Yet another wonderful example of the ‘unintended consequences’ of the policy makers desire for permanent market liquidity and zero interest rates. I see regulators and policy makers have been out this weekend calling for yet more regulation. This time for the use of such black box ambush systems. For the smart cash investor they present …
Continue reading ““HFT” High Frequency Trading Example.. NLY”
From Bloomberg.. In my opinion this is the single most important news story of the week. This is very significant and explains everything in terms of the price action that i observed was ‘strange’. These trades are leveraged short term trades that are typically netted off at the end of the day. They bombard the …
Continue reading “High Frequency Trading Boxes explains “sell off” volumes..”
UBS preferring EM markets at these levels given the strong balance sheets of the em countries. Given the risk issues in the market the theme of ‘balanced’ cos with strong diversified earnings is coming forward again and again. UBS-08-Aug-2011 The pro risk trade is likely to continue to come off albeit we are still oversold …
Continue reading “UBS – Global Equities.. “Quality stocks within a balanced sector allocation””
Quick listing of some key news events. Clearly Deutsche Bank have a lot of underwater positions at present and so praising central bankers. Quite amusing.. lol. http://www.bloomberg.com/news/2011-08-10/central-bankers-become-tower-of-strength-amid-debt-turmoil.html Copper demand rises out of China in spite of poor seasonal factors. The evidence is China will keep switching from USDs to buy hard commodities when prices drop. …
Asia overnight.. same old same old.. weakness but not significant weakness.. An optimist would call Asian indexes calm albeit that they, nonetheless fell. (Shanghai aside – which managed to turn positive. I wouldn’t read too much into this yet. The technicals are a disaster although well oversold now). Its note worthy that as the cash …
Continue reading “Markets – Technical Glimmers of a near term Bottom.. (& Miners)”
Playing in to what has been said in the forum pages Barcap coming forward and highlighting the danger and parallels to 2008. The momentum is clearly to the south side. If counter momentum moves are beating back again and again, over sold or not, these markets will crash downwards. This is starting to become the …
Here Gold’s 2011 move. Gold is the best indicator in the markets on the problems with fiat toilet paper currencies. The problems are getting far worse not better. Hyper inflation lies ahead of us. Much civil unrest is to come. This is what the gold chart is telling us loudly and very clearly. Rich
Asia generally bounced overnight following the US equity bounce end of session but in many Asian markets the move was very weak. Given the oversold levels the Asian bounce looks to have more to run. Technically id point to the analysis here: http://www.stocktiming.com/Shanghai_Daily_Stock_Market_Updates/shanghai-index-update-monday.htm These sorts of analysis are, as always, probabilities. Government and central bank …
Continue reading “Markets – Technical & Macro Comments & Actions.. (part I)”
The following is the full text of the statement following the Fed’s August meeting: “Information received since the Federal Open Market Committee met in June indicates that economic growth so far this year has been considerably slower than the Committee had expected. Indicators suggest a deterioration in overall labor market conditions in recent months, and …
http://www.bbc.co.uk/news/uk-14458424 The UK has one of the highest inflation rates in the g10, one of the lowest first time buyer participation rates, one of highest public deficits yoy and one of the greatest wealth divides between ‘rich’ and ‘poor’. One in eight is on benefits in the UK with the highest rate of single parents …
A very good technical view from Barcap across many instruments and asset classes released today. Inevitably such a view precludes any references to monetary matters, etc. This week an important one to this view on many instruments. A disasterous start of course. Barcap-Technical-Trends–8-8-11 Rich
In an almost direct response to UBS Morgan’s beats the bull drum.. “History tells us that after corrections run their course and volatility peaks, forward equity returns are usually positive”. I’m not so sure about that call.. In truth what we need is more money printing, plain and simple. Thats the only thing that will …
Continue reading “Morgan Stanley – “Not Start of Cyclical Bear Market” (Rebuff to UBS)”