End of day howl!


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United States

  1. The core PCE inflation ticked higher in February.

  2. However, according to Pantheon Macroeconomics, core inflation is expected to tumble over the next few months, dipping below 1%.

  3. Consumer inflation expectations have been declining.

  4. This trend will continue as gasoline prices hit multi-year lows.

  5. March consumer sentiment weakened. However, the U. Michigan data is stale, with confidence deteriorating sharply just over the past week.

  6. Google search frequency for the phrase "can't pay" has skyrocketed to over 100%.

  7. Americans have been hoarding cash at the fastest pace since the Y2K jitters two decades ago

  8. US business loan balances jumped by the highest percentage on record as companies rushed to tap their credit lines.

  9. The US central bank's balance sheet hit a new high, with the largest weekly increase on record (by far).

  10. The purchase of mortgage-backed securities was also relatively large.

  11. With the Fed injecting massive amounts of liquidity, the demand for repo financing moderated last week.

  12. The Fed's aggressive actions boosted demand for gold.

  13. The speed of economic contraction has been unprecedented.

  14. The rise in the total number of new US coronavirus cases has been relatively subdued in the past four days.

Canada

  1. The Bank of Canada cut rates by 50 bps and will begin large-scale securities purchases

  2. Fiscal stimulus has picked up momentum as well.

Eurozone

  1. In Italy the number of new coronavirus cases and fatalities has peaked.

  2. But the peak is lasting longer than what we saw in China and South Korea.

  3. French consumer sentiment has been remarkably resilient. The April figures are likely to be much worse, however.

Asia - Pacific

  1. Japan is ramping up fiscal stimulus.

  2. Australia's job postings tumble.

China

  1. Activity indicators continue to point to a gradual recovery.

  2. But with the global demand collapsing, China's rebound will be tepid.

  3. Consumer shares are outperforming, suggesting that households are starting to spend.

Emerging Markets