Category: Morning Report

WOES ABOUT INTEREST RATES AND RUSSIAN COUP/STRIKE HAS GIVEN INVESTORS THE JITTERS AS VOLATILITY GOES HIGHER AND STOCKS LOWER

WEAK PMI NUMBERS HAS SENT THE STOCK MARKETS IN RETREAT AS A COMBINATION OF A RECESSIONARY NUMBER IN THE FACE ON EVEN HIGHER RATES ARE MAKING INVESTORS SLIGHTLY NERVOUS

SNB followed by the Bank of England both raised their borrowing rates today and with Fed chairman Powell’s testimony, indicating a further 2 more hikes from the FED by year end, investors are on the backfoot this morning

NOTHING GOING FOR THE SUMMER SOLSTICE AS ALL WE HAVE TO LOOK FORWARD TO IS FED CHAIRMAN POWELL’S SPEECH TO THE HOUSE LATER TODAY

AFTER A GREAT RUN, STOCKS ARE AT LEAST STARTING OFF THE SHORTENED WEEK A BIT SOFTER AFTER DISAPPOINTMENT IN THE 10BP RATE CUT BY THE CHINESE GOVERNMENT, SENT THE HANG SEND DOWN OVER 1%

STOCKS BROKE OUT OF THEIR BEAR MARKET EARLIER THIS WEEK AND NOT EVEN HAWKISH CENTRAL BANKS SEEM TO BE ABLE TO HALT THE RALLY, NOTHING SEEMS TO BE IN THE WAY TO STOP A CHARGE TO THE ALL TIME HIGHS

FED KEPT RATES UNCHANGED AS EXPECTED BUT INDICATED THAT FED OFFICIALS EXPECT ANOTHER 50 BASIS POINTS OF HIKES BEFORE THEY REACH THE PEAK. MEANWHILE THE ECB AND BoE WILL CONTINUE THEIR HIKING CYCLES

WILL THEY OR WONT THEY? THE MARKET AWAITS THE FED DECISION ON THE BACK OF THE S&P TOUCHING A 52 WEEK HIGH YESTERDAY, EXPECTATIONS ARE ON A PAUSE, BUT WHAT NEXT?

All eyes turn to the CPI numbers as anything in-line will likely cause the FED to pause their hiking cycle, but anything higher and the rate juggernaut will continue trucking on

No economic numbers today, so expect a quiet one as we await CPI tomorrow and the Fed meeting on Wednesday