Business

Following what was one of the most volatile Q1’s on record, Q2 kick started the second quarter on a positive note in April. According to DB (whose stock has failed to meaningfully rebound from recent lows) while performance didn’t quite match those lofty gains made in March, in the face of a number of key central bank meetings and also the commencement of earnings season in the US and Europe – for which expectations were low – risk assets in particular have shown a reasonable degree of resilience on the whole.

• Puerto Rico Development Bank Won’t Make Most of a Debt Payment Monday (WSJ)
• Why the jump in futures? Tokyo slide keeps mood downbeat (Reuters)
• Indiana to test Donald Trump’s staying power with evangelicals (Reuters)
• Gold Rallies Above $1,300 for First Time Since January 2015 (BBG)
• This Tech Bubble Is Bursting (WSJ)
• Valeant’s CEO Was Key Force on Pricing (WSJ)
• US banks sound caution on commercial property loans (FT)
• As oil plows through $45 a barrel, U.S. producers rush to lock in prices (Reuters)

While it wasn't exactly breaking news, with consensus having long ago decided that Halliburton and Baker Hughes would ultimately call off their ill-timed $28 billion merger announced in late 2014 following recurring media leaks, overnight the two companies officially ended speculation when they announced that the contested merger would be called off, resulting in a $3.5 billion termination fee payable to Baker Hughes. And with its immediate future somewhat in limbo, moments ago Baker Hughes outlined its "path for the future."

It included the following key steps:

It has been a busy weekend for mostly negative newsflow.

The Panama Papers leak was for appetizers. The real leak, one which took place quietly and under the radar a few days ago, and may have exposed far more wealthy and important individuals, was that of the Qatar National Bank - the Middle East's largest lender by assets - where a massive 1.5 GB data dump posted online last week exposed the personal data of thousands of clients.