05Jun2020 Pre-Market Commentary: Wall Street To Open Sharply Higher, DOW Futures Up 480 Points, Gold Prices Sink To 1691, WTI Crude Rises To 39.06, US Dollar Fades To 96.72

Here is the current market situation from CNN Money

European markets are broadly higher today with shares in France leading the region. The CAC 40 is up 1.82% while Germany’s DAX is up 1.61% and London’s FTSE 100 is up 0.99%.

Bombardier to cut 2,500 aviation jobs as COVID-19 slams demand

Canadian business jet maker Bombardier Inc said on Friday it would cut 2,500 jobs, or about 11% of its workforce, at its aviation unit as the COVID-19 pandemic’s crushing impact on the air industry adds to its long list of problems.

BBC appoints insider as new boss to negotiate future finance model

The BBC appointed an insider as its new director general on Friday, tasked with securing the future direction and financing of the publicly-funded British broadcaster in the wake of government scepticism of the current model.

Global stocks and euro gain ahead of U.S. jobs data

World stocks held near three-month highs and the euro also remained close to a three-month peak, thanks to a larger than expected European stimulus boost and on hopes of a global economic rebound.

Exclusive: Unfazed by pandemic, Bank of Japan to keep economic recovery view – sources

The Bank of Japan is likely to maintain this month its projection that the economy will gradually recover from the damage wrought by the coronavirus pandemic in the latter half of this year, sources said.

Take Five: Bulls charge past hurdles

Have HSBC and Standard Chartered “chosen profits over human rights” in backing China’s national security law for Hong Kong, as some suggest? Or does it reflect the tightrope businesses must navigate between Hong Kong’s protesters and Beijing?

Virtual certainty? Bankers ask if success of remote roadshows will last

Who needs expensive lunches at glitzy hotels and fancy restaurants to court investors for bond deals or the sale of new shares on the stock exchange?

BA owner considering legal challenge on UK quarantine as relations fray

The owner of British Airways is considering launching a legal challenge against the UK’s looming quarantine plan, in the latest sign of a breakdown in relations between airlines and the government over the coronavirus pandemic.

British luxury carmaker Bentley to cut quarter of workforce

British luxury carmaker Bentley Motors said on Friday it plans to shed up to 1,000 jobs, nearly a quarter of its workforce, adding to the gloom in the sector hit hard by the coronavirus pandemic.

Bargain-conscious Americans lift used-car sales in the coronavirus economy

At the height of the coronavirus pandemic in mid-April, used-car dealer Alex Tovstanovsky had vehicles jammed six rows deep on his lot in the western Chicago suburb of Naperville.

Circuit-Breaker Triggered As Treasury Yields Spike Above CTA Liquidation “Red Line”

Circuit-Breaker Triggered As Treasury Yields Spike Above CTA Liquidation “Red Line” Tyler Durden Fri, 06/05/2020 – 08:22

US Treasury yields are blowing out once again this morning with 10Y yields now above 85bps and well out of their 3-month trading range…

Rabobank: “Markets Are No Longer The Signal We Can Look To As Any Kind Of Indicator”

Rabobank: “Markets Are No Longer The Signal We Can Look To As Any Kind Of Indicator” Tyler Durden Fri, 06/05/2020 – 08:09

Submitted by Michael Every of Rabobank

Global Samizdat

This is going to be another shocking US payrolls day. How does one even begin to describe the most important data series in the world for markets recording a drop of 7.5m in May according to consensus expectations, on the back of 20.5m job losses for April? Even if 80% of these jobs bounce back quickly as the economy reopens –and lockdown now appears to be totally over in people’s minds in the US– we still face an appalling labor-market future. Wage growth? Please! Wage cuts will loom as an atomised, desperate labor force takes what it can get. Given that underlying socio-economic conditions were hardly healthy to begin with for those not riding the asset gravy-train, things look grim. One could even imagine large-scale street protests and/or rioting breaking out ¦.but what am I talking about: we are already there.

Of course, with the rare exception of a dip in stocks yesterday, which was far higher up the list of today’s Bloomberg headlines than another looming payrolls disaster, none of this matters. Not only are stocks way, way up, but key FX says œrisk on! and bond yields are rising sharply too. US 10s, for …

Stocks Soar On Fresh Stimulus Flood Ahead Of Worst Unemployment Print In US History

Stocks Soar On Fresh Stimulus Flood Ahead Of Worst Unemployment Print In US History Tyler Durden Fri, 06/05/2020 – 08:00

Just when it seemed that the record 40% rally from the March lows was coming to an end, as Treasury yields blew out and tech names rolled over on record volume, the euphoria came back with a vengeance, sending stocks around the globe and US futures surging as the delivery of both monetary and fiscal stimulus in Europe supplanted virus concerns and trade fears on the day the US is expected to report a record 19.1% unemployment rate (luckily, in “Jay’s market” trivia such as fundamentals does not matter).

Minneapolis City Council Mulls Plan To “Abolish” Police Department, Ninth Night Of Demonstrations Largely Peaceful

Minneapolis City Council Mulls Plan To “Abolish” Police Department, Ninth Night Of Demonstrations Largely Peaceful Tyler Durden Fri, 06/05/2020 – 07:49

As protests continue with no end in sight, marchers returned to the streets for a ninth night of demonstrations on Wednesday for what were largely peaceful demonstrations, marred by a couple of examples of police violence. According to the AP, Wednesday marked the second night that protests were “subdued”, following elevated charges against the officers involved in Floyd’s killing, as well as a start-studded memorial service in Minneapolis that featured the Rev. Al Sharpton and many of George Floyd’s family members.

According to the AP, the quieter mood was inspired by the new and upgraded criminal charges against the officers involved in Floyd’s arrest, a more conciliatory approach by police (in many areas, police marched with them); along with the realization that the burst of violence following Floyd’s killing wasn’t sustainable.

“Personally, I think you can’t riot everyday for almost a week,” said Costa Smith, 26, who was protesting in downtown Atlanta.

Sunil Mittal stages a comeback- the telecom war is back on

Sunil Mittal stages a comeback ” the telecom war is back onAmbani’s Jio knocked Airtel off its perch in the world’s second-biggest wireless market by users.

Iconic Atlas Cycles pedals out of business

Iconic Atlas Cycles pedals out of businessAtlas Cycles shut the Sahibabad factory, its last manufacturing unit in the country, on June 3.

8 money matters to settle before June 30

8 money matters to settle before June 30The government has extended various financial deadlines from March 31, 2020, to June 30, 2020.

Rail Week Ending 30 May 2020 – Rail May Totals Down 20.2% Year-over-Year

Written by Steven Hansen

Week 22 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 – and now is taking a hit from coronavirus. The carloads intuitive sector’s rolling average again marginally improved this week but remains historically low. Intermodal has a serious contraction due to the logistic headwinds of the coronavirus.

Need to Know: This contrarian strategist recommends chasing bears in these hard-hit sectors

One strategist explains why he likes the sectors that bearish investors are betting against.

London Markets: FTSE 100 joins global rally with major oil companies surging on OPEC hopes

London markets weren’t left out of a global rally on Friday, with the FTSE 100 poised for its best weekly return in around a month, as energy shares surged on hopes for a pact by major oil producers to extend production cuts.

JETS ETF joins the mile-high club, topping $1 billion in assets, even as air travel sinks 90%

Investors – most likely individuals looking for bargains – have piled into an exchange-traded fund that tracks a sector that took it on the chin in the global quarantine. What’s going on?