BOE Preview – Staying Cautious about Brexit Outlook
For QE expansion at the last meeting, we expect the BOE will keep its powder dry this month. BOE should leave the Bank rate unchanged at 0.1%, and the size of asset purchases (QE) at 875 pound. There have been...
Robert Shiller calls stocks ‘highly priced,’ but wouldn’t cash out
Nobel Prize-winning economist Robert Shiller believes the fear of missing out is fading. According to Shiller, the market phenomenon was the major narrative driving the historic rally off the March 23 low — as the world entered the throes of...
The Fed could disappoint markets Wednesday, even if it keeps a super dovish tone
The Fed may see a brighter long-term outlook when it releases its economic forecasts Wednesday due to vaccine developments, but it also has the opportunity to disappoint at least some investors who are expecting immediate changes in its bond buying...
WTI Futures Take a Breather; Upside Risks Remain Solid
WTI oil futures improved mildly off the Ichimoku lines but are struggling to restart the upwards trajectory with a breakout of the small sideways move. The fairly horizontal Ichimoku lines reflect the stall in positive momentum, while the rising simple...
Fed Likely to Skip QE Boost, May Adjust Composition and Forward Guidance
The Federal Open Market Committee (FOMC) begins its two-day policy meeting on Tuesday, with a decision expected on Wednesday at 19:00 GMT. Federal Reserve Chair Jerome Powell will give his last post-meeting press briefing of the year 30 minutes later....
‘It’s an economic war’— Warren Buffett urges Congress to extend relief for small businesses
Berkshire Hathaway Chairman Warren Buffett urged Congress on Tuesday to extend aid to small businesses as they continue to struggle through economic shutdowns used to fight the coronavirus pandemic. “It’s an economic war,” Buffett told CNBC’s Becky Quick on “Squawk...
Goldman Sachs CEO David Solomon says 90% of small businesses have exhausted PPP funds
Goldman Sachs CEO David Solomon told CNBC on Tuesday that small businesses it surveyed are in dire need of another round of emergency Paycheck Protection Program funding. “They really have needs; 90% of them have exhausted their PPP funding at...
Sterling Mildly Higher, But Upside Capped by Conflicting Brexit Messages
The forex markets are relatively mixed today. Sterling is generally higher but it’s capped by conflicting messages regarding Brexit trade negotiations. Canadian Dollar is currently second strongest, with help from mild strength in oil price. On the other hand, New...
Stocks Rally Vaccines, Stimulus Hopes
Stocks rally vaccines, stimulus hopes, and robust iPhone demand, Dollar softer ahead of Fed, oil rises, gold steadies US stocks are rising on optimism that Moderna’s vaccine will take a step closer toward FDA authorization, lawmakers will pass a compromised...
USD/JPY Trades Below 104.20
Since Monday, the USD/JPY currency pair has been testing the resistance formed by the 100– and 200-hour SMAs, as well the weekly PP in the 104.15 area. If the predetermined resistance holds, it is likely that the exchange rate could...
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