Overview: The Year of the Rat is off to an inauspicious start as apparently a flying rat (a bat) virus has jumped to humans. China’s markets re-opening amid much fanfare, and the Shanghai Composite dropped 7.7%, which is about what the futures in Singapore had anticipated. Several other markets in the region (Japan’s Nikkei, Australia, …
Inauspicious Start to the Year of the (Flying) Rat Read More »
Dollar Losses Set Stage for Recovery – Marc to Market Edit The US dollar lost ground against nearly all the major currencies last week. The sole exceptions were the Australian dollar, where pressure ahead of the weekend following Moody’s decision to cut the outlook for five Australian banks wiped out the previous small gain, and the …
Sterling has slumped two cents in the wake of the Bank of England’s announcement. It cut the base rate 25 bp and announced a resumption of its asset purchase program. It will buy GBP60 bln of Gilts and added corporate bonds to its purchase plan, which will be completed over the next six months. Corporate …
Carney Gets Ahead of Market Expectations; Sterling Slumps, Gilts Soar Read More »
It is a bizarre turn of events. Just like the Game of Throne’s Westeros is a map of the UK put on top of an inverted Ireland, so too do UK events seem to be a strange permutation of the pre-referendum views. Although sterling and interest rates have not fully recovered from the Brexit …
Due to an unlikely string of events, the UK had sorted out its government more than two months quicker than it had looked likely in the immediate aftermath of the referendum when Cameron resigned. However, to the frustration of others in the EU, May not only named Johnson, who insulted nearly every country, as the …
Squaring the Circle: Can Article 7 be Used to Force Article 50? Read More »