Market Updates and Analysis for a better informed trading
By EconMatters
We look at the “Kiwi”/USD Currency Cross in this video. We delve into the history of the New Zealand currency, with a look at the technical support and resistance levels throughout the last 20 years.
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As the growth mirage fades (and short-squeeze ammo runs out), so crude and copper carnage is reappearing. Amid its biggest plunge since early Jan, Copper is now down 10 of the last 12 days and crude is plunging back towards it 50-day moving average. Amid this bloodbathery, precious metals are bid as Saxo Bank sees Gold “heading back to its highs and beyond.” Copper & Crude carnage continues as PMs are bid… The biggest plunge in copper since September 2015… Which as Saxo Bank’s Ole Hanson notes, is…
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“This is pretty disappointing, and it’s a rude awakening for the Canadian economy” – Desjardins Group Canada’s trade deficit swelled in February more than expected amid the sharpest decline in exports in almost seven years. Canada’s trade deficit grew to $1.9 billion in February, more than triple the shortfall of $628 million the month before, Statistics Canada reported. Exports plunged 5.4%, the biggest month-on-month decrease since May 2009, on a combination of lower prices and a 2.2% decline in volumes. Imports also dropped 2.6%, due to lower prices as well as…
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In the past few months, the Bureau of Labor Statistics has gone out of its way to show that U.S. worker compensation is finally rising. There is one problem with that: while that may be true on an hourly basis… … on a weekly basis, the picture is vastly different. What is happening is that weekly wage growth have gone nowhere in years, but because the average hours worked per week has declined and today hit a 2 year low of 34.4, it translates into more money per hour worked….
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By EconMatters The Oil Market focuses on some rather silly stuff at times, and the Production Freeze notion, is one such misdirection play. I would rather Bloomberg provide some market insight given their vast resources by reporting on how much Oil Iran is actually able to bring to market versus the rhetoric.
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GBPUSD – Loses Bullish Momentum, Vulnerable GBPUSD – With the pair rejecting higher level prices on Wednesday, further weakness is likely in the days ahead. On the downside, support lies at the 1.4300 level where a break will turn attention to the 1.4250 level. Further down, support lies at the 1.4200 level. Below here will set the stage for more weakness towards the 1.4150 level. Conversely, resistance stands at the 1.4450 levels with a turn above here allowing more strength to build up towards the 1.4500 level. Further out, resistance…
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© Reuters. Dollar loses ground vs. other majors on Yellen dovish stance The dollar moved lower against the other major currencies on Wednesday, after Federal Reserve Chair Janet Yellen dampened expectations for an upcoming U.S. rate hike. EUR/USD rose 0.20% to 1.1318. In a speech at the Economic Club of New York, Yellen said global risks to the U.S. economy, including low oil prices and uncertainty over China justified taking a cautious approach to tightening monetary policy. The comments contrasted with recent remarks by some Fed officials who indicated…
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Despite Yellen’s best efforts today to basically dismiss any and all data as irrelevant going forward in The Fed’s decision-making process, we suspect all eyes (and algos) will be firmly glued to this week’s payrolls’ data. Will it be another record month for Obama to crow about? Will Mark Zandi do the “told you so dance” to all the trump supporters who seem less exuberant about the recovery? One look at this chart – and the disastrous trend – and we suspect, sooner-rather-than-later, the fecal matter will be striking the…
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Submitted by Jeff Clarke via HardAssetAlliance.com,
It was predictable: gold takes a breather, and a flash mob of gold agnostics and atheists forms to point out the price is falling and that there’s little reason to get excited about it.
That’s the problem with investing bias; you don’t look for, or just ignore, evidence that shows another factor is in play.
And that’s the case with gold. Not only is a pullback normal after an asset rises 20%—like gold has done in the first nine weeks of the year—there’s a strong seasonality pattern to gold.
Since 1975, when gold again became legal to own, here’s its average performance by month.
Over the past 40 years, gold has typically fallen more in March than any other month.
So, it’s not surprising to see gold’s latest retreat.
Every bull market has its ups and downs. And the latest down in the gold price seems to have arrived right on schedule.
As uber hedge fund manager Dan Tapiero points out, serious cracks have appeared in the monetary and economic system that should compel investors to own gold right now.
He’s especially concerned about the state of European banks and that contagion could spill over into the global banking system and cause another global financial crisis.
Dan believes that if we get a crisis beyond the magnitude of prior crises—something he thinks is very possible—gold will trade over $3,000 per ounce.
