Morning Brew March 9 2022
Senior Relationship Manager
Summary: Markets calms a little but avoid complacency as event risk remains extremely high.
US Indexes lost a little ground yesterday with the Dow -0.56%, the S&P 500 - 0.72%, and the Nasdaq -0.28%, Dax and European Equities made up ground and over night Equities again across the board, app 1% in most indexes.
Gold rose to 2050 with a high at 2069, pulling silver to 26.65, oil rises on the U.S. imposing an immediate ban on Russian oil and other energy imports.
The EUR gained a little in value ahead of tomorrows ECB Meeting, rising to 1.0915, GBPUSD is trading at 1.3120 and the USD Index retreated to 99.
Bitcoin could add 8% to 41600 but US regulation loos as a risk event.
The London Metal Exchange halted trading in Nickel yesterday and cancelled trades yesterday the price doubled to more than $100,000 per ton.
Pls see Peters Equity Update here:
Summary: Today's equity update touches on the EU's new plan to issue joint bonds to fund massive investments in energy and defence adding further short-term tailwind for Europe's oil and gas industry. The sanctions against Russia are causing all sorts of unintended consequences and ripple effects with the nickel market yesterday jumping in a spectacular way due to a massive short squeeze. The rapid rise in nickel and also lithium carbonate prices are putting enormous pressure on electric vehicle makers such as Tesla.
There is little on the economic Agenda today so all focus will be on Ukraine and the overall fallout of the sanctions that are evolving.
Remain cautious and careful in your position sizes.
Quarterly Outlook Q2 2022
Quarterly Outlook Q2 2022: The End Game has arrived
- Shocks from covid and the war in Ukraine have forced the global financial and political world to change, but what will the end game be?
Productivity and innovation have never been more importantAs the world economy hits physical limits and central banks tighten their belts, could equities be facing a 10-15% downside?
The great EUR recovery and the difficulty of trading itIf the terrible fog of war hopefully lifts soon, the conditions are promising for the euro to reprice significantly higher.
Tight commodity markets – turbocharged by war and sanctionsWith supply already tight, commodities keep powering on. But will it last for yet another quarter?
Between a rock and a hard placeGeopolitical concerns will add upward price pressures and fears of slower growth, while volatility will remain elevated.
The Great ErosionInflation is everywhere and central banks try to combat it. But will they get it under control in time?
Australian investing: Six considerations amid triple Rs: rising rates, record inflation and likely recessionWhile global financial markets are struggling in an uncertain world, the commodity-heavy Australian ASX index is poised to keep a positive momentum.
Cybersecurity – the rush to catch up with realityWith the invasion of Ukraine, governments and private companies are rushing to reinforce their cyber defenses.