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United Nations chief António Guterres has said the coronavirus pandemic has unleashed a “tsunami of hate and xenophobia, scapegoating and scare-mongering”, and appealed for an all-out effort “to end hate speech globally.”

“…As speculation swirled about where the virus originated, Guterres said migrants and refugees have been vilified as a source of the virus and then denied access to medical treatment.”

https://www.theguardian.com/world/2020/may/08/global-report-china-open-to-cooperate-with-who-on-virus-origin-as-trump-repeats-lab-claim


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The U.S. economy likely lost a staggering 22 million jobs in April

“…the Labor Department’s monthly employment report on Friday is also expected to show the jobless rate surging to at least 16% last month. That would shatter the post-World War Two record of 10.8% touched in November 1982.”

https://www.reuters.com/article/us-usa-economy/great-depression-like-u-s-job-losses-unemployment-rate-expected-in-april-idUSKBN22K0E1


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After falling sharply in March, housing confidence among consumers took an even deeper dive in April

“Consumers suddenly have a much more pessimistic view of buying and selling conditions. In addition, more consumers said their household income is now significantly lower than it was a year ago.”

https://www.cnbc.com/2020/05/07/consumer-confidence-in-housing-falls-to-lowest-level-since-subprime-crash.html


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For the first time in a while, bond traders are fretting over the U.S. government’s yawning fiscal deficits.

Investors had been bracing for a deluge of new debt issuance in anticipation that the fiscal stimulus measures, healthcare spending, and hit to local and state budgets, resulting from the coronavirus pandemic, would require the Treasury Department to find buyers for trillions of government debt.”

https://www.marketwatch.com/story/analysts-warn-a-deluge-of-new-us-government-debt-could-spark-bond-market-tantrum-2020-05-07


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The Fed may not be explicitly buying equities, but its purchases have indirectly caused hundreds of billions to flow into them by pushing bond prices higher.

“As they expand from government to corporate bonds, this very well may continue a cascading effect that’s already been occurring.”

https://www.thestreet.com/investing/fed-bond-buying-driving-stock-market-rally


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U.S. banks are tightening standards on business and credit-card loans at a rate comparable rate to 2008, according to the latest Senior Loan Officer Opinion Survey on Bank Lending Practices, which is published every few months by the Federal Reserve.

“Banks are also tightening standards on every other category of loan, including auto loans and mortgages.”

https://www.barrons.com/articles/banks-are-tightening-lending-standards-like-it-was-2008-again-51588881348?mod=md_home_pan_mkt_news


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The European Central Bank has offered to pay eurozone banks if they keep loans flowing to eurozone businesses. But many banks—still struggling with bad loans left over from the last crisis—have turned the central bank down

“…the stimulus relies on a eurozone banking sector that is weak, fragmented and burdened with problem debts from its last crises.”

https://www.wsj.com/articles/ecb-offers-to-pay-banks-to-keep-credit-flowing-but-lenders-say-no-11588797428


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The world is already experiencing the worst global economic recession in the postwar period, so the last thing its global economy needs is another round of the Italian sovereign debt crisis.

“Yet that seems to be what the German constitutional court now has set it up to experience by throwing into question the legality of the European Central Bank’s bond-buying program.”

https://nationalinterest.org/feature/could-italy-default-its-debt-due-coronavirus-151791


Japan’s household spending plunged in March and service sector activity shrank at a record pace in April, reinforcing expectations that the COVID-19 pandemic is tipping the world’s third-largest economy into deep recession.”

https://www.japantimes.co.jp/news/2020/05/08/business/economy-business/pandemic-recession-spending/#.XrULtqhKjIU


Australia’s central bank on Friday predicted the country is facing its biggest economic contraction on record and said it was committed to supporting jobs and incomes as the government announced plans to relax pandemic-related restrictions by July.”

https://uk.reuters.com/article/us-australia-economy-rba/australia-central-bank-sees-worst-economic-slump-on-record-as-government-lays-out-reboot-plans-idUKKBN22K07N


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Brazil’s President and Economy Minister have warned that Latin America’s largest economy is on the verge of collapse, underlining the Government’s controversial view that the fallout from social-distancing measures could be worse than the novel coronavirus itself…

“Brazil’s currency sank to an all-time low on Thursday…”

https://www.abc.net.au/news/2020-05-08/coronavirus-warnings-brazil-economy-on-verge-of-collapse/12227298


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More cases are starting to come in as we observe Argentina moving toward a default on $323 billion worth of its debt toward the end of May. The concern is that defaults or bankruptcies will begin to accumulate into a plethora of unhappy situations, highlighting the fact that the current concern should be solvency, not just liquidity.

“The question then becomes, do central banks and governments really have the means to fight a cumulative collapse in the debt markets?”

https://seekingalpha.com/article/4344024-world-debt-crisis-be-sure-to-add-argentina


The international community has mobilised $9trn in fiscal and monetary stimulus, but Africa’s share will amount to a meagre 2% – and even that is a generous estimate.”

https://www.theafricareport.com/27617/coronavirus-africa-given-shortest-end-of-global-stimulus-stick/


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It’s difficult to quantify the number of people in need during a crisis, but early indications suggest as many as 34% of people in South Africa have gone to bed hungry during the lockdown.

“There were millions of people living in poverty before Covid-19 and millions more now need food, urgently.”

https://www.dailymaverick.co.za/article/2020-05-08-hunger-numbers-millions-millions-millions-need-food/


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With most informal workers having no other means of support, they face an almost unsolvable dilemma: to die from hunger or from the virus, the briefing says.

“This has been exacerbated by disruptions in food supplies, which has particularly affected those in the informal economy.”

https://www.africanews.com/2020/05/07/contagion-or-starvation-the-stark-choice-for-informal-workers-during-the-covid-19-pandemic/


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International tourism faces its worst crisis since records began, with up to 1.1bn fewer people taking trips globally in 2020.

“The scale of the coronavirus pandemic’s impact is outlined in a report by the World Tourism Organization (UNWTO), which predicts a decline in international arrivals of between 58% and 80% this year.”

https://www.theguardian.com/travel/2020/may/07/world-tourism-faces-worst-crisis-since-records-began-says-unwto-report


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Makes you wonder what they will look like for April…

It doesn’t take an expert automotive market analyst to realize that the COVID-19 outbreak and the ensuing lockdowns across the globe would leave deep scars on new car sales. However, we do need analysts to give us the lowdown on sales numbers and, as you would expect, they’re catastrophic.”

https://www.carscoops.com/2020/05/march-global-car-sales-down-39-worse-than-during-2008-financial-crisis/


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The current upheaval caused by the coronavirus (COVID-19) pandemic and the Opec oil price war has sent marine gas oil (MGO) prices collapsing at the fastest pace even exceeding the demise of the global financial crisis in 2008 and oil crash in 2014, Bimco noted in a recent analysis report.”

https://www.seatrade-maritime.com/bunkering/volatile-oil-market-sends-bunker-prices-collapsing-fastest-rate


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