Virus Hopes Dampened
The latest infection numbers from European virus hotspots are dampening hopes of lockdowns being relaxed. Italy and Spain both recorded the most new cases in days, while the U.K. announced a record number of coronavirus deaths as British Prime Minister Boris Johnson remained in intensive care, though his condition was said to improve. A “technical issue” meant France couldn’t give an update on its Covid-19 numbers. Worryingly, new research looking at the outbreak in China has suggested the disease travels faster than previously thought.
5 Trillion Hit
The coronavirus pandemic is set to rob the global economy of more than $5 trillion of growth over the next two years. That’s the warning from Wall Street banks as lockdowns plunge the world into its deepest peacetime recession since the 1930s. Although the downturn is predicted to be short-lived, it’ll take time for economies to make up the lost ground. Even with huge monetary and fiscal stimulus, gross domestic product is unlikely to return to its pre-crisis trend until at least 2022. A U.S. recession model confirms a downturn is already here.
UBS, Credit Suisse Dividends
Swiss banking giants UBS Group AG and Credit Suisse Group AG announced that they will postpone half of their planned dividend distributions for 2019 to the fourth quarter of 2020, following a request from the regulator. Credit Suisse reassured that its financial strength would have continued to support the original dividend, while UBS noted a strong operating performance in all business divisions. The move follows similar actions by peers on the continent and in the U.K.
Stock Futures, Oil Higher
European futures are pointing higher after mixed trading in Asian stocks amid lighter volumes ahead of the Good Friday holiday in many countries. Oil climbed after Algeria confirmed that the OPEC+ emergency meeting scheduled for today will discuss an output cut of 10 million barrels per day. An unprecedented accord between the world’s largest producers to scale back production has moved closer within reach after Russia signaled it’s ready to make output reductions.
The latest infection numbers from European virus hotspots are dampening hopes of lockdowns being relaxed. Italy and Spain both recorded the most new cases in days, while the U.K. announced a record number of coronavirus deaths as British Prime Minister Boris Johnson remained in intensive care, though his condition was said to improve. A “technical issue” meant France couldn’t give an update on its Covid-19 numbers. Worryingly, new research looking at the outbreak in China has suggested the disease travels faster than previously thought.
5 Trillion Hit
The coronavirus pandemic is set to rob the global economy of more than $5 trillion of growth over the next two years. That’s the warning from Wall Street banks as lockdowns plunge the world into its deepest peacetime recession since the 1930s. Although the downturn is predicted to be short-lived, it’ll take time for economies to make up the lost ground. Even with huge monetary and fiscal stimulus, gross domestic product is unlikely to return to its pre-crisis trend until at least 2022. A U.S. recession model confirms a downturn is already here.
UBS, Credit Suisse Dividends
Swiss banking giants UBS Group AG and Credit Suisse Group AG announced that they will postpone half of their planned dividend distributions for 2019 to the fourth quarter of 2020, following a request from the regulator. Credit Suisse reassured that its financial strength would have continued to support the original dividend, while UBS noted a strong operating performance in all business divisions. The move follows similar actions by peers on the continent and in the U.K.
Stock Futures, Oil Higher
European futures are pointing higher after mixed trading in Asian stocks amid lighter volumes ahead of the Good Friday holiday in many countries. Oil climbed after Algeria confirmed that the OPEC+ emergency meeting scheduled for today will discuss an output cut of 10 million barrels per day. An unprecedented accord between the world’s largest producers to scale back production has moved closer within reach after Russia signaled it’s ready to make output reductions.