Monday, 18 July 2011

QE2 is over, but US FRS is ready to ease monetary policy again – will there be QE3? QE2

US news. US Federal Reserve System has finished the program of 600 billion dollars US Treasuries purchase, which is referred to in press as the second round of quantitative easing” (QE2).
FRS is currently ready to take steps to ease monetary policy further if the slow rate of US economy growth remains, and inflation risks get weaker. This was announced by the FRS Chairman Ben Bernanke in a semiannual report before the Committee of Financial Services of US House of Representatives.

"The possibility remains that the recent economic weakness may prove more persistent than expected and the deflationary risks might reemerge, implying a need for additional policy support," said B. Bernanke in his statement, published by the Federal Reserve. FRS head indicated that Central Bank possessed the resources for such support, although the use of some possible means will bear experimental character.

Intervention in crude oil market: reasons, results and perspectives

The global market of crude oil recovered to its high created 2 weeks ago. Consequently, the recent intervention in the market (advertized by the Western media and the IEA) failed. What is it: the IEA’s unprecedented failure or somebody’s game and good reckoning? If we find the answer to this question we can understand the market perspectives.

Nokia vs Apple: who will win?

In June Nokia and Apple –2 tech giants – finally ended the continuous patent dispute started in 2009 by signing a patent license agreement. Most details of the treaty weren’t made public. Is it the real end of the clash or just an “armistice”? Not only the users of Nokia and Apple’s devices want to know the answer to this question. The investors are worried as well.

According to Igor Zuev, an analyst for Rietumu (a Latvian bank and one of the biggest financial institution in the Baltic region), over the last few years Apple’s products has been increasingly popular around the world but Nokia outpaces the U.S. corporation in terms of proceeds.

Less than 3 weeks to possible US default: President VS Congress

USA, USDThe info-analytic service of Market Leader and the U.S. Association of Trader and Investors under Masterforex-V Academy previously wrote about the problem of the USA’s budget deficit for a couple of times. They considered the reasons, possible consequences and tried to anticipate the future succession of events.

Of course, Masterforex-V Academy experts have recently been focused on the measures taken by the U.S. Government, Congress and President in order to solve the problem.
It is obvious that there is no need to explain once again why investors around the world are seriously concerned about the current condition of the world’s biggest economy. That is why any speech made by Barack Obama or any political piece of news from Washington are paid special attention to. We remind you that in order to avoid a technical default the U.S. Congress will have to lift the debt ceiling until August 2nd.
If the USA defaults on its debt, that will be a real shock for the entire global market and global economy.

Wednesday, 15 June 2011

How will the Retail Sales data influence the US Dollar exchange rate?

USDThe USA’ Retail Sales data declined in May for the first time over the last 11 months.

 

Car sales declined dramatically after the earthquake in Japan. May’s sales declined by 0,2% while in April there was a 0.3% increase. Nevertheless, the data turned out to be better than expected as the index had been expected to show a 0.7% decline.

In general, the Retail Sales report shows an unfavorable picture in the US consumer market. The population is trying to cut spending in response to the recent economic decline. However, the Core Retail Sales value (excluding the sales of cars, gasoline and building materials) gained 0.2% in May after growing by 0.35 in April.

S&P500: overview in terms of volatility trading

During the last week the US stock market kept declining. The main reasons were the weak macroeconomic statistics and the threat of default (the Republicans still refuse to increase the debt limit). By now the futures of S&P500 have come close to the cluster of support levels – the 200-day MA (1255), the option barrier 1250 and the local low 1241.25 – which may weaken the bearish sentiments. However traders should bear in mind that the forthcoming movement direction will be determined mainly by political and macroeconomic factors, not by technical ones. If S&P500 starts a rally it will encounter resistance around 1300, 1350, 1400(the 50-day MA) and 1373.5 (the high of the year).

For investors: how close are scientists to creating alternatives to oil?

Investment news, USA. American scientists have recently announced to the world a sensational piece of news, which was at once picked up by leading news agencies: an effective and, more importantly, cheap way of generating hydrogen from water has been developed. Fuel received as a result of experiments may well be used for everyday energy needs.

The main point of the breakthrough, made by a group of specialists under the guidance of a professor of Massachusetts Institute of Technology (MIT) Daniel Nocera, is that being exposed to sun rays, immersed into water and covered with a special cobalt and phosphates solution artificial silicone “sheet” favours generating hydrogen from water. Hydrogen is the source of energy as such:
conducted research. Experiments on breaking water molecules have been conducted earlier, but they were very labour-consuming and costly, plus absolutely pure water was required for this. At the same time Nocera claims that he can “make” hydrogen quickly, cheaply, and from any quality water. In other words, invented by his team installation can operate at any private household.
trialsample. However, scientists, as they personally admit, still need to update their device for some time in order to make it more compact (at least to make it of the size of a refrigerator) and improve the mechanism of waste gases disposal.

A.Lukashenko confirms Masterforex-V’s forecast. Will the world see the next wave of the global crisis?

BYR

The 2nd wave of the global crisis has been discussed in the world media for 2 years. In this respect Masterforex-V’s forecast look fairly interesting. According to the forecast, which was made in late 2009, the 2nd wave of the global crisis will probably start shortly after the devaluation of the Belarusian Ruble. The sensation is that 1.5 later Alexander Lukashenko, President of Belarus, practically confirmed the thesis. After the sharp devaluation of the Belarusian Ruble and considerable price hikes he said that Belarus was hit by the 2nd wave of the crisis.

What did Masterforex-V Academy and Market Leader warn the world about?

Friday, 27 May 2011

Traders: how will the prices of meat change at stock exchange?

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Stock exchange news. The prices of cattle continue to fall, the seasonal tendency lasts. Last Friday a very “hospitable” report on heard condition “Cattle on Feed” was released. It put the prices under additional pressure.

 

Currently June futures bargains below the price level of spot market, which signals about a descending tendency. Additional pressure is provided by strong dollar and liquidity of long positions to non-commercial traders.

Who will become the new head of IMF: thoughts and expectations

News of Europe. Worlds news media have informed that on Thursday, May 19, the managing director of International Monetary Fund Dominique Strauss-Kahn, who is currently under arrest in New York, announced his intention to quit his post. This step of the influential financial expert could be easily predicted. Expert community had no doubts about imminent resign of the present head of IMF from the moment of his custody in Kennedy airport.