U.S. Equity Futures Drop With Stocks; Dollar Rises: Markets Wrap
“U.S. equity futures dropped with stocks in most of the world, signaling the risk-off move that hit markets at the start of this month may have further to run. The dollar strengthened. Contracts on the three main American equity indexes all fell, with Delta Air Lines Inc., American Airlines Group Inc. and United Airlines Holdings Inc. among the biggest pre-market decliners. Warren Buffett said over the weekend Berkshire Hathaway Inc. sold out of the four top U.S. airlines, opining that the business has changed in a very major way.”
Pound’s Swift Drop Wipes Out April Rally in Bleak Start to Month
“It is only the start of May and the pound has already seen its entire April rally wiped out, just as established seasonal trends point to further declines. The British currency could be in for a particularly unforgiving time. May has been its worst month every year since 2010 with an average decline of 2.3% against the dollar, according to analysts at Bank of America Securities. That adds to headwinds for a currency already contending with the economic shock from the pandemic as well as drawn-out Brexit uncertainty.”
Pandemic and Politics Push Hong Kong’s Economy Into Record Slump
Hong Kong’s economy suffered its worst quarter on record, extending the first recession in a decade as the coronavirus pandemic battered a city already weakened by political unrest. The economy contracted 8.9% in the first quarter from year-ago levels, according to the government. The decline surpasses the previous record of -8.3% in the third quarter of 1998 and a 7.8% contraction in the first quarter of 2009, the two worst readings in data back to 1974, according to the Census and Statistics Department Hong Kong”
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