What we are seeing in china move to the Global Supply chain. We will see mixed pmi globally. The pmi will continue falling. It will be a big hit to china, hong kong, maybe all of asia. The bond market is saying something is wrong. You look at where we are in 10 year yields. Fixed income yields keep falling. Yields are incredibly low. Very low yields. They are pricing in structural stagnation, recession, or deflation. Weakness overseas, negative yields overseas and the relative attractiveness of the treasury. Investors trying to find safe havens to ride some of this out. Jonathan joining me around the table in new york, priya misra, vishwanath tirupattur, and from minneapolis, Tony Rodriguez. We will talk about the data and then move into the treasury market. Lets begin with the data. It is really quite messy and difficult to get your hands around. Priya it is, but todays data is the only data point where we can say the u. S. Might be impacted by the coronavirus. I would say you look at
Testing limit down down by 5 as far as they are allowed to trade down before the open the number to watch this morning is down 136 for the s p. We have touched those lows and bounced off. We are not far off dow futures are down by 4. 74 . Nasdaq down 4. 6 after the opening bell, there are other Circuit Breakers you with watching. They would be kicking in with trading halting over a period of time down 7 this morning if that were to happen, youd see a 15minute halt after trading started. Next is if markets dropped by 13 . Then the third level is after 20 . That would be a halt of trading for the day. We have not seen these tested since 1997 until the last week of trading thats what we are watching so closely. If you take a look at the treasury market, you see the 10year note is 0. 71 . We got back to. 8 or so yesterday. With the yield, i was hoping they would have sold off talking to folks yesterday worried about what looked like it was better than going and maybethere could be problems
That steep selloff after the fed surprise move, reversing today, at least for the moment its holding the Dow Jones Industrial is good for a 2 gain at this moment s p is holding above 3,000 1. 75 . Nasdaq up by 1. 5 . The question today, i want to know the answer to, joe, is, where are we what does this action tell us about whether weve hit a bottom or not or is this a process thats going to take more time its absolutely a process thats going to take more time this process began january 17th. On january 17th, the u. S. Ten year was 184 the u. S. Tenyear fell january 31st to 1. 50 the market at that point was telling us exactly where we are right now. Now i understand 95 basis points and what i left on february 12th, u. S. Tenyear was 1. 63 were going to take the lead from where the u. S. Tenyear goes you need to see the correlation between a lower yield and lower stock prices begin to break down i think whats incredibly relevant at this point is the actions of the Federal Reserve and wh
And infections surge around the world with outbreaks and 65 countries. Withe a 50 jump in cases 34 people know dead. Well, what a day. Take a look at markets right now. Lets start with bonds. Were going to take a look at the aussie three year, hitting a record low at. 35 . The aussie 10 year, pretty weak. The new zealand 10 year also slipping. Were seeing yields on bonds falling to levels previously unseen. Barrel. Ude 49 a wti is below 45 a barrel. Lets check in on currencies. Dollargot the kiwi trading like this. Coming in betterthanexpected , 2. 6 . But this predates the coronaVirus Outbreak. Weve seen exports rise in new zealand to 1. 7 . The yen was a big mover, strengthening 3 against the u. S. Dollar. That trend looking to continue. A 54ussie dollar has handle, and that happened after we got those absolutely shocking pmi numbers out of china for february. So, hows that setting us up for Equities Trading around the region today . New zealand up and running and off 3. 2 . We have
We will see mixed pmi globally. The pmi will continue falling. It will be a big hit to china, hong kong, maybe all of asia. The bond market is saying something is wrong. You look at where we are in 10 year yields. Fixed income yields keep falling. Yields are incredibly low. Very low yields. They are pricing in structural stagnation, recession, or deflation. Weakness overseas, negative yields overseas and the relative attractiveness of the treasury. Investors trying to find safe havens to ride some of this out. Jonathan joining me around the table in new york, priya misra, vishwanath tirupattur, and from minneapolis, Tony Rodriguez. We will talk about the data and then move into the treasury market. Lets begin with the data. It is really quite messy and difficult to get your hands around. Priya it is, but todays data is the only data point where we can say the u. S. Might be impacted by the coronavirus. I would say you look at price action across asset classes, it looks like the treasur