Opinion
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Calmer Capital Markets…for the Moment

The capital markets are quiet today. Equity markets and bond yields have a slight upside bias, while the dollar is little changed. Despite reports that the lockdown in Chengdu is easing, Chinese equities underperformed in...

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The Role of Search Engine in Research Journey

This article aims to evolve around the concept of search methodology to conduct quality literature reviews. Literature reviews are not just a summary of randomly collected articles from different sources but a meaningful selection of...

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Aussie Sells Off After RBA Hikes 50 bp while Sterling Bounces on UK New Initiative

A GBP130 bln initiative by the new UK government to protect households from the surge in power costs helped lift sterling from 2.5-year lows. The Reserve Bank of Australia delivered the expected 50 bp rate...

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Sharing Economy: Should Uber and other non-traditional industries like Airbnb be encouraged by governments?

In the late 2000’s, nobody would have a clear idea of the non-traditional industries like Uber and Airbnb. Uber, Airbnb, Alibaba, Netflix are the top and most common services people use today. All run on...

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Surging Energy Prices Pushing Europe Closer to Recession

The poor eurozone PMI underscores likely recession and weighs on the single currency, which was sold to a new 20-year low.  Rather than a “Turn Around Tuesday”  a broadly consolidative session is unfolding. Asian and...

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Fed Minutes were Not as Dovish as Initially Read

The sell-off in European bonds continues today. The 10-year German Bund yield is around four basis points higher to bring the three-day increase to about 22 bp. The Italian premium over Germany has risen by...

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US Dollar Offered but Stretched Intraday

The US dollar is trading heavily against all the major currencies, led by the Norwegian krone and euro.  Emerging market currencies are also firmer.  However, risk-appetites seem subdued.  Even though most large bourses in Asia...

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Downside Risks to the US Employment Report?

The US dollar enjoys a firmer bias against the major currencies ahead of the July employment data. Emerging market currencies are mixed. Asian currencies are generally firm while central Europe is a bit softer. Some...

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Dollar: Greenback Jumps Back

With the exception of Japan, Taiwan, and India, the large equity markets in the Asia Pacific region traded higher today. The Hang Seng led the move (1.65%) amid reports that Alibaba will seek its primary...

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The Dollar is on its Back Foot

The dollar’s downside correction continues today, helped by hawkish signals from the Reserve Bank of Australia and unnamed sources who have played up the chances of a 50 bp hike by the European Central Bank...

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Market Prices in More Aggressive Fed AND is more Confident of Rate Cuts by the End 2023

The higher-than-expected US CPI and the strong expectation of a 100 bp hike by the Fed in two weeks is propelling the dollar higher. It jumped to almost JPY139.40 and the euro is off more than...

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The Dollar Remains Bid, while Sterling Shrugs Off Johnson’s Political Woes

The dollar jumped yesterday making new highs against most of the major currencies, including the euro, sterling, the dollar-bloc and the Scandis. The yen and Swiss franc held in better, but the greenback still closed...