Author: FX
WTI crude oil weeklyThe oil market finished last week on an optimistic note, closing just below the $80 level and threatening to break to the highs since November.Alas, the dam didn’t break and oil has slumped back to $76.62, finishing at the lows of the week. For most of the shortened week, oil was trading roughly flat but it slumped today, perhaps due to Israel-Hamas peace negotiations in Paris.That’s despite a US weekly oil inventory report that showed some tightness, particularly in products.US refineries should be ramping up in the weeks ahead and stronger global growth is a tailwind but…
What’s the market saying about forward inflation?Here’s a picture of 1-year forward 1-year inflation.It’s risen but it’s not arguing for problematic inflation.The two-year forward picture has been turning lower, presumably as the market prices in fewer rate cuts.2 year breakevensI think there’s a portion of the market that is always worried about inflation and the post-covid environment certainly expanded their numbers. There’s always the possibility of another run-up in energy prices or some kind of shipping shock but I really don’t see a problem here. Yes, inflation could run at 3.5% instead of 2% and the Fed may even need…
Itron Q4 2023 Earnings Preview Source link
© Reuters. FILE PHOTO: Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., January 9, 2024. REUTERS/Brendan McDermid//File Photo By Amruta Khandekar and Bansari Mayur Kamdar (Reuters) – Wall Street’s main indexes extended gains on Friday and Nvidia (NASDAQ:) leapt above $2 trillion in market valuation for the first time on the AI frenzy that has gripped the market since the chip maker’s blockbuster quarterly report. The and surged to record closing highs on Thursday, while the tech-heavy Nasdaq was a whisker away from its all-time high, as investors piled into technology…
Share: USD/CAD dipped to 1.3461 before a US-session surge back to 1.3500. It’s a thin Friday on the economic calendar. USD/CAD put a lot of effort going nowhere this week. USD/CAD looked in both directions on Friday as markets see thin action heading into the week’s closing bell. It was a relatively sedate trading week for the pair with the US Dollar (USD) gaining around a third of a percent against the Canadian Dollar (CAD). Next week brings a slew of data for both the US and Canada with US Gross Domestic Product (GDP) on Wednesday and Canadian…
Share: The DXY exhibits mild daily gains in Friday’s session. The Federal Reserve’s measured approach alongside a robust labor market reduces expectations of rate cuts. The market expects no chance for a March rate cut and less than a 25% chance of a cut in May. Investors keenly await upcoming economic reports for further insights on economic health and implications on the Fed’s stance. The US Dollar Index (DXY) is currently at 104.10, mildly higher thanks to stable conditions in the American economy. That stability brings down hope of earlier rate cuts by the Federal Reserve (Fed), whose…
Share: Several European Central Bank policymakers hit the newswires on Friday, giving their opinions on economic conditions and outlook as Europe sees day two of the ECOFIN meetings, and the Eurogroup meetings get under way today. Key highlights: ECB’s Stournaras: I see a first rate cut in June. Definitely won’t see March rate cuts. Euro-area GDP unlikely to grow 0.8% this year ECB’s Nagel: Remains confident inflation will be tamed, ECB mustn’t move too soon. ECB should act on data, not steps other central banks take. More comfortable with the current pricing for ECB Cuts. ECB’s Schnabel: R*…
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading and seek advice from an independent financial or tax advisor if you have any questions. Advisory warning: FOREXLIVE™ is not an investment advisor, FOREXLIVE™ provides references and…
Share: Households do not seem to really believe that the ECB will be able to bring inflation back to its target of 2% in the medium term, economists at Commerzbank say. Consumers expect medium-term inflation above 2% Even though the ECB’s communication has improved in recent years, this does not appear to have increased public trust in the central bank. The ECB is still experiencing a crisis of trust, which may impair the effectiveness of its monetary policy. The citizens of the Euro countries do not expect a return to the 2% target in the medium term and…
Share: The record stock market rally for Nvidia stocks makes us shudder to think what would have happened if the chip maker had delivered weak earnings or weaker forecasts. However, while we doubt that Nvidia is going to continue adding $200bn + to its market cap in a single day, AI is a key theme for markets right now. Since so much of market momentum is driven by tech and by Nvidia, we looked at correlations between Nvidia and a universe of global stocks in an attempt to determine 1, what stocks have the strongest positive and…