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US Open – Netflix misses, Iran seizes a vessel, Silver gains on gold, Bitcoin eyes $10,000

As earnings season picks up, the majority of early corporate profit reports are coming in better than expected, but US stock index futures are being weighed down on faltering trade talks between the US and China.  President Trump reiterates his complaint that his Chinese counterpart is not deliver ...

Worried Index-Based Strategies are Distorting the Bond Market? The Data Says You Shouldn’t Be

Despite record inflows into fixed income ETFs, concerns around the growth of these funds leading to an outsized impact on the fixed income market and the distortion of bond prices are still overblown, according to the data. ...

Tech Talk for Thursday July 18th 2019

Pre-opening Comments for Thursday July 18th U.S. equity index futures were mixed this morning. S&P 500 futures were down unchanged in pre-opening trade. Index futures were virtually unchanged following release of economic news released at 8:30 AM EDT. Consensus for Weekly Jobless Claims was an inc ...

Daily Markets Broadcast 2019-07-18

Daily Markets Broadcast 2019-07-18 Wall Street slides on weak earnings reports US indices extended declines to a second day yesterday after earnings reports from the banking sector disappointed. Oil prices slid despite a drawdown of inventories while gold surged on a weaker US dollar.   US30USD D ...

The External Sector And Financial Crises

If we look at the full history of financial crises around the world, one could argue that crises related to external debt and/or fixed exchange rates are dominant. Such crises could represent an entire chapter of this book. However, I will only offer a brief overview of the subject. From the perspe ...

US Close – Earnings, Netflix, IBM, Oil slumps, Gold shines and Bitcoin’s resilience

US stocks finished lower on soft earnings and as trade talks between the world’s two largest economies hit a roadblock on how to ease restrictions on Huawei.  Asia markets are likely to see a soft open as better than expected earnings from the first batch of S&P 500 companies is not providing a ...

Just right

Not too hot. Not too cold. And don’t expect a rate cut anytime soon. The latest inflation numbers, out Wednesday, show the Bank of Canada might actually know what it’s doing. As you recall, the central bankers decided last week not to cut rates, even as Trump beats his monetary guys into submi ...

Beneath the Surface of China’s CSI 300 Index is Kind of Boozy

On January 3, 2019, Chinese stocks made a v-shaped bottom and surged into a peak on April 19, 2019. Since then, stocks have corrected by about 7%, dropping, recouping about 6% of the peak to trough decline that ended on June 6, 2019. ...

The potential benefits of Emerging Market debt

Emerging market debt has evolved over the past few decades from a source of political and economic vulnerability to a potential positive driver of portfolio returns. The addition of new sovereign issuers (denominated in U.S. dollar and euro) has broadened the opportunity set for global investors, a ...

Hedging a Portfolio with Options

Hedging a portfolio against a correction in the markets is conceptually easy to understand. However, in practice there are multiple variables to consider and each requires customization based on portfolio sizing and market outlooks. To understand how to execute an efficient hedge on your portfolio, ...