Canada’s dollar consolidated, after rising from almost the lowest level since October versus its U.S. counterpart, as investors tried to gauge whether officials will take steps to prevent another global recession.
The BoC is likely out of a tightening cycles, while is allowing its current to weaken against benchmarks like the US dollar. Continue reading
During the run up in the equity markets two weeks ago, semi-conductor stocks lead the charge higher. The rally, is based on higher demand and Intel was one of the leaders of the sector.
Shares of Intel (INTC) moved higher Friday above average volume. Approximately 60.3 million shares have traded hands vs. average 30-day volume of 54.9 million shares. Spikes in volume can validate a breakout or signify a potential turning point. Continue reading
Volatility remains in the headlines and all eyes continue to focus on Europe despite the weakening US economy or very low price to earnings ratio on US stocks.
The Eurozone received additional bad news Tuesday, after Standard & Poor’s Ratings Services on cut Italy’s sovereign-debt rating a notch, saying the Mediterranean nation’s weak economic growth and fragile government coalition will make it harder to head off the growing crisis sweeping the euro zone. The news represents a fresh setback for the currency zone’s third-largest economy. Continue reading
Oil prices have climbed their way back to resistance levels and are poised to test a new range, if US and global equity markets will just give them the momentum they need. Prices piereced the $90 per barrel level on Tuesday, but failed to gain the needed traction to break through resistance. Continue reading
Despite the recent announcement of the departure of Steve Jobs as the CEO of Apple Computer, the large tech company has traded relatively well in the recent market downdraft. Apple is relying on solid sales and strong earnings to keep its stock in robust territory. Continue reading
The Pound has been a front-runner in the global rush to zero rate expectations this year. Having lagged behind other majors in the global carry wave in the early part of the year, the pound gained disproportionately from the indiscriminate shedding of forex leverage positions during the summer global market rout. The CFTC data has tracked closely the pound’s moves. The near-record shorts that had been built up through June were steadily liquidated during the early months of the global re-pricing of risk, indicating that sterling’s advance over the summer was a matter of short-term positioning rather than renewed confidence in the pound’s haven qualities. In that sense, sterling has been the beneficiary of this year’s “rush to zero” for global policy rate expectations, mainly due the fact that the markets abandoned BoE rate hike hopes before the notions of a global recovery and an international policy normalization cycle were delegated to the rubbish bin. Continue reading
European stocks plunged Monday and the euro tumbled, as investors piled into safe-haven assets amid rising fears over Europe’s sovereign debt crisis and economic growth on both sides of the Atlantic. The yield on the benchmark 10-year German government bond plunged to well below 2%, a new record, while Italian yields rose on fears the government’s commitment to austerity and reform is weakening. Continue reading