What To Look At In The Market
« Previous Entries Next Entries »Earnings, Inflation Data Depress Markets!
Friday, July 16th, 2010This morning’s US CPI data came in at -.1% (MoM) showing signs that prices are declining. This lends credence to the deflationista’s, who are projecting lower prices after the removal of government stimulus. This should not come as a surprise, as government spending was intended to induce price stability.
In addition, CPI data in New Zealand […]
“Slowing” Growth!
Thursday, July 15th, 2010Overnight, the Chinese reported less than expected GDP figures; however before you worry about the Chinese economy, note that growth slowed to 10.3%. That’s right, growth above 10%. By contrast, most other global economies are struggling to reach 3% growth.
In addition, in Japan the BOJ left rates unchanged at .1%, citing forecasts that growth will […]
Sound As a Pound!
Wednesday, July 14th, 2010This morning the British pound is higher as a better than expected employment report showed that the unemployment rate hit a 15-month low as jobless claims fell for a fifth month in a row. This, combined with earlier CPI data that was higher than the BOE target rate, further strengthens the argument […]
Portugal Downgrade!
Tuesday, July 13th, 2010In the European session, Moody’s ratings agency downgraded Portugal two notches to A1 but maintained a “stable” outlook while citing weak growth prospects. ECB President Trichet maintained that monetary policy is appropriate in an attempt to assuage the market. Meanwhile, investor confidence figures in Germany weakened, as did wholesale prices.
In the UK, higher than expected […]
US Earnings On Tap!
Monday, July 12th, 2010This week starts earnings season for US companies and, rightly or wrongly, will help show whether or not economic progress is occurring. We’ve witnessed the disconnect between corporate profits and the “real economy”—namely jobs—and good corporate earnings will give the unemployed hope that hiring may be soon to follow.
In the UK, GDP figures came in […]
O Canada!
Friday, July 9th, 2010This morning, Canadian employment figures came in and showed a drop in the unemployment rate from 8.1% to 7.9% on strong jobs growth. The Canadian economy added 93K jobs vs. an expectation of 20K. This belies the good economic story going on in Canada despite the fact that they rely on the US to import […]
Follow Up With Abe!
Thursday, July 8th, 2010As a follow up to my original interview and due to overwhelming viewer response, Abe Cofnas has provided the answers to your questions. You can view that interview here. In addition and going forward, Abe has graciously agreed to provide forex trading blog with a weekly feature, giving us insight into his unique […]
Volatility Rules!
Thursday, July 8th, 2010Yesterday, the markets started off in risk-taking mode and that quickly reversed to post huge gains as the market flipped to risk-taking. As I mentioned yesterday, there was no real reason to induce risk-aversion as the there was no news driving fear. That proved to be prescient. This goes to show how the 24-hour nature […]
Not So Fast Folks!
Wednesday, July 7th, 2010Just when you thought it was safe to go back into the water and dip your toe in the risk pool, the market reminds you that the sharks are still out there. Yesterday started out as a classic risk-taking day, only to end up a bit uncertain.
Yesterday I spoke about how the lack of […]
Hungry for Risk!
Tuesday, July 6th, 2010After last week’s sell-off in world markets, investors are feeling more confident about economic prospects as the US markets return from the holiday weekend. Bank stress tests in Europe are intended to show transparency, and EU leaders are “banking on” hopes that the balance sheets are not as bad as previously thought.
Overnight, the RBA left […]
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