Business

Earlier today, the OPEC released its latest monthly forecast which echoed what the IEA said yesterday, as the organization which Roseneft CEO Sechin said has "practically stopped existing", said shrinking U.S. output and massive cuts to investment in new projects will reduce the global oil glut over the course of this year, potentially pushing world-wide oil production lower than demand in 2017.

In the latest indication of contracting global growth, overnight Hong Kong reported that its Q1 GDP fell off a cliff 0.4% qoq, widly missing estimates of 0.1% growth as retail sales plummeted and the property market continued its collapse. On a y/y basis, the economy grew only 0.8% when compared to the same period last year, less than half the 1.9% y/y growth reflected in Q4. 

Following March's plunge in retail sales (dragging YoY to just +1.6% - recessionary territory) as Auto sales tumbled, April retail sales printed a large 1.3% surge (versus expectations of a 0.8% rise). This is the 3rd biggest MoM rise since 2010, which is odd given the utter collapse in retailers earnings and most crucially outlooks! Soaring gas prices helped but auto sales rebounded as did Amazon non-store retailers.

In what is now a weekly tradition for the new bond king, overnight DoubleLine's Jeff Gundlach spoke to Reuters' Jenn Ablan following his periodic investor conference call, to discuss such things as the Fed's rate hike, on which he remains understandably skeptical and said the Fed will be "challenged" to raise interest rates this year.  Specifically he said that there appears to be "some (hawkish) rebellion showing up at the Fed." This came following the latest statement by Kansas City Fed President and noted hawk, Esther George, who  said on Thursday that the Fed is keeping interest rates t

• Nerves dominate before U.S. retail numbers (Reuters)
• Stocks Give Up Week’s Gains as Commodities Fall; Yen, Bonds Rise (BBG)
• Apple Invests $1 Billion in Didi, Uber’s Rival in China (WSJ)
• Dollar hits two-week high, posts best fortnight since February (Reuters)
• OPEC Sees Rival Oil Production Declining as Markets Rebalance (WSJ)
• Trump on best behavior as he woos Republicans but differences remain (Reuters)
• Hedge Fund Star: We Are ‘Under Assault’ (WSJ)
• German GDP growth picks up sharply (MW)