Market Brief – Wednesday 9/18/19

In overnight trading, Japan imports were down -12.0% on a year-over-year basis and exports were down -8.2% on a year-over-year basis, adding further evidence that the global slowdown is not stopping. The Fed opened their overnight repo operations to the tune of $75 billion to loan any primary dealer dollars for one day by posting … Read more

Market Brief – Tuesday 9/17/19

In overnight trading, more evidence of a global economic slowdown came from Singapore as August domestic exports fell -8.9% over this time last year and August electronic exports fell -25.9% from -24.2% in July. Saudi Aramco said that production will be back to normal in about two-to-three weeks which sent crude oil prices along with … Read more

Market Brief – Monday 9/16/19

In overnight trading, the world’s largest oil processing facility in Saudi Arabia was hit taking out 5% of the world’s daily production of crude oil. Reports Sunday were mixed, but Saudi Aramco is expected to bring production back online rather quickly. According to Christyan Malek, Head of Oil and Gas Research for Europe, Middle East, … Read more

The Fed Will Cut and Bonds Will Rally

Next week the Federal Open Market Committee (FOMC), the branch of the Federal Reserve that sets monetary policy, will meet next Tuesday and Wednesday to discuss potential changes to monetary policy. With every FOMC meeting, the next one seems to be the most important and investors around the world will be tuning in to see … Read more

Market Brief – Friday 9/13/19

In a gesture of goodwill, China is offering waivers for state-owned companies to purchase U.S. pork, soybeans, and other farm products. While the markets are seeing this as an end to the trade war, it isn’t. After one-third of China’s hog population was decimated by the swine flu, China has imposed limitations on how much … Read more

Market Brief – Thursday 9/12/19

U.S. equity futures and Treasury yields jumped in overnight trading after President Trump postponed the next round of tariffs by fifteen days as a gesture of goodwill to China who is celebrating her 70th anniversary. Computer algorithms immediately ramped U.S. equity futures within a few points of their all-time high as the computers believe the … Read more

Market Brief – Wednesday 9/11/19

In overnight trading, China auto sales fell for the fourteenth time in fifteen months by -9.9% in August. In an attempt to put an end to the trade war, China waived tariffs on sixteen types of U.S. goods by removing the 25% tariff for one year that will go in effect on September 17. The … Read more

Market Brief – Tuesday 9/10/19

In overnight trading, China’s beat expectations at +2.8% on an annualized basis for August with a +0.7% increase for the month. Producer prices fell -0.8% on an annualized basis, meaning China is exporting deflation. Most of China’s price increases can be attributed to food, as China is struggling with food shortages. Adding to the pain … Read more

Market Brief – Monday 9/9/19

Stocks and Treasury yields started the day slightly higher as the news reported that markets are rising on hopes for additional monetary stimulus. Markets make the news, and this morning’s rise was more about a continuation of last week’s rally than anything else. China exports are down -1% YoY, with exports to the U.S. down … Read more