Stocks rallied this morning as strong manufacturing data out of China eased concerns over a slowdown in global economic growth. China’s first official economic indicator for March, the manufacturing purchasing managers index, rose to 50.50 from 49.20 prior which marked the biggest increase since 2012. Chinese shares surged to the highest level since May 2018 on the news. In addition, Chinese Vice Premier Liu He will be in Washington later this week to continue the negotiations between the US and China following last week’s trade talks in Beijing which can potentially offer more positive developments for investors. On Brexit front, UK Parliament will hold another round of indicative votes today, taking a second attempt at finding an alternative option which may include a customs union or single market access. The UK only has 11 days left until they have to present their new plan to the EU or will be forced to leave without a deal. Elsewhere, WTI crude edged higher this morning, continuing to trade above $60 a barrel.
The headline Retail Sales in February printed a disappointing reading of -0.20% vs. upwardly revised prior of 0.70% and 0.20% consensus. Markit US Manufacturing PMI did not deviate too much from prior reading and consensus of 52.50 as it came in at 52.40 in March. On the contrary, ISM Manufacturing in March rose to 55.30 from 54.20 prior vs. 54.50 consensus. Lastly, Construction Spending in February topped consensus of -0.20% at 1.00%, a 1.50% decline from upwardly revised prior of 2.50%. The US Treasury is scheduled to auction off 3-month and 6-month bills at 8:30 AM (PT). On Friday, the highly anticipated Nonfarm Payrolls data for March will be released.
This information is provided solely for informational use and is not intended as trading or investment advice in any manner whatsoever. Sun West Mortgage Company, Inc. is not a licensed or registered broker or dealer and cannot provide investment strategies or recommendations. This information is provided to licensed brokers/lenders only and may not be copied or distributed to customers or potential customers. All loans are subject to approval. Certain restrictions may apply. Listed pricing is a morning indication only. Program rates, prices, guidelines, fees, costs, terms and conditions are subject to change without notice
Stocks rallied this morning as strong manufacturing data out of China eased concerns over a slowdown in global economic growth. China’s first official economic indicator for March, the manufacturing purchasing managers index, rose to 50.50 from 49.20 prior which marked the biggest increase since 2012. Chinese shares surged to the highest level since May 2018 on the news. In addition, Chinese Vice Premier Liu He will be in Washington later this week to continue the negotiations between the US and China following last week’s trade talks in Beijing which can potentially offer more positive developments for investors. On Brexit front, UK Parliament will hold another round of indicative votes today, taking a second attempt at finding an alternative option which may include a customs union or single market access. The UK only has 11 days left until they have to present their new plan to the EU or will be forced to leave without a deal. Elsewhere, WTI crude edged higher this morning, continuing to trade above $60 a barrel.
The headline Retail Sales in February printed a disappointing reading of -0.20% vs. upwardly revised prior of 0.70% and 0.20% consensus. Markit US Manufacturing PMI did not deviate too much from prior reading and consensus of 52.50 as it came in at 52.40 in March. On the contrary, ISM Manufacturing in March rose to 55.30 from 54.20 prior vs. 54.50 consensus. Lastly, Construction Spending in February topped consensus of -0.20% at 1.00%, a 1.50% decline from upwardly revised prior of 2.50%. The US Treasury is scheduled to auction off 3-month and 6-month bills at 8:30 AM (PT). On Friday, the highly anticipated Nonfarm Payrolls data for March will be released.
The curve has bear-steepened with UST 10-Year yield up 4.25 bps.