- Crude Oil49.135+0.0250(+0.05%)
- Natural Gas3.2650+0.0220(+0.68%)
North Korea’s Defiance of Trump Pushes Gold to Forefront
Gold is likely to be in focus this week after taking a backseat last week to the French elections, central bank meetings, and U.S. policy announcements. Pushing it back to the forefront will be the possibility of escalating military activity in North Korea based on events over the week-end. Demand for the safe-haven metal fell … Continue reading North Korea’s Defiance of Trump Pushes Gold to Forefront
European concerns: Greece is still Struggling, But Who is to Blame?
Historical Snapshot As we are heading towards the 9th year of economic crisis in Greece, someone has to wonder “what went so wrong that 9 different governments in collaboration with the tripartite committee (European commission, IMF and WB) were unable to reach a solution?” and how come the Greek crises has not been resolved yet?. … Continue reading European concerns: Greece is still Struggling, But Who is to Blame?
French Elections – First Round
The much anticipated French elections are finally around the corner and with all of the noise from earlier in the year, looking at the EUR, one would have thought that it was a 2 horse race between the more seasoned, but tainted Fillon and ex-banker Macron. As things stand, it’s a 4-horse race and there … Continue reading French Elections – First Round
North Korea – How Much of a Threat?
By the end of World War II, United States and Soviet Union took over the Korean country, ending a long Japanese rule of 35 years. During the cold war, both countries remained in a perpetual state of war, faced equal economic, political and social status. However, the fall of the Soviet Union has changed the … Continue reading North Korea – How Much of a Threat?
Disappointing U.S. Inflation, Retail Sales Data Means Mr. Trump May Get His Wish
On April 3, the newly released minutes from the Federal Open Market Committee meeting on March 15 indicated that the central bank struggled with two major concerns: whether it should let inflation run hot beyond its 2.0% mandate and how to prepare for President Trump’s economic stimulus plans. The minutes showed near-unanimous support from a … Continue reading Disappointing U.S. Inflation, Retail Sales Data Means Mr. Trump May Get His Wish
Vive la France! The Election and the Euro
Unless one candidate can garner more than 50% of the vote in the first round of elections, French voters will go to the polls twice to elect their new leader. The two candidates that score the most votes will go head to head for the top spot on the leadership podium on May 7. France … Continue reading Vive la France! The Election and the Euro
Life is Not So Bad after Brexit, Qatar will Invest 5bn in UK Over the Next Five Years
Last week, UK and Qatar held two days investment summit in Birmingham followed by Theresa May speech. May was brief and outlined some important points as the fact that they have signed a memorandum of understanding that will benefit 600 UK companies and will boost the employment process. From the Qatari side, this primary agreement will … Continue reading Life is Not So Bad after Brexit, Qatar will Invest 5bn in UK Over the Next Five Years
Crude Oil Set Up for Huge Volatility Spike
With the U.S. attack on a Syrian air strip early Friday and the subsequent price spike in crude oil futures, traders should start preparing for the return of volatility in the crude oil market after several months of sideways to lower movement. Volatility doesn’t tell us which way the market will move, but it can … Continue reading Crude Oil Set Up for Huge Volatility Spike
How Is Credit Affected by the Federal Funds Rate?
The recent Fed rate hike is slated to have a dramatic effect on borrowers. For starters, the Fed rate hike is expected to cost credit card consumers $1.6 billion in interest repayments alone. Currently, the federal funds rate (FFR) is 1%, after having been revised sharply higher in March. The US GDP growth rate is … Continue reading How Is Credit Affected by the Federal Funds Rate?
Crude Oil Has Room to Run
Bullish crude oil traders are enjoying a good week after a perfect storm of events helped drive out weaker short-sellers and draw the attention of speculative buyers. As of Thursday’s close, both U.S. West Texas Intermediate and international Brent crude oil are in a position to finish the week up over 4 percent. The foundation … Continue reading Crude Oil Has Room to Run
How are Banks Responding to the Fed Rate Hike?
