Markets Update Friday 28/08/2020 – The day after

Frankfurt – 28/08/20 The day after With the Fed’s promise of another massive flood of cheap money, equities remain very attractive despite the many uncertainties. Also, suspected progress in the race to develop treatments and vaccines in the fight against Covid-19 continued to cheer investors up. For example, the pharmaceutical company Johnson & Johnson plans to test a possible corona …

Markets Update Thursday 27/08/2020 – Fed’s surprise, no surprise

Frankfurt – 27/08/20 Fed’s surprise, no surprise  On the day of the Fed’s first virtual Jackson Powell Symposium, the stock markets went wild as expected. Not all stock markets picked up equally after Jerome Powell announced as expected that the Fed will loosen up a bit more than it already did. Nevertheless, bank boss Powell has delivered with his new …

Markets Update Wednesday 26/08/2020 – Pre-Jackson-Hole-High

Frankfurt – 26/08/20 Pre-Jackson-Hole-High Tomorrow begins the high-level annual meeting of central bankers, at which Fed Chairman Jerome Powell will announce important changes to the Fed’s list of objectives, according to experts. This is also one reason why equity markets and foreign exchange trading have been relatively quiet this week so far. It is expected that the Fed will no …

Markets Update Tuesday 25/08/2020 – Inflation & alcoholism

Frankfurt – 25/08/20 Inflation & alcoholism We live in strange times, where it gets harder and harder to make sense of the markets as equity markets have completely decoupled from reality. Well, clearly this insane disconnect was mainly caused by the Central Banks of the world when they decided to print even more money and add trillions of dollars, euros, …

Markets Update Monday 24/08/2020 – Wall Street Rally continues

Frankfurt – 24/08/20 Wall Street Rally continues On Wall Street, there is still an enormous amount of euphoria, and traders are in a party mood. Driven by hopes of a cure for the coronavirus, the US indices climbed to new highs. US President Donald Trump granted emergency approval for the so-called immunoplasm therapy – the treatment of corona with blood …

Markets Update Friday 21/08/2020 – USA up, Europe down

Frankfurt – 21/08/20 USA up, Europe down Reports that the Mainz, Germany, based biotech company Biontech and its research partner in the USA Pfizer are making good progress in the search for a vaccine against the Sars-Cov-2 virus initially supported the share prices at the end of the week. The two companies have started the decisive phase three with their …

Markets Update Thursday 20/08/2020 – Give me hope, Joanna!

Frankfurt – 20/08/20 Give me hope, Joanna! Today’s trading day provided food for thought. Because no less a person than the US Federal Reserve recently put the brakes on euphoria because of Corona. According to the FOMC meeting minutes from the end of July published yesterday, the Fed expects that the corona crisis will put the brakes on rapid economic …

Markets Update Wednesday 19/08/2020 – Fed Doves

Frankfurt – 19/08/20 Fed Doves After the US stock markets continued their rally also during most of today’s trading day, the latest FOMC meeting minutes triggered a sizeable sell-off. It all started as yet another record-day for the US equity markets, but then the mood turned sour. Then the Fed presented its latest FOMC minutes, which describe that the economic …

Markets Update Tuesday 18/08/2020 – Records on shaky feet

Frankfurt – 18/08/20 Records on shaky feet Optimists and pessimists once again fought a fierce battle in the market today and caused several changes of direction for many financial instruments. The focus on the Forex market was primarily on the euro and the precious metal gold, next to the US stock indices that reached new all-time-highs. Many market analysts doubt …

Markets Update Monday 17/08/2020 – Go, Go, Gold!

Frankfurt – 17/08/20 Go, Go, Gold! Today, there were extremely few impulses from companies and the economy as a whole. Except for a few mediocre economic data releases such as the New York Empire State Manufacturing Index, the economic calendar was empty today. Therefore, traders and investors were mostly focused on political and socio-economic factors, which ultimately lifted the gold …