Fed stress tests U.S. banks & Wall Street mini-rally

Federal Reserve

Stress test The Federal Reserve warned that in a worst case scenario, some banks reserve capital would fall close to minimum capital requirements, with lenders subjected to loan losses of up to $700 billion. The central bank directed 33 of the largest U.S. banks to suspend share buybacks and cap dividend payments. Bank shares including , J P Morgan Chase, Goldman Sachs and Wells Fargo all fell in extended trade after hours, all three having rallied during the normal trading session ahead of the results. So, all the banks have,…

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Market news roundup in brief – Thursday 23rd January 2020

Stock Market

Scheduled events Australia unemployment data comes in far better than expected creating nearly 29,000 jobs against consensus of 15,000. EU – ECB interest rate decision due at: 12:45 GMT followed by monetary policy statement at: 13:30 GMT U.S. – Unemployment ‘jobless’ claim data due at: 13:30 GMT Japan – BoJ monetary policy meeting minutes due to be released today. Other market news China – Asian stocks fall on fear of virus outbreak spreading. UK Mothercare – closed all its 79 UK stores earlier this month, but is still trading as…

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ECB holds interest rate at historic low as Mario Draghi departs

European Central Bank

ECB holds rates at 0% and keeps its forward guidance unchanged The European Central Bank (ECB) kept rates unchanged on Thursday, in what marked President Mario Draghi’s last monetary policy meeting before Christine Lagarde takes over. Lower growth The euro zone is seeing lower growth – in part held back by global trade tensions, a weaker manufacturing sector, and other economic uncertainties, such as Brexit. The current ECB deposit rate is -0.5%, the lowest on record. We’ll leave the debate on negative rates for another time – but it’s not good and…

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Is this an omen for the next financial crisis?

Bank liquidity

It has been reported recently that the U.S. Federal Reserve is pumping billions of dollars into money markets and that we apparently have nothing to worry about? Bank liquidity Do you remember twelve years ago when the first financial crisis cracks started to emerge? One of them being a shortage of cash in the money markets (liquidity), where banks and financial institutions lend to each other. Credit crunch Do you also remember phrases in the news at the time leading up to the crisis like, ‘credit crunch’ and ‘subprime lending’?…

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ECB unveils new stimulus plan, again

European Central Bank

ECB unveils new plan to prop up the slowing euro zone economy, yet again European Central Bank cuts deposit rate and launches new bond-buying program Bad news is good news? It’s a case of bad news is good news again for the markets as the president of the European Central Bank, Mario Draghi introduced more measures to combat the faltering euro zone economy on Thursday. But despite the European Central Bank’s best efforts, some critics are questioning the effectiveness of further easing as Draghi becomes more vocal about weaker than…

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Economic calendar 7th August 2019, market moving scheduled events

Global economy

Main scheduled daily economic news and data most likely to move markets today, 7th August 2019 Little scheduled major market moving data to report today. Note – China’s yuan China – sets yuan rate at slightly below $7.00. The yuan has been weakening recently as the trade war between the U.S. and China intensified. The yuan’s level against the dollar is crucial as a lower currency makes exports cheaper. Scheduled market news New Zealand – Reserve Bank of New Zealand interest rate announcement Germany – industrial production data due at:…

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Market moving daily news roundup July 25th 2019

Market News

Market moving news roundup – events & news likely to move markets 25th July 2019 Company performance, economic and political events and especially market sentiment will always influence market movement. This post is ongoing… Market moving news roundup, 25th July 2019 Brexit – deal or no deal? Enough is enough, just get on with it – UK voted to leave, so leave UK – Boris Johnson’s first full day as PM at no. 10. New cabinet gets to work. Brexit with or without a deal. Please, just get on with…

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Economic calendar 25th July 2019, scheduled events

Stock Market News

Scheduled daily economic news and data most likely to move markets today, 25th July 2019 UK – Boris Johnson will chair his first cabinet meeting as Prime Minister Japan – foreign investment data due Germany – business data analysis due at: 09:00 BST EU – ECB interest rate decision due at: 12:45 BST U.S. – Initial jobless claims data due at: 13:30 BST U.S. – goods trade balance, durable goods (non defence) data/orders for June due at: 13:30 BST EU – ECB monetary policy statement and press conference due at:…

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Stock market update Wednesday 24th July 2019

Closing positions of: FTSE 100, S&P 500, DOW, DAX, NASDAQ, NIKKEI & GOLD I trade these on a regular basis FTSE 100 – closed at: 7501 (down) DAX – closed at: 12523 (up) DOW – closed at: 27270 (down) S&P 500 – closed at: 3019 – New all time high! NASDAQ – closed at: 8321 – New all time high! NIKKEI – closed at: 21709 (up) GOLD – closed at: $1,425 (up) Note S&P 500 & NASDAQ indices close at new all time highs. U.S. markets trade higher Wednesday 24th…

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Economic calendar 24th July 2019, scheduled events

Economic calendar

Scheduled daily economic news and data most likely to move markets today, 24th July 2019 UK – Boris Johnson will take over at No. 10 to become the next UK Prime Minister Japan – manufacturing and main economic index data due Germany – manufacturing and service data due at: 08:30 BST EU – manufacturing and service data due at: 09:00 BST U.S. – manufacturing, service and new home sales data due at: 14:45 – 15:00 BST Note Investors will be closely watching ECB monetary policy update this week. The ECB…

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