GBP Relief Rally Starts Early, Perhaps Too Early?

Here is the latest Economic News from the NASDAQ.

GBP Relief Rally Starts Early, Perhaps Too Early?
Market Drivers June 23, 2016 UK Voting begins High yielders rally Nikkei 0.48% Dax 1.70% Oil $50/bbl Gold $1269/oz. Europe and Asia : EUR EZ Flash PMI Man 52.6 vs. 51.4 EUR EZ Flash PMI Svc 52.4 vs. 53.2  North America :  USD Weekly Jobless 8:30 NY USD New Home Sales 10:00 NY UK voters had barely lined

Brexit Worries Diminish?
As the Brexit vote takes place today, where the British populace decides on a referendum whether or not Great Britain should remain part of the European Union (EU) or not, new polling released this morning is helping part the

Brexit: Uncertainty Is The New Normal
Tomorrow is the UK vote, where UK citizens will vote on whether to ‘stay’ or to ‘leave’ the European Union.  In this post-Lehman (failure) era, we’ve had no shortage of fear and doubt.  Remember the Fiscal Cliff, Sequestration, Cyprus, several chapters of the drama in Greece, Italy and Spain were threatening default,

Best Markets To Buy After The UK Vote
Last week we looked at four key market charts as we headed into the weekend.  You can see that again here .   Despite the frenzy of selling early last week across markets, as the fear of a bad outcome in the UK escalated, by the week’s end, the outlook for markets was looking quite compelling.   Two of the most

Tesla Motors Is Moving To Purchase SolarCity
Tesla Motors TSLA is moving to purchase SolarCity SCTY following the announcement Tuesday, which would bring together two of Elon Musk’s biggest brainstorms for roughly $2.8 billion. The CEO of the premier electric car and lithium ion battery manufacturer

Markets Consolidate As Table Is Set For Referendum
There is a nervous calm in the capital markets today.  The focus is squarely on tomorrow’s UK referendum.  According to a BBC focus group, the leftcamp won the debate 39%-34%.  The last polls show a contest that it too close to calls in that the results are within the margin of error.  The Financial Times poll

Yellen On Deck; USD A Wreck?
Market Drivers June 21, 2016 Cable through 1.4700 as Bremain polls continue to lead GE ZEW a bit better Nikkei 1.28% Dax 0.16% Oil $49/bbl Gold $1284/oz. Europe and Asia : AUD RBA Minutes reaffirm neutral stance GBP PSNB 9.1B vs. 9.4B EUR ZEW 54.5 vs. 53 North America : Yellen Testimony in House 10:00 NY

Gold ETF Rally Faces Key Hurdle With Brexit
By Drew Voros ETF.com Editor-in-Chief The top-performing ETFs so far this year and the funds that have seen strongest new inflows have all been tied at the hip to gold. The $38 billion SPDR Gold Trust ( GLD ) with has risen more than 20% this year and has attracted $10 billion in new assets in less than

Why Cash Is Still King
With just 3 days left until the referendum, the opinion polls are neck and neck on whether Britain should leave the European Union.  As markets await the decision, volatility has garnered a considerable amount of attention. Investors are frantically parking themselves in safe havens and volatility hedging instruments

Demographics of Most Trump Supporters Mirror Those in Britain Supporting Leave Campaign
Counting on Brexit being a non issue two days from now? Not so fast, say columnists at media outlets, new opinion polls and the like, even though global monetary organizations are sounding alarm bells regarding what would actually transpire

Investors Focus On Brexit
For the past 2 3 weeks, the market has been feeling a headwind of question marks related to whether Great Britain would vote to exit the European Union (EU), which became known by its useful moniker “Brexit.” Not to

UK 'Remain' Vote Would Fuel Huge Second Half Rally In Stocks, Yields
On Friday we looked at four key market charts that suggested the worst of the Brexit storm may be behind us.   As of Friday afternoon, the bookmakers had the odds of the UK staying in the Eurozone at 64%, versus 36% leaving.  And as we looked across the prices of gold, oil and stocks, all were suggesting, at least

Your Brexit Game Plan – What Currencies to Trade and When
BRITISH POUND – Expect Choppy Trading & Big Moves Data Review ✓      Consumer Prices 0.2% vs. 0.1% Previous ✓      Unemployment Rate 5.0% vs. 5.1% Previous ✓      Jobless Claims Change -0.4K vs. 6.4K Previous ✓      Average Weekly Earnings 2% vs. 1.7% Previous ✓      Retail Sales 1% vs. 0.3% Previous

