What’s in Today’s Report:
- How Positive is the Restart of Disinflation?
- Weekly Market Preview: Regional Bank Earnings This Week (Do They Ease Contagion Concerns?)
- Weekly Economic Cheat Sheet: First Look at April Economic Activity
Futures are little changed following a quiet weekend of news as investors await key regional bank earnings this week.
The only notable economic report this morning was Italian CPI, which fell –0.4% vs. (E) -0.3% and further implied that global disinflation has restarted (which is a positive).
Today we get the first look at April economic activity via the Empire Manufacturing Survey (E: -18.3) and markets will want to see stability (so not a continued steep drop). We also get the latest look at housing via the Housing Market Index (E: 45).
Additionally, regional bank earnings start and their commentary on deposits and “Held to Maturity” securities will be especially important. Some reports we’re watching today include: SCHW ($0.90), GNTY ($0.69), MTB ($3.98), JBHT ($2.05).