The S&P 500 followed global equity markets down, falling 1.71 per cent on the day as Spanish and Italian sovereign bonds sold off while yields on US Treasuries and German bunds plummeted. (Financial Times) This is the S&P's fifth consecutive down day, the longest such stretch since last November. European bank shares were hit especially hard. Dealbook Alcoa reported a first-quarter profit to kick off earnings season in the US just after the close of trading in New York. Reuters and Alcoa press release "China's Communist party formally dismissed one of its most powerful leaders, Bo Xilai, from his positions atop the ruling hierarchy and arrested his wife on suspicion of murdering British businessman Neil Heywood," the FT reports. Best Buy chief executive Brian Dunn resigned just a few weeks after announcing a turnaround strategy, as investors lost confidence in his ability to lead the company in competition against online retailers. Rick Santorum has dropped out of the race to become the Republican presidential candidate, all but ensuring that Mitt Romney will get the nomination. The SEC has begun looking through new information that hedge funds were forced to disclose in search of potential threats to investors. Inflation week in the US begins with import and export prices on Wednesday morning at 8:30am EST (PPI and CPI to follow on Thursday and Friday). The Fed's Beige Book, which gives a recent update of economic conditions in each Federal Reserve District, will be released at 2pm EST. And look for several speeches from FOMC members - including one from Janet Yellen, a close ally of Bernanke on the FOMC, on the economic outlook at 6:15pm... Elsewhere, Singapore first quarter GDP and Japanese machine orders. Shadow banking in China is a deadly business. Shareholders of Barclays are none too happy about recent rewards given to its executives. Felix predicts the winner of the upcoming Europe debate. Free Exchange on the IMF on dealing with debt. Political labels, political identities, and bias. The Fed sold half its short-term notes via Operation Twist. This entry was posted by Cardiff Garcia on Tuesday, April 10th, 2012 at 22:30 and is filed under Capital markets.