Why COVID-19 And Energy Market Stand-Off Generating Acute Uncertainty?
March 20, 2020
Headlines about DWT stock or DWT stock news at https://www.webull.com/quote/nysearca-dwt have trended very negatively recently, InfoTrie Sentiment reports. This is identifying negative and positive press coverage company and it is also reviewing more than six thousand blogs and news sources in real-time. The firm is ranking coverage of publicly-traded companies on a scale of negative five to five, with scores nearest to five being the most favorable. NYSEARCA DWT TVIX company also assigned news stories about the company a news buzz of 0.0 out of 10, indicating that recent press coverage is extremely unlikely to have an impact on the company’s share price in the near term.
Global Stock Markets
As forecast last week, the spread of COVID-19 has generated severe financial market volatility, which was substantially worsened by the breakdown in production discipline within the global energy market, reflecting the stand-off between Russia and Saudi Arabia.
This has triggered further severe falls in global stock markets, a sizeable rally in safer debt instruments, and further risk aversion towards riskier assets:
- Early in the week, the entire US Treasury yield curve moved briefly to yield levels below 1%. Over one month, 10-year Treasury yields have declined by roughly 1%
- UK bond yields are having moved to new lows, reaching negative yields for the first time. Ten-year Bund yields have traded below -0.8%.
Lebanon default and other events
There are some major moves in global markets, other noteworthy developments the following:
- As warned, Lebanon failed to make payment of USD1.2 billion to repay the maturing debt on 9 March, with no suggestion that this would be rectified within the grace period.
- On 6 March, Prudential Financial (NYSE: PRU) announced that its latest financing package of USD1.5 billion included a USD500 million Green bond, the first of its kind by a US life assurer.
- The UK’s Municipal Bonds Agency, established in 2014 by 56 local authorities as a vehicle for local councils to pool their borrowing needs, has sold its first public bond. On 5 March, it raised GBP350 million of five-year debt, priced at 80 basis points over SONIA, on behalf of Lancashire County Council as sole end-user. The deal was twice subscribed.
- Deutsche Bank (NYSE: DB) has followed the example set by Banco Santander (NYSE: SAN) last year by announcing that it will not call USD1.25 billion of 6.25% Additional Tier 1 perpetual bonds when they first become callable on 30 April. You can also gain Nyse ne news at https://www.webull.com/quote/nyse-ne .