Morgan Stanley downgrades Roku, one of the hottest stocks of 2019: ‘It’s all priced in’

A video sign displays the logo for Roku, after the company’s IPO at the Nasdaq Market in New York, September 28, 2017. Morgan Stanley lowered its rating on Roku to underweight from equal weight, saying the stock’s phenomenal climb this year fully reflects the company’s growth prospects and fails to recognize some key risks. “Roku shares are up over 400% YTD due to rising estimates and overall exuberance over all things streaming. Roku’s valuation levels have surged past digital media players and


A video sign displays the logo for Roku, after the company’s IPO at the Nasdaq Market in New York, September 28, 2017.
Morgan Stanley lowered its rating on Roku to underweight from equal weight, saying the stock’s phenomenal climb this year fully reflects the company’s growth prospects and fails to recognize some key risks.
“Roku shares are up over 400% YTD due to rising estimates and overall exuberance over all things streaming.
Roku’s valuation levels have surged past digital media players and
Morgan Stanley downgrades Roku, one of the hottest stocks of 2019: ‘It’s all priced in’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-12-02  Authors: michael sheetz
Keywords: news, cnbc, companies, stocks, note, companys, video, past, priced, 2019, york, weight, morgan, valuation, downgrades, hottest, stanley, roku, ytd


Morgan Stanley downgrades Roku, one of the hottest stocks of 2019: 'It's all priced in'

A video sign displays the logo for Roku, after the company’s IPO at the Nasdaq Market in New York, September 28, 2017.

Morgan Stanley lowered its rating on Roku to underweight from equal weight, saying the stock’s phenomenal climb this year fully reflects the company’s growth prospects and fails to recognize some key risks.

Roku’s stock fell more than 16% in trading on Monday.

“Roku shares are up over 400% YTD due to rising estimates and overall exuberance over all things streaming. As a result, we see the risk/reward skewed to the downside. Roku’s valuation levels have surged past digital media players and even past high-growth SAAS [software as a service] companies … despite structurally lower gross margins,” Morgan Stanley analyst Benjamin Swinburne said in a note to investors. The note was titled, “It’s all priced in.”


Company: cnbc, Activity: cnbc, Date: 2019-12-02  Authors: michael sheetz
Keywords: news, cnbc, companies, stocks, note, companys, video, past, priced, 2019, york, weight, morgan, valuation, downgrades, hottest, stanley, roku, ytd


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley downgrades Roku, one of the hottest stocks of 2019: ‘It’s all priced in’

A video sign displays the logo for Roku, after the company’s IPO at the Nasdaq Market in New York, September 28, 2017. Morgan Stanley lowered its rating on Roku to underweight from equal weight, saying the stock’s phenomenal climb this year fully reflects the company’s growth prospects and fails to recognize some key risks. “Roku shares are up over 400% YTD due to rising estimates and overall exuberance over all things streaming. Roku’s valuation levels have surged past digital media players and


A video sign displays the logo for Roku, after the company’s IPO at the Nasdaq Market in New York, September 28, 2017.
Morgan Stanley lowered its rating on Roku to underweight from equal weight, saying the stock’s phenomenal climb this year fully reflects the company’s growth prospects and fails to recognize some key risks.
“Roku shares are up over 400% YTD due to rising estimates and overall exuberance over all things streaming.
Roku’s valuation levels have surged past digital media players and
Morgan Stanley downgrades Roku, one of the hottest stocks of 2019: ‘It’s all priced in’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-12-02  Authors: michael sheetz
Keywords: news, cnbc, companies, stocks, note, companys, video, past, priced, 2019, york, weight, morgan, valuation, downgrades, hottest, stanley, roku, ytd


Morgan Stanley downgrades Roku, one of the hottest stocks of 2019: 'It's all priced in'

A video sign displays the logo for Roku, after the company’s IPO at the Nasdaq Market in New York, September 28, 2017.

Morgan Stanley lowered its rating on Roku to underweight from equal weight, saying the stock’s phenomenal climb this year fully reflects the company’s growth prospects and fails to recognize some key risks.

Roku’s stock fell more than 16% in trading on Monday.

“Roku shares are up over 400% YTD due to rising estimates and overall exuberance over all things streaming. As a result, we see the risk/reward skewed to the downside. Roku’s valuation levels have surged past digital media players and even past high-growth SAAS [software as a service] companies … despite structurally lower gross margins,” Morgan Stanley analyst Benjamin Swinburne said in a note to investors. The note was titled, “It’s all priced in.”


