Bloomberg – Dollar Buoyed by Positioning for Possible Jackson Hole Rebound Gamma trading may dictate price action amid thin data calendar The Bloomberg Dollar Spot Index rose by 0.3 percent as of 10:22 a.m. London, following a drop of 0.6% since Friday. Some investors trimmed their short exposure in the greenback after the gauge hit a… Continue reading Dollar Outlook Brightening Again
Comment Jim Bianco was on Bloomberg radio yesterday discussing deregulation’s effect on markets. Barron’s – Trump’s Secret Weapon: Deregulation For all the chaos in the White House, the markets still have reason for cheer. Since last November’s election, how much of the so-called Trump rally has owed to the president’s proposed policies has… Continue reading Deregulation Is Driving The Trump Trade
The Financial Times – Ray Dalio turns cautious amid Washington conflict Former Trump bull wary as S&P 500 sets course for worst month since before election The world’s biggest hedge fund manager is turning more defensive on concerns the political drama in Washington will impair the US government’s ability to function and weigh on already wobbly… Continue reading Your Daily Dose Of “Trump Will Cause A Bear Market”
Bloomberg – Commodities Outlook Dims as Trump Disbands Councils Although not stellar, commodities have shown decent support ever since it became clear that Trump had a shot at the White House With pro-growth in jeopardy, commodities face more headwinds than potential upsides. The markets cannot rely solely on the weakness of the U.S. dollar. Nor… Continue reading It’s Time to Stop Referring to Commodities as an Asset Class
The Financial Times – Globalisation in retreat: capital flows decline since crisis In a world where US President Donald Trump and other economic nationalists are threatening to erect new barriers to trade, debates about globalisation today are dominated by the surge in the trade of goods over the past half-century and its impact on societies.… Continue reading Cross-Border Capital Flows
Bloomberg – Bitcoin Analysts Compete for the Highest Price Forecast The consensus is that the biggest cryptocurrency will face some resistance around $4,500 to $4,800 and correct, to then continue rallying. How high? Pantera Capital Management’s Paul Veradittakit, Tom Lee at Fundstrat Global Advisors and John Spallanzani at GFI Group Inc. see it going to… Continue reading Anything You Can Do I Can Do Better: Bitcoin Forecasts
The Financial Times – More companies sell bonds to fund pension obligations Corporate treasurers take advantage of low borrowing costs and 35% tax deduction A number of companies are selling bonds and taking advantage of low borrowing costs to support their retirement obligations as corporate treasurers anticipate US tax reform in 2018. As investors question the… Continue reading Selling Bonds To Fund Pensions
Business Insider – Hedge funds betting on stocks are having their best year since 2009 — but they’re still getting smoked by the market Equity hedge funds are off to their best start to a year since 2009, but they’re still trailing the S&P 500. The performance of stock hedge funds this year isn’t exactly… Continue reading Hedge Fund Underperformance
Bloomberg Markets – Fed’s Big Bond Unwind May Clobber U.S. Stocks, Corporate Debt Money managers don’t seem alarmed so far. Stocks have gained 10 percent this year, including dividends, while corporate bonds are up 4.8 percent as of Friday’s close. Both Treasury debt and mortgage bonds, the securities most directly influenced by the Fed’s plans to… Continue reading The Effects Of Reducing The Balance Sheet
Bloomberg.com – Mnuchin’s Fort Knox Quip: ‘I Assume the Gold Is Still There’ Only third Treasury secretary to visit U.S. Bullion Depository $200 billion worth of gold, though not counted since 1953 U.S. Treasury Secretary Steven Mnuchin paid a rare official visit to Fort Knox to check out the nation’s gold stash on Monday — while… Continue reading Tin-Foil Hat Alert
Bloomberg – The Next Fed Chair Won’t Really Control the Fed Economists seem increasingly confident that Gary Cohn, the investment banker and White House adviser, will succeed Janet Yellen as head of the Federal Reserve when her term ends in February. Whether Cohn or someone else gets the nod, the horse race masks some of… Continue reading A More Democratic FOMC Puts Less Pressure On Fed Chair
Real Time Economics (WSJ Blog) – How Retiring Baby Boomers Hinder U.S. Wage Growth Retiring baby boomers might be the answer to the mystery of why wage growth remains soft in what appears to be a tight labor market…Typically modest wage growth would point to remaining slack in the labor market. But that’s not the… Continue reading Blame Baby Boomers For Low Wage Growth