ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
The S&P 500 (SPY) traded at an all-time high last week. This milestone means that the broad-based index never closed above that level, 2954.20, before that time. Specifically, “all-time” is an adjective with two meanings according to Dictionary.com: “never surpassed or greater” “regarded as such in its entire history” Despite the clarity of this definition, … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on August 3, 2016. Click here to read the entire piece.) The Reserve Bank of Australia (RBA) kicked off central bank action for August with a rate cut to a fresh record low of 1.50%. Financial markets were anticipating a cut with … Read more
On June 6, 2016 (U.S. time), the Reserve Bank of Australia released its latest statement on monetary policy. The pronouncement was as pedestrian as ever, including leaving rates untouched. The most notable difference from the current and the previous statement appears to be the RBA’s reflections on inflation. In the current statement, the RBA made … Read more
There is nothing like a quick reversal of what is supposed to be good economic news to confirm a bearish bias. On May 31st (U.S. time), the Australia Bureau of Statistics (ABS) released its report on GDP for the March, 2016 quarter. GDP came in at a very strong 3.1% annualized rate thanks to another … Read more
In the last edition of “Forex Critical” I claimed that the Australian is not likely to maintain its current blistering pace of gains. Just three days later, the stubbornly persistent rally of the Australian dollar (FXA) may already be grinding to a halt. The Australian Bureau of Statistics (ABS) released its inflation data for March, … Read more