The Weekly Bottom Line: More Fiscal Stimulus On The Way
U.S. Highlights Housing starts surprised to the upside in August (rising 3.9%), powered by gains in the multifamily segment. Solid data out of the housing sector and reassuring words from the FOMC confirm that the economic recovery is well under...
Week Ahead: US Debt Ceiling, Evergrande, and An Impending Energy Shortage
There was a barrage of central bank meetings last week, with the FOMC and the BOE having the most market impact. Watch for the volatility to continue this week. In addition, there will be plenty of storylines to follow, including...
Week Ahead – Risks Haven’t Gone Away
Are investors getting complacent? The next few months are going to be extremely interesting in the markets, with central banks becoming less comfortable with the level of stimulus they’re providing, economic recoveries slowing and market risks mounting. Evergrande has come...
Energy Crisis: Oil Surge Causes Petrol Panic at Pump
Oil’s continued increase has combined with supply issues caused by the HGV driver shortage to fuel petrol spikes and stoke winter energy crisis fears. Here’s the latest, as well as a technical look at Brent. Energy crisis concerns are escalating...
Forward Guidance: Spending on Services to Support Growth Despite Supply Chain Challenges
All eyes will be on Canada’s GDP report next week—and more specifically, its ‘official’ July estimate. A preliminary report in August called for a surprising 0.4% decline in GDP in July, despite an easing of COVID restrictions in provincial economies....
Smart Money Performance Creates Doubts In The Stock Rally
US markets closed a second consecutive day with an impressive gain of more than 1%. The price of a barrel of Brent on Thursday returned to an area of yearly highs near $77. However, investors and traders should be aware...
European Monetary Policy and FX Roundup
Summary It has been a particularly busy week across Europe, with several of the G10 central banks making monetary policy announcements and contributing to varying degrees of market excitement. In this report we briefly recap these announcements and assess their...
GBP/USD: BoE Faces Major Dilemma
Like many other major central banks, the Bank of England faces a major dilemma: start reducing stimulus in the face of the rapidly rising inflationary pressures or let inflation cool down naturally as the impact of supply bottlenecks, energy price...
Stocks Rally ahead of the Fed
Stock markets are looking surprisingly bullish ahead of the Federal Reserve decision later today, with Europe posting gains above 1% and the US not far behind. It seems all of the unease around Evergrande in recent days is abating, with...
US Open: Futures Rise ahead of Fed Announcement
Stocks on Wall Street look set to open higher as the Evergrande can is kicked down the road and as the Fed announcement is awaited. With expectations of a hint towards tapering, the risk is that the Fed fails to...