Tuesday, May 15–Jim Wyckoff’s Morning Markets Report
World stock markets were mostly lower overnight. U.S. stock indexes are pointed toward slightly lower openings when the New York day session begins.
The benchmark 10-year U.S. Treasury note sees its yield back above 3.0% today.
A downbeat economic growth report from the European Union helped to weigh on equities. First-quarter Euro zone GDP growth came in at up a paltry 0.4%–down from the 0.7% growth rate (quarter-on-quarter) seen in the fourth quarter of last year. Year-on-year 1Q GDP was up 2.5%.
There was a mixed bag of economic data coming out of China today. Industrial output was up more than expected, but retail sales were down more than expected.
Focus of the marketplace this week is on U.S. trade meetings with China that are scheduled to begin in the U.S. today, and a possible U.S. decision on the NAFTA trade agreement with Canada and Mexico.