Month: April 2020

(Bloomberg) — Franklin Templeton will wind up $4.1 billion of Indian debt funds after a liquidity crisis compelled the firm to freeze investor withdrawals, underscoring persistent stress in credit markets as the coronavirus pandemic wreaks havoc on the global economy.The asset manager’s surprise announcement late Thursday marked the biggest-ever forced closure of Indian funds and fueled worries of a renewed wave of withdrawals from similar products. Indian corporate bonds slumped on the news, while banks and fund managers paced declines in the country’s stock market.“There is fear in the minds of investors that other mutual funds may not be immune …read more […]

(Bloomberg) — A boon to Sanofi’s profit and sales from the coronavirus outbreak will be short-lived as the pandemic hinders the drugmaker’s efforts to get some medicines to patients.The sales burst of the first quarter, when patients stocked up on diabetes and rare-disease medicines ahead of lockdowns, is waning, the Paris-based company said Friday. The pharma giant attributed about half of its 16% profit gain to Covid-19.Sanofi’s report also hinted at a worrisome trend that doctors have warned about: new patients not getting treatment for their ailments in the era of Covid-19.There was a decline in new patients with multiple …read more […]

(Bloomberg) — Consumers stocking up on frozen food and medicine provided a short-term boon for both Nestle SA and Sanofi SA in the first quarter.Nestle, the largest company in the Stoxx Europe 600 Index by value, posted its fastest sales growth in nearly five years in the first three months of 2020 as consumers snapped up frozen food, while French drugmaker Sanofi said pandemic-related stockpiling accounted for about half of its revenue increase in the period.Away from those near-term lifts, pessimism abounds in other industries, nowhere more so than in energy markets, where Italy’s Eni SpA slashed its production outlook, …read more […]

(Bloomberg) — The U.S. House of Representatives overwhelmingly passed a $484 billion coronavirus aid package, replenishing funding to aid small businesses and provide support for hospitals and virus testing.The number of cases and deaths in Germany rose by the most in nearly a week, while U.S. infections increased at the slowest pace in three weeks. Singapore reported 897 new cases after infections topped 1,000 for four straight days.U.K. retail sales fell the most since records began, though consumers stocking up on frozen food and medicine provided a short-term boost for Nestle SA and Sanofi SA. Gilead Sciences Inc. shares sank …read more […]

(Bloomberg) — Deutsche Lufthansa AG risks running low on cash within weeks, with the German airline saying the global oil rout has deepened its distress, and its survival now depends on a multibillion-euro bailout from four states.Liquidity will fall sharply if Europe’s largest carrier is unable to soon access aid, Lufthansa said late Thursday. The coronavirus pandemic has forced the sprawling airline group to halt most flights, choking off revenue while outgoing costs for ticket refunds and financial obligations strain its reserves.Lufthansa is discussing a package worth up to 10 billion euros ($10.7 billion) including guarantees, loans and some form …read more […]

Continental Resources Inc , the company controlled by billionaire Harold Hamm, stopped all drilling and shut in most of its wells in the state’s Bakken shale field, three people familiar with production in the state said on Thursday. Global oil prices have plunged because of excess supplies and tumbling demand due to the coronavirus crisis. U.S. crude prices plunged into negative territory this week – meaning suppliers had to pay people to take oil – due to lack of storage space, prompting moves by operators to halt output. …read more […]

(Bloomberg) — Gold headed for a weekly advance on expectations there’ll be more stimulus measures to boost coronavirus-hit economies, with RBC Capital Markets predicting allocations to bullion will increase, at least for now.“The combination of low rates, massive stimulus, and high uncertainty point toward gold allocations rising regardless of whether equity markets improve materially,” though that may not coincide with higher prices, analysts led by Helima Croft said in a note.Bullion is trading near the highest in more than seven years as the pandemic triggered an unprecedented wave of stimulus from governments and central banks, and investors seeking a haven …read more […]