US Dollar May Overlook CPI Data As Tax Cut Prospects Fade
The Australian Dollar underperformed in Asia Pacific trade, sinking in the wake of disappointing wage growth data. The Japanese Yen traded broadly higher as regional stocks followed Wall Street lower, boosting the appeal of the standby anti-risk currency. The British Pound corrected lower having rode the Euro’s coattails upward yesterday despite disappointing UK CPI statistics. From here, a relatively muted European economic data docket is headlined by UK […]
Good Times Bad Times (In The Market)
The Market’s had its share. Today’s good times: Regional Banks (KRE) jumped from a Distribution to Warning to a Bullish phase. And, in the course of 2 days. Good times because the financial sector reacts better in an environment where the Federal Reserve has enough confidence in the economy to hint at a policy of […]
Stocks To Trade: CAT, SWKS, BB
Wednesday’s stock picks Take a look at three trading ideas to prep you for the next trading session. Long Caterpillar (CAT) Long Skyworks Solutions (SWKS) Short BlackBerry (BB)
EUR/USD Daily Analysis – Wednesday, November 15
EUR/USD bounced strongly to as high as 1.1805, breaking above the falling trend line on the 4-hour chart. Near term support is at 1.1740. As long as this level holds, the upside movement from 1.1554 could be expected to continue and next target would be at 1.1879 resistance. A breakout of this level will confirm […]
Buffett Adds Another 3.9 Million Apple Shares, Cuts IBM, Wells Fargo Holdings: Full Q3 Holdings
Traditionally one of the most boring, and telegraphed 13-Fs, Tuesday’s update of Berkshire holdings did not contain any major surprises, well maybe with one exception: while it was already well-known that at the end of June Buffett converted roughly 700 million Bank of America preferred shares into common, which now appear on Berkshire’s 13F, there […]
Natural Gas Prices Pull Back In Face Of Late-Month Weather Uncertainties
Despite settling decently off the lows today, December natural gas prices closed over 2% lower and are now more than 11 cents below the settle last Friday. Long-range warmer weather risk appears to be the culprit in the most recent sell-off, though enough cold risk appeared on some guidance for prices to bounce off a […]
Historical Precedence For How A Bond ‘Bubble’ Ends
The UK government tried very hard to hold on. They had been able to raise $200 million from JP Morgan, a significant sum at that time under those circumstances. The British had also secured an almost equal amount from banks in France. The new National Government had produced a budget slashing spending by £70 million, […]
QE Tightening To End In 2-4 Years
Fed’s QET To End Between 2020 & 2022 The chart below brings light to the timetable I’ve been discussing with regards to the Fed’s balance sheet unwind. I stated that it would be unlikely for the ECB to start an unwind before the next recession because its QE program will end in late 2018 or […]
Can Asset Bubbles Be Mathematically Quantified Before They Burst?
The subject of asset bubbles and market crashes has fascinated me for more than 20 years. As an options market maker for Susquehanna International Group (“SIG”), extreme price movements were a daily source of concern. I sat next to Jeff Yass for years and watched him manage option positions in thousands of different stocks. Almost daily he would […]
U.S. Shale Oil Production Update: Financial Carnage Continues To Gut Industry
As the Mainstream media reports about the next phase of the glorious U.S. Shale Oil Revolution, the financial carnage continues to gut the industry deep down inside the entrails of its horizontal laterals. The stench of fracking fluid must be driving shale oil advocates utterly insane as they are no longer able to see financial wreckage […]
