ECB
European stock markets and the euro stood still in anticipation of the results of ECB meeting, while in the fixed income market there is a slight rush and the price of bonds is moderately growing. The yield of US Treasuries also fell after a rise to a seven-month peak on speculation about a new Fed head, likely to be a candidate with a more aggressive policy...
Oil market
WTI declined on Wednesday but Brent continues to grow, fluctuating about a month's high, as Saudi Arabia said it is determined to end the supply surplus that has been holding prices for the third consecutive year. Energy Minister al-Falih said that the kingdom will do everything necessary to reduce oil reserves in industrial countries to an average of...
Despite the solid amount of bets on the hawkish outcome of ECB October meeting, where a decision should be made to cut money supply, Draghi does it all to play down the event.
At the conference in Frankfurt, the president of ECB once again recalled positive aspects of cheap liquidity, saying that low rates create a window of opportunity for European governments...
Trump tax reform
Predicting the failure of the Trump tax reform because of its scale and unclear double-side backwash, skeptics apparently understated the president's negotiation skills.
Despite initial skepticism, the number of supporters of the tax cuts is growing rapidly among Republicans. On Monday, it was clear that the level of approval allows for rolling...
The head of Federal Reserve Janet Yellen is doing everything to bring the energy of investors back on track. The Fed’s boss took advantage of the bankers meeting in Washington on Sunday to spread optimism, praising the economy and easing doubts about the delay in inflation.
According to Yellen, the current economic situation allows to expect a step-by step hiking...
The dollar made another spurt on Thursday and meets the employment report in high spirits. The weighted average index jumped almost to the level of 94.00 and that's what caused such a sharp rise:
Despite the fact that the House of Representatives has the whole October for discussions on the budget, legislators released a budget statement on Thursday for the next...
September ECB Minutes
World indices are descending from record highs, while European investors are waiting tensely for the protocol of ECB meeting in September to get more information about the regulator's intentions to curtail monetary stimulus.
CFTC data over the past week showed that hedge funds were gaining positions on the European currency, despite weak...
ECB prepares for the move
On the eve of a turning-point meeting in October, the ECB provided deeper insight in its plans of tapering off the asset purchase program. A recent statement by the regulator says that commercial banks should increase the amount of reserves to cover toxic debts next year. Such a measure looks like reinsurance before ECB starts to cut...
Inflation holds back the ECB
The chief ECB economist, Peter Prat, expressed concerns over the weak inflation in September, saying that while carrying out stimulus cuts ECB should not forget about inflation targeting. The official hinted at the ECB's high caution in this regard. It should be noted that the conduct of money supply shocks is a very sensitive and...
Catalonia Independence
Independence in Catalonia as a harbinger of the political crisis in Spain. How can the division of the country could affect the euro?
Any political crisis is a bad example for other peoples or nationalities wishing to take advantage of the right to self-determination (in the Spanish Constitution of 1978 there is no such right). In the...
Strong US GDP
The data on US economy released on Tuesday was yet another proof that the Fed needs to raise rates in December. US GDP grew at a higher pace in the second quarter than expected. Inventories rose in August by 1 percent, reflecting the confidence of producers in improving consumer demand outlook. Curiously, GDP was resistant to a drop in inflationary...
The Fed's sudden warning to prepare for December rate hike and the early release of Trump's tax plan seem to have urged the bears to call off their plans for greenback for a long time.
The yield on US Treasuries posted a sharp jump in inflation expectations on Tuesday after the Fed chief literally hurried the markets to change expectations on monetary policy. For...
The situation on Korean peninsula remains one of the most high-quality and coherent dollar signals, especially paired with the yen. USDJPY lost half a percentage point in the course of trading on Friday after Kim Jong-un again threatened to conduct a nuclear test in response to Trump's statement to destroy North Korea. In the medium term, USDJPY buyers remain the...
The Federal Reserve left interest rate unchanged at the meeting on Wednesday, but surprisingly saw December hike appropriate despite persisting slack on inflation front.
As expected, the Fed set a green light to balance sheet cut, amounted 4.2 trillion. dollars, most of which has been amassed after the 2008 mortgage crisis. According to new economic forecasts, 11...
Falling business sentiments in Asia.
Business confidence in the Asian region declined in the third quarter, Reuters reported, as concerns about security and long-term stability in the region grew despite business activity growth.
China, India and South Korea led deterioration in the sentiments mainly because of tough capital controls and North Korea...
Asian and European markets have come under pressure before the Fed meeting as investors attempt to cut risk exposure in anticipation of market turbulence.
The projections for the decision remain highly ambiguous, since on the one hand, the Fed's desire to continue normalizing rates, but one the another key indicator of the health of the economy - inflation is...
September FED meeting
US fixed income and stock markets are preparing to lose cushion as Fed may announce the onset of balance-sheet cut at the meeting on Wednesday. Termination of reinvestment policy and a smooth shedding of securities means a complete switching off of the "rescue mode” which has been regulator’s state for about a decade.
The market...
On a monthly chart, the price pushed away from point 3 of the rising channel and on the weekly chart was closed by takeover. Also the price rebounded from the horizontal support 3.52688.
There are two options. The first is buying when the market opens. The second is buying from the middle of the takeover: Buy Limit 3.5500, SL = 3.4900, TP1 = 3.7000, TP2 =...
