Wall St edges lower as Fed worries offset M&A November 15, 2010 US stocks slipped on Monday as concerns the Federal Reserve may scale back its efforts to stimulate the economy muted optimism over two big takeover bids. The energy and materials sectors, which are sensitive to commodity prices and weaken when the dollar rises, led the way down as the Treasury bond market selloff picked up [...]
Some Eurozone stocks have suffered too much November 15, 2010 GIVEN the turmoil in the Eurozone’s financial markets, it would be tempting for the contracts for difference (CFD) trader to avoid the region. After all, there are surely plenty of other markets that appear to offer greater stability and better prospects. And it has been easy to focus on events elsewhere. Whether it was concern [...]
FAITH IN QE2 LIMITS FALLS IN EQUITIES November 15, 2010 CFD MARKET STRATEGIST, GFT RECENTLY, investors have got used to their expectations being met. Republican victories in the mid-terms led investors to expect a more business-friendly environment. The Fed’s latest QE announcement was in line with estimates, while a thumping gain in non-farm payrolls has raised hopes that unemployment may have turned a corner. With [...]
ECB should offer more liquidity and buy debt November 14, 2010 HURRAH! All the tricky issues are out of the way. A second round of quantitative easing from the US Federal Reserve – done. The US jobless numbers – done. President Barack Obama’s mid term elections – done. And so what does all this mean for the markets? All together now… it is time to start [...]
Storm clouds gather as G20 leaders meet November 11, 2010 Group of Twenty in Seoul clash on growth, currencies and trade Ireland moves ever closer to the brink as bailout fears mount Oil price hits a fresh 25-month high of $88 a barrel on China demand IRISH ten-year bond yields shot to their highest level since the founding of the euro yesterday, closing at 8.6 [...]
We must adjust to new global order November 11, 2010 IT takes time for new realities to sink in, especially in economics and geopolitics. One reason why the G20 meeting in Seoul won’t achieve anything of any real substance is that the old order still believes that it can play by the old rules – and by that I mean primarily the Americans. The Fed’s [...]
Fed reveals more QE details November 10, 2010 The Federal Reserve will buy about $105bn (£65bn) of Treasuries and Treasury inflation-protected securities in 18 operations from 12 November to 9 December as part of its next batch of quantitative easing, the New York Fed said last night. Around $75bn of this sum is part of the new $600bn easing programme announced last week, [...]
Wall Street rises as dollar hits new high November 10, 2010 THE dollar hit a one-month high yesterday after data pointed to an improving US labour market while Wall Street rose as investors set aside recent worries whether a rally would continue. But global stocks fell as Ireland’s borrowing costs hit another euro lifetime high and investors worried that a Federal Reserve move announced last week [...]
AUSSIE NOW VULNERABLE TO A SELL-OFF November 9, 2010 DIRECTOR OF CURRENCY RESEARCH, GFT IN CONTRAST to last week’s wild gyrations in the currency market, this week promises to be considerably more sedate. After the Fed announced $600bn in additional QE and the better than expected US jobs report, the FX market turned very bullish with traders ploughing into high-yield currencies like the Australian [...]
FOREX ANALYST PICKS November 9, 2010 FOREX STRATEGIST ILYA SPIVAK My pick: Short euro-US dollar near $1.41 Expertise: Global macro Average time frame of trades: 1 week-6 months Euro-US dollar has fallen sharply to start the week and a deeper downward correction looks likely given that the rally can be retraced back to August when the Fed first introduced the idea [...]