Asia: Stimulus and trade progress support Chinese economy
- China’s National Bureau of Statistics reported that the country’s economy exceeded expectations and grew by 6.4% in the first quarter of the year
- Omnis view: Stimulus measures and the easing of trade tensions with the US have buoyed the Chinese economy, which is reassuring for Europe and emerging markets, although growth slowed compared with the same period in 2018.
Corporate earnings: Mixed results from US financials
- There was mixed news from US banks in the second week of quarterly earnings season as BlackRock, Morgan Stanley and Bank of America beat expectations, but profits fell at Goldman Sachs and only rose slightly at Citigroup.
- Omnis view: US equity markets were relatively subdued as they wait to see how this latest earnings season pans out.
LOOKING AHEAD - TALKING POINTS
- Thursday- Bank of Japan interest rate decision.
- Friday- Japanese employment rate for March; US first quarter economic growth.
- Among the companies to report earnings this week are FAANGs Amazon and Facebook, industry bellwether Caterpillar and UK banks Barclays and Royal Bank of Scotland.
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This update reflects Omnis’ view at the time of writing and is subject to change.