Company: cnbc, Activity: cnbc, Date: 2019-12-02  Authors: michael sheetz
Keywords: news, cnbc, companies, stocks, note, companys, video, past, priced, 2019, york, weight, morgan, valuation, downgrades, hottest, stanley, roku, ytd


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley says get defensive with stocks like Coca-Cola because of ‘late cycle’ economy

Trade tensions and the 2020 presidential election will add even more uncertainty to the aging U.S. economic recovery, making surefire defensive stocks and consumer staples more attractive investments, according to Morgan Stanley. “Trade, the election, and a late cycle economy keep the market searching for new leadership amid high uncertainty,” Wilson wrote. “We slightly favor the more defensive outcome given our well below consensus forecast for S&P 500 earnings growth next year.” Wilson also re


Trade tensions and the 2020 presidential election will add even more uncertainty to the aging U.S. economic recovery, making surefire defensive stocks and consumer staples more attractive investments, according to Morgan Stanley.
“Trade, the election, and a late cycle economy keep the market searching for new leadership amid high uncertainty,” Wilson wrote.
“We slightly favor the more defensive outcome given our well below consensus forecast for S&P 500 earnings growth next year.”
Wilson also re
Morgan Stanley says get defensive with stocks like Coca-Cola because of ‘late cycle’ economy Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-12-02  Authors: thomas franck
Keywords: news, cnbc, companies, stocks, cocacola, growth, 500, economy, wilson, market, defensive, target, election, morgan, late, 2020, cycle, stanley, wrote


Morgan Stanley says get defensive with stocks like Coca-Cola because of 'late cycle' economy

A customer shops as bottles of Coca-Cola Co. brand soda sit on display for sale.

Trade tensions and the 2020 presidential election will add even more uncertainty to the aging U.S. economic recovery, making surefire defensive stocks and consumer staples more attractive investments, according to Morgan Stanley.

Chief U.S. equity strategist Michael Wilson told clients in a note Monday that expectations of “disappointing” S&P earnings next year should allow companies like Coca-Cola, Lowe’s and McDonald’s to outperform the broader market.

“Trade, the election, and a late cycle economy keep the market searching for new leadership amid high uncertainty,” Wilson wrote.

“We expect the market to vacillate between a pro-cyclical outcome and a defensive one as data comes in and trade tensions and the election evolve,” he added. “We slightly favor the more defensive outcome given our well below consensus forecast for S&P 500 earnings growth next year.”

The investment bank sees GDP growth in the U.S. stabilizing below trend under 2% for the next year and labor costs accelerating, both of which are set to pose headwinds in the new year.

Wilson also reiterated his 2020 S&P 500 target of 3,000, which implies that the major market index will fall 4.5% over the next 13 months. The projection makes Morgan Stanley one of the two most-bearish brokerages tracked by CNBC: The median S&P 500 strategist target for year-end 2020 is 3,325, 5.9% above Friday’s close.

UBS is the only other firm with a target as low as 3,000.

Wilson said his lackluster forecast for U.S. equities comes despite easier monetary policy and hopes that trade relations between Washington and Beijing are improving.

In fact, Wilson wrote that central bank liquidity and positive seasonal data could boost the S&P 500 to overshoot the upper end of his 2020 bull case. But by April, he wrote, the liquidity tailwind should fade and the market will refocus on company fundamentals.

“Uncertainty means rotations should continue and their durability will depend on whether growth is accelerating or decelerating,” Wilson wrote. “With the S&P 500 currently above the upper end of the channel due primarily to excessive central bank balance sheet expansion, we think risk reward skews lower, and would prefer to be more opportunistic when adding risk.”


Company: cnbc, Activity: cnbc, Date: 2019-12-02  Authors: thomas franck
Keywords: news, cnbc, companies, stocks, cocacola, growth, 500, economy, wilson, market, defensive, target, election, morgan, late, 2020, cycle, stanley, wrote


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley reportedly fires traders over hiding currency trading losses

At least four traders at New York-based Morgan Stanley have been fired or placed on leave after reportedly concealing a loss of between $100 million and $140 million, a new report from Bloomberg News said. The traders in question allegedly mismarked, or purposely mis-priced, some emerging market currency trades, acccording to Bloomberg, which cited people with knowledge of the matter. At least some of the traders, who are based in New York and London, would be leaving the firm, the report said.


