Anonymous ID: 91e931 April 18, 2019, 4:56 a.m. No.6222192   🗄️.is 🔗kun

Global Stocks Wipe Out Weekly Gains As European PMIs Slump

'Not much of a gain to wipe out in the first p;ace

 

If China's gargantuan credit injection was supposed to prompt a wave of global "green shoots", it failed to make a dent on Europe.

 

Global shares erased this week’s gains and US equity futures dropped after weak manufacturing surveys from Asia and Europe stoked renewed fears of a slowdown in global growth, adding to profit taking ahead of the long Easter weekend, while safe havens such as the dollar and treasuries pushed higher.European markets dropped after French and German manufacturing PMIs for April showed activity continuing to contract. Germany’s DAX more than doubled losses on the day to trade 0.3 percent lower after the release of the German survey, while the pan-European STOXX 600 index was down 0.2 percent even as carmaker and food shares gained.

Earlier in the session, Asia suffered even heavier losses, with South Korean shares leading the decline as issues with the new 2-screen Samsung phone weighed on the biggest stock in the main index.

China’s yuan rose to the highest level in more than nine months after the central bank strengthened its daily fixing by the most in four weeks. The Bloomberg replica of the CFETS RMB Index, which tracks the yuan versus a basket of 24 trading partners’ currencies, edged up for a fifth straight day on Thursday. The gain came after the People’s Bank of China strengthened the yuan’s reference rate by 0.3 percent, the most since March 21, although it was in line with traders and analysts’ expectations. The central bank’s move on the daily fixing was “an indication that the authorities seem comfortable with yuan strength,” according to Khoon Goh, head of Asia research at Australia and New Zealand Banking Group. In the near term, the yuan could test the year’s high of 6.67 per dollar, he said.

 

PBoC is reportedly unlikely to lower RRR in the short-term after recent liquidity injections and MLF announcement, while better than expected Q1 data also means there is less pressure for a RRR cut. (China Securities Journal)

 

BoK kept the 7-Day Repo Rate unchanged at 1.75% as expected with the decision made unanimously. BoK said South Korea economy to grow mid-2% level this year and hover below prior projections but won't significantly diverge from potential level, while it added that exports are to recover gradually

 

In commodities, oil markets fell(currently up as chart indicates) despite a surprise decline in U.S. inventories, but the price drops were tempered by a smaller-than-expected reduction in gasoline stocks and ongoing OPEC-led supply cuts.

 

Economic data include retail sales, jobless claims, Markit PMI readings. Philip Morris, Honeywell, American Express and Danaher are due to report earnings

 

Market Snapshot

 

S&P 500 futures down 0.2% to 2,895.00

STOXX Europe 600 down 0.2% to 388.92

MXAP down 0.5% to 163.00

MXAPJ down 0.4% to 543.65

Nikkei down 0.8% to 22,090.12

Topix down 1% to 1,614.97

Hang Seng Index down 0.5% to 29,963.26

Shanghai Composite down 0.4% to

3,250.20

Sensex down 0.07% to 39,247.89

Australia S&P/ASX 200 up 0.05% to

6,259.81

Kospi down 1.4% to 2,213.77

German 10Y yield fell 3.5 bps to 0.045%

Euro down 0.3% to $1.1260

Brent Futures down 0.4% to $71.31/bbl

Italian 10Y yield rose 1.8 bps to 2.241%

Spanish 10Y yield fell 3.2 bps to 1.074%

Brent Futures down 0.4% to $71.31/bbl

Gold spot up 0.1% to $1,275.23

U.S. Dollar Index up 0.2% to 97.24

US Event Calendar

 

8:30am: Retail Sales Advance MoM, est.

1.0%, prior -0.2%; Retail Sales Ex Auto

MoM, est. 0.7%, prior -0.4%

8:30am: Philadelphia Fed Business Outlook,

est. 11, prior 13.7

8:30am: Initial Jobless Claims, est. 205,000,

prior 196,000; Continuing Claims, est.

1.72m, prior 1.71m

9:45am: Bloomberg Consumer Comfort,

prior 59.8

9:45am: Markit US Manufacturing PMI, est.

52.8, prior 52.4

9:45am: Markit US Services PMI, est. 55,

prior 55.3

9:45am: Markit US Composite PMI, prior

54.6

10am: Leading Index, est. 0.4%, prior 0.2%

10am: Business Inventories, est. 0.3%, prior

0.8%

 

Live Gold

$1275.80

1,275.80Bid

1,276.80Ask

High: 1,278.20

Low: 1,270.50

+2.20 +0.17%

 

https://www.zerohedge.com/news/2019-04-18/global-stocks-wipe-out-weekly-gains-european-pmis-slump

https://www.bloomberg.com/markets/stocks/futures

https://www.dailyfx.com/crude-oil

https://www.kitco.com/charts/livegold.html

Anonymous ID: 91e931 April 18, 2019, 5:20 a.m. No.6222372   🗄️.is 🔗kun

Blackstone to switch from a partnership to a corporation

NEW YORK (Reuters) -

Blackstone Group LP, the world’s largest manager of alternative assets such as private equity and real estate, said on Thursday it would convert from a partnership to a corporation, in a bid to get more investors into its stock.

Blackstone is hoping the move, which will take effect July 1, will boost its share price, which has traded at a discount to traditional asset managers such as BlackRock Inc for more than a decade.

 

Under the so-called C-Corp structure, Blackstone will pay corporate taxes on all its revenue, in exchange for enabling investors such as mutual funds and index trackers to buy the stock.

 

The additional tax burden has become less severe after the headline U.S. corporate tax rate was lowered effective last year to 21 percent from 35 percent.

 

Two other private equity firms, KKR & Co Inc and Ares Management Corp, announced last year they would also make the switch.

 

Passive investors such as mutual funds, which are becoming more important as they manage more money, are restricted by their mandates from acquiring the stock of publicly listed partnerships.

 

Private equity firms pay corporate taxes under the partnership structure on the management fees charged to investors, but are mostly shielded from paying these taxes on performance fees.

 

Blackstone said the expanded investor base was worth the tax hit.

 

“We believe the decision to convert will make it significantly easier for both domestic and international investors to own our stock and should drive greater value for all of our shareholders over time,” Blackstone Chief Executive Stephen Schwarzman said in a statement.

Blackstone also announced first-quarter earnings on Thursday, reporting distributable earnings - the actual cash available for paying dividends - of $538 million in the first quarter, up from $502 million a year earlier.

 

This translated to distributable earnings per share of 41 cents, lower than the 51 cents analysts had predicted on average based on Refinitiv data.

 

Nevertheless, the announcement of the switch to a corporation sent Blackstone shares surging about 10 percent in premarket trading to $39.20.

 

Fee-related earnings, the amount Blackstone earns from management fees, were up 11 percent year-on-year at $374 million.

 

Blackstone said its assets under management reached $512 billion at the end of March, up 14 percent from a year ago.

https://www.reuters.com/article/us-blackstone-group-results/blackstone-to-switch-from-a-partnership-to-a-corporation-idUSKCN1RU196

Panel sauce

https://www.reuters.com/article/us-blackstone-group-compensation-idUSKCN1QI5P2