General Trend:
- Samsung Electronics declines on outlook comments
- Chinese equities rise in early trading after recent losses; Market focal points include PMI, trade talks and corporate earnings
- Standard Chartered rises over 5% after announcing Q1 results and buyback
- Telecom equipment firm ZTE declines over 5% post earnings
- Chinese pork producer WH Group rises over 5% post earnings
- China’s Tianqi Lithium drops, Q1 net down ~83% y/y
- Rusal reported Q1 aluminum production -1.6% q/q, noted aluminum prices came under pressure and trends to continue in Q2
- Virgin Australia to delay Boeing 737 Max 8 deliveries to 2025, convert certain 737 MAX 8 planes to 737 MAX 10s
- India’s Yes Bank declines over 25% after reporting a Q4 loss
- Google drops over 7% in afterhours trading, Q1 Rev missed ests
- US equity markets closed mostly higher, S&P 500 hit intraday all-time high
- According to some analysts, the China April PMI data does not change the monetary policy outlook (US financial press)
- US/China expected to begin trade talks in China on April 30th (Tuesday)
- US companies expected to report earnings on Tuesday morning include Charter Communications, Cummins, ConoccoPhillips , Eaton, GE, Corning, GM, Ingersoll-Rand, Eli Lilly, Mastercard, McDonald’s, Merck, Oshkosh, Paccar, Pfizer, Seagate
- Golden Week continues in Japan
Headlines/Economic Data
Australia/New Zealand
- ASX 200 opened -0.1%
- NCM.AU Reports Q3 gold production 623.1K oz v 576K y/y at AISC $738 v $826/oz y/y, Affirms FY19 production
- BPT.AU Reports Q3 production 7.23 MMBOE v 6.57 y/y; sales volumes 7.52 MMBOE v 6.81 y/y; Rev 470M v 393M y/y
- VAH.AU Making changes to its Boeing 737 Max order: To defer delivery of first Boeing 737 MAX plane from Nov 2019 to July 2021
- (NZ) New Zealand Apr ANZ Business Confidence: -37.5 v -3.08 prior; Activity Outlook: 7.1 v 6.3 prior
- (AU) Australia Mar Private Sector Credit M/M 0.3% v 0.3%e; Y/Y: 3.9% v 4.0%e
Japan
- Nikkei 225 closed for the week
- (JP) IMF Furusawa says Japan will lose trust if sales tax increase is delayed – Japanese Press
Korea
- Kospi opened -0.1%
- 005930.KR Reports final Q1 (KRW) Net 5.1T v 4.7Te, Op 6.23T v 6.2T prelim; Rev 52.4T v 52.0T prelim; Has not decided on CAPEX plan for 2019, no comment on foldable phone recall; Cuts FY19 outlook
- (KR) South Korea May Business Manufacturing Survey: 77 v 76 prior; Non-Manufacturing Survey: 77 v 76 prior
- (KR) South Korea Mar Industrial Production M/M: 1.4% v +1.0%e; Y/Y: -2.8% v -1.0%e
- (KR) South Korea Mar Retail Sales M/M: +3.3% v -0.5% prior
China/Hong Kong
- Hang Seng opened -0.2%; Shanghai Composite opened -0.3%
- (CN) CHINA APR MANUFACTURING PMI (OFFICIAL): 50.1 V 50.6E; Non-manufacturing PMI: 54.3 v 55.0e; Composite PMI: 53.4 v 54.0 prior
- (CN) CHINA APR CAIXIN PMI MANUFACTURING: 50.2 V 50.9E; Export orders and employment back in contraction (below 50)
- (CN) China Finance Ministry (MOF): No longer limit tenors of local govt bonds; local govts should strive to complete issuances of new local govt bonds by end of September
- (CN) White House Econ Adviser Kudlow: next two weeks should give clarity on US-China trade talks; we are ‘pretty close’ to a deal
- 2282.HK Reports Q1 (HKD) Net 0.7B v 0.6B y/y, Rev 5.8B v 4.7B y/y
- 486.HK Reports Q1 Aluminum production 928Kt, -1.6% q/q; sales 896K tons (+2.2% q/q and -7.2% y/y)
- (CN) China PBoC Open Market Operation (OMO): Skips reverse repo operations for 7th consecutive session: Net: CNY0B drain v CNY0B drain prior
- (CN) China PBoC sets yuan reference rate: 6.7286 v 6.7310 prior
- (CN) The premium that China property developers pay for land rose in Q1, notes eased credit conditions and purchase requirements – financial press
North America
- (US) Deputy Attorney General Rosenstein resigns, effective May 11th
- Cummins [CMI]: Reviewing emissions certification for pickup trucks, follows conversations with the US EPA and CARB
- WAGE Confirms Receipt of Proposal from HealthEquity
Europe
- (UK) PM May said to be facing a grassroots vote demanding she resign – Sun
- STAN.UK Reports Q1 Net $818M v $803M y/y; adj Pretax $1.4B v $1.3B y/y, Op Income $3.8B v $3.9B y/y; announces $1.0B buyback
Levels as of 1:20 ET
- Nikkei 225, closed, ASX 200 -0.5%, Hang Seng -0.5%; Shanghai Composite +0.3%; Kospi -0.5%
- Equity Futures: S&P500 -0.1%; Nasdaq100 -0.3%, Dax -0.2%; FTSE100 flat
- EUR 1.1194-1.1179 ; JPY 111.69-111.55 ; AUD 0.7069-0.7033 ;NZD 0.6682-0.6655
- Gold +0.3% at $1,284/oz; Crude Oil -0.1% at $63.43/brl; Copper flat at $2,894/lb
