China trade war escalates as new tariffs kick in: U.S. economy set to slow from here on, damaged by trade war
EM ASIA FX soften as dollar recovers after falling for six straight sessions
Wall Street sets record for longest bull run in history; Key S&P 500 index passes landmark as it goes 3,453 days without major correction
Brexit contingency plan papers released; Brexit could be good news for Britain's farmers
Australian dollar drops as three government ministers
A little bit of everything: It certainly wasn’t the highest-impact day market participants have experienced so far this year, but there was a spoonful of everything, thematically speaking that is, driving the macro-economic outlook for markets in 2019. To keep it high level, there was a series of significant growth-related data released out of all three of the world’s major economic geographies – China, Europe and China – plus a healthy smattering of geopolitics and corporate news to keep trader
Oil seeing volatility ahead of a crucial meeting for OPEC on production. 'History of Crude Oil' video below.
Emerging markets aren't helped by trade war talks and slip to a 9 month low.
Trade war fallout starting to be seen with Daimler's profit warning likely to be linked to the imposed tariffs.
Relatively large macro economic day today. Give a once over to the calendar below and plan your day.
Asian Overnight: Asian markets were largely back in the red overnight, as
Geopolitics is already shaping-up as the major driver of financial markets this week. Data is rather light, with the US Federal Reserve’s meeting on Thursday morning (AEST) the centrepiece of an economic calendar otherwise filled with a handful of central-bank-head speeches and a meeting of the RBNZ. Hence, traders will find themselves sucked into a vacuum that can only be filled by noise surround the global economy’s biggest contemporary international-political hot-points. The break-down in tal
Asian equities are modestly up as investors price in strong US job report and president Trump’s optimism on trade talks. The top performer was Japan’s Topix index which was up 1% at 3:32 GMT, following a weaker Yen. Major markets across Asia will close for part or all of the week as the region heads into Lunar New Year holidays.
India NSE Nifty 50 is down 0.5% as of 5:15 GMT as investors evaluate the populist push in the government’s last federal budget. India is set to cut taxes to middl
Turkeys government has said it would provide liquidity and cut reserve requirements to Turkish banks yesterday. Lira drops.
MSCI world equity index which tracks shares in 47 countries across the globe, down 1.1% yesterday and subdued overnight.
Nikkei bounces 2.3% overnight.
Deutsche Bank pointed to 5 lenders most at risk in the country due to a ‘meaningful presence’ - BBVA, UCG, ING, BNPP, and HSBC - the latter of which was down 0.72% on the closing bell yesterday.
Is There an Effort to Keep Markets Uneasy in Trade Wars?
How many times does something unusual have to occur before it is considered a planned? I have noted a number of times over the past month that some unexpected policy development was announced hours before the markets closed for the weekend. There is an unspoken commitment by central bankers and global leaders to prevent volatility in their respective financial markets. Volatility is the general definition of risk, and there is a clear
The Turkish lira crashes yesterday as the central bank decided to keep rates unchanged despite soaring inflation.
The UK housing market looks to remain stagnant as figures released by HMRC showed housing transactions slipped last month by as much as 3%. House sales were down nearly 6% YoY. Housing market data in the US set to release today, so keep an eye out at 12 midday and 3pm for mortgage apps and new home sales figures.
Banking shares continue to gain globally. Metro bank has
The ECB announced the end of QE with plans to half asset purchases starting in September.
ECB interest rates left unchanged, but hints at "the summer of 2019" for a change. Euro slides.
Trump plans to impose $50bn in tariffs on China, met with a pledge of retaliation.
BoJ to keep stimulus unchanged.
Brent continued declines as Saudi Arabia and Russia hint that production figures could rise.
Unilevel is "extremely unlikely" to remain in the FTSE after it's plan
Global equity markets are shining with the Japanese Nikkei hitting an 8-month high, Chinese shares on course to make their biggest weekly gains in 2 years, and a strong earnings outlook expected to continue.
US stock market also looks to continue it's march to record highs are strong fund inflows support the market. Figures released on Thursday by EPFR Global quoted a $14.5bn inflow.
The Hong Kong dollar (pegged to that of the USD) strengthened early Friday ahead of the US Federal
A flowless rally: It’s being dubbed the “flowless rally”. Equities are ticking higher, but without the fundamental buying-support one might assume. This is especially so when considering the milestone achieved on Wall Street on Friday. Finally, the 2815 resistance level has tumbled, and the bulls have cautiously, quietly rejoiced. There are yellow flags popping up here and there, however, and that is making participants wary. It goes back to this “flowless rally” business: the latest leg of glob
The growth-versus-risk paradigm shifted further in favour of the latter in the last 24 hours, as a multitude of stories compounded the bearish sentiment mounting in global markets. Though Chinese markets were more stable yesterday, an IMF report downgrading global growth forecasts for the first time since 2016 reinforced the possible growth-sapping impacts of the unfolding US-China trade war. Risks in Europe piqued again, following renewed inflammation of tensions between the Italian government
Bitcoin hit year low falling below $3,500 after a 11% dive.
Chip stocks in Europe and Asia tumbled after the arrest of Huawei CFO . AMS dived 7%, STMicroelectronics fell 4% and Dialog Semiconductor slid 3%.
