Global Macro Perspectives
Todays Financial Times front page: Spanish banks break ECB loan record. Spanish banks borrowed €85.6bn ($105.7bn) from the ECB last month. This was double the amount lent to them before the collapse of Lehman Brothers in September 2008 and 16.5 per cent of net eurozone loans offered by the central bank. Financial Times article: Turmoil in Spain […]
Another leading indicator falling. ZEW Germany Expectation of Economic Growth for June came out at 28.7 vs. 42 consensus and 45.8 reading for May. Chart 1. ZEW Germany Expectation of Economic Growth
U.S. trade balance for April was reported at $-40.3 billion vs. consensus of $-41 billion and a March reading of $-40.4 billion. Chart 1. U.S. Trade Balance
Financial Times Links: Fredriksen explores other waters; Fredriksen poised to swoop on ailing groups. Probably most famous shipping tycoon shares his views on market outlook. Mr. Fredriksen famous on building Frontline, world largest tanker company, sold most of his shipping assets (currently he holds only stakes in Frontline (Tanker), Golden Destiny (dry bulk) and Golar […]
Belisarius was mentally away from the market as he was taking an industry exam… He is sorry for wasting half a year on that, but that’s a thing of a past now… Thanks to my much relaxed time schedule, the TaintedAlpha.com Blog will have receive some new and improved content and features in following weeks. Returning to the markets. Things don’t look good. The […]
I will be away from the markets (at least mentally) for the next week or so. Regular service continues on Monday, June 7.
The resistance at 1060 (or so) is broken, it looks we will be fast at 900. Chart 1. S&P 500 Weekly
They should know that the effects don’t last more than a few hours…. Chart 1. EUR/USD Exchange rate & S&P 500
Is this the big one? Although your favorite author was skeptical on the recent bull run, he definitely didn’t things will unwind so fast. Where to now? It feels further south. The main issue is that a EU “nuclear” option, did not reassure the markets. And there is no other better fixes… Only possible good […]
I have to say I usually don’t agree with the guy, but I have to say that now he is probably on the mark: “The simple misconception is people trying to equate pure economic logic with social political reality,” O’Neill said in an interview from his office in London today. “The Germans and French are […]
Lowest USD/EUR exchange rate in almost 4 years. Parity is at sight. Chart 1. Euro Index Daily Chart 2. Euro Index Monthly
The TaintedAlpha.com Blog was offline for a couple of hours due to problems at my web hosting service. It should be normal from now-on. My apologies.
Just an observation on the market reaction on EU rescue package. When elsewhere in the world central banks buy worthless paper it’s apparently good for the markets, but when ECB (the most prudent among them) is pressured to buy, it’s apperently not good enough to reassure the markets. Although, I believe that it would be […]
After frustrating American and Asian sessions, looks like the markets have calmed down. After opening sharply lower European equities are trading at -0.6%. What to say on the U.S. action yesterday? Maybe only that the technology has evolved since Black Monday in 1987 and the trading programs were shut down (changed) very fast enabling the […]
Bloomberg story: NYSE Euronext Says There Were ’A Number of Erroneous Trades’