Tuesday, February 27, 2018

Good morning-  Global equities are mostly lower to start this morning’s session. European stocks are mixed as the Stoxx 50 is down 8 points, the DAX is down 40 points, and the FTSE is up a mere 3 points. Asian stocks are down as the Nikkei and Hang Seng have dropped 50 and 20 points respectively. US stock futures are slightly lower after a big rally yesterday. Right now, the DOW is down 29 points, the S&P is down 3.5 points, and the NASDAQ is down 5 points. WTI crude is trading around $63.75 after climbing to $64/bbl last night. Treasury yields are only 0.5-1.5bps lower across the curve bringing the 10yr treasury to 2.85%. In the IG space, we saw the Bloomberg Barclays index tighten to +94 after 12 IG issuers tapped the new issue market. Today we will hear Powell’s debut testimony and see data on wholesale/retail inventories and durable goods orders.