As many mourn the untimely passing of legendary Senator Edward Kennedy last night market analysts mull the prophesized return of risk aversion as the doping effects of earnings season wears off. The German IFO this morning confirmed that business confidence has definitely improved ? coming in at 90.5 from 87.4 last month (and beating a forecast of 89.0) This had an immediate positive effect on… (more…)
The news that hit the news wires earlier this morning that has rattled the markets has firmly reasserted risk aversion into as a central theme to current market dynamics. It stands to reason that current ?over-optimism? is due for a reality check but are we looking at another slump as we head into winter or is this just another growing pain in the ?green shoots? theory. China announced a plan to… (more…)
Whole lot of nothing going on. Yesterday?s sell off in USD was rumored to have been driven by stops being triggered and in these thin markets seem to make the most sense. The S&P500 closed basically flat, trapped in week range. And without equities giving markets direction, currencies are forces to stay range bound. Risky assets gained slightly despite Shanghai trading lower (down -2.8%)….. (more…)
EurUsd Taking a look at the big picture on EUR USD this morning, we can see that although the pair has broken the 3 week downtrend, the bulls still have significant resistance at 1.4338 to contend with and unless it clears the level we will be looking at a nice head and shoulders in development… (more…)
