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Have You Seen This?

  • Waiting On The RBNZ...

    In This Issue..

    * Currencies trade in a tight range...
    * Fed to keep rates unchanged till 2011?
    * Brazil GDP soars 9%!
    * Another glut of Treasuries to auction...

    Good day... And a Wonderful Wednesday to you! I had a first today on the way to work... I hit every green light! Now... I'm sure you are wondering why I would even have green lights at this hour of the morning... Me too! But they are there! And it was smooth sailing into work today... YAHOO!

    OK... Let's get serious, serious... The currencies traded in a tight range yesterday, with a brief mini-rally in euros, as the single unit rallied to 1.20, but that was short-lived. The rumor going around was that the Swiss National Bank (SNB) was intervening...

    ...
  • The Dollar Gets Ambushed!

    In This Issue..

    * Non-dollar currencies soar!
    * Weber gives the green light...
    * Is the Fed buying more Treasuries?
    * China considering IMF's Gold!

    Good day... And a Terrific Tuesday to you! A Tuesday that needs no 'turn-around', as the currency actions VS the dollar overnight are amazing! The dollar got ambushed overnight, as the euro shot right straight through the 1.47 handle, and has just traded 1.48! Hmmm... Didn't I say yesterday that the I didn't think the dollar strength we were seeing was any change in the recent trend? ... I love it when a plan comes together!...
  • A Rare Day, Indeed!

    In This Issue..

    * Stocks, bonds and dollars get sold!
    * The U.S. to lose our AAA credit rating?
    * A return to fundamentals day 2...
    * A Corporate Feed Good story for a Friday...

    Good day... And a Happy Friday to one and all! A Fantastico Friday here in St. Louis, as we bask in the sun of a 3-game sweep by my beloved Cardinals over the Cubbies! It's also the beginning of a 3-day Holiday weekend. It's Memorial Day on Monday! Time to reflect and give thanks for those that put their lives on the line for our freedom...

    OK... Front and Center this morning the Big Dog (euro) has left the porch and is chasing the dollar down the street! I got home yesterday afternoon, rested, and then checked the currencies at the NY closing before they handed the books over to Japan, and saw that the euro had leap-frogged to the 1.39 handle! WOW! What was going on?...
  • High yeilders continue to rally...

    In This Issue...

    * High yeilders continue to rally...
    * Quantitative easing drives the markets...
    * Inventories to drive inflation...
    * Happy Birthday Chuck...

    Good day... I'm back from a long vacation with the family down in Florida, I had a great time but it actually feels good to get back to work. But before I get started this morning, I want to compliment Mike on what a fantastic job he did on the Pfennigs while Chuck and I were in Florida. Mike jumped right in and cranked out some great information, setting the bar rather high for me. We have a busy week ahead of us, so better get right to it.

    Currency investors continued to pull out of the dollar and move funds back into higher yielding currencies on Friday. The best performing currencies on Friday were the higher yielding commodity based currencies of Australia, New Zealand, and South Africa. Investors were eager to move money back into the higher interest rates available in these currencies as markets began to stabilize. With the Feds announcement last week that it will buy $300 billion of US government bonds, deflation is now a thing of the past. This purchase by the Fed monetizes the debt, basically pumping the cash directly into the markets. It is the most inflationary action the Fed can take, Bernanke has now put the printing presses in high gear. With deflation no longer a worry, commodity currencies have begun to look attractive again....
  • Hold on to your hat...

    * Fed opens the pocket book...
    * Creative measures...
    * Inflation/dollar debasement concern...
    * Currencies soar...

    Good day...And a Tub-Thumpin' Thursday to you. Well, yesterday was certainly one wild Wednesday for the record books. It started out like any other day we've had over the past week or so with the dollar down and many of the currencies up a bit, but nothing really out of the ordinary. Then it happened...the Fed adjourned and hit the markets with a big one.

    Many of the market participants weren't looking for an announcement or plans from the Fed to buy Treasuries today, but instead, were anticipating further discussions on how to proceed. It appears there has been disagreement on how to provide aggressive actions with interest rates already at rock bottom. The way they saw it, there were three options. One was to increase the TALF to buy frozen assets, another way was to expand purchases of mortgage backed securities and agency securities, or to begin buying long term Treasuries....