US Data and ECB Weigh on Markets

Yesterday in
New York, should have been the usual bounce back day for stocks? Instead,
while there was some attempt, the market settled back toward the previous day’s


This is a
somewhat precarious situation and encourages our view that the ‚day and
technical traders‘ were caught enthusiastically long. While the real money
funds were very happy to take advantage of the liquidity provided and continue
to sell down their portfolios.


It is a bear
market. Has been all year. US data was worrying in that Existing Home Sales fell
another 2.4%, and New Jobless Claims leapt to 218,000. This remains a low and
good number, but it did exhibit a bit of a break to the upside which could
again indicate the tide is most definitely turning down for the US economy.


wants to move toward tightening, or so the ’talk’ goes, but it is just way too
late for the ECB who was focussed on being popular, and is just now starting to
chase the inflation wave that has already inundated the region. This will
provide a moment of support for the Euro, but a bit of a ’snowflake in summer’
rally, really. ECB rates will fall further behind US levels, even if the ECB
starts to raise.


there is that small thing of war on the doorstep and energy supply concerns
recession likelihood.


This content
may have been written by a third party. ACY makes no representation or warranty
and assumes no liability as to the accuracy or completeness of the information
provided, nor any loss arising from any investment based on a recommendation,
forecast or other information supplied by any third-party. This content is
information only, and does not constitute financial, investment or other advice
on which you can rely.


This article was written by
Clifford Bennett, Chief Economist at ACY Securities.


Go to Forexlive

Wie hilfreich war dieser Beitrag?

Klicke auf die Sterne um zu bewerten!

Durchschnittliche Bewertung 0 / 5. Anzahl Bewertungen: 0

Bisher keine Bewertungen! Sei der Erste, der diesen Beitrag bewertet.

Es tut uns leid, dass der Beitrag für dich nicht hilfreich war!

Lasse uns diesen Beitrag verbessern!

Wie können wir diesen Beitrag verbessern?