Digital Revolution: Will Cryptocurrencies Take Over the World? Part II
Part II: Are Stablecoins Really “Stable”? Summary Stablecoins, which are a category of digital currency, have many favorable characteristics. Payments can be settled essentially instantaneously, and “unbanked” individuals can easily use them. Their supplies are not limited, so potential problems...
Will Oil Drop to $60 or Rise to $100 in 2022?
Predicting oil prices is a difficult job at the best of times. Still, it is increasingly difficult as COVID-19 and its variants continue to suspend consumers’ plans and disrupt the balance between oil demand and supply. In addition, governments are...
Stocks Under Pressure on Faster Stimulus Withdrawal Signals
Global bond yields hit fresh highs; stocks retreat The Fed’s new message, which sparked fears that inflation could be tough to contain, and hence could require faster-than-expected rate hikes during the year, continued to weigh on market sentiment on Monday,...
EURUSD Rises as Bets of Tighter Fed Remain
The EURUSD pair soared to the highest level since January 3 as investors reacted to mixed US non-farm payrolls (NFP) data. Data published on Friday revealed that the American economy added just 199k jobs in December. That was significantly lower...
Weekly Economic & Financial Commentary: Strong Momentum Prior to Omicron, Despite December’s Soft Payroll Print
Summary United States: Strong Momentum Prior to Omicron, Despite December’s Soft Payroll Print The Fed’s more hawkish tone in December’s FOMC minutes set the tone for financial markets this week, overshadowing the record surge in COVID infections. December’s jobs data...
The Weekly Bottom Line: Supply Chain Strains Show Signs of Easing
U.S. Highlights The U.S. economy kicked off the New Year with an unprecedented surge in COVID-19 cases. While a return to lockdowns is not expected, rising cases could lead to greater absenteeism, as workers self-isolate due to exposure, putting pressure...
Forward Guidance: Omicron Spread to Pause Canada’s Economic Recovery
A quiet economic calendar for Canada next week will keep the focus on virus developments. Provincial governments have re-introduced measures to slow virus spread, including mandated closures of high-contact services like restaurant dining rooms and gyms in Ontario and Quebec....
Week Ahead – US Inflation Report to Decide Dollar’s Fate
The new year has kicked off with a sharp spike in yields, which has turbocharged the US dollar but demolished the Japanese yen. Whether this trend persists will depend on next week’s US inflation report, as that could decide whether...
Equity Bulls Deflated by Hawkish Fed
Stock markets are limping into Thursday’s session in a frightened state after the minutes from the December Federal Reserve meeting pointed to a faster than expected hike in interest rates. Asian stocks flashed red this morning following the heavy selloff...
Eurozone Inflation to Ease Slightly; Bad News for Euro?
The flash inflation estimates for December will hit the market on Friday at 10:00 GMT. The headline rate is anticipated to edge lower, but remain extremely elevated. Upcoming data are not expected to offer the much needed positive relief for...