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Apple earnings crushed estimates. The company announced earnings of $US2.33 per share, easily outpacing the $US2.16 that was expected. Revenues jumped 24.4% to $US58.01 billion. The closely followed iPhone sales metric surged 40% to 61.2 million, handily beating the 58.1 million that Wall Street was anticipating. Apple announced it will be returning $US200 billion through buybacks and dividends over the next two years.
A referendum is possible in Greece. Greek Prime Minister Alexis Tsipras believes a deal with creditors can be reached before the May 12 debt repayment to the IMF, but the terms will dictate whether or not the people will decide how to proceed. Greece’s 3-year yield is sharply lower, down 398 basis points at 22.32%.
UK GDP disappointed. The UK economy grew at a 0.3% year-over-year clip, missing the 0.5% YoY reading that was expected. This was the last big data point scheduled for release before the general election on May 7. Great Britain’s pound is up 0.3% at 1.5278.
Japanese retail sales cratered. Retail sales plunged 9.7% YoY in March, posting a much weaker reading than the 7.4% YoY drop that was anticipated. The data was largely impacted by last April’s tax hike, which caused shoppers to load up on big ticket items ahead of the increase. Japan’s yen is stronger by 0.1% at 118.90 per dollar.
BP beat on the top and bottom lines. The oil giant earned $US0.14 per share, doubling the $US0.07 gain that was expected. Revenues plunged 40.9% YoY to $US54.2 billion as a result of the drop in oil prices, but still topped the $US51.9 billion that was expected.
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Aetna announced a mixed quarter. The health insurer earned $US2.39 per share, excluding non-recurring items, handily beating the $US1.94 estimate. Revenues climbed 8% YoY to $US15.09 billion, but fell short of the $US15.5 billion that was expected. The company announced upside full year 2015 EPS guidance of $US7.20-$US7.40, which outpaced the $US7.00-$US7.17 Wall Street was looking for.
Deutsche Bank co-CEO Juergen Fitschen stands trial. According to AFP, Fitschen is accused of “giving false testimony in a long-running legal battle with the defunct Kirch media group.” He is facing 1 to 10 years in prison, if found guilty.
Tyson Foods will eliminate the use of human antibiotics. The largest poultry producer in the US will eliminate the use of human antibiotics by 2017. The announcement comes after McDonald’s said it was aiming to have human antibiotic-free chicken within the next two years.
Global stock markets are mixed. France’s CAC (-1%) leads the way lower in Europe. Overnight, China’s Shanghai Composite (-1.1%) lagged while India’s Sensex (+0.8%) outperformed. In the US, S&P futures are down 4.75 points at 2100.00.
US economic data is light. The Case-Shiller 20-city Index is due out at 9 a.m. ET and consumer confidence is scheduled to be released at 10 a.m. ET. Treasury will auction $US35 billion 5-year notes at 1 p.m. ET. The US 10-year yield is unchanged at 1.92%.