ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Perhaps President Recep Tayyip Erdogan was right all along? It seems rate cuts are exactly what Turkey needs. As global central banks pedal backward on monetary policy, the Central Bank of the Republic of Turkey (CBRT) stands out with its extremely high rates. The CBRT got here as part of a fight against persistent and … Read more
“It would be a difficult place for policy, and my sense is that the markets are not really onto the complexity of it. It seems a little too easy that ‘Oh. Interest rates could decline and that will make everything OK.’ That may be true for the small kind of shocks that we’ve had so … Read more
Iron Ore Resistance Iron ore prices have been on a tear this year, and China’s steel mills are not going to take it anymore. According to Reuters: “…eight steel mills will create an investigation group, led by Baowu and assisted by the others, to look into the pricing methodology of imported iron ore, to coordinate … Read more
In the background of the growing euphoria in the U.S. over imminent rate cuts from the Federal Reserve is the growing weight of the steady descent of the economy in the eurozone. European Weakness The week started with the stock market’s first opportunity to respond to the declared truce in the trade war between the … Read more
In recent days, market pundits have excitedly talked about the prospects of the Federal Reserve getting so dovish that it would be willing to make a bold statement with a rate cut of 50 basis points for the July 31st announcement on monetary policy. Such a move would be quite dramatic given the Fed has … Read more