June 23, 2017 - Market Update (Tough on Qatar, Soros: UK & EU may remarry, Morgan Stanley moving to Frankfurt/Dublin, Biotech on fire, FX option ruling EURUSD, USDJPY, Bonds on summer vacation)

Short recap

Asia flat

Europe opening lower

Tough conditions for Qatar to comply within 10 days

Will spur the risk off

Carlyle Group – Fed to keep hiking, no problem from higher rates

Soros on "Brexit In Reverse" - if all goes well UK & EU may remarry even before divorce  link

North Korea firing again

Equities

Morgan Stanley to move EU HQ and broker-dealer operations to Frankfurt and asset management to Dublin

Airbus & Boeing to face competition from RU, CN and JP in the future

Qatar Airways looking to buy 10% of American Airlines

US House not happy with Deutsche Bank’s rejection to share information about Trump’s finances with respect to Russia investigation

Biggest US banks passed the stress test

Biotech on fire without any particular reason

Index breaking through strong resistance

Few names to check: Gilead Sciences, AbbVie, CSL, Biogen, Amgen, Shire, Genmab, Celgene, Regeneron, Vertex, Alexion, Incyte (first three worth of looking at)

BlackBerry reporting Q1 earnings with focus on turnaround

Bombardier cutting more than 2k jobs in GE

Tesla to build a factory in China

Foxconn planning a USD 10 bln display factory in US

Bonds

10-yr Trys yield at 2.16% - not reacting to Bullard, more focussing on balance sheet reduction

10-yr Bund yield at 0.26% - no change from yesterday

EURUSD

No clear direction

Still stuck close to large option expiries strike levels within 1.1100-1200 range

Next week there are not that many, so we should be able to see a bit more moves

Expiring today EUR 1.97 bln at 1.1190-1200

Market watching interest rates differentials and ECB/Fed speakers

Next resistance at 1.1187 (23.6% Fibo)

10 DMA at 1.1175

Gold

Consolidating towards 1255 (50.0% Fibo)

Support from 100 DMA at 1249

Seen some risk off flows from energy

As prices of oil are very vulnerable on OPEC (in)action

Data/Events

ECB’s Draghi at European Council meeting

Fed’s Bullard (1515 GMT)

Fed’s Mester (1640 GMT)

Fed’s Powell (1815 GMT)

Should you have any questions feel free to contact me anytime.

Good luck Champs!

Mr Hawk

DISCLAIMER: This material was created for informational purposes only and represents the Land of Trading team’s view of the past and current economic and capital market environment. It is not an investment advice and should not be viewed that way at all, and the creators of this material cannot be held liable for any potential losses resulting from trading, where despite this disclaimer someone would consider this material as an investment advice. All rights reserved ©2016. Contact: landoftradingATgmailDOTcom

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Mar 29, 2017 - Market Update

Short recap

Asia up

Europe opening higher but with caution

Trump revoking pro-climate regulations

…having fun of all those …exits….? Well, me too.

Grexit, Italexit, Frexit, Germanexit, Brexit…and now:

Scoxit – Scottish parliament said yes to second Scottish referendum

UK Gov will not negotiate about it, thus the vote is just symbolic in nature

Norther Ireland looking at joining Ireland to become a part of EU

Seems to have busy upcoming two years after UK triggering Art 50 today

May to speak at Parliament at 11:30 GMT

Formal Brexit announcement at 12:30 GMT at the latest

As at 12:45 GMT Tusk (EU Council President) holds a press conference

GBPUSD down on unofficial Brexit trigger (to 1.2378 from around 1.2600 yesterday)

Tusk to focus on negotiations terms first, the rest may follow

EURGBP – a sentiment test today as the official letter gets delivered

USD turning the corner primarily on Trys yields expectations, general sentiment what is also reflected in important USD pairs

To keep the momentum we need continuation of good data and attractive tax policy terms

Fischer (Fed) seeing two more hikes as right this year

10-yr Trys yield at 2.42%

10-yr Bunds yield at 0.39%

Tesla – Chinese Tencent owning 5% shares what means a stable long-term relationship and fresh capital stream for Tesla

Roche Holding obtained an approval for multiple sclerosis drug from FDA

Sanofi and Regeneron Pharmaceuticals obtained an approval for dermatitis drug from FDA

Deutsche Bank and Commerzbank positive on S&P credit rating upgrade

On the back of a new law in Germany benefiting senior creditors

More and more bankers working for London based banks are getting nervous about what operations will be moved to EU

What in turn puts a pressure on the banks to keep the skilled and experienced employees from leaving

S&P 500 staying above 2350 support (next 2300)

But below the descending trendline

Valuations weighting on the market

Data

GE: Import Price Index – was up +0.7%

US: Pending Home Sales Index – to rise despite shortage of houses

Speakers:

Evans (1320 GMT)

Rosengren (1520 GMT)

Praet (1650 GMT)

Friday – EU issuing a statement on Brexit to define the guidelines

Apr 4 – EU making a formal statement on Brexit about what they want to achieve

Should you have any questions feel free to contact me anytime.

Good luck Champs!

Mr Hawk

DISCLAIMER: This material was created for informational purposes only and represents the Land of Trading team’s view of the past and current economic and capital market environment. It is not an investment advice and should not be viewed that way at all, and the creators of this material cannot be held liable for any potential losses resulting from trading, where despite this disclaimer someone would consider this material as an investment advice. All rights reserved ©2016. Contact: landoftradingATgmailDOTcom

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