Category Archive: Finance
Hurricanes Don’t Blow Away Economic Law
The debate over the morality and efficiency of so-called “price gouging” during natural disasters and other emergencies provides a unique opportunity to explore some of the most fundamental ideas in economics. Understanding those ideas is important not just for the economics of emergencies, but for how market economies operate in more normal times and why […]
The ECB’s Decision Continues To Prop Up The Euro
The regulator took the decision to maintain the key rate at its current level of 0.00%, as well as to maintain the volume of its asset purchasing program at its current level of 60bn EUR a month. ECB president, Mario Draghi, hinted that the bank would provide more details on its plans for the asset […]
Silver Price About To Turn Bullish For 2017 And 2018
Silver has confused bulls and bears since last summer, and that is certainly no understatement. We made a forecast last summer right after silver peaked, and we said were bearish. Our silver price forecast of $14 for 2017 got hit. The million dollar question is what’s next for the price of silver. Possibly, if silver goes just […]
AUD/USD Forecast Sep. 11-15
The Australian dollar was on fire in a very busy week, reaching new highs. The upcoming week is not as busy but still, consists of the all-important employment report. Here are the highlights of the week and an updated technical analysis for AUD/USD. The RBA left the interest rates unchanged and tried to talk down the Aussie, […]
Yuan Tumbles After Beijing Gives Speculators Green Light To Short The Currency
And now, Trump finally has reason to be angry with China for intervening in its currency to manipulate it lower, not higher. After the biggest weekly surge in the Yuan on record, the first sign that Beijing had had enough of the relentless surge in the currency was unveiled overnight, when according to a Reuters report quoting “policy insiders” China […]
Target Shares Dive To Lows As Blog Post Tips Price Cuts On ‘Thousands Of Items’
Target is apparently being forced to respond to the deflationary supernova that is this guy… Because just a little over a week after Amazon made good on its promise/threat to cut prices at Whole Foods, Target says in a blog post that it’s lowering prices on thousands of items. TARGET SAYS IT’S LOWERED PRICE ON THOUSANDS OF […]
Planes, Trains, And Hurricanes
As if dealing with Harvey wasn’t enough, Hurricane Irma (his not so distant cousin) has already wreaked havoc along its path through the Caribbean. It now looks to do a lot more damage. Hurricane Jose, Irma’s younger brother, is also lurking. In fact, Irma is heading right to Florida, targeting President Trumps federally insured Mar […]
RecessionAlert Weekly Leading Index Update – Sunday, Sept. 10
The latest index reading came in at 17.8, down from 19.2 the previous week. The RecessionAlert Twitter Feed, @RecessionAlert2, had an interesting observation about the indicator levels in February. RecessionAlert has launched an alternative to ECRI’s Weekly Leading Index Growth indicator (WLIg). The Weekly Leading Economic Index (WLEI) uses fifty different time series from these categories: Corporate Bond Composite, […]
Forex Forecast: Pairs In Focus This Week – Sunday, Sept. 10
The difference between success and failure in Forex trading is very likely to depend upon which currency pairs you choose to trade each week, and not on the exact trading methods you might use to determine trade entries and exits. Each week I am going to analyze fundamentals, sentiment and technical positions in order to […]
Will Gold Break Out Of Sideway Trading?
Since July 11, gold has been in a short-term upward trend. The yellow metal has gained more than 8 percent since then until the end of August, mainly thanks to the depreciation of the U.S. dollar, as one can see in the chart below. Chart 1: Gold prices (yellow line, left axis, London P.M. fix) […]
