THURSDAY 4/16/15; FTSE Record High; European Record Low Yields; German Bund Record Low Yield 0.079%; GS; C; BLK; BX; UNH; PM; PPG; SHW; Housing Starts; ETSY; Philly Fed; Fed Speak; AXP; MAT; SLB

It is party time in Asia as stocks follow the US lead and end higher across the board. The SSEC jumps nearly +3% to 4195 another fresh seven-year high. The HSI gains +0.4%. The NIKK is up +0.1%. SPASX200 +0.7%. Australia’s job data is far above expectations creating positivity. The Aussie dollar rises to 0.7770.

The KOSPI is up +0.9% and goes parabolic. Price prints a new four-year high at 2140 gapping up for five consecutive days. The KOSPI is up from 2060 to 2140, 80 points, +3.9%, in only five days. In 3-1/2 months, the KOSPI rises from 1880 to 2140, 260 points, +13.8%. India stocks trade lower due to weakness in the heavy-hitters Tata, Infosys and Wipro.

President Putin holds the annual ‘call-in’ press conference event today. Russians are most interested in the economy. Putin stages the event and chooses the questions ahead of time.

European indexes begin trading on the negative side as worries continue over the Greece bailout drama. S&P downgraded Greece’s credit rating last evening. German FM Schaeuble is doubtful that a resolution will occur to the Greece debt problem at the 4/24/15 European finance ministers meeting. Schaeuble says Greece must make concessions and get its house in order otherwise the funding program will end on 6/30/15. Greece is out of time.

Diageo drops -2.5% after missing on booze sales in Europe, Asia and North America. Common people can no longer afford to drown their troubles. Interestingly, more Guinness is now drank in Nigeria than Ireland. Beer sales are doing better. SABMiller posts strong results and surges +2.3% higher. Unilever is up over +2% on robust global sales. BAE Systems drops -4% on a downgrade.

At 3:30 AM, US futures are flat. Euro 1.0639. Dollar/yen 119.40. WTIC oil 56.07. Brent oil 62.60. Natty gas 2.58. Gold 1204. Silver 16.39. Copper is up +1% to 2.7365.

At 4:40 AM EST, the DAX is down -0.7% and other European indexes marginally lower. The FTSE prints another record high at 7119.35 in the opening minutes before retreating. US futures are flat. Euro 1.0641. Dollar/yen 119.31. Pound 1.4826.

WTIC oil 55.97. Brent oil 62.59. Natural Gas 2.576 with inventories on tap in a few hours. Gold 1206. Silver 16.395. Copper is up +1.2% to 2.7445.

US Treasury yields are; 2-year 0.50%, 5-year 1.32%, 10-year 1.89%, 30-year 2.54%. The German 10-year bund yield loses the 0.10 level down to a new record low at 0.093%. The German 30-year yield drops under 0.50% to 0.497%. The central bankers continue to distort pricing in all asset classes around the world. A German 30-year yield at less than 50 basis points is remarkable.

At 5 AM, the France 5-year yield goes negative. Greece yields continue higher as concern grows over the bailout drama and the yield curve remains clearly inverted; 2-year 26.86%, 3-year 26.07% (first time above 26% since 2012), 5-year 16.84%, 10-year 12.80%, 30-year 9.67%. The German 10-year yield drops to a record low at 0.089% losing the 0.09% level. The German bund is falling like a stone in recent days. Other 10-year yields are; US 1.89%, UK 1.56%, Italy 1.29%.

In Frankfurt trading, NFLX is up +14%. GS gains 

















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 Seeing MTW, a crane provider and operator, down -5% in afterhours trading is not a positive sign for the economy. If construction was strong, cranes would be in huge demand.

Yemen is in chaos with Islamist radicals, both the Iran-backed Houthi rebels and al-Qaeda, taking over further territory including port cities and airports. Yemen is developing into a humanitarian crisis as millions of refugees flee the troubled nation. Fires are burning and lawlessness rules in Yemen. Palestinians and Israeli soldiers fire on each other in the West Bank over the last two days and Israel detains two dozen Hamas supporters.