At least four traders at New York-based Morgan Stanley have been fired or placed on leave after reportedly concealing a loss of between $100 million and $140 million, a new report from Bloomberg News said.
The traders in question allegedly mismarked, or purposely mis-priced, some emerging market currency trades, acccording to Bloomberg, which cited people with knowledge of the matter.
At least some of the traders, who are based in New York and London, would be leaving the firm, the report said.

Morgan Stanley reportedly fires traders over hiding currency trading losses Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-29  Authors: pippa stevens
Keywords: news, cnbc, companies, revenue, hiding, million, traders, losses, morgan, report, stanley, fires, billion, bloomberg, currency, expecting, trading, reportedly


Morgan Stanley reportedly fires traders over hiding currency trading losses

At least four traders at New York-based Morgan Stanley have been fired or placed on leave after reportedly concealing a loss of between $100 million and $140 million, a new report from Bloomberg News said.

The traders in question allegedly mismarked, or purposely mis-priced, some emerging market currency trades, acccording to Bloomberg, which cited people with knowledge of the matter. At least some of the traders, who are based in New York and London, would be leaving the firm, the report said.

Revenue from trading remains important for the bank, even as CEO James Gorman shifts the bank’s focus from its trading and advisory businesses to its wealth management services.

The bank’s third quarter earnings results, reported in October, showed revenue of $10.1 billion, which was roughly $500 million above what analysts had been expecting. Revenue from the company’s bond-trading desks rose 21% year-over-year to reach $1.43 billion. This was $320 million more than the Street had been expecting. Stock-trading revenue came in at $1.99 billion, which was just under the Street’s estimate of $2.1 billion.

A representative from Morgan Stanley declined to comment.

-To read the full Bloomberg article click here.

WATCH: US dollar could weaken against euro, yen in 2020 says BNP Paribas


Company: cnbc, Activity: cnbc, Date: 2019-11-29  Authors: pippa stevens
Keywords: news, cnbc, companies, revenue, hiding, million, traders, losses, morgan, report, stanley, fires, billion, bloomberg, currency, expecting, trading, reportedly


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley says forecasting just the next two months, let alone 2020, is hard right now

With the year coming to a close Wall Street’s equity strategists are releasing their predictions for the coming year. “Forecasting the next two months, let alone a year, is hard, and uncertainty bands grow through the year,” Wilson wrote in a note to clients Monday. Additionally, given stocks’ recent run higher overall market sentiment as well as technical levels are beginning to look a little stretched. Soon, a subdued earnings outlook and deteriorating fundamentals will begin to take their tol


With the year coming to a close Wall Street’s equity strategists are releasing their predictions for the coming year.
“Forecasting the next two months, let alone a year, is hard, and uncertainty bands grow through the year,” Wilson wrote in a note to clients Monday.
Additionally, given stocks’ recent run higher overall market sentiment as well as technical levels are beginning to look a little stretched.
Soon, a subdued earnings outlook and deteriorating fundamentals will begin to take their tol
Morgan Stanley says forecasting just the next two months, let alone 2020, is hard right now Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: pippa stevens
Keywords: news, cnbc, companies, hard, forecasting, 2020, right, growth, stanley, uncertainty, trade, market, months, yearend, let, given, stocks, morgan, wilson


Morgan Stanley says forecasting just the next two months, let alone 2020, is hard right now

With the year coming to a close Wall Street’s equity strategists are releasing their predictions for the coming year. But Morgan Stanley’s Michael Wilson said that forecasting for even just the end of this year — let alone the entire 2020 — is difficult given all of the unknowns like the state of the ongoing trade negotiations between the United States and China.

“Forecasting the next two months, let alone a year, is hard, and uncertainty bands grow through the year,” Wilson wrote in a note to clients Monday.

“We could see growth surprising to the upside or the downside, depending on a number of uncertain outcomes on trade and rates,” he said. “Uncertainty means rotations should continue and their durability will depend on whether growth is accelerating or decelerating. We expect the market to vacillate between a pro-cyclical outcome and a defensive one as data come in and trade tensions and the election evolve,” he added.

