May 9, 2012
I will be out of the office the remainder of this week. The MorningSnapshot will return on Monday May 14. Let’s hope by then the markets have more clarity on a new Greek government. Also- don’t forget to do something special for your Mom on Sunday- its Mother’s Day!
Sentiment is negative this morning amid the continuing political impasse in Greece, with Spanish 10yr yields climbing above 6% for the first time since April, and from Asia to Europe, equities are falling. The FX markets are in risk-off mode, with the USD and JPY outperforming modestly on the day and the euro weakening. EU sovereign spreads are widening to the German Bund, and commodities are generally lower, with gold down -1.3%.
Today’s Economic Data Lineup (EST)
7:00am: MBA Mortgage Applications, week of May 4 (prior 0.1%)
10:00am: Wholesale Inventories, Mar., est. 0.6% (prior 0.9%)
10:00am: Fed’s Kocherlakota speaks on monetary policy in Minneapolis
10:45am: Fed’s Pianalto speaks on leadership in Lexington, Kentucky
11:30am: U.S. to sell $24b 10-yr notes
12:00pm: Fed’s Plosser speaks in Philadelphia on community development
- The number of U.S. job openings rose to the highest level since 2008, with the number of open positions increasing by 172,000 to 3.74M, from a revised 3.57M in the prior month.
- According to a survey by the ISM, purchasing managers at U.S. factories said they anticipate sales will grow 4.5% this year, lower than their 5.5% prediction this past December. By contrast, service providers estimated revenue will climb 4.8% this year, higher than their 3.1% forecast in December.
- Greece’s equity market index, the ASE, slid to its lowest close since November 1992 as the Syriza party leader, Alexis Tsipras, told his pro-bailout counterparts that they must reject the EU led rescue plan if there is any chance of forging a coalition.
- A U.K. home-price index fell to a six-month low of -19 from -11 in March as demand weakened after a stamp-duty exemption for first-time home buyers ended, according to the Royal Institution of Chartered Surveyors.
“It is time for us all to stand and cheer for the doer, the achiever – the one who recognizes the challenges and does something about it.”
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