Monday Watch

Today's Headlines

Bloomberg:    

• Hong Kong Police Arrest at Least 14 Opposition Activists.

• Singapore Now Has Most Coronavirus Cases in Southeast Asia.  

• Virus Easing Allows Germany to Re-Open as Spain Deaths Slow.  

• India’s State Borrowers Are Crowding Out Cash-Strapped Companies.

• Mexico City Hospitals at Near Full Capacity as Virus Spreads.

• Germany to Order 45 Fighter Jets From Boeing, Report Says.

• U.S. Sees Small-Business Deal; Europe Deaths Slow: Virus Update.

• Sweden Says Controversial Covid-19 Strategy Is Proving Effective. U.S. Stock Futures Dip in Early Trade; Oil Drops. U.S. equity futures retreated in early trading Monday as investors looked toward a busy week for corporate earnings amid signs of an easing in the global coronavirus spread. Asian contracts were mixed, while oil continued to plumb fresh lows. S&P 500 futures were down about 0.7%, after the gauge closed almost 3% higher Friday. Japanese and Hong Kong contracts dipped, while those in Australia were little changed. Oil dropped to the lowest since November 2001 in New York. The dollar and Treasury futures were steady as New York Governor Andrew Cuomo said the state may be past the high point of coronavirus deaths, as cases and fatalities slowed. Fewer daily deaths were also reported in Italy, Spain and the U.K. Futures on the S&P 500 dipped 0.8% as of 7:39 a.m. in Tokyo. The gauge rose 2.7% on Friday. Futures on Japan’s Nikkei 225 slipped 0.2%. Hang Seng futures dipped 0.3% late Friday. Futures on Australia’s S&P/ASX 200 Index were flat.

• Oil Drops to 18-Year Low on Global Demand Crunch, Storage Woes.  

• Five Things You Need to Know to Start Your Day.

• In Defense of the Rally: Five Pros Who Say the New Bull Has Legs.

• Bond Traders Signal the Path to Reopening Will Be Long and Bumpy.

• Shake Shack, Potbelly Among Big Chains Tapping Small-Biz Funds.    

• Wynn Calls for Reopening of Nevada, Followed by Las Vegas Strip.

• U.S. Colleges Brace for a Devastating Summer and Fall.  

• A Legendary Oil Trader Hid $800 Million in Losses.  

• Some Crimes Are Spiking in America’s Major Cities.  

• Just How Big Is the Biggest-Ever Slump in World Oil Demand?

Wall Street Journal:   

• How to Keep Workers Healthy on the Job.

• The Democrats’ 2020 Coronavirus Hindsight.

• Coronavirus Testing Hampered by Disarray, Shortages, Backlogs.

• Bets Against Stock Market Hit Highest Level in Years.

• Europe Slowly Emerges From Lockdown.

• More Americans Fear Lifting Restrictions Too Soon, Poll Says.

• Governments Face Pressure to Ease Lockdowns.

• Baseball Without Fans Sounded Crazy. It Might Just Work.

• Big Tech’s Resilience to Downturn Faces First Test With Earnings Reports.

• Restaurants vs. Insurers Shapes Up as a Big Lobbying Fight.

MarketWatch.com:

• Earnings are set for their biggest dive since late 2009 — and it gets worse from here.

Fox News:

• Navarro says China hid virus from world, is hoarding PPE for profit.

• WATCH LIVE: Trump speaks as coronavirus task force holds briefing on nationwide battle.

• At least 10 dead in Canada shooting; gunman disguised self as officer.

CNBC:   

• Senate nears $370 billion deal for coronavirus small business loan programs.

• The coronavirus pandemic will likely leave a lasting legacy on retail: Fewer department stores.

• US and other foreign governments condemn Hong Kong arrests of democracy activists.

• Mnuchin, Pelosi ‘very close’ to deal on second round of small business loans.

• Life in quarantine: Online spending shifts from stockpiling to entertainment.

• Coronavirus updates: US death toll surpasses 40,000 as cases hit 750,000.

• How the coronavirus and retail closures are accelerating the rise of Amazon.

• 24 Hour Fitness weighs bankruptcy as coronavirus pushes fitness industry to brink.

