Forget Janet and Mario: 2016 is the year of GARY – CNBC Comment December 15, 2015 Investors have spent the last few years betting with the Fed and the ECB, as monetary policy dominated fundamentals. But many are now stumped over what to do next, as central bankers today seem to carry more risk and less reward. The ECB’s Mario Draghi let investors down this month with a flawed communications strategy. [...]
From the UK general election to Greek debt fears it was an obstacle course for cross-border IPOs in 2015 December 15, 2015 It may have been the year of the mega deal, but the capital markets have suffered in 2015, and it’s been a decidedly poor year for cross-border IPOs. Fears over China’s growth, elections, referendums, and defaults in Europe, as well as uncertainty over the Fed’s rate hike all contributed to a 39 per cent drop [...]
Indices reverse losses but Fed fears remain – New York Report December 14, 2015 A PAUSE in the oil price slide yesterday helped Wall Street to reverse early losses. However, continued concerns about the high-yield debt market and a rate hike this week played on investors’ minds. The Dow Jones industrial average picked up 103.29 points, or 0.6 per cent, to 17,358.50. The S&P 500 index gained 9.57 points, [...]
What Federal Reserve chair Janet Yellen is likely to say this week – eToro Tips & Picks December 14, 2015 Many are now asking when – not if – the oil price will reach the $30 benchmark. A sustained period of very low prices will place increasing strain on the Saudi economy, potentially worsening the internal security situation and contributing to greater tension with its neighbours. Western economies are enjoying lower energy costs, but the [...]
Jordan Spieth has matched Tiger Woods’s best but Rory McIlroy will be back in 2016 December 14, 2015 Now that the last golf ball of 2015 has been struck in anger, it’s time to reflect on a remarkable and significant season that has at times felt like a changing of the guard. Former world No1 Tiger Woods has admitted that he may be finished as a force, and there have to be doubts [...]
UK small businesses aren’t prepared for foreign exchange volatility if the Federal Reserve raises rates in December December 14, 2015 UK SMEs are unprepared to deal with currency volatility if the Federal Reserve raises rates in December. While 88 per cent of small business owners said they understood the potential impacts of a US rate rise on currency markets, 70 per cent felt their business needed to be better prepared to deal with exchange rate [...]
Is Labour leader Jeremy Corbyn right – when it comes to kickstarting the economy, is it time for a people’s QE? December 14, 2015 This is a big week for capitalism. In the next few days, the US Federal Reserve will finally start to remove its accommodative post-2008 crisis policy by pulling money out of markets. With asset markets buoyant and the American jobs market seemingly strong, policy-makers should be surely saying ‘job well done’? But, on the ground, [...]
FTSE 100 hopes for Santa rally after week of decline -London Report December 14, 2015 This week the market is looking to put aside last week’s pain, which saw the FTSE dip below the 6,000 mark again, as it prepares itself for a much heralded interest rate rise from the US Federal Reserve. Don’t bet on anything other than volatility, however, with markets already nervous about what surprises a change [...]
Weak FTSE index should give Osborne sleepless nights December 14, 2015 How many people, back in January, were predicting that the FTSE 100 index would start with a “5” come December? Certainly not the experts at one leading bank (we’ll grant anonymity… for now) who forecast a reading close to 8,000, or its more restrained peers who thought the blue-chip index would be in the low-to-mid [...]
Fed revs up for historic lift in US interest rates – New York Report December 13, 2015 Stock market investors are ready for the first US Federal Reserve interest rate hike in nearly a decade this week, but they may not be fully prepared for all of the nuanced remarks likely to accompany that announcement. If the Fed lays out an aggressive schedule of future rate increases, stock markets could become very [...]