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CDX -0.3/-2 tighter on the open, S&P futures +0.3%, 6 $IG issuers expected.

CREDIT UPDATE
  • Not a great day for airline stocks in pre-market; Southwest (-7%), American (-4%) & Delta (-1.5%) leading losses in SPX.
  • Southwest is cutting capacity on Boeing delivery challenges but also noted FY guidance may need to be revised on slowing growth - updated guidance expected with 1Q results in late April.
  • It made slight edit to 1Q guidance bringing RASM down from +2.5-4.5% yoy to +2% yoy - but did also increase guidance for capacity/ASMs from 10 to 11% yoy.
  • CEO livestreams at a conference later today (10am ET/2pm London); https://jpmorgan.metameetings.net/events/industria...

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