US just stole Osborne’s limelight as it becomes rich world’s fastest growing economy December 5, 2013 US stock futures are now turning negative ahead of the market open at 2.30pm. That's because US economic data has been really good, and equities investors are petrified that the Fed will take away monetary support from the economy. Annualised GDP for the third quarter has been revised up to 3.6 per cent from 3.0 [...]
2 reasons why the dollar will be king in 2014 December 5, 2013 The dollar is set for a strong year in 2014 according to Deutsche Bank who have set out their bullish case for the dollar on Thursday. Here are the two building blocks of Deutsche Bank's bull case. 1. Monetary policy This year markets have focused on pricing out QE with treasury inflows suffering as a [...]
These three huge events could overshadow Osborne’s Autumn statement December 5, 2013 While investor and media attention will hang on what chancellor George Osborne will unveil at today's Autumn statement – we're not expecting anything significant. We'll probably see some token giveaways, and ever more complexity added to our tax regime in the form of hikes. The composition of measures that Osborne selects will be telling, but [...]
What you need to know before the open – 05/12 December 5, 2013 Markets await the Autumn Statement this morning, but it's unlikely to impact gilt yields, and we're not expecting a change in the Bank of England's rate decision, either. With 25 minutes to go the FTSE is forecast to start the day -10 at 6500. — David Jones (@DavidJones_IG) December 5, 2013 Japan's Nikkei [...]
Bottom Line: Banking on emerging markets is no longer such a sure-fire bet December 4, 2013 AHEAD of today’s Autumn Statement, George Osborne got an implicit rebuke over his repeated enthusiasm for raising the banking levy in Standard Chartered’s profit warning yesterday. The bank noted “a significant increase in the UK bank levy”. It anticipates a cost of $250m (£153m) this year, up from $174m in 2012. The levy has been [...]
Job numbers up in US ahead of Fed meeting December 4, 2013 A STRONG increase in US private sector employment was recorded during November, according to official statistics released yesterday, as the Federal Reserve’s regional banks pointed to modest and moderate growth across the country. The latest employment report from Automatic Data Processing (ADP) showed that 215,000 jobs were created last month, about 40,000 more than analysts [...]
New York Report: Wall St falls for fourth trading session in a row December 4, 2013 THE Dow and the S&P 500 finished lower for the fourth consecutive session yesterday after investors found few reasons to make big moves, with uncertainty remaining over when the Federal Reserve will start to slow its stimulus. Stocks fell for much of the session, but edged closer to break-even levels in the last hour of [...]
It’s time to end the cruel delusion of cheap money and reckless spending | City A.M. December 4, 2013 GEORGE Osborne will present his Autumn Statement to a country in the grip of a cruel economic delusion, perpetrated against the poor and the aspirational. Welfare states everywhere are spending chronically beyond their means while papering over the cracks with easy money. Budget 2013 forecast spending in excess of receipts of about £9bn a month. [...]
Three reasons why banks think gold will fall to $1,100 in 2014 December 3, 2013 Gold has struggled this year. This morning, prices tumbled to their lowest since July. Since its 2011's record high, gold has fallen 36 per cent, and investment giant UBS says it's "unlikely to regain its former appeal." . Rising interest rates, a strong dollar and uncertainty over potentially tighter monetary policy in the US have [...]
Top banks get capital approval December 2, 2013 JP MORGAN and Goldman Sachs both had their capital plans approved by the Fed yesterday. The regulator had previously told the banks to improve the processes for dealing with shareholders in a crisis, after a stress test – the CCAR – was carried out. “We are pleased that the Fed determined that our CCAR process improvements met [...]