In Europe this morning news is surfacing that the Dutch PM is facing criticism internally in his own coalition over his tough stance against coronabonds (read about the concept here) to help Southern Europe fighting the COVID-19 virus and its shock to the economies. In Denmark the government will issue its first 30-year bond in more than a decade (DKK 5bn of 0.25% coupon 2052 at 0830 GMT) which will be the first indication of capital markets’ willingness to finance large stimulus programmes in Europe.
Abbott Laboratories will be in focus this month as the company has got FDA approval for 5-minute test for COVID-19 which will be portable and thus possible to provide to clinics and general practitioners. This type of test, which happens to be the fastest in the world, is crucial as countries will need widespread testing procedures as countries open up following lockdowns. Given the global size of the COVID-19 testing market this could be big for Abbott and we see observe heavy volume in April call options at the $100 strike level and in May call options at $90/$95/$100 levels.