Markets started the week in consolidation mode following a strong performance last week after the US Federal Reserve expanded its bond buying programme to include more corporate issuance. The intervention did a lot to further steady credit markets, but investors will be looking closely at earnings as US companies begin reporting in the coming days and weeks.
- Positive momentum in equities continued, but the volatility is not over yet
- The Federal Reserve seems determined to do whatever it takes to keep the Covid 19 shutdown from turnign into a financial crisis
- The earnings season is likely to be a bit nervous and we would like to see what bad news comes out before looking at recovery investments