Zero Hedge:    

• Kyle Bass Blasts China's "Most Lying, Coercive, Manipulative Government" For "Knowingly Infecting The World".

• Critics Slam Trump For Claiming China Should Face "Consequences" If It "Knowingly" Unleashed The Coronavirus.

• WHO Advisory Committee Member Retweets (Then Deletes) Michael Moore Clip Endorsing Anti-Trump Violence.

• Asian Oil Trading Legend Files For Bankruptcy After Hiding $800 Million In Losses, Secretly Selling Loan Collateral.

• US Coronavirus Death Toll Soars Past 40k Amid Flood Of Nursing-Home Deaths: Live Updates.

• Crowds Swarm Florida Beaches Amid Phased Reopening As Critics Slam "#FloridaMorons"

• 'Canada's Deadliest Attack In Years' - At Least 10 Killed In Roving Shooting Rampage Across Nova Scotia.

• "Just Snap A Photo" - De Blasio Explains How To Snitch On Fellow New Yorkers Breaking Social Distancing Rules.

• Japan Proves Again Just How Laughable The Idea That Central Banks Can Support Markets Is.

• Young COVID-Positive Redditors Describe Agony Of Ongoing Symptoms Nearly Two Months After Getting Sick.

• WTI Crashes To 19 Year Low As Trading Reopens; S&P Futures Slide.

• Morgan Stanley: Rushing To Reopen The Economy Would Backfire.

• "The Default Cycle Has Officially Started".

• Spamalot, No More? Hormel Shutters Illinois Plant Amid COVID-19 Fears.

• One Year Later, Cause Of Notre Dame Fire Remains A Mystery.

• Los Angeles County Suffers Deadliest Day Yet As COVID-19 Kills 81: Live Updates.

• The Destructive Force Of Bank Credit.

• Goldman Now Sees A 123% Plunge In Q2 S&P Earnings, $850BN Drop In Corporate Cash Spending.

• Shocking Report Shows Half The Homeless At Boston Shelter Tested Positive For COVID-19: And None Had Symptoms.

Business Insider:

• 7 tactics experts say retailers will use to manage excess inventory and attempt to stay afloat during the coronavirus.

• Canada is making face coverings compulsory on all flights — another sign that masks are becoming an unavoidable part of life.

• Coronavirus is upending the real estate industry. From job cuts to new opportunities, here's everything you need to know.

• Employees across the globe are working remotely because of the coronavirus pandemic. Here are 18 high-paying jobs you can do from home.

• Amazon is installing thermal cameras at warehouses to scan employees for fevers.

John Hopkins University:

• Coronavirus Global Cases. (map)

BNO News:

• Tracking coronavirus: Map, data and timeline.

Google Docs:

• Coronavirus Testing by State.

Night Trading

• Asian indices are -.5% to +.25% on average.

• Asia Ex-Japan Investment Grade CDS Index 116.75 +2.25 basis points.

• China Sovereign CDS 44.25 +3.25 basis points.

• Bloomberg Emerging Markets Currency Index 58.42 -.06%.

• Euro Stoxx 50 futures n/a.

• S&P 500 futures -.8%.

• NASDAQ 100 futures -.75%.

Morning Preview Links

Earnings of Note

Company/Estimate

Before the Open:

• (ALLY)/.79

• (CCL)/-1.63

• (HAL)/.24

• (MTB)/2.51

• (ONB)/.27

• (TFC)/.68

After the Close:

• (BXS)/.35

• (CDNS)/.54

• (EFX)/1.28

• (IBM)/1.74

• (MINI)/.42

• (NVR)/45.61

• (PNFP)/1.05

• (STLD)/.86

• (ZION)/.86

Economic Releases
8:30 am EST

• The Chicago Fed National Activity Index for March is estimated to fall to -1.81 versus .16 in Feb.

Upcoming Splits

• None of note
  

Other Potential Market Movers

• The Eurozone PPI report and the (BHP) operational review could also impact trading today.

Market Hours
Normal:

• 9:30 am - 4:00 pm EST

BOTTOM LINE: Asian indices are mostly lower, weighed down by energy and financial shares in the region. I expect US stocks to open lower and to maintain losses into the afternoon.  The Portfolio is 25% net long heading into the week.