The 35-year bull market in bonds has created an environment where investors will most likely face either low future real returns or even sizeable losses. An optimally constructed portfolio does not completely abandon yield-generating assets. Given this backdrop, investors would be wise to consider substituting bonds with “alternative yield” funds. And I want to rock…
After opening their day on a flat note, Indian share markets witnessed volatile trading activity throughout the day and ended their session marginally higher. Gains were largely seen in the metal sector and IT sector, while oil & gas stocks and banking stocks ended the day lower. At the closing bell, the BSE Sensex stood higher by 60 points (up 0.2%) and the NSE Nifty closed higher by…
The daily see-saw pattern in capital markets continues and after yesterday’s euphoric sprint higher on what the market misinterpreted as “conciliatory” remarks by China’s president Xi, this morning global stocks and US equity futures are sharply lower on fears of imminent military action in Syria. Europe’s Stoxx 600 fell as much as 0.5%, trimming recent…
Soft equities, lower bond yields, TRY and RUB in an FX race to the bottom. That’s how SocGen’s Kit Juckes described Wednesday so far and it underscores the idea that the ruble and lira are, like Ron Burgundy, “kind of a big deal.” I talked at length about this over at Dealbreaker on Tuesday in…
Between Syria, trade tensions, and the US special investigator into Russia’s attempt to influence the US election, market participants are cautious as they wait for another shoe to drop. The US equity market recovery yesterday has short coattails as markets in Asia and Europe struggle. Bond yields are mostly softer, and the US 10-year note yield…
The EUR/USD is rising for the fourth day, buoyed by a positive market mood and mixed messages from the ECB. A speech by Draghi, US inflation, and the FOMC minutes promise further action. The technical picture has improved but there are reasons to question the rally. The EUR/USD is trading around $1.2370, up some 0.15%…
Early this year, I wrote about platinum and palladium. As you recall, palladium was the best performing metal, gaining by more than 40%. It reached a high of $1126 per ounce. On the other hand, platinum had a lukewarm year, seeing just a minor gain. A little history. Platinum and palladium belong to a class…
Ahead of today’s CPI release for the US and Fed minutes I just wanted to take a quick look at the DXY and suggest some key levels we need to watch, and perhaps these two items of news will help to give the index some much-needed direction. Since the beginning of the year, the index…
The year-over-year rate of growth relative to the previous month of the US Coincident Index was unchanged. A comparison of this US Coincident Index to other coincident indices follows. Analyst Opinion of the Current Status of the Coincident Indicators The reality is that most of the economic indicators have moderate to significant backward revision – and this…
USD/CAD continued its downside movement from 1.2943 and the fall extended to as low as 1.2587. Further decline is still possible and next target would be at 1.2500, followed by 1.2350. The key resistance is located at the falling trend line on the 4-hour chart, only a clear break above the trend line resistance could…
