FED, Disney, United States discussed on Wall Street Breakfast
Morning today is March thirteenth. I'm Dan Schwartzman Interest Brown and this is Wall Street breakfast volatilities. Returning to Wall Street. After the major averages suffered their worst sessions since the Black. Monday market crash in nineteen eighty seven yesterday. Dow Futures started the night indicating a further opening loss of seven hundred points at the. Lowes but are now pointing to gain of nine hundred points while S. and P. Five Hundred. Nasdaq futures are ahead by four point. Three four point seven percent respectively corona virus uncertainty quickly morphed into panic on Thursday as the S&P five hundred plummeted nine point five percent joining the Dow which fell twenty three hundred points in a bear market. The plunge also highlighted the diminishing ability stimulus to dampen shock waves as the Fed announced over one trillion dollars in repo operations on ECB expanded its asset purchase program by one hundred twenty billion euros circuit breakers were triggered in many exchanges across Asia overnight following the worst day for Wall Street since nineteen eighty seven though thing settled out somewhat by the end of the session. The Nikkei closed six percent lower after falling as much as ten percent. The KOSPI was off three point. Four percent every hitting a low of eight point four percent in Australia's asx two hundred reverse course to gain four point four percent after sinking more than eight percent. European stocks jumped four percent of the open Friday amid temporary short selling bans and pledges from France to support state-backed firms though the gains still paled in comparison to the record-setting declines in the previous session despite a five percent rise this morning to thirty three dollars a barrel crude oil is set to record a nearly twenty one percent. Drop this week Martin. Worst week since the financial crisis oil is down almost fifty percent year to date justice. Travel bans canceled events in other coronas disruptions demand Russian. The Saudis are also digging deeper in their oil price war even safe haven assets such as gold and bonds were ditch to cover losses in yesterday's wipeout while Bitcoin fell as much as fifty percent in two days. Traders expect the Fed to cut rates by one hundred basis points at its March meeting. Which would bring the Federal Funds Target Range? Two zero two point two five percent from one to one point two five percent. Currently the CME Fed watch tool puts the probability of a one percentage point rate cut at eighty six point seven percent verse fifty point two percent a day ago and zero percent a week ago. Bank stocks reflected that expectation trading on Thursday with the financial select sector spider. Etf sinking eleven percent. New York City has declared a state of emergency choosing to ban events over five hundred people including closing Broadway theaters. The Supreme Court building is now closed to the public major league. Baseball has delayed the regular season by at least two weeks and the NCAA has cancelled march madness. Canadian Prime Minister Justin Trudeau will also remain in isolation for two weeks after his wife Sophie tested positive for the virus in some better news. All of Apple's forty two stores in China reopened today without a lifeline from governments. We will have a sectoral financial crisis. According to the International Air Transport Association which called for extending lines of credit to airlines reducing infrastructure costs and cutting taxes. The last week estimated that the crisis could wipe out some one hundred thirteen billion dollars of industry revenue forecast that did not include the US clamp down on European travel quote. There's a heightened concern. There will be increased airline bankruptcies in twenty twenty given the fallout from the corona virus at Cowan analyst Helene. Becker we expect some governments to step in to help some airlines but ultimately we expect more airlines to fail this year than last year. Millions more Americans are expected to work from home as employers increasingly issued telecommute directives due to the corona virus as a result. At and T. Is Waving data over fees for all home Internet users who are not currently on unlimited data plans while comcast said it would up the data speeds on the Internet Service? It offers too low income customers verizon similarly announced it would boost its capital guidance range from seventeen to eighteen billion dollars to seventy point five to eighteen point five billion dollars in twenty twenty two accelerate its quote transition to five G and help support the economy during this period of disruption new Disney. Ceo Bob Shape. Pack is facing his first major challenge as follow from the corona virus affects many areas of the company and announced Thursday. The closure of Disneyland Disney California adventure from March fourteenth through the end of the month. A Walt Disneyworld is shuttering until April. The firm is also likely to take a hit at the box office Milan. The new mutants and antlers have been pulled off Disney's film scheduled for now impacting. Eighteen ships carnival is halting all ship operations for Princess cruises for sixty days due to the corona virus while this is a difficult business decision. We firmly believe it is the right one and his in alignment with our company's core values. Ceo John Schwartz declared rest assured the long-serving dedicated professionals at our company will make best use of this time to prepare Princess Cruises Fleet cruise ships for successful return to operations in other news. Amazon tells all of its employees to work from home if they can walgreens and kroger limit some product purchases. The Pentagon asked for time to reconsider the jet cloud contract decision. Washington State repeals a Boeing tax break L. Brands appoints a new board chair to replace Leslie. Wexner Altria sees jewel co-founder exit. The board a Microsoft cancels its in-person build conference. There were some key earnings reports yesterday. Broadcom dropped nearly ten percent after reporting a rare profit. Miss Oracle rose four point four percent after hours on strong cloud demand and work from home play favorite slack. Technologies dropped nearly twenty percent despite beating estimates as of six twenty am. Today the Nikkei is down six percent but European markets in US futures as well as crude. Oil Are.