Opinion – Friday 10 November 2017

Equity markets hit a jittery patch shortly after I posted early yesterday morning, with selling seen across Europe and the US. The US Dollar is as expected softer across the board with safe haven currencies the outperformers. Notably, however, core global Bond Yields...

Opinion Thursday 9 November 2017

The RBNZ after the New York markets closed, left Interest Rates on hold at 1.75% but the language has spurred some Kiwi buying. Despite policy remaining “accommodative for a considerable period”, the RBNZ has brought forward the first expected tightening, increased...

Opinion – Wednesday 8 November 2017

It has been a very quiet past 24 hours for markets, the DXY and BBDXY making some net gains, but more from commodity currency weakness. The CAD, the NZD, and the AUD all lower by 0.25-0.35%. Oil prices have taken a small breather after the heady gains of late, the...

Opinion – Tuesday 7 November 2017

The oil price was the biggest mover over the past 24 hours, hitting a two year high (Brent +3.2% to $64.08 and WTI +3.0% to $57.30) driven by political uncertainty in Saudi Arabia. The move higher in oil supported commodity currencies (Aussie and Krone +0.4%; Canadian...

Opinion – Monday 6 November 2017

Both the US Dollar and US equities ended the week on a positive note, but a mixed US labour market report reinforced the flattening theme in the US Treasury curve. A December Fed hike remains well priced (92%), but question marks continue to linger on the inflation...

Opinion – Friday 3 November 2017

Late in the New York trading session, President Trump has announced that Jerome Powell will be the next Chair of the Fed, as has been widely flagged in recent days. So no surprises there. He is seen as very much the continuity candidate, he has not dissented in his...

Opinion – Wednesday 1 November 2017

The news on the state of the US and European economies has been good over the past 24 hours, adding more sunshine to the global growth acceleration story. It has also been a day of contained currency moves, the USD still waiting for substantial news on tax reform and...

Opinion – Tuesday 31 October 2017

Well, the big theme from yesterday’s trading overnight session was the news that President Trump’s Corporate Tax Cut plan from 35% to 20% could be phased in over 5 years. The US Dollar and US Treasury Yields were already drifting lower during the Asian session...

Opinion – Friday 27 October 2017

To borrow from Depache Mode, it seems markets Just Can’t Get Enough with a dovish ECB taper and increasing confidence in US tax reform seeing a rally in risk assets. European equities soared (Eurostoxx +1.3%), the Euro fell sharply (-1.2%), while US Dollar strength...

Opinion – Thursday 26 October 2017

After a sleepy start to the week markets have awakened over the past 24hrs. US equities are softer amid disappointing earnings results and Republican tensions threatening the prospects for tax reform. US Data has helped push US Treasury Yields higher and Interest Rate...

Opinion – Wednesday 25 October 2017

US markets right have been caught between 1) the ongoing negotiations over tax between the White House and Republicans, 2) who will be the next Fed Chair (the market seems to be positioning for a Taylor-Powell duo but there is still no news), and 3) the course of the...

Opinion – Wednesday 19 July 2017

How much a dollar cost? Is a song from American rapper Kendrick Lamar and apparently it is Barack Obama’s favourite song of 2015. Well, whichever way you measure it, a US Dollar costs less today than it did yesterday. The USD sell off that began early yesterday...

Opinion – Wednesday 25 October 2017

US markets right have been caught between 1) the ongoing negotiations over tax between the White House and Republicans, 2) who will be the next Fed Chair (the market seems to be positioning for a Taylor-Powell duo but there is still no news), and 3) the course of the...

Opinion – Tuesday 24 October 2017

Yesterday was a trading session of limited market moves with markets treading water ahead of key risk events later in the week (ECB Thursday and US GDP Friday). US Dollar strength continued (DXY +0.2%), Bond Yields barely moved (USTs -1.6bps), while equities were...