The U.S. Dollar continues to rest on support around 78.00 and it’s my opinion that today will establish whether the bulls or the bears win the battle for control at this major psychological level support. The move lower on the daily U.S. Dollar comes as the Dow Jones has risen to 12,000. The Dow remains in a mark-up trend while the U.S. Dollar is arguable in...
Is the New Trend Down?
Jan 26, 2011
Last September, I put up an interview with David Tepper, who at the time was an unknown to me. Nonetheless, I found myself agreeing with most of what he said. Tepper explained that if the economy was recovering, then the markets would do fine. If the economy stalled, the Fed would step in and prop up markets. Heads I win, tails you lose- except in this case...
What to Expect from Today’s FOMC Decision on Inflation, Growth
Jan 26, 2011
The Fed comes into today’s meeting with macro-economic signs pointing upward. Stocks are at 20-month highs and there has been an up-tick in economic data including better figures of late on consumer spending, manufacturing, even housing. But the report that matters – jobs created in non-farm payrolls – continues to be stubbornly weak. Inflation is also...
Bank Of England Minutes Reveal Worry Over Inflation as Second Member Votes For Rate Hike
Jan 26, 2011
Very interesting mix of vote in the last Bank of England interest rate meeting. We now have2 people calling for interest rate increases on account of the higher risks to inflation. The market had been pricing in a more hawkish Bank of England prior to yesterday’s very weak 4th quarter GDP results. Official Release: PDF From Bloomberg: Bank of...
US Consumer Confidence Jumps in December, Supports US Recovery Story
Jan 25, 2011
For January Provided by: Conference Board Present Situation: 31.0, pr. 23.5 (Nov), 25.4 (Oct), Expectations: 80.3, pr. 71.9 (Nov), 73.6 (Oct) Very strong consumer confidence report from the Conference Board today. The overall index jumped to 60.6 in January from 53.3 in December, beating expectations by 6 points, and moving to the highest level since May of...
Dovish BOC Reinforced as December’s CPI Underwhelms, CAD Retreats
Jan 25, 2011
The Canadian Dollar reversed course last week, after having moved to the 0.9840 area last Tuesday. Since then, the USD/CAD returned back above parity at 1.0050 but for the past couple of sessions confined itself to a pretty narrow range between 0.99 and 0.9985. Today’ after testing the bottom part of that range near 0.99, prior to the release of the...
[ELSE_not_logged_in]
