[ad_1]
On Monday (20), WTI May futures prices continued to fall and fell to negative prices, dragging down the prices of June WTI futures and Brent crude oil futures. The decline, the Dow Jones Index fell more than 400 points, and TSMC’s ADR fell 1.60%.
USO announced suspension of trading!
In addition, the world’s largest crude oil futures USO ETF also announced a suspension of operations on Tuesday (21). The ETF owns 25% to 30% of WTI futures in June, and due to the impact of June, WTI oil prices also fell, causing USE On Tuesday (21), it fell more than 20% before the market .
Furthermore, according to the USO statement on 8-K regulatory documents filed with the SEC on Monday (20), when the USO approaches the upper limit on the number of shares outstanding, the USO will finally issue another 4 billion shares New shares have been registered with the SEC, and in the future USO will stop issuing new shares, which means that USO will become a closed-end fund in the future.
Also, the US Senate. USA He negotiated a new round of economic stimulus plans on Monday (20), which included an additional $ 370 billion in rescue loans for small businesses, $ 75 billion in hospital antiepidemic funds, and $ 25 billion in screening for the virus. pneumonia. Funds etc. The Senate failed to reach consensus on the plan, but is expected to vote on the small business loan plan on Tuesday afternoon (21).
New outbreak of coronary pneumonia
The cumulative number of confirmed cases of pneumonia in the United States has reached nearly 800,000. The United States government announced that to prevent the spread of the epidemic, “nonessential travel” restrictions on the United States border with Canada and Mexico will be extended for 30 days.
The Singapore epidemic continued to expand, with the number of newly confirmed cases exceeding 2,000 on two consecutive days, and the cumulative number of confirmed cases exceeding 9,000. Singapore Prime Minister Lee Hsien Loong announced on Tuesday (21) that the time limit for blockade measures will be determined. May 4 was extended to June 1.
Also, Hong Kong’s original social distance restriction policy will expire on April 23. Hong Kong Chief Executive Lin Zhengyue emphasized on Tuesday (21) that the current epidemic prevention work cannot be relaxed and extended the relevant measures by 14 days.
June WTI futures continue to plummet
Monday (20) West Texas Intermediate Crude Oil (WTI) The May futures settlement price closed at -37.63 US dollars per barrel, a drop of more than 300%, breaking into a negative price range for the first time, the contract June’s WTI on Tuesday (21 Japan) was dragged down, and once fell more than 40% during the day, losing the $ 12 barrier.
After the price of oil plummeted, Saudi Arabia and other OPEC member countries were reported to be considering cutting crude oil production as soon as possible. The Trump administration also said it will carefully consider suspending imports of crude oil into Saudi Arabia to prevent US oil producers. USA Keep getting hit hard.
Starting Tuesday, Taipei (21) at 22 o’clock:
- The Dow Jones index fell 411.16 points or -1.74%, temporarily reported 23239.28 points
- Nasdaq fell 99.34 points or -1.16%, temporarily reported 8461.93 points
- S&P 500 fell 50.07 points or -1.77%, temporarily reported 2,773.09 points
- Fees and a half fell 20.04 points or -1.20%, temporarily reported at 1647.53 points
- TSMC ADR fell 1.60% to $ 51.75 per share
- The performance of the US Treasury. USA At 10 years it fell to 0.547%
- New York light crude fell 31.72% to $ 13.95 a barrel
- Brent crude fell 23.23% to $ 19.63 per barrel
- Gold fell 2.24% to US $ 1,672.90 per ounce
- The US dollar index rose 0.49% to 100,547 points
Focus actions:
Coca-Cola (KO-US)
Coca-Cola fell 3.39% in the first operations to reach US $ 44.97.
Coca-Cola announced its first quarter earnings report for fiscal year 2020 on Tuesday (21). Both net profit and revenue exceeded expectations. However, due to the closure of movie theaters, sporting events, and other activities due to the pneumonia epidemic, recent sales prospects have been affected, so the company canceled its full-year earnings outlook financial forecast. .
Based on key data from the non-GAAP financial report
- Revenue: $ 8.6 billion, exceeding expectations of $ 8.4 billion
- Net income: US $ 2.78 billion, higher than US $ 1.68 billion in the same period last year
- EPS: 51 cents, 44 cents more than expected, 39 cents more than in the same period last year
Tourist (TRV-US)
Tourists fell 3.23% in the first operations to US $ 98.47. A
Traveler Group, the second largest insurance company in the country, announced on Tuesday (21) financial results for the first quarter of fiscal year 2020. The increase in “catastrophic losses” related to disasters such as tornadoes, snow storms and new pneumonia coronary disease led to the first quarter Revenue was significantly lower than market expectations.
Based on key data from the non-GAAP financial report
- Net income: US $ 600 million, lower than US $ 796 million in the same period last year
- EPS: US $ 2.62, lower than US $ 2.83 in the same period last year and lower than analyst expectations of US $ 2.85
- Revenue: to $ 7.91 billion, more than $ 7.67 billion in the same period last year, an annual increase of 3%, less than analysts expected $ 8.05 billion
- Net subscription premium: $ 7.35 billion, higher than $ 7.06 billion in the same period last year
IBM (IBM-US)
IBM fell 5.64% in early trading to $ 113.78.
IBM released the first quarter 2020 financial report on Monday after the U.S. stock market (20). Although the cloud business, including Red Hat, performed strongly, it was affected by new corona pneumonia, causing the company’s first quarter revenue to decrease 3.4% annually. The prospects are full of uncertainty and IBM withdraws its financial forecast for the whole year.
According to key data from the GAAP financial report:
- EPS: $ 1.31, an annual decrease of 26%, less than $ 1.78 in the same period last year
- Revenue: $ 17.6 billion, an annual decrease of 3.4%, in line with market expectations of $ 17.59 billion
- Net Income: $ 1.18 billion, down from $ 1.59 billion in the same period last year, an annual decrease of 26%
- Free cash flow: $ 11.6 billion
Key economic data for today:
None
Wall Street Analysis:
National analyst Mark Hackett said stock market volatility remains fierce, and the interpretation of market news has also led to significant changes in investor sentiment. Last week, as the market expected the pneumonia epidemic to slow down gradually, prompting a sharp surge in U.S. stocks, but because the economic redevelopment plan is still fraught with unknowns, Hackett asked investors to be cautious.
In response to the recent drop in oil prices, Citigroup analyst Eric Lee said that although OPEC + and other oil-producing countries agreed to start production cuts on May 1, supply and stocks are expected. Oil prices will begin to adjust in the second half of 2020. However, it is estimated that in the next 4 to 6 weeks, the shortage of crude storage space will continue to be severe and will continue to affect oil prices.
[ad_2]
