Monday Watch

Today's Headlines

Bloomberg:   

• Trump Warns Iran It Faces Ruin If It ‘Wants to Fight’ With U.S.  

• A $19 Billion Test Is Coming Straight for China's Battered Yuan.

• India Exit Polls Show Modi’s Coalition Set to Return to Power.

• Polarized Europe Faces Elections After Merkel Slap at Populists.  

• Google(GOOGL) Suspends Some Business With Huawei, Reuters Reports.

• Trade War Sets Tone for Global Outlook: World Economy Week.

• Switzerland Votes ‘Yes’ to Being Tax Home for Big Business. 

• Asian Stocks Set for Mixed Open; Aussie Jumps. Asian equities looked poised for a mixed start as U.S.-China trade tensions simmered with little in the way of weekend catalysts. The Australian dollar climbed after a surprise election victory for Prime Minister Scott Morrison. Futures pointed lower in Tokyo, with a flat start seen in Hong Kong. Late Friday, the S&P 500 Index fell to round out a second straight weekly loss, while the dollar ended the week stronger. China’s offshore yuan remained near a five-month low. Crude gained after Saudi Arabia and other key producers in OPEC signaled their intention to keep oil supplies constrained for the rest of the year, while pledging to prevent any genuine shortages. Japan’s Topix index rose 0.4% as of 9:05 a.m. in Tokyo. South Korea’s Kospi index advanced 0.8%. Australia’s S&P/ASX 200 Index gained 1.4%. Futures on the S&P 500 Index rose 0.3%.

• Novak Says too Soon to Discuss Oil-Cut Options: OPEC+ Update.

Wall Street Journal:

• Trump and 2020 Democrats Stake Out Dueling Views on China Trade.

• Spending Slowed as Companies Weighed Trade Concerns. 

• Meat Prices Are Set to Climb as Swine Fever Claims China’s Hogs.

• Economic Fears Drove Australia’s Surprise Election Result.

• Indian Leader Likely to Keep Power, Exit Polls Suggest.

• AI Chip Boom Lifts, Tests Nvidia(NVDA).

MarketWatch.com:

• Crowd psychology says this ‘fool’s rally’ in stocks could fool bears.

Fox News:

• White fire department lieutenant sues over racial discrimination.

CNBC:

• Amazon(AMZN) is spending billions on internet satellites, electric cars and more as revenue growth slows.

Zero Hedge:      

• China State Run Media Broadcasts Anti-American Movies To Millions Amid Deepening Trade War.

• "Parking Lots Full Of Mercedes SUVs" - All Eyes Now On The U.S. Truck Market.

• Rapid DNA-Testing Reveals Third Of Migrants Lying About Family Relationship To Children.

• Al Gore Forecast There Would Be No Ice At The North Pole By 2013.

• America's Top Cities Swamped In Debt, Chicago Leads The Way.

• Watch Air Taxi Aimed At Revolutionizing City Travel Lift Off For First Time.

• Republican Congressman Justin Amash Says Trump Should Be Impeached.

• Visualizing The 150 Apps That Power The Gig Economy.

• Exposing The Regulatory-Industrial Complex.

• Prescription For Violence: The Corresponding Rise Of Antidepressants, SSRIs & Mass Shootings.

• Impossible Foods, Now Valued At $2 Billion, Is The New Beyond Meat.

• Why An Economic War With The US Blows China Up.

• Ohio Suicide Rate Jumps 24% From 2008 To 2017 Amid Deindustrialization Wave.

• Fund Managers Now Offering To Pay Investors To Manage Their Money.

Night Trading

• Asian indices are unch. to +1.0% on average.

• Asia Ex-Japan Investment Grade CDS Index 71.0 +1.0 basis point.

• China Sovereign CDS 49.25 +1.75 basis points.

• Bloomberg Emerging Markets Currency Index 65.70 +.01%.

• FTSE 100 futures +.28%.

• S&P 500 futures +.38%.

• NASDAQ 100 futures +.48%.

Morning Preview Links

Earnings of Note

Company/Estimate

Before the Open:

• (AZZ)/.46

• (IGT)/.22

After the Close:

• None of note

Economic Releases
8:30 am EST

• The Chicago Fed National Activity Index for April.

Upcoming Splits

• (FAST) 2-for-1
  

Other Potential Market Movers

• The Eurozone PPI report, UBS Global Healthcare Conference, UBS Oil/Gas Conference and the (LSCC) investor day could also impact trading today.

BOTTOM LINE: Asian indices are higher, boosted by technology and commodity shares in the region. I expect US stocks to open modestly higher and to maintain gains into the afternoon.  The Portfolio is 75% net long heading into the week.