• Gold’s Renewed Momentum Hints Markets are Worried about US Inflation

    Gold’s renewed momentum was one of the most notable market events this week, sending price to a new 2020 high: It looks like bulls and bears argued for two months about the direction as the price stalled in the range between key levels of $1680 – $1745. Finally, sellers capitulated. Last month, around May 18, […]

  • Oil Prices at 3.5 month High as OPEC+ deal Compliance Improves

    Oil prices continued advance on Tuesday, Brent gained $2 rising to $43 per barrel, the highest level since early March. Obviously, sentiment in the market remains positive, thanks to the fact that constructive rhetoric from the OPEC, regarding compliance of several participants, has finally appeared. One of the weak links in the OPEC+ deal is […]

  • OPEC+ June Meeting: Level of Compliance, Demand Recovery Hint about Dovish Decision

    Oil prices advanced by more than 2% on Tuesday on expectations that the June OPEC+ talks would have a positive outcome for the market.

  • Key Economic Events and Reports of the Coming Week

    Monday, June 1, 2020 – Caixin Manufacturing PMI (May)(CNY), German Manufacturing PMI (May)(EUR), Manufacturing PMI (May)(GBP), ISM Manufacturing PMI (May)(USD). Tuesday, June 2, 2020 – RBA Interest Rate Decision (Jun)(AUD). Wednesday, June 3, 2020 – GDP (QoQ) (Q1)(AUD), German Unemployment Change (May)(EUR), ADP Nonfarm Employment Change (May)(USD), BoC Interest Rate Decision(CAD). Thursday, June 4, 2020 – Construction PMI (May)(GBP), […]

  • Eurozone Risks Spiralling into Deflation in the Coming Months

    Eurozone inflation continued to decline due to falling oil prices, but the underlying price pressure remained stable.

  • “Absurd” Employment Situation in the US and Possible Consumption Shock in August

    The rally in equities was brought to a halt with mild retracement in the US stocks observed on Thursday.

  • AUDCAD: Can’t Divide the key Level

    In this post we examine the AUDCAD’s outlook amid the mounting tensions between the US and China.

  • BoJ Yield Curve Control and new Supply of Government Debt. What to Expect from the Yen?

    After DXY support at 99 points were damaged on Tuesday due to powerful risk-on move, the currency continues to cede ground on Wednesday.

  • COT Data: Buying Pressure Decreases in Crude Oil, More Sellers Resign

    Market players are now sitting tight in crude oil as the price continues to float in the narrow range with key support to sentiments offered by voluntary/involuntary supply cuts.

  • Markets are Skeptical about QE but Draghi is Adamant about the September move

    The new ECB’s stimulus package will not significantly help bring inflation back to target, economists surveyed by Reuters said, adding that the risk of recession in the eurozone has increased over the next two years. According to the September meeting, the ECB announced the resumption of asset-purchases for an indefinite period and took the deposit […]

  • The “Smart way” to Calculate GDP in China Could Hype the Real Growth Rate

    The “Official” pace of economic expansion in China in 3Q once again fell short of expectations, dropping to its lowest level in 30 years. Growth equaled the lower limit of the range set by the government at 6.0 – 6.5%. In order to maintain the growth rate in 4Q in the target range the government […]

  • A Hidden Problem of the US Consumer

    The lingering discord between the PMI surveys in the US manufacturing / non-manufacturing sector and the steady dynamics of consumption is probably the only thing that contains recession fears. As Morgan Stanley noted, the foundation of the current expansion was the absence of consumer shocks, which, in fact, began most of the past recessions. A […]