Category Archive: Finance
Basic Materials And Commodities
Since the Basic Materials sector is breaking out I would like to take an in-depth look at some of the stocks that make up the Basic Materials sector along with some commodities in general. Most commodities have had a tough go of it since they topped out in 2011, but there are some signs that […]
UK Retail Sales Beat With +0.6% – GBP/USD Jumps
Good news from the UK: consumers were more active in June. Retail sales are up 0.6% and this comes on top of an upwards revision. Year over year, sales are up 3%. Core retail sales are up 0.9% m/m and 2.9% y/y also ahead of expectations. All figures are better than predicted. GBP/USD recaptures 1.30 […]
Stocks Watchlist: TAP, MOS, CNP
Long Molson Coors Brewing (TAP) Long Mosaic (MOS) Short CenterPoint Energy (CNP)
What’s In The Shopping Carts Of Food Stamp Recipients?
Last November, the USDA published a report that provides some insight into the kinds of food and drink items that recipients of its Supplemental Nutrition Assistance Program (SNAP), which used to be called “Food Stamps”, are buying up with their government-issued EBT cards. In the chart below, we’ve taken the Top 10 items from Exhibit 6 of the report, which […]
“ECB Or Not To Be”: Here’s What Mario Draghi May Say Tomorrow
Looking at tomorrow’s main event, the much anticipated ECB announcement in which Draghi may (or may not) announce a hawkish shift to the centrral bank’s policies and/or reveal the bank’s tapering plans, Citi (whose titled we borrowed) gives the 30 second summary, and says that the market seems quite split on whether the ECB will […]
Why Might Hong Kong Still Be Interesting?
When the People’s Republic of China (PROC) was granted full UN status in 1971, everything was then set in motion. The successor to Chaing Kai-shek’s nationalist government in the Republic of China (ROC, or what we call today Taiwan) was originally granted as a founding member and one of five Security Council seats. UN General […]
Buying Illinois Debt – Bold Or Bad?
The Illinois debt saga continues. The state operated without a budget since 2015. In June, just before their fiscal year end, both S&P and Moody’s downgraded Illinois’ credit rating to one level above “junk bond” status. Moody’s said: “Legislative gridlock has sidetracked efforts not only to address pension needs but also to achieve fiscal balance, allowing […]
Asian Shares Fly High On Thursday
Asian shares hovered near decade highs on Thursday morning, supported by strong U.S. corporate earnings and optimism about Japanese and European central bank meetings later today. The Bank of Japan is expected to end its two-day policy meeting with an intention to cut its inflation forecasts again and to project a delayed cutback of its […]
Yield Curve Not Suggesting Imminent Market Peak, Recession
One of the most frequently cited predictors of a recession is when short-term interest rates rise above long-term interest rates. This is referred to as an “inversion of the yield curve” and typically happens when bond investors have a negative outlook on the economy. If you’re not familiar with the basics of the yield curve, […]
AUD/USD Teases Towards 0.80 On Ok Jobs Report
Australia gained jobs once again: 14K in June, in line with expectations for around 15K. The previous figure was revised down from 42K to 38K. The unemployment rate stood at 5.6% as expected. What kind of jobs were gained? Here there is better news: 62K gains of full-time jobs mitigated a drop of no less […]
