Renewed tensions arising out of North Korea’s missile launch on Tuesday had a major impact on volatility. Asian markets have declined more than 1% as risk aversion dominated markets.
Expectations for a lower level of volatility in the last week of summer were shattered as North Korea fired another missile on Tuesday morning.
After touching the lowest levels since January 2015 on Tuesday, the US Dollar Index rebounded and started August 30 on a stronger note.
The US Dollar Index continued to fall on August 28. On August 29, it opened with weakness and traded at the lowest levels since January 2015.
European Central Bank President Mario Draghi gave didn’t comment about removing monetary stimulus in his speech at the Jackson Hole symposium.
US bond markets (BND) remained volatile (VXX) in the week ending August 25. Investors reacted to US political developments and Yellen’s speech.
Volatility in the global markets fell considerably in the previous week. The key risks subsided that spiked risk aversion in the last few weeks.
The US Dollar Index started this week on a weaker note by opening lower on Monday. The index is trading with weakness in the early hours on August 28.
Consumer expectations form the only component of the Conference Board Leading Economic Index (or LEI) based on business expectations. Referring to consumer expectations regarding future economic conditions, their measurement is…
Fears of flattening yield curves and rising interest rates have completely vanished in recent weeks. The FOMC’s (Federal Open Market Committee) July meeting statement confirmed the concerns about lagging inflation…
The Conference Board Leading Economic Index (or LEI) uses the number of weekly unemployment claims as an indicator in its economic model. Seasonally adjusted weekly claims data gives an idea about…
Extraordinary circumstances in the last two decades pushed for ultra-loose monetary policy from the Fed and lower taxes from the government, and this added to the pressure on the US deficit.
A failure to raise the debt ceiling will likely result in a US government shutdown and a default by the US, which would be catastrophic for the global economy and financial markets (VTI) (USMV).
The US debt-to-GDP ratio now stands at 106.1%, which means that the total US debt is more than the annual US GDP.
In this series, we’ll discuss the looming US debt crisis, how the US debt has ballooned so much, and the impact of a debt crisis on equities (VTI), the US dollar (UUP), and fixed income (HYG) markets.
This year’s theme for the annual Jackson Hole Symposium is “Fostering a Dynamic Global Economy.”
US Federal Reserve Chair Janet Yellen confirmed that she will be attending the 2017 Jackson Hole Symposium at the last minute.
ECB President Mario Draghi is scheduled to speak at this year’s Jackson Hole Symposium on August 25—after a hiatus of three years.
During this three-day symposium, any surprise comments from heavyweight participants could have a major impact on bond, currency, and equity markets.
In the recent Bank of England (or BOE) policy meeting, interest rates were left unchanged at 0.25%.