The View from 5th Avenue

The View at Two – 20 April 2021

Anniversaries are the Worst… On this day last year we learned that $0 is not, in fact, the ultimate support level, as WTI crude contracts added to the madness of Spring 2020 by dipping into negative price territory. Of course things are a lot different now, both for the price/outlook of crude and for markets overall, but perhaps it’s the scarring memory that’s knocked the commodity more than -2% off its early morning gains before settling down. Ok, maybe it’s more likely that oil is simply one of the easier targets getting caught up in the risk-off move today, but the result is the same for stocks: that is, mostly red as a mixed bag of earnings (and the anticipation of NFLX after the bell) has prompted investors to take some chips off the table. Recent reflation winners are bearing the brunt of the damage (Banks, Energy, Hotel/Leisure all underperforming) but Tech/Semis aren’t faring much better; Defensives Utilities, Real Estate, and Household Goods are left as the relative outperformers as the 10-year yield sinks back towards 1.55%. Some other notables:

The content on this site is available to all Redburn clients as part of Redburn Execution’s standard service. It is not considered substantive research and there are no commercial implications to viewing these pages.

Please enter your email address below to view this page. If you are still unable to access the page, please speak to your account manager.