FTSE slumps as fresh fears over the Eurozone return to global markets April 23, 2012 BRITAIN’S top shares surrendered almost all of last week’s gains yesterday, led lower by commodity stocks and banks, as political uncertainty and disappointing economic data revived investor concerns over the Eurozone debt situation. The mood was darkened by data showing the Eurozone’s business slump deepened at a far faster pace than expected in April, suggesting [...]
Wall Street is in retreat over euro worries April 23, 2012 US stocks fell yesterday as political turmoil in Europe cast doubts on the Eurozone’s ability to push through measures to end its debt crisis and as Wal-Mart sank following a report it stymied a bribery probe. The Dow Jones industrial average was down 102.09 points, or 0.78 per cent, at 12,927.17. The Standard & Poor’s [...]
Super Mario talks a good game but Italy’s entrepreneurs have lost out April 23, 2012 ITALIAN Prime Minister Mario Monti recently proclaimed “historic” labour reform and even declared the “financial aspect” of the crisis to be over. But don’t pop the Prosecco yet. Italy’s biggest impediments to business – rigid labour rules and uncertain contract enforcement – are alive and well. Monti’s upbeat attitude should be tempered by Italy’s ongoing [...]
Financial markets aren’t like casinos – but they aspire to their condition April 23, 2012 CASINOS are a triumph of human achievement – a beacon of what financial markets hope to accomplish. No, I’m not being facetious. Consider the distinction the economist Frank Knight made between risk and uncertainty. Risk is calculable because the range of possible outcomes is known. In roulette, for example, a ball is released into a [...]
A tax on heritage attacks the heart of local business April 23, 2012 THE decision to withdraw VAT relief from approved alterations to listed buildings may not just change the face of Britain by sounding the death knell for hundreds of cherished buildings, but also damage local economies and community services. Listed buildings – only three per cent of all buildings – are protected as the best surviving [...]
Do the first results of France’s presidential election represent a threat to the Eurozone? April 23, 2012 YES Vincenzo Scarpetta Almost one third of votes went to candidates who are explicitly anti-euro (Marine Le Pen), or anti-austerity and protectionist (Jean-Luc Mélenchon). Irrespective of the outcome of the second round, it’ll be hard for the next President to convince France to follow a German vision of the Eurozone – sound money and strict [...]
RAPID responses April 23, 2012 Monetary wisdom [Re: Luck-based pay makes decision making a lottery, Wednesday] Jamie Whyte’s analysis is simplified to the point of being meaningless. If a corporate banker only makes one loan and bases his analysis purely on a credit rating, I would question the wisdom of paying such a banker anything other than a basic wage. [...]
SELL IN MAY AND GO AWAY REMAINS EFFECTIVE ADVICE April 23, 2012 DIRECTOR OF CURRENCY RESEARCH, GFT FORGET merger arbitrage, forget relative strength, forget long/short hedge books. In investing, one simple strategy has been wildly more effective than any modern, sophisticated computer-driven algorithms. You may have heard the old trader manta “sell in May and go away”. I certainly have, but until I looked up its results [...]
THE TIPSTER April 23, 2012 EasyJet shares have been taking off since last summer, tacking on over 50 per cent to highs of almost 500p. Look for any drop back towards the 460p level to take a long position, as trendline support and the 50 and 60-day simple moving averages should offer a buying opportunity. Spread Co quotes easyJet at [...]
Trading up in a sideways market April 23, 2012 WHEN it comes to the markets, most traders are agnostic about which way the market is moving, whether up or down, just as long as it is moving in a direction. Following the trend is one of the basics of spread betting. But markets move in a non-trending or sideways direction more often than they [...]
