what a journey...
Source chart: Bloomberg
Copper jumps to highest price since April 2022 👀
Source: Barchart
In case you missed it... U.S. 10-year government bonds yield 4.70%, about two percent more than Vietnam's 2.92%.
Source: Jeff Weniger
While $IBIT's daily inflow streak is over at 71 days, it is not done setting records.
Here's a look at ETFs all time by assets after first 72 days on market. Source: Eric Balchunas, Bloomberg
BlackRock's Bitcoin $BTC ETF just saw its 71-day inflow streak come to an end.
Source: Barchart, Bloomberg
Bloomberg on the outcome of the BoJ Bank of Japan’s monetary policy meeting.
The Bank of Japan kept its policy rate unchanged Friday after its monetary policy meeting, holding its benchmark policy rate at 0%-0.1%. This is in line with expectations from economists polled by Reuters. While the move was expected, this comes after Tokyo’s April inflation came in lower than expected, with the core inflation rate at 1.6% compared to expectations of 2.2% from Reuters. The BOJ also said it will continue to conduct bond purchases. However, they dropped a reference to buying roughly the same amount of bonds as previously. No comment was made by the BOJ on the yen, which has steadily weakened since the BOJ ended its negative interest rate policy last month and abolished its yield curve control policy. The currency broke through the 156 mark against the U.S. dollar Friday after the decision, most recently trading at 156.11. Separately, the central bank also released its second-quarter outlook for Japan’s economy, raising its outlook for inflation in fiscal 2024. The BOJ now expects inflation between 2.5% and 3% for fiscal 2024, up from 2.2% to 2.5% in its January forecast. Inflation is then predicted to decelerate to “around 2%” in fiscal 2025 and 2026, the bank added. The BOJ also downgraded gross domestic product growth forecasts for fiscal 2024 to a range of 0.7% to 1%, down from January’s prediction of 1%-1.2% growth. Think of this as another small step in what the BoJ sees as a relatively long policy normalization journey. As mentioned by Mohamed El Erian, the length of this journey, both on a standalone basis and relative to the US, helps explain the weak Yen. Source: Bloomberg, CNBC
The us 10-year note yield rises to 4.73%, its highest level since November 1st, 2023.
This puts the 10-year note yield ~100 basis points above its December 2024 low. With just 1 interest rate cut now expected in 2024, discussions of more HIKES are back. If todays' PCE inflation data confirms that hashtag#inflation is back on the rise, we could see futures price out the last cut. Source: The Kobeissi Letter
Microsoft shares rose as much as 5% in extended trading on Thursday after the software maker issued fiscal third-quarter results that outdid Wall Street’s expectations.
Here’s how the company did in comparison with the consensus from LSEG: Earnings per share: $2.94 vs. $2.82 expected Revenue: $61.86 vs. $60.80 billion expected Microsoft’s total revenue grew 17% year over year in the quarter, which ended on March 31, according to a statement. Net income, at $21.94 billion, or $2.94 per share, was up from $18.30 billion, or $2.45 per share in the year-ago quarter. The company’s Intelligent Cloud segment, including the Azure public cloud, Windows Server, Nuance and GitHub, produced $26.71 billion in revenue. That’s up about 21% and more than the $26.26 billion consensus among analysts surveyed by StreetAccount. Revenue from Azure and other cloud services grew 31%, compared with 30% in the previous quarter. Analysts polled by CNBC had expected 28.8%, while the StreetAccount consensus was 28.6%. In a nutshell: $MSFT Microsoft Q3 FY24 (ending in March): • Revenue +17% Y/Y to $61.9B ($1.0B beat). • Gross margin 70% (+0pp Y/Y) • Operating margin 44% (+2pp Y/Y). • EPS $2.94 ($0.11 beat). Azure +31% fx neutral. Source: Barchart, CNBC