In the near-term he said that stocks could rise as year-end seasonality and central bank liquidity support equities. But by April “the liquidity tailwind will fade and the market will focus more on the fundamentals, where uncertainty is higher than normal.” Additionally, given stocks’ recent run higher overall market sentiment as well as technical levels are beginning to look a little stretched.

“Headed into 2020, we distinctly had the sense that the optimism on global growth and what it means for markets is more of a show-me story from 2H on as the initial inflection in growth will need to be sustained, and that is harder to do given a still late cycle environment,” he said.

Soon, a subdued earnings outlook and deteriorating fundamentals will begin to take their toll and stocks will fall. His 2020 year-end target for the S&P is 3,000, which is about 4% below where the S&P is currently trading.


Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: pippa stevens
Keywords: news, cnbc, companies, hard, forecasting, 2020, right, growth, stanley, uncertainty, trade, market, months, yearend, let, given, stocks, morgan, wilson


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley upgrades Nvidia to buy, predicting 2020 will be ‘a return to solid growth’

Jensen Huang, president and CEO of Nvidia, speaks during the company’s event at the 2019 Consumer Electronics Show in Las Vegas on Jan. 6, 2019. Morgan Stanley raised its rating on Nvidia to overweight from equal-weight, as the firm sees the stock racing even higher in 2020 after a solid performance in a competitive year among semiconductor companies. Nvidia’s stock is up nearly 60% this year as of its previous close at $210.89. Shares of Nvidia rose 4.3% in trading Monday.


Jensen Huang, president and CEO of Nvidia, speaks during the company’s event at the 2019 Consumer Electronics Show in Las Vegas on Jan. 6, 2019.
Morgan Stanley raised its rating on Nvidia to overweight from equal-weight, as the firm sees the stock racing even higher in 2020 after a solid performance in a competitive year among semiconductor companies.
Nvidia’s stock is up nearly 60% this year as of its previous close at $210.89.
Shares of Nvidia rose 4.3% in trading Monday.
Morgan Stanley upgrades Nvidia to buy, predicting 2020 will be ‘a return to solid growth’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: michael sheetz
Keywords: news, cnbc, companies, predicting, speaks, sees, 2020, return, rose, solid, nvidia, growth, semiconductor, stanley, stock, buy, trading, upgrades, morgan, vegas


Morgan Stanley upgrades Nvidia to buy, predicting 2020 will be 'a return to solid growth'

Jensen Huang, president and CEO of Nvidia, speaks during the company’s event at the 2019 Consumer Electronics Show in Las Vegas on Jan. 6, 2019.

Morgan Stanley raised its rating on Nvidia to overweight from equal-weight, as the firm sees the stock racing even higher in 2020 after a solid performance in a competitive year among semiconductor companies.

Nvidia’s stock is up nearly 60% this year as of its previous close at $210.89.

Shares of Nvidia rose 4.3% in trading Monday.


Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: michael sheetz
Keywords: news, cnbc, companies, predicting, speaks, sees, 2020, return, rose, solid, nvidia, growth, semiconductor, stanley, stock, buy, trading, upgrades, morgan, vegas


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley upgrades Nvidia to buy, predicting 2020 will be ‘a return to solid growth’

Jensen Huang, president and CEO of Nvidia, speaks during the company’s event at the 2019 Consumer Electronics Show in Las Vegas on Jan. 6, 2019. Morgan Stanley raised its rating on Nvidia to overweight from equal-weight, as the firm sees the stock racing even higher in 2020 after a solid performance in a competitive year among semiconductor companies. Nvidia’s stock is up nearly 60% this year as of its previous close at $210.89. Shares of Nvidia rose 4.3% in trading Monday.


Jensen Huang, president and CEO of Nvidia, speaks during the company’s event at the 2019 Consumer Electronics Show in Las Vegas on Jan. 6, 2019.
Morgan Stanley raised its rating on Nvidia to overweight from equal-weight, as the firm sees the stock racing even higher in 2020 after a solid performance in a competitive year among semiconductor companies.
Nvidia’s stock is up nearly 60% this year as of its previous close at $210.89.
Shares of Nvidia rose 4.3% in trading Monday.
Morgan Stanley upgrades Nvidia to buy, predicting 2020 will be ‘a return to solid growth’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: michael sheetz
Keywords: news, cnbc, companies, predicting, speaks, sees, 2020, return, rose, solid, nvidia, growth, semiconductor, stanley, stock, buy, trading, upgrades, morgan, vegas


Morgan Stanley upgrades Nvidia to buy, predicting 2020 will be 'a return to solid growth'

Jensen Huang, president and CEO of Nvidia, speaks during the company’s event at the 2019 Consumer Electronics Show in Las Vegas on Jan. 6, 2019.

