Markets Overview

  • ASX SPI 200 futures up 0.9% to 7,048.00
  • Dow Average up 1.0% to 32,134.46
  • Aussie up 0.3% to 0.6685 per US$
  • U.S. 10-year yield rose 9.4bps to 3.6663%
  • Australia 3-year bond yield fell 16 bps to 3.05%
  • Australia 10-year bond yield fell 6.9 bps to 3.45%
  • Gold spot down 0.6% to $1,902.40
  • Brent futures down 3.9% to $77.60/bbl

Economic Events

US stocks rallied into the close as traders wagered the worst of the banking turmoil has passed. Treasuries fell.

The S&P 500 recovered much of its lost gains in the late afternoon session after a Russian fighter jet colliding with a US drone tamped down the initial enthusiasm. The tech-heavy Nasdaq notched its biggest one-day gain in six weeks.

The relief rally in banking stocks was crimped as the KBW Bank Index ended the day with a 3.2% gain. Remarks from ratings companies on the financial sector underscored the fragile sentiment as markets were jolted by the biggest American bank failures since the financial crisis.

Moody’s Investors Service cut its outlook on the sector on the heels of the trio of banking collapses over the past few days. First Republic Bank triggered a volatility halt after S&P Global Ratings placing the company on watch negative.

The two-year Treasury yield climbed to 4.3%— following a three-day swoon that was the biggest in decades amid the tumult — after data showed inflation remained elevated in February. Swaps traders once again expect the Fed to lift rates by a quarter percentage point. Odds of an increase had slipped to nearly 50-50 on Monday.

US consumer prices rose 0.4% in February, meeting economists’ forecast. The closely watched core CPI number — which excludes food and energy — increased 0.5%, just ahead of the median estimate of 0.4%.

Other News

China needs to call Rihanna for some umbrellas to weather this phenomenon of nature.

Citizens of the Chinese province of Liaoning were told to find shelter after it looked like it started to rain worms.

A viral clip showed the area apparently being showered with little worms, which were splattered all over cars.

The video showed residents covering themselves with umbrellas as they go along with their routines and wander past.

While the cause of the slimy creature calamity has yet to be uncovered, the scientific journal Mother Nature Network suggested that the animals were dropped after being swept up by heavy winds.

The periodical also noted that this type of occurrence happens after a storm when insects are caught up in a whirlpool.

Another theory suggested that the worms were actually poplar flowers — a tulip tree whose blooms resemble the squirmy beasts.

Viewers were stunned by the city’s current problem, with one person stating: “These are not worms or animals, but flower stalks dropped from trees.”

Someone else claimed that the video was fake and looked like a prank.

“Strange phenomena,” a user added, with another weighing in, “If i was just minding my business on a casual day in China and it started raining worms ?? i’d just die.”

A similar odd event went down last December when it was believed that iguanas could rain down from trees in Florida due to colder temperatures.

“They slow down or become immobile when it’s below 40,” WFTV meteorologist Brian Shields posted on Twitter last winter. “They may fall from trees, but they aren’t dead.”

The incident is reportedly not uncommon when colder weather hits the Sunshine state. When temperatures drop, the reptiles become stiff and tumble to the ground.

While thermometer plunges stun the invasive reptiles, the iguanas won’t necessarily die. Many will simply wake up as temperatures rise.

(New York Post)