Market Takes Another Step Away from the Edge, Dollar and Yen Ease
Since the murder of UK MP Cox last week, the mood in the markets shifted.   Today is the continuation what was seen in the last two sessions last week.  The difference is that participants seem more confident, as the polls and betting odds seem to support our initial recognition of the tragedy’s potential to impact

Cable Soars as Brexit Sentiment Turns
Market Drivers June 20, 2016 Cable through 1.4600 on change in polls over the weekend Kuroda – we are halfway to 2% inflation Nikkei 2.34% Dax 3.25% Oil $49/bbl Gold $1290/oz. Europe and Asia: JPY Merch. Trade 269B vs. 113B EUR GE PPI 0.4% vs. 0.3% North America: No data Cable gapped higher at the

Housing Data Mostly Came in Line with Estimates
Ahead of the bell this Friday morning, U.S. Housing Starts and Building Permits for May results were released, and came generally in line with expectations. With a read of 0.3 percent for the month, Housing Starts are currently at

Increase In U.S. Rig Count Will Not Cap Oil Prices
By David Yager The impact of rising oil prices on North American light tight oil (LTO) production is said to be a “Catch 22”, the title of Joseph Heller’s popular 1961 novel set in WWII. The premise was you could get out of the army if you were crazy but you weren’t crazy to try to get out of the army. So this

What Dynamic Is Affecting Economic Growth?
The housing sector, both new and used homes, is well below peaks from before the Great Recession. Is this an effect of weak economic growth or simply reflecting demographic change? Existing home sales appear to be plateauing roughly 2/3’s to 3/4’s of the pre-recession peak. New one family homes sold (not

Mixed Economic Data Likely to Impact
In a very data dependent pre market, which saw futures down ahead of time, we see new May Consumer Price Index (CPI) and Jobless Claims numbers before the opening bell, and results are mixed. We know the Fed won’t

Fed, Swiss National Bank Lower Real Interest Rate Forecasts: Are We Turning Japanese?
Marshall Gittler, Head of Investment research,  FXPRIMUS.com Four major central bank meetings in 24 hours and no change in policy at any of them. The Chinese philosopher Lao Tzu summed it up when he said, “By doing nothing, everything is done.” Yet as spectators at a soccer match well know, no score doesn’t mean

Goldman Sachs Says Oil Isn't Recovering
Goldman Sachs has rejected analysts’ opinions that the global oil market is recovering, noting that while it expects a “modest” deficit in the coming months based on the slight rebound in oil prices, the market will again be in a state of surplus by early next year. It may seem as if oil is recovering on the back of

The BOJ, Not The Fed, Is What Matters Today
German yields (10 year futures) went negative yesterday, but importantly didn’t close negative.  We’ve talked about the important symbolism of this market.  This is a big deal, especially the recovery into the close, finishing spot on the zero line heading into today’s Fed and tonight’s BOJ meeting.  The Fed

The Vanity of Central Bankers and the Common Sense Rule
Some wedding gifts just keep on giving, even after the celebrated union upon which they were bestowed has failed. That would certainly be true in the case of Carly Simon and James Taylor, whose notoriously rocky marriage ended in 1983. The timing of her November 1972 wedding marked more than a vow to Taylor, it

Economic Data & FOMC in Focus
Producer Pricing Index (PPI) results for May were released this morning, and again we’re seeing better numbers than had been expected while the headline number reached 0.4 percent (0.3 was the consensus estimate), when you strip out food and

Encouraging Economic Data Boosted Sentiment
This morning we received a healthy slice of U.S. economic data Retail Sales for the month of May rose 0.5 percent, while May Import Prices went up 1.4 percent and Exports up 1.1 percent. Each of these measures were

Brexit GBP USD Trading Strategies
Hola! Como estas? I’m back from Forex Day Madrid and ready to give you the latest tips on Brexit GBP USD trading strategies. Yes we talked a whole bunch about Brexit but we also ate, and ate, and when I thought you can’t eat no more, we continued to eat again. Conclusion: Spanish people sure know how to eat.

Microsoft-LinkedIn Deal in Focus
Software giant Microsoft MSFT was bought LinkedIn LNKD ahead of the market opening this morning. The reported all cash deal (including LinkedIn’s cash on hand) is for $196 per share, or $26.2 billion. Prior to the deal, LinkedIn’s market

FX: Risk Aversion Rips USD/JPY
Market Drivers June 13, 2016 Chinese data comes in line Risk aversion flow dominate Nikkei -3.51% Dax -1.52% Oil $48/bbl Gold $1286/oz. Europe and Asia : CNY Industrial Production 6.0% vs. 6.1% CNY Fixed Asset Investment 9.6% vs. 10.5% CNY Retail Sales 10.0% vs. 10.1% North America :  No data today Risk