Morgan Stanley raised its rating on Nvidia to overweight from equal-weight, as the firm sees the stock racing even higher in 2020 after a solid performance in a competitive year among semiconductor companies.

Nvidia’s stock is up nearly 60% this year as of its previous close at $210.89.

Shares of Nvidia rose 4.3% in trading Monday.


Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: michael sheetz
Keywords: news, cnbc, companies, predicting, speaks, sees, 2020, return, rose, solid, nvidia, growth, semiconductor, stanley, stock, buy, trading, upgrades, morgan, vegas


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Best Buy earnings, housing data, consumer confidence: Three things to watch for in the markets Tuesday

Best Buy reports third quarter earnings before the bell on Tuesday. Morgan Stanley is expecting the retailer to report earnings per share of $1.01, compared to the 95 cents per share earned in the same period last year. The firm is forecasting domestic same-store sales growth of 1.4%. Morgan Stanley warned that Best Buy could report disappointing fourth-quarter guidance that overshadows an “eventful” Q3. Shares of Best Buy are up more than 11% in the past three months.


Best Buy reports third quarter earnings before the bell on Tuesday.
Morgan Stanley is expecting the retailer to report earnings per share of $1.01, compared to the 95 cents per share earned in the same period last year.
The firm is forecasting domestic same-store sales growth of 1.4%.
Morgan Stanley warned that Best Buy could report disappointing fourth-quarter guidance that overshadows an “eventful” Q3.
Shares of Best Buy are up more than 11% in the past three months.
Best Buy earnings, housing data, consumer confidence: Three things to watch for in the markets Tuesday Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: maggie fitzgerald
Keywords: news, cnbc, companies, share, sales, best, markets, morgan, growth, housing, watch, stanley, things, confidence, buy, report, months, consumer, data, past, earnings


Best Buy earnings, housing data, consumer confidence: Three things to watch for in the markets Tuesday

Here are the most important things to know about Tuesday before you hit the door.

Best Buy reports third quarter earnings before the bell on Tuesday. Morgan Stanley is expecting the retailer to report earnings per share of $1.01, compared to the 95 cents per share earned in the same period last year. The firm is forecasting domestic same-store sales growth of 1.4%. Morgan Stanley warned that Best Buy could report disappointing fourth-quarter guidance that overshadows an “eventful” Q3.

“Our checks with major consumer electronics brands and e-commerce retailers point to a sales growth deceleration over the past 1-3 months,” said Morgan Stanley equity analyst Simeon Gutman in a note to clients on Monday.

Shares of Best Buy are up more than 11% in the past three months.


Company: cnbc, Activity: cnbc, Date: 2019-11-25  Authors: maggie fitzgerald
Keywords: news, cnbc, companies, share, sales, best, markets, morgan, growth, housing, watch, stanley, things, confidence, buy, report, months, consumer, data, past, earnings


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Morgan Stanley: ‘Phase one’ US-China trade deal might be ‘as good as it gets’

An anticipated “phase one” trade deal between the U.S. and China will likely be inked, but the subsequent stages “remain distant,” according to one strategist at Morgan Stanley. “Our base case is that the phase one trade deal gets done and that might be about as good as it gets, that phase two and phase three remain distant next year,” Andrew Sheets, chief cross-asset strategist at Morgan Stanley, told CNBC at the Morgan Stanley APAC Summit on Thursday. The trade dispute between the world’s two


An anticipated “phase one” trade deal between the U.S. and China will likely be inked, but the subsequent stages “remain distant,” according to one strategist at Morgan Stanley.
“Our base case is that the phase one trade deal gets done and that might be about as good as it gets, that phase two and phase three remain distant next year,” Andrew Sheets, chief cross-asset strategist at Morgan Stanley, told CNBC at the Morgan Stanley APAC Summit on Thursday.
The trade dispute between the world’s two
Morgan Stanley: ‘Phase one’ US-China trade deal might be ‘as good as it gets’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-21  Authors: eustance huang
Keywords: news, cnbc, companies, deal, gets, morgan, good, uschina, economic, stanley, reported, remain, strategist, phase, trade


Morgan Stanley: 'Phase one' US-China trade deal might be 'as good as it gets'

An anticipated “phase one” trade deal between the U.S. and China will likely be inked, but the subsequent stages “remain distant,” according to one strategist at Morgan Stanley.