Dow rebounds after falling 780 points ending the day only slightly lower yesterday.
10-year Treasury yield fell to 2.83% amid stock sell-off compared to the beginning of the week where it was above 3%.
Non-Farm payrolls today expected to have expanded by 198,00 i
Solid US earnings yesterday support the Asian market and China sees a rebound.
GBP has slipped to its lowest level in 11 months on Brexit ‘no deal’ fears.
The British heatwave and World Cup has boosted discretionary consumer spending in July according to Barclaycard.
Oil gains as US renews sanctions against Iran.
Gold gains slightly as lower price levels and the key level of $1200 support seen historically induce buying.
Asian overnight: Asian markets were
Asian shares down. China sees GDP growth data for Q2 soften which fuels fears as trade war row concerns build.
Trump and Putin will sit down today for their first ever summit. Remarks from the pair could boost defence stocks.
May's Brexit brings another MP resignation as the trade bill fight looms over the government.
The UK's Rightmove house price index was published this morning and shows continued stalling and devaluation in London’s housing market. This could be seen as
The US Dollar is holding within tight margins as investors are showing discretion ahead of the US Midterm elections that take place today.
The Dow closed up 190.87 points at 25,461.7 and the S&P rose 15.2 points closing at 2738.31 led by the financial and energy sectors.
The Nasdaq fell 0.38% lower at 7328.85 as Apple and Amazon both fell more than 2%
Apple has had its second downgrade since its earning report last week, as Rosenblatt Securities followed Bank of America
Written by Kyle Rodda - IG Australia
Volatility lower; risks remain: Financial markets face far fewer risk events this week, but as has been repeatedly observed in recent months, that does not preclude the possibility of ample volatility. If anything, with so much global economic and political uncertainty at present, the absence of news can make already murky circumstances appear murkier. Traders are still jumpy and rather trigger happy, though implied volatility has been downgraded over the
Make or Break for Brexit?
There have already been so many twists and turns in the UK’s efforts to negotiate its separation from the European Union that that investors are getting dizzy. It is troublingly difficult to gain a reliable bead on a probable outcome for this stalemate, but the lack of time and dwindling hope of an outcome that will satisfy the majority of those involved raises the threat of a ‘bad’ outcome and even worse market response. This is not one of those events where igno
The U.S. Government has seen turmoil over the weekend after "Trump's Wall" disagreement on Friday resulted in a government shutdown.
Trump will be bringing in the new year with new Defence Secretary. Patrick Shanahan will replace James Mattis on 1st January, earlier than expected.
The end of the year sees further stock slumps, particularly for 2018 tech IPOs. Domo plummeting 25%, Zscaler tumbling 18% and Zurora and SurveyMonkey falling over 10%
Asian Stocks saw a mixed Mond
Friday’s US jobs report could bring a bearish reversal for the dollar despite the ongoing bid to claw back jobs lost in March and April.
The August US jobs report released on Friday provides traders with another opportunity to take a close look at the ongoing economic recovery following the economic collapse that took hold in the first half (H1) of 2020. Capping off the week, the jobs report will be released at 1.30pm (UK time) on Friday 4 September.
ADP weakness could spell trouble fo
Written by Kyle Rodda - IG Australia
A big bounce, but a bottom? There’s little shortage of folks calling a bottom in the market this morning, but in truth it’s too early to tell if we are there yet. Sentiment indicators and other market internals suggest that the market could be oversold right now, however a short squeeze here-and-there and a shake-out of a few opportunistic bears doesn’t necessarily mark a change of trend. It’ll be returned to towards the end of this note, but in the inte
Written by Kyle Rodda - IG Australia
I'm mad as hell and I am not going to take this anymore! It was this sentiment in November 2016 that raised political-renegade and anti-establishment Republican Presidential candidate Donald Trump from rank-outsider and laughing-stock to President of the most of powerful country in the world. No one seemed to see it coming, and as electoral college votes were slowly counted on Election Day almost exactly 2 year ago, the world sat in awe as what was consi
After twenty years as a prominent business leader in the global auto industry, Carlos Ghosn resigned the top job at Renault late on Wednesday. He will be replaced as Chairmen by Michelin chief Jean-Dominique Senard and as CEO by Thierry Bollore. The news could shake the unstable Renault stock, as markets would balance their trust on the restored leadership with the implied uncertainty.
It was an exciting trading session in Singapore as Jardine Matheson Holdings Ltd plunged about 83% in pr
What happened? The sell-off continues, and despite a brief pause during Wall Street trade that opened hopes of an end to this rout, it was quickly dashed as investors went back to dumping stocks. The chaos that has ensued in the last 24 hours raised myriad of questions. But the first one is inevitably this: why did that happen? In short: there’s not a clear answer. That isn’t to say that there isn’t reasoning behind the sell-off; on the contrary, there’s plenty to explain it. Rather, it’s a matt
The Asian market index futures boards are seeing a sea of red on the back of continued EM anxieties.
Dollar seeing pressure as European peers are bid up.
Tesla stock slips as investor worries deepen, whilst the Tesla bond hits a record low.
Uber on track for an IPO in 2019, however there are no plans to sell it's tech unit according to CEO.
Goldman have dropped bitcoin trading plans for now according to reports. Crypto space crashes.
Gold seeing an increase in
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