The removal of inflation expectations – is not what the Federal Reserve sure intended; but it is what they’ve inadvertently accomplished, by monetary policy in recent years. That’s because, absent substantial manufacturing renaissance, and solid as well as sustainable Middle Class economic revival, Fed recalcitrant moves and prolonged (former) rate suppression simply cycled funds to financial…
In the last trading session, U.S. stocks were in the green. Already-anticipated first Fed rate hike of 25 bps did not unsettle the stocks much. Among the top ETFs, investors saw SPY and QQQ gain 1.5% and DIA move higher by over 1.2% on the day. Two more specialized ETFs are worth noting in particular though as both saw trading volume…
The USD/CAD pair rose during the course of the session on Wednesday, testing the 1.3850 level. However, by the time the day ended we ended up pulling back in forming a bit of a shooting star. Because of this, and looks as if the market will more than likely pullback, but at this point in…
Yesterday, in a carbon-copy response to what happened in December 2013 when the Fed announced the Tapering of QE, stocks first sold off then, as if to validate the Fed’s decision as being accurate, saw a dramatic buying surge which pushed them to close just off the highs. With bonds and gold selling off while…
Talking Points: The Euro was little changed versus its major currency counterparts IFO business climate index dropped to 108.7 from 109.0 in November Business expectations unchanged 104.7, but below expectations See how retail traders are positioning in the majors in your charts using the FXCM SSI snapshot. The Euro was little changed versus its major currency counterparts after today’s German IFO…
Last week, the International Monetary Fund (IMF) voted to admit China’s renminbi currency to the Special Drawing Right (SDR) starting October 1, 2016. Its 10.92% weighting will be the third largest in the world. In the short term, the renminbi – which currently represents 2% to 3% of world trade – will rapidly increase its trade share…
As investors prepare themselves for Nike’s (NKE) earning release on Dec. 22, there are a few things to think about. The most recent earnings report was impressive, with revenue and earnings growing 5% and 23%, respectively. So let’s talk about what to look for this time around. Foreign currency exchange International markets make up more than half…
The decade-long wait to watch a Star Wars movie in theaters is finally over as The Walt Disney Company’s (DIS – Analyst Report) Star Wars: The Force Awakens hits theaters this week. High expectation from this movie is driving the company’s shares even higher. Disney’s shares have gained nearly 4% in the previous two trading sessions. Per the…
Attempting to anticipate what the markets may do in subsequent months and years is certainly no easy task. We can, however, make some fairly tentative trading predictions for what may occur moving into 2016 based on what we have seen in recent months. Let’s take a look at three major events that may come…
Asia extended the US dollar’s post-Fed gains while Europe has seemed content to consolidate the move, perhaps waiting for US leadership. Much of the commentary about the Fed’s action have noted that the FOMC statement used the word “gradual” not once but twice evidence of its dovishness. The Fed’s dot plots continued to signal that the majority of…
