ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Currency traders appeared very disappointed that the Bank of Canada left interest rates unchanged on Tuesday. The Canadian dollar (“loonie”) immediately bounced sharply from near three-year highs against the U.S. dollar, and the USD/CAD eventually popped over parity (1.0) for the first time in two weeks on Thursday. The accompanying statement suggested that the Bank … Read more
The massive and historic floods in Australia have driven coal prices up. This is particularly important for steel since Australia exports 2/3 of the world’s coal used for making steel (coking coal). Steelmakers have already been struggling with increasing input costs, so the Australian floods are sure to pinch profits further. At the close of … Read more
A month ago, I laid out the case for the S&P 500 sustaining its upward momentum. I pointed to 1300-1310 as the next point of strong resistance. As the S&P 500 nears that point (half of a percent away now), I marvel at how quickly this test has come. T2108, the percentage of stocks trading … Read more
Outlook 2011: Irreversible Upward Pressures – Precious Metals – Resource Investor The best I can come up with is that speaking about gold is like one of those good news bad news jokes, you know the ones – your doctor phoned with some good news and some bad news. The good news is they will … Read more
During the last earnings conference call for Evergreen Solar (ESLR), management claimed that the company had the resources to meet its liquidity needs and had enough cash to sustain current and planned burn rates. A little over two months later, ESLR has announced that it is retrenching and shutting down its manufacturing facility in Devens, … Read more