It’s been a volatile year so far for stocks, but two big-picture trends are clear in 2018 for two widely followed subsets of the broad market. First, small-cap shares are enjoying a solid run over large caps. Value stocks, by contrast, continue to suffer vs. shares of growth companies, based on year-to-date performances via a…
In late December, I wrote a piece, “LIBOR’s Fate: Could It Be Real This Time?,” about the announcement last summer that this widely used borrowing benchmark would be discontinued at the end of 2021. Well, LIBOR is back in the news, but this time for a different reason. Given the influx of questions I’ve received in the…
A review of today’s commodities, stocks, ETFs and stock market indexes. Video Length: 00:12:10
Previous: On Tuesday the 18th of April, trading on the EURUSD pair closed slightly down. By the time trading closed, the euro had lost 10 pips against the dollar. In the US session, the euro shed 78 pips to reach 1.2336 after having hit a new high at the beginning of the European session. The drop…
The US dollar is enjoying a firmer tone against major and most emerging market currencies. Sterling, which has become a market darling, hit an air pocket after softer than expected CPI. UK headline CPI rose 0.1% in March, while the market expected a 0.3% increase. The recently introduced preferred measure, CPIH slipped to 2.3% from 2.5%,…
It was utter chaos in January, 2015: the Swiss National Bank (SNB) capitulated on its self-made 1.20 floor against the euro on EUR/CHF. The bottom completely fell out the currency pair and caused ripple effects around the world of forex. I barely traded the Swiss franc since then specifically because of what I perceived as extreme…
From the recent CBO Budget and Economic Outlook , the projected current account and implied cyclically adjusted budget balance. Figure 1: Structural/cyclically adjusted Federal budget balance (dark blue), and current account balance (dark red), both as a share of GDP. NBER defined recession dates shaded gray. CBO projection period shaded gray. Projection of structural budget balance estimated by…
The Technical Confluences Indicator shows that on its way down, the GBP/USD broke below several important clusters of technical support lines. And at current levels under $1.4200, there are very few support lines to the downside. It was triggered by weak inflation. The pair tumbled nearly 100 pips and took down a dense confluence of levels around $1.4270:…
As we pointed out earlier, White House chief economic advisor Larry Kudlow said Tuesday afternoon that further sanctions against Russia were “under consideration” at the White House – denying reports that sanctions had been abandoned at President Trump’s behest. Over the weekend, UN Ambassador Nikki Haley said another round of sanctions would be announced as soon as…
Stock markets in India are presently trading marginally higher. Sectoral indices are trading on a mixed note with stocks in the FMCG sector and realty sector witnessing maximum buying interest. The BSE Sensex is trading up 60 points (up 0.2%) and the NSE Nifty is trading up 15 points (up 0.1%). The BSE Mid Cap index is trading up by 0.2%, while the BSE Small Cap index is…