On 15 March 2017, the Federal Reserve raised interest rates by an additional 25-basis points. This brought the Federal Funds Rate (FFR) to 1.00%. Many banks were slow in responding to the rate hike, however there were at least 8 banks that have raised interest rates since the Fed FOMC announcement. Typically, what happens when … Continue reading How are Banks Responding to the Fed Rate Hike?
Everything you Need to Know about the US-Mexico Border Wall
You might think the US-Mexico wall is the first of its kind, or maybe that Donald Trump was a pioneer when he signed the wall executive order. If these are your ideas, let me tell you that you are mistaken. Building a wall on the US-Mexico border is not a new invention. Several walls were … Continue reading Everything you Need to Know about the US-Mexico Border Wall
Trump’s Ability to Fail Forward Fast Could be a Positive for Markets
Let’s face it, the events in Washington the past 48 hours were just plan boring. I’m not a political guy, I’m a trader. I’m not in the game for the juice or the rush, but to make a living. After hoping for something to develop early in the sessions on Thursday and Friday so I … Continue reading Trump’s Ability to Fail Forward Fast Could be a Positive for Markets
The Big Short – When will it start?
The question of when the next market correction is due has been doing the rounds in recent weeks, the bears beginning to come out of an extended hibernation, with U.S equity markets hovering at close to record levels, without being able to press ahead, the FTSE100 pushing through to 7,400 levels despite the British government … Continue reading The Big Short – When will it start?
Dutch Elections in The Shadow of Turkish Comments War
As Netherlands is about to start its race to the prime minister seat on Wednesday, Turkey declared comments war on Netherlands. The stretches broke out last week when the Turkish president lashed out at Germans describing them by “the Nazis”. That came after German authorities decision to cancel pro-Turkish government rallies. These rallies were scheduled … Continue reading Dutch Elections in The Shadow of Turkish Comments War
The Effect of US Presidents on EUR/USD Movement
Whatever asset you decide to trade, the first lesson your mentor will teach you is to ‘look at the EURO DOLLAR long term trend’. Traders persistently try to predict the EUR/USD long term movements, ending up into circles. The frequent question being asked by all financial data providers at the start of every year – … Continue reading The Effect of US Presidents on EUR/USD Movement
Frequency of Rate Hikes Could Change Investor Sentiment Towards Stocks
The Federal Open Market Committee meets next Tuesday and Wednesday, and is widely expected to raise rates for the third time in close to ten years. With the chances of a Fed rate hike sitting at about 91 percent on the eve of the February Non-Farm Payrolls report, traders are now focused on whether the … Continue reading Frequency of Rate Hikes Could Change Investor Sentiment Towards Stocks
How The Markets Will React to The Next NFP Report?
US Politics Confusing The Markets It is not a secret that since Trump inauguration, the markets are facing big turmoil. Unrevealed tax plan, consecutive executive orders, Fed – White house foreseeable conflict and fears surrounding European elections, are all fundamental factors causing the markets a lot of disturbance. Number of FOMC participants’ assessing uncertainty and … Continue reading How The Markets Will React to The Next NFP Report?
Russia is the Wildcard that Could Launch Crude’s Next Rally
Last week, crude oil prices closed lower with April U.S. West Texas Intermediate prices falling $0.66 or -1.22% to $53.33 and May Brent futures weakening by $0.41 or -0.73% to $55.90. The common theme in the crude oil market news has been “the market is rangebound because increasing U.S. production has been offsetting OPEC production … Continue reading Russia is the Wildcard that Could Launch Crude’s Next Rally
Strong Yen Says Passing Trump Agenda May be Tough Task for Lawmakers
The price action on the charts the last two weeks indicates the sell-off in the USD/JPY is starting to pick up traction. The weak close also suggests that investors should start preparing for an acceleration into the low of the year at 111.583 and an eventual break into at least 109.919. One telltale sign that … Continue reading Strong Yen Says Passing Trump Agenda May be Tough Task for Lawmakers