Four reasons why the Eurozone may survive – and two reasons it won’t May 8, 2011 1 COMMITTED TO AUSTERITY Despite (well denied) rumours at the end of last week about a Greek pullout from the euro, Greece, Spain and Ireland are less opposed to reform and austerity than many in the media would have us believe. In Ireland, the electorate remember the prosperity of the Celtic Tiger years and want [...]
Protests, earthquakes, wars and bailouts. But no love for the dollar May 3, 2011 THROUGHOUT 2011, we have had sustained periods of uncertainty in the money markets. In the past, uncertainty and turmoil have given rise to rallies for the greenback as a result of investor flight into the safety and liquidity of this safe haven currency. Continued turmoil in the Middle East, concerns over the ongoing European sovereign [...]
FOREX ANALYST PICKS May 3, 2011 FOREX STRATEGIST JOHN KICKLIGHTER My pick: Long euro-sterling, short euro-Canadian dollar Expertise: Fundamental and Technical Analysis with Risk Management Average time frame of trades: 1 day to 1 week My long dollar-yen position from ¥82.50 tripped its stop with a close below ¥80 with the dollar’s pervasive sell off. In the meantime, with the forthcoming [...]
GOLD PRICES ARE IN THE FED’S HANDS May 2, 2011 ODD things can happen to financial markets in shortened holiday weeks – and I’m not only referring to the death of Osama bin Laden. Typically, volumes are light as there are fewer market participants. Often, these quieter periods are used as a cover to push out unpalatable news items. China has often used an extended [...]
US GDP growth slows but inflation soars April 28, 2011 US economic growth slowed more than expected in the first quarter as higher food and petrol prices hit consumer spending and sent a key inflation measure rising at its fastest pace in two-and-a-half years. Growth in US GDP braked to a 1.8 per cent annual rate after a 3.1 per cent fourth quarter pace, the [...]
FED BOSS: I’M RELAXED ON INFLATION April 27, 2011 GOLD prices soared to a fresh record high last night after markets dismissed Ben Bernanke’s first ever press conference as too dovish on inflation. The price of a troy ounce smashed through the $1,518.6 record set on Monday to a new high of $1,530.3 after the Fed chairman told reporters that the Federal Open Markets [...]
FTSE flat as investors await news of Fed’s monetary policy April 27, 2011 BRITAIN’S top share index ended flat yesterday ahead of Federal Reserve Chairman Ben Bernanke’s news conference which could provide clues on the Fed’s future plans for its monetary policy. The blue-chip FTSE 100 was down 1.2 points or 0.02 per cent at 6,068.16, having hit a 9-week closing high on Tuesday. Volume was only 87.6 [...]
Bernanke message cheers US markets April 27, 2011 THE Nasdaq jumped to a 10-year high as US stocks rallied yesterday after Fed Chairman Ben Bernanke’s first-ever press conference did nothing to short-circuit investors’ optimistic outlook on the economy. All three major US stock indexes extended gains after comments from Bernanke at his press conference, where he reiterated the Fed’s stance that inflation was [...]
FTSE closes at two-month high despite light volumes April 26, 2011 aBRITAIN’S FTSE 100 closed at its highest level in over two months yesterday, albeit in light volumes, as earnings from the US and Europe supported gains ahead of results from UK companies such as ARM and BP. The blue-chip FTSE 100 closed up 0.9 per cent at 6,069.36, with volumes still thin after the four-day [...]
Corporate results boost US stocks April 26, 2011 A FRESH batch of corporate results pushed US stocks to their best levels since June 2008 yesterday, renewing optimism that profit growth will remain resilient enough to keep equities on the rise. The S&P 500 barreled through the 1,344 level, seen as a key resistance point the benchmark index needed to surpass in order to [...]