Wall St edges lower as Fed worries offset M&A November 15, 2010 US stocks slipped on Monday as concerns the Federal Reserve may scale back its efforts to stimulate the economy muted optimism over two big takeover bids. The energy and materials sectors, which are sensitive to commodity prices and weaken when the dollar rises, led the way down as the Treasury bond market selloff picked up [...]
Some Eurozone stocks have suffered too much November 15, 2010 GIVEN the turmoil in the Eurozone’s financial markets, it would be tempting for the contracts for difference (CFD) trader to avoid the region. After all, there are surely plenty of other markets that appear to offer greater stability and better prospects. And it has been easy to focus on events elsewhere. Whether it was concern [...]
FAITH IN QE2 LIMITS FALLS IN EQUITIES November 15, 2010 CFD MARKET STRATEGIST, GFT RECENTLY, investors have got used to their expectations being met. Republican victories in the mid-terms led investors to expect a more business-friendly environment. The Fed’s latest QE announcement was in line with estimates, while a thumping gain in non-farm payrolls has raised hopes that unemployment may have turned a corner. With [...]
Let’s all go out shopping: US retailers are back in vogue November 15, 2010 WE USED to build civilisations. Now we build shopping malls”. So said Bill Bryson about his native land. For the last two years, however, America has not been building shopping malls. American retailers have been at the bottom of a deep pit and struggling to get out. They may well have just found a ladder, [...]
THE TIPSTER November 15, 2010 Gold is now 60 dollars short of its high and nearing trend support levels. With continuing worries about Irish government debt ratings and the effect of any EU bailout, there could still be space for gold to rise. WorldSpreads offers a $1366–$1366.5 spread. The outsourcing giant Capita is due to release an interim management statement [...]
Lack of G20 agreement is likely to affect shares November 14, 2010 THE autumn rally in stocks hit the buffers last week. Expectations of an interest-rate hike in China hit commodity prices, in turn leading energy and natural resources stocks to trade lower. This, along with the resurfacing of sovereign debt problems in Europe, caused leading stock markets to break their five-week winning streak. WEAKER SENTIMENT LIKELY [...]
THE WALL STREET WEEK AHEAD November 14, 2010 WITHOUT a boost from Washington policymakers or data showing budding strength in the economy, Wall Street’s rally may be running out of fuel as the S&P 500 eases off its 2010 high. A data-heavy week could give investors hard evidence to justify a rally that lifted the S&P 500 16.8 percent from its 31 August [...]
Jittery times ahead for banks with Irish debts November 14, 2010 THE rest of the world might have been watching Korea, but in Europe, murmurs of a renewed sovereign debt crisis have been turning into a cacophony. Thanks to an audacious austerity plan, Ireland was looking like it had avoided the wrath of the bond markets, but last week, the fear was back. For holders of [...]
THE TIPSTER November 14, 2010 THE minutes from this month’s Bank of England meeting will push sterling’s fortunes back into the spotlight. The outlook for the pound has been somewhat eclipsed by the euro in recent days given concerns over the Irish economy. Certainly any suggestion in the minutes that there is mounting support for a second round of QE [...]
Fortune comes to those who read the signs… November 14, 2010 SURELY someone who fears a death cross must be a 16th-century pirate or gothic enthusiast, not a slick City trader or market analyst? But as it turns out, they are. Death crosses occur when a stock or an index’s 50-day moving average drops below its 200-day moving average – unsurprisingly, this spells trouble. Whereas a [...]