Daily Comment
Daily Comment (April 15, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] It’s shaping up to be a very busy weekend. In Brazil, the Chamber of Deputies will vote over the next couple of days to decide if the legislature should begin impeachment proceedings. As we noted earlier this week, Brazilian financial markets have rallied on expectations that… Read More »
Daily Comment (April 14, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] Oil prices are modestly higher after a small decline yesterday due to a higher than forecast weekly oil inventory report, which we cover below. Prices were down until IEA headlines emerged indicating that the OECD’s oil monitoring body is expecting the oil market to balance later… Read More »
Daily Comment (April 13, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] Financial markets are stronger this morning on better than expected trade data out of China. March exports rose 11.5% from last year. Last month the same measure fell 25.4%. However, the data does fluctuate due to the variance in dates of when the Chinese New Year… Read More »
Daily Comment (April 12, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] BREAKING: IMF CUTS 2016 GLOBAL GROWTH FORECAST TO 3.2% FROM 3.4%. President Rousseff of Brazil came another step closer to impeachment yesterday as a congressional impeachment committee voted to recommend a Senate trial. The next step is a vote by the full Chamber of Deputies on… Read More »
Daily Comment (April 11, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] German 10-year sovereign yields are down to 11 bps this morning. Falling German yields are translating into low U.S. Treasury yields. (Source: Bloomberg) Since mid-2013, when Chairman Bernanke unveiled tapering, the two yields have been closely linked. Interestingly enough, the spread between these rates has been… Read More »
Daily Comment (April 8, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] The WTO released its global trade data for 2015 yesterday along with its forecasts for this year and next. The sum of imports and exports rose 2.8% last year and is expected to rise at the same pace this year, rising to 3.6% in 2017. The… Read More »
Daily Comment (April 7, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] Yesterday’s FOMC minutes generally confirmed what we have been hearing from committee members over the past few weeks, namely, that international concerns are worrying members and keeping policy steady. Of the 17 members on the committee, eight viewed the risks to be shifting toward slower growth,… Read More »
Daily Comment (April 6, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] It was another quiet overnight session. Oil prices jumped on reports from the American Petroleum Institute’s (API) weekly oil storage data, which showed an unexpected draw in stockpiles. The API data can diverge from the official DOE data, which we receive at 10:30 EDT today. A… Read More »
Daily Comment (April 5, 2016)
by Bill O’Grady and Kaisa Stucke [Posted: 9:30 AM EDT] We are seeing weaker equity markets this morning with little news flow. The Treasury has announced new inversion rules that will likely discourage some of the merger activity. The Panama papers are also sowing fear in the financial markets. However, the most likely reason for the… Read More »