.

Nestle says cuts deforestation in its cocoa supply chain

Nestle, the world’s biggest food company, says it has made significant progress removing cocoa produced in protected forests in West Africa from its supply chain as pressure builds from consumers and governments for ethically sourced cocoa.

European shares fall as investors take stock of spreading virus

European stocks fell on Friday, halting their biggest ever three-day rally in a sign investors were focusing once more on the spread of the coronavirus pandemic despite hopes for further stimulus measures to combat its economic impact.

Futures fall after three-day surge as virus fears grow

U.S. stock index futures fell over 2% on Friday, a day after the S&P 500 and the Dow posted their best three-day run since the early 1930s, as the United States faced the prospect of becoming the next global epicenter of the coronavirus pandemic.

Condom shortage looms after coronavirus lockdown shuts world’s top producer

A global shortage of condoms is looming, the world’s biggest producer said, after a coronavirus lockdown forced it to shut down production.

Exclusive: India’s Reliance seeks to sell Mideast crude cargoes in rare move

India’s Reliance Industries Ltd is seeking to sell some April-loading crude cargoes in a rare move as it plans to cut crude processing after the coronavirus pandemic hit global fuel demand, four sources said on Friday.

Travelex shuts UK forex bureaus on virus fears, starts funding talks

Foreign exchange company Travelex said on Friday it was shutting its UK bureaus for about eight weeks or more due to the coronavirus pandemic and that it was in talks with its stakeholders for continued access to funds.

Travel slump, sick staff force cash-worried U.S. airports to downsize

With fewer planes flying and more security and traffic control officers testing positive for the coronavirus, airports are closing terminals, concessions and checkpoints, even while trying to retain jobs with the hope of a post-crisis pickup.

Blain: “The Shortest Bear Market In History Ain’t Over”

Blain: “The Shortest Bear Market In History Ain’t Over”

Authored by Bill Blain via MorningPorridge.com,

Good Or Bad News?

œIt’s got nothing to do with your Vorsprung Durch technique, you know..

What do you want to hear first? The good new or the bad news?Â

…

Futures Tumble As Best Rally Since Great Depression Crumbles

Futures Tumble As Best Rally Since Great Depression Crumbles

The market moves are coming fast and furious now, and after plunging 36% from its all time highs about a month ago, stocks staged a furious rebound, rising 20% in just the past four days and entering a new bull market, with the return in just the past 3 days a stunning 18%. The last time stocks were up so much, so fast? In 1931… the depths of the great depression.

Here Is The Treasury’s (Not So) Secret Trade Printing Millions In Guaranteed, Risk-Free Profits Every Day

Here Is The Treasury’s (Not So) Secret Trade Printing Millions In Guaranteed, Risk-Free Profits Every Day

When the Senate unanimously passed a $2 trillion economic rescue plan late last night, it was targeting tens of millions of middle-class American households many of whom had lost their jobs, and whose lives had ground to a halt due to the global coronavirus pandemic and lockdown. It certainly wasn’t targeting Wall Street bankers.

Naturally, the Congressional stimulus plan which is set for House passage tomorrow, received much publicity – after all, some of those trillions in stimulus payments will end up going into the pockets of America’s workers, and while the final amount is a modest $1,200 per month, both Democrats and Republicans – and the President of course – will take full credit for the handout (while blaming each other for the far bigger corporate bailouts that are at the core of the package).

What has received far less coverage is that to fund this plan, the Treasury will have to issue trillions and trillions in new debt, much of which will be quickly monetized by the Fed (whose balance sheet is now $5.5 trillion and exploding), in what is essentially the arrival of helicopter money in the United States. As a result of the ongoing panic among capital markets participants who are scrambling to respond to this tsunami of new debt, there has been a surge in demand for cash and cash-equivalent products, including gold – which as we discussed earlier this week can not be found at virtually any merchant at a price remotely close to spot – and short-term Treasur …

Why Washington’s COVID-19 Relief Package Must Be Stopped!

Why Washington’s COVID-19 Relief Package Must Be Stopped!

Authored by Mike Whitney via The Unz Review,

The Senate’s $2 Trillion Coronavirus Relief Package is not fiscal stimulus and it’s not a lifeline for the tens of millions of working people who have suddenly lost their jobs. It’s a fundamental restructuring of the US economy designed to strengthen the grip of the corrupt corporate-banking oligarchy while creating a permanent underclass that will be forced to work for slave wages. This isn’t stimulus, it’s shock therapy.

Rail Week Ending 21 March 2020 – Rail Continues To Slow

Written by Steven Hansen

Week 12 of 2020 shows same week total rail traffic (from same week one year ago) contracted according to the Association of American Railroads (AAR) traffic data. Total rail traffic has been mostly in contraction for over one year. The intuitive sector’s rolling average marginally worsened this week but still in the range seen over the last year. Intermodal continues to worsen due to the logistic headwinds of the coronavirus.

Bond Report: Treasury yields tick lower as coronavirus cases in U.S. surpass China’s tally

Treasury yields slipped on Friday as investors remain focused on the COVID-19 disease, with cases in the U.S. for the first time outpacing China.

Cheesecake Factory says it’s not paying rent in April, has furloughed most of its employees

Cheesecake Factory isn’t paying rent as restaurants struggle with sales declines due to the coronavirus pandemic.

Need to Know: Why this wild coronavirus rally has Wall Street experts fearing a bull-market trap

John Velis, a currency and macro strategist for the Americas at BNY Mellon, isn’t convinced the market has reached a bottom.