“Our base case is that the phase one trade deal gets done and that might be about as good as it gets, that phase two and phase three remain distant next year,” Andrew Sheets, chief cross-asset strategist at Morgan Stanley, told CNBC at the Morgan Stanley APAC Summit on Thursday.

Sheets’ comments come amid growing concerns over the state of trade negotiations between the U.S. and China, which have been embroiled in a protracted trade war for more than a year now. The trade dispute between the world’s two largest economies has weighed on financial markets and the global economic outlook.

Reuters reported Thursday, citing trade experts and people close to the White House, that a “phase one” trade deal between the two economic powerhouses may be delayed into next year. That news came after The Wall Street Journal reported that the ongoing trade talks could hit an impasse.


Company: cnbc, Activity: cnbc, Date: 2019-11-21  Authors: eustance huang
Keywords: news, cnbc, companies, deal, gets, morgan, good, uschina, economic, stanley, reported, remain, strategist, phase, trade


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post

Treasury yields tick lower amid US-China trade tensions

ET, the yield on the benchmark 10-year Treasury note , which moves inversely to price, was lower at around 1.7363%, while the yield on the 30-year Treasury bond was also lower at around 2.1999%. U.S. and Chinese officials had raised prospects of signing a phase one trade deal in a few weeks’ time, but the Wall Street Journal reported Wednesday, citing former Trump administration officials, that ongoing U.S.-China trade talks could hit an impasse. Meanwhile, Reuters, which cited trade experts and


ET, the yield on the benchmark 10-year Treasury note , which moves inversely to price, was lower at around 1.7363%, while the yield on the 30-year Treasury bond was also lower at around 2.1999%.
U.S. and Chinese officials had raised prospects of signing a phase one trade deal in a few weeks’ time, but the Wall Street Journal reported Wednesday, citing former Trump administration officials, that ongoing U.S.-China trade talks could hit an impasse.
Meanwhile, Reuters, which cited trade experts and
Treasury yields tick lower amid US-China trade tensions Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-21  Authors: silvia amaro
Keywords: news, cnbc, companies, deal, tick, amid, tensions, treasury, morgan, billion, yield, uschina, lower, stanley, trump, yields, phase, trade


Treasury yields tick lower amid US-China trade tensions

at 01:45 a.m. ET, the yield on the benchmark 10-year Treasury note , which moves inversely to price, was lower at around 1.7363%, while the yield on the 30-year Treasury bond was also lower at around 2.1999%.

U.S. and Chinese officials had raised prospects of signing a phase one trade deal in a few weeks’ time, but the Wall Street Journal reported Wednesday, citing former Trump administration officials, that ongoing U.S.-China trade talks could hit an impasse. Meanwhile, Reuters, which cited trade experts and people close to the Trump administration, reported that the completion of phase one of the trade deal could be pushed into the new year.

The U.S. and China have imposed tariffs on billions of dollars’ worth of one another’s goods since the start of 2018, battering financial markets and souring business and consumer sentiment.

Furthermore, according to Morgan Stanley, a phase one deal is perhaps the furthest both countries will go. “Our base case is that the phase one trade deal gets done and that might be about as good as it gets, that phase two and phase three remain distant next year,” Andrew Sheets, chief cross-asset strategist at Morgan Stanley, told CNBC at the Morgan Stanley APAC Summit on Thursday.

On the data front, the latest weekly jobless claims and Philadelphia Fed manufacturing figures for November will be released at around 8:30 a.m. ET. Existing home sales for October will follow slightly later in the session.

Meanwhile, the U.S. Treasury is set to auction $55 billion in 4-week bills, $40 billion in 8-week bills and $12 billion in 10-year Treasury Inflation-Protected Securities (TIPS).

Cleveland Fed President Loretta Mester is set to speak at 08:30 a.m. ET.


Company: cnbc, Activity: cnbc, Date: 2019-11-21  Authors: silvia amaro
Keywords: news, cnbc, companies, deal, tick, amid, tensions, treasury, morgan, billion, yield, uschina, lower, stanley, trump, yields, phase, trade


Home Forums

    • Forum
    • Topics
    • Posts
    • Last Post