On Friday, we brought you Goldman’s recommendations for how to trade the upcoming US presidential election. In a nutshell, you want to be long stocks with a significant proportion of revenue derived domestically and you want to get long anything that benefits from fiscal spending. This is obviously
There’s an election coming up. Did you notice? Apparently you didn’t: (Chart: Goldman) As you can see from the above, we’re well below the median (in fact we’re below the 25 percentile) when it comes to equity market uncertainty ahead of a US presidential election. Which is of course curious conside
It seems pretty clear that markets are not going to cooperate with the Bank of Japan. Recall that earlier this week, Haruhiko Kuroda announced the bank would begin managing the yield curve in an apparent effort to steepen things up a bit so the country’s banks don’t shrivel up and die. Here’s a look
What can you say about Thursday? Triumph of the central bankers we suppose. It’s all up: That’s stocks and oil. Now have a look at bonds: Same story. Steady, but with a yield bias lower. Here’s how Bloomberg’s Richard Breslow put it: “That dud landed with a thud. It fits the FOMC’s desired narrative
Ok, well that worked out well… Fed on hold? Just buy it all, dammit. And here’s the VIX: Poor volatility - we’re starting to feel sorry for it. Here’s the full bullet point summary for anyone who missed it: FED SAYS NEAR-TERM RISKS TO OUTLOOK ‘APPEAR ROUGHLY BALANCED’ FED: HIKE CASE HAS STRENGTHENED
Make no mistake, there really was no getting this “right” for the Bank of Japan. When you’re monetizing the entirety of gross JGB issuance, buying up 60% of the ETF market, and rates are already negative, there’s not much you can do in the way of “shocking and aweing” the market. So they got “creati
All you have to do to understand how nervous markets are ahead of Wednesday is have a look at how the major averages across the globe performed today. Everything is mixed from the US to Europe to Asia. There are lingering concerns that the market may be pricing the Fed decision wrong. Barclays think
It’s official. Barring a flash crash or a terrorist attack, we’ve seen the most spectacular fireworks show we’re going to see on Tuesday and it came from a the fire-breathing dragon that is Sen. Elizabeth Warren. This is a politician that makes Bernie Sanders look meek when it comes to lambasting Wa
Ok, so we pretty much covered everything worth mentioning regarding Monday’s session earlier. OPEC chatter notwithstanding, there’s really no good reason to do anything ahead of the Fed and the BoJ unless you think you have a pretty good read on the tone Yellen will strike in the presser and on what
