The Austrian, Belgian, Greek, French, Italian and Spanish securities regulators have jointly decided to end their short-selling bans that had been in place since the middle of March. Other countries including Germany and the U.K. didn’t impose bans.
-- Steve Goldstein, MarketWatch
Applications to purchase a home rose for the fourth straight week, jumping a decisive 11%. They were still 10% lower compared with the same week one year ago but that annual loss has been shrinking markedly. Last week, purchase volume was down 19% annually, and one month ago it was down 35%.
-- Diana Olick, CNBC
Housing trying to support economy
The Labor Department said on Tuesday its consumer price index tumbled 0.8% last month after falling 0.4% last in March. That was the largest decline since December 2008, and marked the second straight monthly decrease in the CPI.
-- Lucia Mutikani, Reuters
Americans pulled back on revolving credit — namely their credit card use — as states began to impose shelter-in-place orders, new data from the Federal Reserve shows.
-- Courtenay Brown, Axios
Perhaps the biggest risk is that negative real rates point to a rising threat of deflation. That’s not so easy to shrug off amid a deep recession. This much is clear: the world is awash in debt, and the burden of servicing that debt will grow sharply amid deflation.
-- James Picerno, The Capital Spectator
Mortgage applications to purchase a home rose for the third straight week, up 7% from a week earlier. Purchase volume was still 19% lower annually, but that annual loss is shrinking by the week. Just three weeks ago, purchase volume was down 35% annually. Demand last week was led by strong growth in Arizona, Texas and California.
-- Diana Olick, CNBC
With tax revenue plunging and unemployment benefit costs skyrocketing, budget shortfalls for state governments alone are projected to swell to more than $650 billion over the next three years, outpacing the Great Recession, according to the Center on Budget and Policy Priorities.
-- Amanda Albright, Danielle Moran and Fola Akinnibi, Bloomberg
Two weeks ago we heard from the large banks. A generation ago, we would buy or sell the S&P 500 on what they had to say, but not anymore. Traders aren’t involved with their stocks now the way they once were and long-term investors in bank stocks have begun to regard them as regulated utilities. And regulated utilities rarely engender the kind of passion necessary to make bulls turn bears or vice versa.
-- Joshua M Brown, The Reformed Broker
There's not going to be any desire on the Republican side to bail out state pensions by borrowing money from future generations. We'll certainly insist that anything we'd borrow to send down to the states is not spent on solving problems that they created for themselves over the years with their pension program.
-- Senate Majority Leader Mitch McConnell