Daily Commentary 30/10/2015

The rally in the Dollar, after the Fed indicated a rate rise in December, ran out of steam overnight as markets digest the future. The EUR traded 1.0950, while the GBP attempted to regain 1.5300, as equities slipped. The Feds bullish commentary, due to stronger economic circumstances, relies on strong Labour markets and normalised inflation.…

Daily Commentary 29/10/2015

The Fed left rates unchanged, as expected, but intimated that they will likely raise rates in December. The intention surprised many and Bond yields immediately spiked with currencies. The EUR plunged to 1.0925, while the GBP dropped to 1.5260, as the reserve spiked. The Fed sited a stronger labour market and improving economic conditions allowing…

Daily Commentary 28/10/2015

Global equities slipped lower overnight due to mounting evidence of economic slowdown. U.S. Durable Goods Orders contracted by 1.2%, while conflicting news on the housing market, does little to settle. New Home Sales fell 11.5%, although Home Prices moved up 5.1%, sending mixed messages. The Dallas Fed Manufacturing Activity also contracted 12.7%, confirming recent poor…

Daily Commentary 27/10/2015

Equities assumed their natural bias and slipped lower after a quiet open to the week on the economic front. Recent support for a European QE2 looks likely to pin the single currency lower, despite a concerted effort to undermine the Dollar, while China looks to join the currency wars. The Bank of China has added…

Daily Commentary 23/10/2015

The ECB left interest rates unchanged but dominated the markets with the promise of QE 2! This dramatically boosted equities in Europe and the U.S. while hitting the single currency. The EUR plunged to 1.1120, while the GBP held 1.5390, after stronger Retail Sales. European inflation expectations were lower, confirming the insipid growth, pushing the…

Daily Commentary 22/10/2015

The Bank of Canada reviewed growth forecasts lower, a nasty welcome to the PM elect, pushing the CAD above 1.3100. The Dollar continued to rebound strongly reflecting conditions similar to the strongly commodity based Canadian currency. The AUD slipped to 0.7220, while the NZD dropped to 0.6720, pushed lower by the rising reserve. The NZD…

Daily Commentary 21/10/2015

Equity markets were flailing overnight with marginal corporate earnings and ongoing concerns regarding the global economy. China remains the major concern as the ‘worlds factory’ matures and consolidates. Growth has collapsed, to a highly desirable 6.8%, a dream for any developed economy. The immediate impact is on demand for commodities, which directly impact the associated…