German elections have bedevilled the markets Investors’ hopes were crushed during the FOMC meeting during which once again there was no clear picture was painted and if this was not enough, German elections have bedevilled markets further and the situation has become as the notorious itch which is always difficult to graze. The ultimate result of…اقرأ المزيد
Merkel’s victory not burgeoning the markets for now
European markets are trading lower during the early hours of trading despite Angela Merkel victory which was confirmed over the weekend. Perhaps, it is James Bullard’s comment on Friday which is devastating trader’s appetite for riskier assets and have been translated by pushing the indices lower. However, traders are also focused towards the Congress and Barack Obama’s abilities and how they are going to tackle the debt ceiling without putting the fragile recovery in a jeopardy.
Questions are raised over keeping the sick patient on steroids European markets are trading lower as the questions have been asked if Federal reserve was correct in keeping the sick patient on steroid or should they have taken this opportunity to pull the trigger on their life support and let the market heal itself. There is…اقرأ المزيد
Asian markets closed strongly higher by building up further gains on top of yesterday. Investors praised the news that there is no tapering announced by the Fed, during their meeting which concluded yesterday. Fed based their decision on the basis that they are not convinced that the recovery is strong enough and more over the upcoming debt ceiling which could bring political gridlock in the country is not presenting a good time to initiate the tapering. This confirmed that the recovery in the US is patchy and the country is not ready any reduction in the stimulus package.اقرأ المزيد
Judgement day has arrived for tapering The judgement day has arrived and all the tapering talk which was started almost 2 months ago could have a clear and defined answer this afternoon when Mr Bernanke will deliver his speech. As we mentioned several times the question was not if Fed will start tapering in September, but…اقرأ المزيد
Yellen’s effect fading away
The European markets are trading mixed during the early hours of trading as the Yellen’s effect have started to fade away. Investors are more tempered this morning and the European indices may look to close their gap which was created over the weekend. There is no doubt that the borrowing cost both for the UK and for the US, has retraced from their radical high level of 3%, and this is due to investors coming to terms that there will be some sort of tapering announced during the Federal Reserve’s next meeting.