Global impact of covid-19
Initial claims for unemployment totaled 3.8 million last week. This means that 30.3 million Americans have lost their jobs in the last six weeks. The April jobless rate is projected to be in high double digits.
The U.S. and China are the world’s biggest consumers of petroleum. The U.S. Energy Information Administration estimates that Q1 U.S. oil consumption fell 2.9% compared to a year ago while China’s plummeted by 14.6%.
united states Unemployment Claims
Sharp declines in global oil consumption
Energy Sector Hit the Most
Eight of 11 S&P sectors witnessed a double-digit decline in Q2 EPS in April, led by Energy (-472%).
U.S. GDP contracted by 4.8% (annualized q/q%) in the first quarter. The decrease was largely driven by a 7.6% decline in consumer spending. Analysts surveyed by FactSet are currently expecting a 30% contraction in Q2.
Impact on global equity markets
According to FactSet’s Market Indices, U.S. equities are down 13.6% year-to-date, while European equities are down 21.0% and Chinese companies have lost just 0.8% of their value.
Five Economic Charts to Watch: United States
We're starting to get some clarity on the economic impact of the COVID-19 novel coronavirus on the U.S. economy with the help of some high-frequency indicators.
Prices remain at near 21-year lows
Brent crude futures were up 7.2%, trading at $26.60 per barrel, while WTI crude traded at $19.69, up 16.2% for the week ending May 2.
Oil rebounds as producers agree to supply cuts
U.s. unemployed claims
weekly update | 5.04.2020
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Q2 S&P 500 EPS estimates
The Q2 bottom-up estimate for the S&P decreased by 28.4% in April, which was the largest decline in the first month of a quarter since FactSet began tracking this data in 2002.