Most of the financial centers in Europe and North America are closed today for the Good Friday holiday. Many markets in Europe will also be closed on Monday. Here is a summary of key developments. 1. Many markets in the Asia Pacific regions were also closed. Most that were open advanced, including Japan, Taiwan, South …
Eight Things to Know about Global Capital Markets on Good Friday Read More »
The outbreak of Covid-19 continues to be the major disruptive force, impacting households, investors, businesses, and policymakers. The virus hits vulnerable individuals and institutions. Monetary policy, and in some places, including Italy, fiscal policy will be deployed too. The handling of the crisis could shape both Chairman Xi and President Trump’s political futures. The coronavirus …
What You Should Know about the Other Shock: Oil Prices Read More »
The first five months of the year have plenty of unwelcomed surprises for investors. Volatility throughout the capital markets rose, despite the continued net expansion of central bank balance sheets, as the reduction of the Fed’s balance sheet is offset by continued buying by the Bank of Japan and the European Central Bank. Existential risk …
There are a number of events and economic reports in the week ahead that will help shape the investment climate in the weeks and months ahead. In recognition of the importance of initial conditions, let’s briefly summarize the performance of the dollar and main asset markets. After recovering from a five-month decline in September and …
Events + Market = Potential for Combustible Price action Read More »
Expectations going into the OPEC monitoring meeting in St. Petersburg were low. The OPEC agreement to reduce output appeared to be fraying. June output appeared to have increased in several countries, and private sector estimates suggest output rose further in July. Russia expressed reluctance to extend the agreement further. Ecuador announced it would no longer …
Don’t Be Confused by the Facts or Why Neither the Data nor the Fed Will Alter Market Trends – Marc to Market Edit The data this week is expected to confirm what many investors have come to assume. The US economy accelerated in Q2. The eurozone economy is enjoying steady growth, but the momentum appears …
Sterling is faring better than one would have expected given that some polls suggest that the Tories could lose their majority in Parliament in next week’s election. That said, in the winner-take-all, first-past-the-post system in the UK, it is difficult to go from the national opinion polls to the number of seats. The most likely …
Great Graphic: Don’t be Misled by Sterling Stability, Investors are Concerned Read More »
Yesterday’s pessimism about a potential deal at today’s oil producers’ meeting in Vienna has been replaced by optimism and that crude oil around 5%. Supportive comment by Iranian officials about there being acceptable proposals on the table and intimations that Russia may also participate in cuts fanned the newfound hopes. Still, there is some moving …
The major central banks have placed down their markers and have moved to stage left. There are the late-month high frequency data, which pose some headline risks in the week ahead. The main focus for most investors will be on several political developments. The first US Presidential debate is wild card, in the sense that …
Politics to Overshadow Economics in the Week Ahead Read More »