ECB prepares for the move On the eve of a turning-point meeting in October, the ECB provided deeper insight in its plans of tapering off the asset purchase program. A recent statement by the regulator says that commercial banks should increase the amount of reserves to cover toxic debts next year. Such a measure looks like reinsurance before ECB starts to cut...
Inflation holds back the ECB The chief ECB economist, Peter Prat, expressed concerns over the weak inflation in September, saying that while carrying out stimulus cuts ECB should not forget about inflation targeting. The official hinted at the ECB's high caution in this regard. It should be noted that the conduct of money supply shocks is a very sensitive and...
Catalonia Independence Independence in Catalonia as a harbinger of the political crisis in Spain. How can the division of the country could affect the euro? Any political crisis is a bad example for other peoples or nationalities wishing to take advantage of the right to self-determination (in the Spanish Constitution of 1978 there is no such right). In the...
Strong US GDP The data on US economy released on Tuesday was yet another proof that the Fed needs to raise rates in December. US GDP grew at a higher pace in the second quarter than expected. Inventories rose in August by 1 percent, reflecting the confidence of producers in improving consumer demand outlook. Curiously, GDP was resistant to a drop in inflationary...
The Fed's sudden warning to prepare for December rate hike and the early release of Trump's tax plan seem to have urged the bears to call off their plans for greenback for a long time. The yield on US Treasuries posted a sharp jump in inflation expectations on Tuesday after the Fed chief literally hurried the markets to change expectations on monetary policy. For...
The situation on Korean peninsula remains one of the most high-quality and coherent dollar signals, especially paired with the yen. USDJPY lost half a percentage point in the course of trading on Friday after Kim Jong-un again threatened to conduct a nuclear test in response to Trump's statement to destroy North Korea. In the medium term, USDJPY buyers remain the...
The Federal Reserve left interest rate unchanged at the meeting on Wednesday, but surprisingly saw December hike appropriate despite persisting slack on inflation front. As expected, the Fed set a green light to balance sheet cut, amounted 4.2 trillion. dollars, most of which has been amassed after the 2008 mortgage crisis. According to new economic forecasts, 11...
Falling business sentiments in Asia. Business confidence in the Asian region declined in the third quarter, Reuters reported, as concerns about security and long-term stability in the region grew despite business activity growth. China, India and South Korea led deterioration in the sentiments mainly because of tough capital controls and North Korea...
Asian and European markets have come under pressure before the Fed meeting as investors attempt to cut risk exposure in anticipation of market turbulence. The projections for the decision remain highly ambiguous, since on the one hand, the Fed's desire to continue normalizing rates, but one the another key indicator of the health of the economy - inflation is...
September FED meeting US fixed income and stock markets are preparing to lose cushion as Fed may announce the onset of balance-sheet cut at the meeting on Wednesday. Termination of reinvestment policy and a smooth shedding of securities means a complete switching off of the "rescue mode” which has been regulator’s state for about a decade. The market...
On a monthly chart, the price pushed away from point 3 of the rising channel and on the weekly chart was closed by takeover. Also the price rebounded from the horizontal support 3.52688. There are two options. The first is buying when the market opens. The second is buying from the middle of the takeover: Buy Limit 3.5500, SL = 3.4900, TP1 = 3.7000, TP2 =...
By bitcoin we pushed away from the level of 3600.00, having formed a reversal candlestick pattern "skylight in the clouds". We also pushed off from the 50% Fibo level, which was stretched over the last upward movement (1830-4979.9). These are direct signals for the purchase of crypto-currencies, even from current prices. Oleg Svirgun
According to the British currency, we came very close to the point 3 of the descending channel, which is formed on the weekly timeframe, and also there passes level 1.3680 - this is the punched horizontal from the monthly timeframe. Wait for the candle signals with subsequent sale of sterling, we will look at the daily chart. Oleg Svirgun
According to the British currency, we came very close to the point 3 of the descending channel, which is formed on the weekly timeframe, and also there passes level 1.3680 - this is the punched horizontal from the monthly timeframe. Wait for the candle signals with subsequent sale of sterling, we will look at the daily chart. Oleg Svirgun
Chinese data Weak August for the Chinese economy jolted stock markets pointing to addiction of economic growth to credit stimulus. High real estate prices kept high rates of investment in the sector, while industry and retail sales and fixed investment undershoot. Meeting of the Bank of England As noted in the previous analytical note, the growing gap...
The British pound, on the daily timeframe, pushed off the horizontal level of 1.3265 and is trying to form a veil of dark clouds (although for the complete formation of candle patterns one must wait for the closing of the day). It is also worth looking at the four-hour timeframe. If today the price closes below the level of 1.3220 and draws a veil of dark clouds,...
OPEC market projections boost optimism The monthly bulletin became a promising statement by the cartel about the imminent achievement of a balance in the oil market. Released on Tuesday, the report indicated that both supply and demand forces will work towards reaching the equilibrium, and a significant contribution to the bright prospects was made by the OPEC +...
Set to take risk The reassessment of possible damage from Hurricane Irma in a positive direction and the project signed by Trump on providing aid to the victims extended the period of optimism in the US stock exchanges. The S & P 500 index seems to have fallen into dependence on any positive news, updating records. The dollar remains in limbo, sellers made a...
