Equity sentiment continued to suffer yesterday despite a US August CPI release that showed cooler inflation than expected and saw a rally in Treasuries as it keeps Fed expectations on tapering and eventual rate hikes in check. The weak risk sentiment drove the US dollar back to the firm side...
9 Bubbles in 30 Years — Here’s the Trade for the Newest One
(I’m defining a bubble as a price gain of at least 30% in a year, a gain that is well above the World Nuclear Association’s estimated annual growth rate of 2.3% a year.)
9 Bubbles in 30 Years — Here’s the Trade for the Newest One
(I’m defining a bubble as a price gain of at least 30% in a year, a gain that is well above the World Nuclear Association’s estimated annual growth rate of 2.3% a year.)
For how long can equity markets ignore the energy shock?
Electricity and energy prices are soaring in Europe putting pressure on households and industry. In this analysis we take a look at which parts of Europe are most at danger from rising prices and what it means for equities.Europe, but to some extent the US, is undergoing an energy shock...
NatGas surge a key component driving the uranium squeeze
The global gas and power market remains on fire, with tight supply and worries about a winter supply crunch driving European gas prices to new record highs on a daily basis. During 2021, this development has driven the prospect for an increasingly expensive green transformation, and with that, an increased...
Macro Digest: Don’t ignore the distress signals of the market
Inflation seems to be the only factor that can change the direction of the stock market. Energy prices are now trading between 50% and 500% higher than average, depending on the fuel, and this represents a tax on consumption and business profits. We expect falling profit margins from here, but...
FX Update: Inflation on the brain on SEK surge, US CPI release later.
The US August CPI release later today is the key calendar focus for the day after the July CPI release offered support for the transitory narrative. The US dollar is on its back foot ahead of the release, while the Scandies are surging, the Swedish krona on a very hot...
Holding breath for US August CPI print today
Today we look at a rocky session in the US, even if the session managed to stabilize into the close, cast a nervous eye on the China Evergrande story, break down where to focus on the US CPI release today, especially for the impact on the treasury market, look at...
Market Quick Take – September 14, 2021
Another rocky session for US equities yesterday as early gains could not be sustained and the market closed slightly better than unchanged before edging higher in the Asian session, where the mood in Japan remains ebullient and the Nikkei 225 touched a new 31-year high at one point. Today the...
Unusual Options Activity: Half of These Traders Won’t Be Happy…
We’ve seen plenty of options activity on banking stocks over the past few months and traders are still bullish.