World Markets Live - May 23
We’ll be updating you throughout the day with essential breaking news, data alerts, earnings reports and all the major market movements.
-
The U.S. market open is in less than 15 minutes, but we also have some economic data from the U.S. to watch.At 09:45 a.m. ET we have Markit's manufacturing and services initial PMI readings for May.Then at 10:00 a.m. ET we have April new home sales and the Richmond Fed survey for May.Later, at 11:00 a.m. ET, the White House 2018 budget will be released, giving clearer details on how much the Trump administration will be cutting State spending in order to boost military spending and leave room for tax reform. -
-
-
-
-
The Nasdaq is up for the 12th time in 14 days. The tech index is currently up 0.5 percent for the month of May.Here's a look at the winners and losers on the index today.Games company Activision Blizzard is at the top of the index after the firm laid out plans to offer $1.2 billion in senior unsecured notes lasting five, ten and thirty years.
-
ECB President Mario Draghi says he does not foresee any major shortcomings in the central bank's tools for implementing monetary policy either during or after the process for the withdrawal of the U.K. from the EU.
He says that, post Brexit, the level of supervision and oversight of U.K. central counterparties by EU authorities could be reduced. -
U.S. services PMI for May has come in at 54.0, versus April's 53.1. The new business index for May came in at 54.7, from April's 52.5.The flash reading of May's U.S. PMI for the manufacturing sector came in at 52.5, lower than expected and below April's 52.8.The manufacturing output index fell to 53.3 from 53.5 in April and the new order index came in at 53.4 from 53.6 in April.That gives a composite reading of 53.9 for May, from 53.2 for April. -
-
-
-
U.K. Prime Minister May says police and security services are working to see if there was a wider group involved in last night's terror attack in Manchester.The Prime Minister says the police and others will be looking at the security of venues so people can enjoy Summer events. She says we are clear that resources are available for the police. -
-
London police says specialist officers are now looking in detail at all plans for upcoming public events in the U.K. capital.Police say this will involve increasing the number of armed and unarmed officers on highly visible reassurance patrols around key locations.Extra armed officers will be deployed at the Wembley Football Stadium and Twickenham's Rugby Stadium. -
U.S. intelligence chief Dan Coats has declined to comment on a report that President Trump asked him to publicly deny evidence of collusion in the 2016 election and to push back against the FBI's Russia probe, Reuters reports.Speaking to a Senate armed services committee, Coats says it is "not appropriate" to comment publicly on conversations with the President. He adds that he made it clear to the Trump administration that he opposes political "shaping of his intelligence information. -
-
-
-
-
The bond market may be providing an important clue to the future for investors.The spread between U.S. 10-year and 2-year Treasuries is hovering at one of it's lowest points since October, at less than 100 basis points.
The spread has traded between zero and 250 basis points around 90 percent of the time for the past 35 year, but the last three times the spread went negative, a U.S. recession followed.If the spread continues to trend downward, we may see another recession.You can read more about the importance of the spread here.
Bond market warning? A closely watched economic indicator just hit a postelection low
The spread between long-term yields and short-term yields has collapsed recently. Here's why that matters. -
Steve Mnuchin, U.S. Treasury Secretary, is speaking live to defend the 2018 White House budget.Mnuchin says 3 percent growth will come over a period of years and says capital gains tax is inefficient. He says the intent is to create a tax cut for the Middle Class.He says the U.S. needs a competitive tax system.
-
Greater Manchester Police have called for eye-witnesses who may have seen anything between 8 p.m. and 11 p.m. last night in relation to the attack on Manchester Arena.The citizens of Manchester will be holding a vigil for the victims and families affected by the attack tonight in the city centre from 6 p.m. to 7 p.m. -
U.S. Treasury Secretary Steve Mnuchin says very difficult decisions have been made in the 2018 White House budget.Mnuchin says he will not propose a tax plan that will cost $4 trillion or $5 trillion over 10 years, and faster economic growth will come from tax reform, new trade deals and better regulations, as well as workers rejoining the labor force.He says he hopes tax reform can get done this year and the administration is working closely with the House and Senate to get it done, but admits it will not get done by August. -
-
-
-
-
A spokesman for U.K. Prime Minister Theresa May says the PM has visited the Greater Manchester Police headquarters, as well as a hospital.May has held calls with President Trump, as well as French President Macron, Italian PM Paolo Gentiloni and Australian PM Malcom Turnbull.Meanwhile, London's police force, the Metropolitan Police Service, will increase the number of armed and unarmed officers on highly visible patrols around key locations, and planned to deploy extra armed officers at sporting events.Met Commander Jane Connors had this to say.As the full horror of last night's attack in Manchester still sinks in the thoughts of all of us in the Met Police are with those who have lost loved ones or who were injured.
Here in London we are determined to do all we can to protect the Capital. That means that over the coming days as you go to a music venue, go shopping, travel to work or head off to the fantastic sporting events you will see more officers - including armed officers. -
The U.S. Justice Department announces it will file a civil suit again Fiat Chrysler for violating the clean air act, accusing the Italian car maker of using "defeat devices" in polluting diesel vehicles.Fiat Chrysler shares turn negative on the news, dropping 1 percent.
-
-
-
-
-
-
-
U.S. trade continues, with stock markets recording gains following the release of the White House 2018 budget.The budget includes proposals to increase defence spending by $54 billion to $603 billion, continue to fully fund NATO and cut funding from several global health and foreign aid programs.
-
We'll close the blog there.Join us again tomorrow, where we will be covering reaction to Trump's 2018 budget and looking ahead to the latest U.S. Federal Reserve minutes. Meanwhile, President Trump will be travelling to the Vatican to meet the Pope.We'll also have several earnings reports from Vonovia, Marks & Spencer, Antofagasta, Glencore, Kingfisher and Britvic.
