GOOD TIMES FOR EQUITIES MAY NOT LAST December 20, 2010 CFD MARKET STRATEGIST, GFT DESPITE a couple of nasty dips earlier this year, 2010 is ending on a high note for equity investors. Worries over the European debt crisis, concerns about stubbornly high US unemployment and a crippled housing market, and growing fears of inflation in emerging markets have failed to inflict serious damage to [...]
Keeping a lookout for possible shocks December 19, 2010 MAY YOU live in interesting times may sound like a blessing, but in ancient China, it was considered a curse. Spread betters may be divided on which they think it is, but 2011 certainly looks likely to be interesting. Next year could see more bank crises in Europe, burst bubbles in Asia and painful austerity [...]
Wall St boosted by FedEx’s bullish view December 16, 2010 US stocks, bucking a trend of late-day selloffs, ended higher yesterday as economic bellwether FedEx offered a bullish profit outlook that augured well for broad growth. Stocks that performed well in 2010 were among yesterday’s biggest gainers as investors sought to boost returns by the year’s end. Advancing stocks outnumbered decliners by more than two [...]
Fedex delivers lower profits December 16, 2010 US COURIER FedEx delivered below-expectation second quarter results as additional costs outweighed strong trading, it said yesterday. Profits fell 18 per cent to $283m (£180m) from $345m a year earlier despite revenues rising 12 per cent to $9.63bn. Asian market growth and a global economic recovery pushed overseas volumes to a record high, it said. [...]
Factory boost for America’s slow recovery December 15, 2010 BROAD based rises in consumer prices and manufacturing were warmly received in the US yesterday, following the Federal Reserve’s final meeting of the year on Tuesday. Positive industrial production figures offer hope for the American economy as it stutters towards recovery. Overall production rose 0.4 per cent in November, despite a huge drop in automobile [...]
Weak banks drag on FTSE as Moody’s warns on Spain December 15, 2010 BRITAIN’S leading share index slipped back yesterday, snapping a four-session winning streak, with banks the worst performers as investors’ risk appetite waned on fresh eurozone debt concerns. The FTSE 100 ended down 9.03 points, or 0.2 per cent at 5,882.18, having finished at its highest close for 30 months on Tuesday after putting on 1.7 [...]
Look closer to home to play the emerging markets’ story December 15, 2010 EMERGING markets have been one of the most popular trades of 2010. If it wasn’t concerns about the outlook for developed markets and the desire for higher returns further afield, it was Fed-fuelled liquidity that was driving flows towards the developing economies. The case for investing in equities rather than bonds is becoming stronger by [...]
Fed’s doves will keep cash cheap December 14, 2010 INTEREST rates will stay “exceptionally low for an extended period”, the US Federal Reserve announced last night. And despite claims from home and abroad that it is fuelling a fresh bubble, the Fed will continue its lastest phase of quantitative easing (QE2), buying around $75bn (£47.5bn) of Treasury assets every month. Markets reacted to the [...]
Boost for US retailers as strong holiday sales offer hope for American recovery December 14, 2010 THE Fed’s second phase of quantitative easing (QE2) came under attack yesterday, after jumps in retail sales, business morale and inflation. Retail sales for November increased by 0.8 per cent, and figures for the previous month were revised upwards to show a 1.7 per cent rise. “Today’s figures suggest that QE2, announced on 3 November, [...]
Dow surges to close at a two-year high December 14, 2010 US stocks cut gains to end mostly flat after a late-day sell-off yesterday as yet another cautious statement from the Federal Reserve on the economy offset strong retail sales data for November. The Dow Jones industrial average was up 47.98 points, or 0.42 per cent, at 11,476.62 – its highest close since 8 September 2008. [...]