After two official terms and nine years in office, Shinzo Abe is stepping down as Prime Minister of Japan. He is replaced by 71-year-old Yoshihide Suga, formally the Chief Cabinet Secretary but informally, Abe’s right-hand man. The question becomes, will Suga try and reinvigorate Japan’s Economy using new methods, or will it be another term of Abenomics, without...
There was this substantial rise in Gold in July. Touted as the “safe haven,” many reasons were stated as the reasons for Gold’s rise. Inflation, currency debasement, risk-off, etc.
However, I believe we saw three different types of correlations in Gold this year. The first one was the “risk-off” trade. Investors and traders buy up Gold during the equity...
The stock of the week continues the luxury brand trend of last week’s stock, Farfetch. While that company specializes in delivering luxury goods directly to customers, Tiffany specializes in the complete opposite.
Tiffany & Co’s Business:
Tiffany and Co, an American Luxury Retailer, founded by Charles Lewis Tiffany in 1837, have opulent buildings across the...
The ECB decided to leave interest rates unchanged, with interest rates staying at negative 0.5%.
The ECB stated that it is closely monitoring the recent strengthening in the Euro, citing inflation issues in the medium term Christine Lagarde noted that it would “Carefully assess incoming information including developments in the exchange rate, with regards to its...
Markets sold off as risk-off sentiment continue to seep into investors and traders’ heads.
The largest move downward was in the Oil markets, where Brent Crude and WTI were down 7 and 8% respectively, fearing that the demand recovery as stalled. The Summer Holiday in the United States, primarily associated with peak demand in Oil, currently marked its close on the...
The pound is down 2% against the U.S dollar in the past couple of days, on growing prospects that the United Kingdom will leave the European Union without a trade agreement.
Brexit talks are set to continue this week, with UK’s Prime Minister Boris Johnson playing hardball with European Officials. He has imposed a October 15 deadline, to which he plans to quit...
Last week was a bloody week in the markets, with US equities selling off on fears that the market has been overstretched. The NASDAQ, Dow Jones, and the S&P 500 were down 4.52%, 3.66%, and 3.28%, respectively. – talk about NFP
As we approach election season in the United States, traders should be looking out for changes in future policies which may whipsaw the...
De-risk! The market pulled back today on expensive tech stocks, overstretched valuations, with investors questions whether the stock market still has legs.
Steep valuations forcing a pullback
The FAANG stocks took the biggest hits as investors start to question their lofty valuations. Facebook and Apple are currently trading at 37 times price to earnings,...
The NASDAQ 100 continues to see Green, with the index up almost 1% today. In the past 120 days, the NASDAQ 100 is up 70% from its March lows, with only 42 days in red.
Market consensus is that the recent rise in equities is primarily due to the Fed’s wave of liquidity, not an uncommon view. However, it is interesting to note that recently dovish outlooks from...
We’ve recently talked about the potential demise of the U.S. Dollar. What currency is poised to benefit the most from the devaluation of the dollar? Euro is the first thing that comes to mind.
Shortly after the safe-haven trade that pushed the dollar up against major currencies, the Euro started to rally over the U.S. dollar. After strongly piercing through 1.10,...
The dollar has seen better days.
In the past 124 trading days, only 46 has been in the green for the dollar index.
Many factors have catalyzed this risk off-trend, and unfortunately, I believe even the key fundamental strength for the dollar has slowly diminished away during this pandemic.
Inflation is the dollar's demise.
Inflation in the United States...
Busy week ahead as September kicks in. As New Zealand and the United States elections slowly approach, the Coronavirus pandemic will most likely be the center focus for many parties and how they handle the post Coronavirus world. Here is your week ahead.
Tuesday, 1st September – Germany’s Inflation and Unemployment rate
Like most of Europe, Germany is...
Prime Minister of Japan, Shinzo Abe is set to after worsening health conditions.
Shinzo Abe, 65 years old, has been battling Ulcerative Colitis, a chronic digestive condition that also forced him to step down as Prime Minister in 2006-2007. During the announcement, the Japanese TOPIX pulled back with the Japanese Yen strengthening against the U.S. dollar by...
Rising inflation has been the question many analysts, investors, and traders want answers to. Fortunately, these answers may come soon as Federal Reserve Chairman Jerome Powell is set to take the stage (virtually, of course) to address the future of US Monetary Policy post Coronavirus and, hopefully, answer the myriad of questions regarding the Fed’s stance on...
Oil has recently gotten a boost in its price from Mother Nature. Tropical Storms Laura and Marco have been gaining in intensity and are approaching hurricane strength, warned the national hurricane center in Florida.
They forecast that hurricane Laura is set to strengthen over the Gulf of Mexico, with an increased risk of dangerous storms, wind, and rainfall...
There’s a common saying when well-buying anything really – Buy low sell high. However, with the NASDAQ and the S&P 500 at all-time highs, we’ve all been guilty of doing the opposite, Buying the tops and selling (or ignoring) the lows. With the Teslas and the Apples of the World continually beating analysts estimates, is it time to buy up the beaten up stocks? Or,...
Central banks, central banks, central banks. This week ahead, central bankers from all around the world will conduct their annual Jackson hole meeting in which historically they discussed the macro-environment and, of course, monetary policy. However, due to Coronavirus restrictions, they cannot meet at Jackson Hole for the first time in 40 years. Like many...
Outside of work and trading, I believe everyone should have a stock/asset investment portfolio working for them.
However, we all are swayed by what we hear and what we watch.
If you’re an investor, you’re probably guilty of doing something similar – waking up, checking Facebook who knows you’re an investor and gives you an article from CNBC saying that either
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