Gold prices settled higher on Thursday, recouping some of the recent losses, as the weakness in the dollar and equities markets lured some investors back into the market. The world’s major bourses suffered bruising losses and the greenback slipped after a package of measures unveiled by the European Central Bank unveiled fell short of expectations….
No empire has ever prospered or endured by weakening its currency. A great many insightful commentators have made the case for why the Fed shouldn’t raise rates this month–or indeed, any other month. The basic idea is that the Fed blew it by waiting until the economy is weakening to raise rates. More specifically, former Fed…
by Javier Cravino and Andrei Levchenko, Voxeu.org Large exchange rate swings remain a prominent and recurring feature of the world economy. This column uses household consumption patterns to examine the distributional impact of the devaluation of the peso during Mexico’s ‘Tequila Crisis’. Cost of living increases are found to be 1.25 to 1.6 times higher…
Today’s the big day… Mario “whatever it takes” Draghi is expected to goose up stock markets with more stimulus measures. On the table is more QE… and further cuts to the key lending rate. The Chinese feds are also supposed to come forward with another gift to asset holders. According to the Wall Street Journal, the…
GBPUSD: Having GBPUSD rallied on bullish momentum on Thursday, it now targets the 1.5200 level on further bullish offensive. With that said, resistance stands at the 1.5200 levels with a turn above here allowing more strength to build up towards the 1.5250 level. Further out, resistance resides at the 1.5300 level followed by the 1.5350…
Biotech Sell-Off Stops Bear Market Rally After a strong November and a rally from October lows biotech stocks broke down today along with the overall market. Keep in mind that it has been a bear market rally with expectations of a seasonal move up. There are plenty of possible reasons for the market weakness both macro and…
Troubles were building up over the past year especially given the Fed’s desperate desire to raise interest rates. Their folly is due to having left monetary policies at “emergency” levels for far too long. After all, according to their logic, economic conditions have been “awesome” since the recession ended in early 2010. They then chose…
Continued speculation that additional official support would be available next week in China supported the Shanghai Stock Index yet again. The strong close (of over +1.3% higher) in Asia has been short-lived as the events in Europe have reversed most, if not all, of today’s move (as seen this evening in futures trading). Initially, all…
Nonfarm payroll will take center stage During the session on Friday, we have the US Nonfarm Payroll numbers coming out and of course that will be the biggest thing that market pay attention to. We also have Canadian employment numbers, so that could make for opportunities in the Canadian dollar as well, but we believe…
Ambarella, Inc. (AMBA – Snapshot Report) reported Q3 earnings of 87 cents this afternoon, beating the Zacks Consensus Estimate by 16 cents. However, shares of AMBA are falling in after-hours trading after the company lowered its guidance for Q4. Ambarella is a developer of video compression and image processing semiconductors. AMBA’s products are used in still cameras,…
