Volatility in equities continues today, with base putting in a steady if somewhat unspectacular performance when compared to equities that were unnervingly volatile.
ISM Data disappointed on a global scale, and OECD cut its forecast for global growth from 2.9% to 2.4%. Treasury curve steepening shows that markets are expecting a rate cut bigger than 25 basis points – there will be many eyes and ears on the G7 finance ministers who have arranged a call for tomorrow to weigh policy response which may also tie in nicely with OPEC discussions.
In further evidence of China normalising, we understand Jiangxi Copper has restored mining and smelting operations, after enabling sales of excessive Sulphuric Acid holdings as up/downstream partners return to work, however, as an example of depressed consumer interest weekly online appliance sales are tracking 50% lower for the 3rd week in Feb.
The global metals industry is showing that it is not immune to the virus impact, with Cesco copper conference is cancelled in Chile.