Senior Relationship Manager
Summary: FOMC key
Good Morning,
Yesterday markets seesawed and closed little changed in the end all 3 US Indexed ended less than 0.5% from Wednesdays close. The German Benchmark attempted to break higher yesterday but gave up most gains after closing the technical gap and the BoE warning of recession risks. Coinbase and Blackrock announced a cooperation and Coinbase shares can jump by 10%.
As expected, the Bank of England hiked 50 Basis points. A bit surprisingly it expects a recession.
The USD Index fell yesterday as the number of unemployed rose last week in the US, the index fell to 105.93, EURUSD 1.0225, GBPUSD at 1.2135 and USDJPY is 133.35. Gold and Silver trade 1790 and 20.20 -despite weak oil, Bitcoin remains near 23k but a little above.
Today, unless something really extraordinary happens, all eyes will be on the US Labor market and the Non-Farm Payroll at 14:30.. Economists expect 250,000 jobs added in July, the unemployment rate at 3.6% and the average earnings at 0.3%. Todays data points will be a part of the Feds next rate decision so extremely important.
Peter Garnry published an article on the biotech sector yesterday and Kim Cramer took the opportunity to take a look at the sector from the technical side. Both are very much worth a look. Among the ETF, the iShares Healthcare Innovation ETF and the iShares Healthcare Innovation ETF have issued a KID and are available for retail clients as well.
Peters article is here: Cutting Edge Biotech
Kim`s is here: NextGen Medicine ETF's
It seems we are observing the classic investment cycle where may are not participating in the recovery, the US 500 has recovered 15% off the June lows Investors continue to buy equities in the Fed-meeting break, the next meeting is end of September. Good earnings and strong fundamental data helps, risks seem to be widely ignored by the broader market.
Technically as well as fundamentally the best course of action seems to be cautiously optimistic, stops or protection are nevertheless a good idea.
A new fragmented world order can render some of today's infrastructure obselete, but it also calls for massive new investments across the globe, which requires a new set of strategic and tactical investment strategies.
Steen Jakobsen,
Chief Investment Officer
As globalisation turns to fragmentation, China seems set on playing a role in the global economy, while simultaneously working towards proofing its own economic situation from external shocks and crises.
Redmond Wong,
Market Strategist
The recent bank runs and ensuing challenges are reminicent of something we've seen before. Will it end like the S&L crises of 1986 and 1995?
Chris Dembik,
Head of Macroeconomic Research
Equity markets need to recalibrate to another - fragmented - global world. What's your view on equities in this market - are they going up or down?
Peter Garnry,
Head of Equity Strategy
With every development comes new opportunites, some of which could be in India. Have you considered the country as a part of your diversification strategy?
Charu Chanana,
Market Strategist
A collar is an option strategy that allows some protection while maintaining some upside potential. What investment would you like to use a collar strategy for?
Hans Oudshoorn,
Trainer Academy
There are arguments to be made for many commodities to have upside. Which are you paying the most attention to this quarter?
Ole S. Hansen,
Head of Commodity Strategy
In a very challenging macro environment, which currencies do you think will come out on top?
John J. Hardy,
Head of FX Strategy