Easing Technology Tariffs Sends Stocks Soaring
A shortened trading week has kicked off with stock markets around the world rallying in hope that the tariff war may ease. Over the weekend, the White House announced that it is removing technology (smartphones, computers, semiconductors, memory devices and more) from the reciprocal tariff program, as it prepares a separate technology tariff program to […]
Focus of Volatility Shifts to the US Dollar, Earnings Season Starts
The extreme volatility that has shaken equity markets since the start of this month appears to be subsiding for the moment. Overseas trading overnight has been mixed with the Nikkei down 3.0%, the Hang Seng up 1.1%, the Dax down 1.3% and the FTSE up 0.5%. In trade war news, China increased its retaliatory tariffs […]
Stock Rally Fades as Investors Await Friday’s Earnings Season Start
Yesterday’s decision by President Trump to postpone reciprocal tariffs on countries who agree to not fight back and come to the bargaining table continues to send shockwaves through world markets. Following on from one of the strongest single days in US history where the S&P 500 gained 9.5% and the NASDAQ soared 12.1%, the Nikkei […]
The US Versus The World
The new trading week has started with Asia Pacific markets catching up to last Friday’s panic selloff. Hong Kong plunged 13.2%, Shanghai fell 7.3%, and Tokyo lost 7.8%. European markets, which partly participated on Friday are seeing less extreme losses with Frankfurt down 4.2% and London down 3.8%. All eyes are now on the US […]
Trump Tariffs Crush World Markets
Although President Trump has been threatening to increase tariffs for months and has been talking about yesterday’s “Liberation Day” round of new tariffs for weeks, which included a 10% baseline tariff plus reciprocal tariffs against pretty much everyone except for Canada and Mexico, some people still appear to have been caught off guard. Stocks and […]
Shaky Start to a Big Week for World Markets
The first day of the new trading week, which is also the last trading day of the month and the quarter, finds stock markets around the world under heavy selling pressure. Overnight, the Nikkei plunged 4.0%, while the Hang Seng fell 1.3%. European trading finds the Dax and CAC both down 2.0%, with the FTSE […]
New High For Gold as Confession Season Approaches
Uncertainty over the impact of tariffs on economies around the world, particularly North America, continues to impact investor sentiment as President Trump’s April 2 “Liberation Day” approaches. In a sign of investors becoming increasingly cautious, Gold has broken out to a new all time high today climbing above $3,100/oz for the first time ever. Silver, […]
Stock Rally Stalls as Trump Tariff Threats Increase
A two-day rally in stocks appears to be winding down this morning as US index futures are trading up 0.1%-0.2% after US indices soared 1.4% to 2.3% yesterday. Speculation that President Trump may scale back on his “Liberation Day” plan to introduce widespread reciprocal tariffs starting April 2 has faded. Instead of standing down like […]
Stocks Retreat as Investors Digest Central Bank News
Yesterday afternoon’s relief rally which pushed US indices to gains of 0.9% to 1.4% has evaporated overnight. This morning finds US index futures down 0.4%-0.6%, while in Europe, the Dax is down 1.5% and the FTSE is down 0.3%. The US Dollar is rallying today, gaining 1.1% against the Australian Dollar, 0.6% against the Euro […]
Divergences Highlight Changing Leadership and Sentiment
Significant divergences and reversals have emerged in overnight trading that suggest changing capital flows and leadership across world markets. For the last several years, US has been the leading equity market in the world but that now appears to be shifting to international markets. A broadening advance in overseas markets accelerated overnight with Hong Kong […]