US stocks slip as earnings disappoint; crude slides

Bloomberg

US stocks slipped as the latest results from major banks disappointed. Treasuries were little changed with the dollar.
The S&P 500 Index halted a three-day advance as Goldman Sachs Group Inc retreated after missing estimates for sales and trading revenue. Citigroup Inc was little changed after its revenue matched expectations. The benchmark for American equities is near a six-month high and less than 1 percent from its record after a torrid run so far in 2019.
The Stoxx Europe 600 Index traded in a tight range on Monday, as losses in mining shares offset increases in media and insurance. The euro strengthened for a second day. In Asia, equities approached a fresh six-month high, propelled by markets in Japan and Korea, following the Bank of China’s release of upbeat credit data.
With Chinese trade and lending data showing signs of improvement for the world’s second-biggest economy, investors are turning to the US earnings season to confirm the resilience of corporate America in the face of numerous challenges to growth. JPMorgan Chase & Co posted strong first-quarter results, and Bank of America Corp is up on Tuesday.
“You might say we’ve had this great bull recovery since the end of last year,” said Edmund Shing, global head of equity derivative strategy at BNP Paribas.
Central banks remain in the picture, with US President Donald Trump renewing his attack on the Fed leadership over the weekend, saying the stock market would be “5,000 to 10,000” points higher had it not been for the actions of US policy makers.
Elsewhere, West Texas oil contracts slipped after the longest run of weekly gains in three years as a report showed increased US oil-rig activity. Emerging market stocks pared early gains, while still heading for the 12th increase in 13 sessions. In currencies, Korea’s won jump the most since January.
Earnings season rolls on this week, with reports due from: Bank of America, BlackRock, Morgan Stanley, American Express, Johnson & Johnson, Netflix, IBM, United Continental, PepsiCo, Honeywell, Alcoa and Taiwan Semiconductor. The Reserve Bank of Australia releases the minutes of its latest rate-
decision meeting on Tuesday. Wednesday brings China GDP, industrial production and retail sales data. Stock markets will be closed for Easter holidays in countries including the US, UK and Germany on Friday.
The S&P 500 fell 0.1 percent in New York. The Stoxx Europe 600 Index rose 0.1 percent. The MSCI Asia Pacific Index advanced 0.5 percent, the largest gain in more than a week. The MSCI Emerging Market Index advanced 0.1 percent. Topix index gained 1.4 percent with the first advance in more than a week.
The Bloomberg Dollar Spot Index fell less than 0.05 percent to 1,192.18. The euro climbed 0.1 percent to the strongest in more than three weeks. The MSCI Emerging Markets Currency Index advanced 0.1 percent to the highest in more than three weeks. The South Korean won rose 0.6 percent.
The yield on two-year Treasuries advanced one basis point to 2.40 percent, the highest in more than three weeks. The yield on 10-year Treasuries fell less than one basis point to 2.56 percent. Germany’s 10-year yield climbed two basis points to 0.07 percent, the highest in almost four weeks.
Gold declined 0.4 percent to $1,285.03 an ounce, the weakest in more than 11 weeks. Brent crude fell 0.8 percent to $70.95 a barrel.