Amid light news, the downward pressure on the US dollar has continued against the majors but is more mixed against the emerging market currencies. The key driver is illustrated by the spate of comments from the Fed’s Fischer, the ECB’s Draghi, and BOJ’s Kuroda. Fischer indicated that he agreed with the majority that a Fed…
Last week I wrote about the incorrect portrayal of the late-September spike in the Fed’s “Reverse Repo” (RRP) operations. Breathless commentary in some quarters had portrayed the RRP spike as an attempt by the Fed to ward-off a crisis, which didn’t make sense. One of the main reasons it didn’t make sense is that a…
by Greg Canavan, Daily Reckoning From Bloomberg (09 October 2015): Oil surged above $50 a barrel in New York for the first time since July on speculation that demand is picking up. The US Federal Reserve released the minutes from its September meeting last week. It made mention of the oil price 14 times. Low…
What You Will Learn: How analyzing R&D can reveal a moat What insight you gain from Gross Profitability to Assets The intrinsic value range of Gilead Sciences (note: this article was originally written on Oct 1) One of the things I’m not good at is acting like I know everything. That’s the position I’m taking…
Gold prices settled at $1156.47 per ounce, rising nearly 1.7% over the course of the week, on speculation that a U.S. rate hike may take longer than expected. The greenback came under pressure after minutes of the Federal Reserve’s latest meeting revealed that policy makers “decided that it was prudent to wait for additional information…
Markets finally had a strong week last week. Things popped higher on Monday, as SPX closed just under 1990. Tuesday and Wednesday saw some struggles with the direction as the trading range narrowed. However, Thursday’s Fed Minutes gave buyers reasons to push markets higher. Friday was a flat with small gains. SPX managed to close…
Everyone has seen the chart of “Total Credit Market Instruments”, which as of its most recent update on March 31, 2015, was just over $59 trillion, or 330% of US GDP. For those who have not seen it, as well as for those who are familiar with this chart, take a long look, because…
IMF head Christine Lagarde says “IMF credibility is at stake”. She blames the US for that development, and calls on US to give more voting power to China to solve the problem. Video link: “IMF Credibility at Stake“ Credibility? I have a simple question: Precisely what credibility does the IMF have? To address my simple…
Chinese markets are on the move again and some bankers are saying that the country’s stock market correction is “almost over.” Speaking to the annual meeting of the International Monetary Fund (IMF) and World Bank in Peru, Yi Gang, deputy governor of the People’s Bank of China (PBOC) pointed out that the corrections implemented by…
AUDUSD: AUDUSD closed strongly higher the past week leaving risk of further strength in the new week. While it can trade and hold above its broken resistance turned support at 0.7279 level, we think more gain should occur. On the upside, resistance lies at the 0.7400 level. A cut through here will turn attention to…
